CFA Practice Question
If your primary investment goal is income growth, you should choose, among the following types of real estate investment:
A. equity REITs.
B. mortgage REITs.
C. REOCs
Explanation: The low rate of reinvestment in REITs tends to reduce income growth potential. REOCs, however, are free to invest in any kind of real estate without limitation and to reinvest as much as their income.
User Contributed Comments 1
| User | Comment |
|---|---|
| dalue | This got me. The key is "income growth" not just "income". |