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Pastimes : Clown-Free Zone... sorry, no clowns allowed

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To: reaper who wrote (168533)5/28/2002 6:48:49 PM
From: yard_man  Read Replies (2) of 436258
 
I think that the REITs are going up while spreads are widening because folks are shifting from stocks to something with yield anticipating a recovery. REITs have the aura of something boring, but safe.

Just imagine yourself with an IQ that you have minus 40 - 50 pts and you are a financial advisor who must advise his clients to invest in something that is not too out of step with what you find in the latest copy of Money or some such other pub. <g>

If recovery really were right around the corner -- buying high yield stuff wouldn't be a bad idea --

on the other side, I suspect the REITs are being forced to issue more debt given less than stellar earnings on their properties and they have to pay up to do so because the creditors realize some of this is to make the payments (dividends) -- even if it is in a roundabout way.
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