Hold on to this REIT ETF

Article Excerpt

ISHARES S&P/TSX REIT INDEX ETF, $20.33, is a hold. The ETF (Toronto symbol XRE; buy or sell through brokers; ca.ishares.com) lets investors tap all 21 Canadian real estate investment trusts in the S&P/TSX REIT Index. Investors pay an MER of 0.61%, and the REIT fund gives you a 2.7% yield. The ETF’s top holdings are Canadian Apart. REIT (15.0%), RioCan REIT (10.1%), Granite REIT (8.5%), Allied REIT (7.8%), H&R REIT (6.7%), Choice (5.7%), First Capital Reality REIT (5.6%), SmartCentres REIT (5.6%), Northview Apartment REIT (4.8%), Summit Industrial REIT (4.1%) and Dream Industrial (4.1%). Beyond those top holdings, investors also have exposure to InterRent REIT (3.4%), Killam REIT (3.4%), WPT Industrial REIT (3.2%), Northwest Healthcare REIT (3.2%), Cominar REIT (2.6%), Crombie REIT (2.5%), Boardwalk REIT (2.5%), Artis REIT (1.9%), CT REIT (1.8%) and Dream Office REIT (1.3%). We like some of the 21 REITs this ETF holds, but there are others we don’t view as buys. iShares S&P/TSX REIT is a hold. hold…