German Real Estate Investments Outperform Bonds and Equities
Real estate investments in Germany, especially through open-ended real estate mutual funds, have unique financial characteristics that set them apart from bonds and stocks. By analyzing return data from 1975 to 2002, researchers found that these investments behave differently in terms of returns, correlations, and extreme movements compared to other asset classes. This suggests that investing in open-ended real estate mutual funds offers distinct advantages and similarities to direct real estate investments.