What are REITs and Why Should Investors be Careful About Investing in Them?
Real - REITs are "real estate investment trusts", and there are two different types: those that trade on the exchange, and those that don't trade on the exchange. Those that don't trade on the exchange, there are far less information about. They're not priced at a regular interval. And the problem is that you could think that you've lost no money, when in fact the REITs are tanking. People should not invest in non-traded REITs, because the price on non-traded REITs are opaque, and they are not transparent like traded REITs on open markets. And so, there's been a trend in the industry away from non-traded REITs, and investors should be very careful when accepted recommendations for non-traded REITs.