High Yield REITs Whacked By Higher Rates
Portfolio Pulse from
High yield REITs are facing challenges due to rising interest rates, which can impact their profitability and attractiveness to investors.
January 15, 2025 | 11:00 pm
News sentiment analysis
Sort by:
Ascending
NEGATIVE IMPACT
ACRE, a high yield REIT, is likely to be negatively impacted by rising interest rates, which can reduce its profitability and attractiveness to investors.
Rising interest rates generally increase borrowing costs for REITs like ACRE, which can reduce their profit margins. Additionally, higher rates make fixed-income investments more attractive, potentially leading to reduced demand for high yield REITs.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80