Sunday, May 17, 2009

Commercial Real Estate Investment Trusts and Mutual Funds

So, you know you want to invest some of your money in real estate, but you are not so sure of just where you want to put that money. There are a lot of options in the real estate market. How do you choose the right one for you?

The first thing you may want to do is take a little advice from those who have made their fortunes in real estate. The big dogs in real estate, the ones who have made billions, have not put their money into residential homes and apartments. Instead, their money has been invested in the commercial real estate markets. Consider Donald Trump – it's commercial real estate all the way.

While many of the world's real estate billionaires have been putting their money directly into purchasing commercial real estate ventures, you may not have the budget to follow those steps completely. But that doesn't mean you can't dip your toes into that same successful water.

There is a world of real estate investment trusts (REITs) and real estate mutual funds that you can get in on and own your small piece of the commercial real estate industry.

If you haven't heard of them before, REITs and real estate mutual funds are like many of the other investment offerings on the Wall Street stock market, but they are focused on this successful industry.

In the simplest terms, REITs and real estate mutual funds are portfolios that will be filled with real estate related companies and interests. When you purchase into a REIT or real estate mutual fund, you are able to take partial ownership, through shares, in those real estate interests.

Know The Portfolio

The first thing you need to keep in mind when considering this type of purchase is to know what is inside the portfolio you are considering. After all, you want to be making commercial purchases, right? Well make sure you read up on what is in the REITs or real estate mutual funds you are thinking of buying. You can find ones that are loaded with stocks representing commercial buildings, management groups and other commercial real estate interests.

When they start their search for these types of real estate investments, many investors are not sure where to look to find the information they need to know what is in a REIT or real estate mutual fund. Once upon a time finding this information would mean a lot of research, digging through all of the financial news out there hoping to find a tidbit that would help.

That search has been made much easier these days' thanks to is the first and only online brokerage firm that specializes in real estate investment trusts and real estate mutual funds. That means when you go through their financial news, it will all be news and information that is geared towards your specific needs. And when you're ready to buy, they can take you through the whole process as well as help you monitor your portfolio online.

This article was written by Earl E. Bird, spokes person for the, a site dedicated to educating Real Estate Investors on how to invest in Real Estate Mutual Funds to diversify their investing portfolio. Read more articles about REITs investing at