Samsung Securities Sells REITs Fund for US Real Estate Investment with Small Amounts

[Asia Economy Reporter Jihwan Park] Samsung Securities announced on the 12th that it is selling the 'Samsung Nuveen Berman US REITs' fund, which selectively invests in REITs listed in the US market. The US accounts for more than 60% of the global REITs market.

The entrusted asset manager, Nuveen Berman, is a global asset management company with assets under management reaching 400 trillion KRW, and has established expertise in various regions and asset classes.

A REIT (Real Estate Investment Trust) is a specialized investment company or trust that issues stocks and other securities to raise funds to purchase real estate, and distributes more than 90% of the income generated from rental income and profits from sales of the purchased real estate as dividends to investors.

REITs have relatively low correlation with all styles of stocks, making them effective for portfolio diversification and risk spreading. In particular, US REITs are evenly diversified across various sectors such as infrastructure, data centers, residential, office, retail, and logistics warehouses, and due to their large market size, they offer abundant liquidity, making them even more attractive for investment.

The Samsung Nuveen Berman US REITs fund selectively and diversely invests in about 40 out of over 180 listed US REITs to pursue excess returns. It has clear management principles such as limiting the weighting per stock to 1-10%, selecting investment targets with a market capitalization of over 300 million USD considering liquidity, and so on.

A Samsung Securities official stated, "REITs have the characteristic that they must pay out more than 90% of distributable income as dividends to be exempt from corporate tax, so steady dividend income can be expected." He added, "Especially, US REITs are the most promising investment destination following the normalization of economic activities after COVID-19."

The Samsung Nuveen Berman US REITs fund can be subscribed through all Samsung Securities branches and online channels such as POP HTS (Home Trading Service) and mPOP.

This content was produced with the assistance of AI translation services.