Want Stability? These REITs Are as Safe as They Come

During a bear market, almost every stock is vulnerable to multiple compression, which happens when investors put a lower multiple on a company's earnings stream. There is little an investor can do to avoid this phenomenon since market timing is a fool's errand.

Choosing companies based on relative cheapness is often fraught with peril, as many companies are cheap for a reason. The best strategy is to choose companies with solid business models and competitive advantages. Here are some real estate investment trusts (REITs) which are leaders in their chosen markets and have characteristics that make them safe investments. 

Image source: Getty Images.

Continue reading


Source Fool.com