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A-REITs primed for growth in 2021

Analysts are unanimous in tipping real estate investment trusts to perform strongly in 2021, but have differing opinions on which stocks to add to your portfolio.

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After a rollercoaster year, analysts are tipping Australian real estate investment trusts (A-REITS) to perform strongly in 2021 – especially those that are trading at attractive discounts but which own quality income-earning assets.

The benchmark S&P/ASX 200 A-REIT Index ended 2020 down 8 per cent (or 4.6 per on a total returns basis), underperforming the broader equities market but mostly recovering from a 39 per cent plunge in March when Australia entered a nationwide lockdown and tenants stopped paying rent.

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Larry Schlesinger writes on real estate, specialising in commercial and residential property. Larry is based in our Melbourne newsroom. Connect with Larry on Twitter. Email Larry at larry.schlesinger@afr.com

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    Original URL: https://www.afr.com/wealth/personal-finance/a-reits-primed-for-growth-in-2021-20201210-p56mfy