REITs & InvITs

What this unit covers

Meet REITs and InvITs: ways to invest in real estate or infrastructure income through the stock exchange, without buying physical property.

By the end you will be able to

• Explain how a REIT or InvIT lets you buy a unit representing a share of income, instead of owning the property.
• Distinguish what a unit-holder owns from owning property or infrastructure directly.
• Identify the risks of REIT and InvIT units instead of assuming steady income means fixed or safe returns.

How it starts: Someone Else Owns That Mall

1. You walk through a crowded mall on a Saturday afternoon.
2. Every shop pays rent, and that rent adds up to crores each year.
3. Could an ordinary saver ever earn a share of that rent?

Words you will meet

REIT

A trust that pools money to own income-earning real estate and pays most of that income to unit-holders.

InvIT

A trust that pools money to own income-earning infrastructure and pays most of that income to unit-holders.

Unit-holder

An investor who holds a tradeable unit representing a share of a REIT or InvIT's pooled income.

Distribution

The share of income a REIT or InvIT pays out to unit-holders, which can change each period.

In this module: Gold, Silver & Alternative Investments

1. Why Gold Matters
2. Silver & Industrial Metals
3. REITs & InvITs (this unit)
4. Digital Assets
5. Real Estate as an Asset Class