Everyone loves a discount at their favorite retail store. But when a discount is offered on the best stocks or funds, people surprisingly look the other way. 2020 will be long remembered for the pandemic and its impact to the world. But it will also be remembered for some big bargains that were offered up. Most notable among them were sectors like energy and real estate. This has been a year where for the most part, those two sectors have been pummeled. But with two back to back vaccine progress news, things have perked up. While the initial blast off is encouraging, we believe this game is still in its early innings. But the field is still treacherous and the exact timeline of the recovery remains uncertain. Investors can do their own due diligence or perhaps pass the buck on to someone who knows this sector really well.
Cohen & Steers is a company that knows real estate inside and out. They are a global investment manager specializing in real estate securities and other income solutions. There are many ways to access their expertise, but perhaps the easiest way for investors is to buy their closed end funds. The one we shall look at today is Cohen & Steers Quality Income Realty Fund (NYSE:RQI).
The Fund
RQI states that its investment objective is to provide a high current income. Capital appreciation is a secondary investment objective. The fund invests in REITs and this may be done via common shares or preferred shares of these companies. The fund also invests in "REIT-like" entities, when necessary. It has a decent size and manages almost $2.3 billion in total assets. Over the very long term the fund has delivered on its objectives.
Performance
The fund has delivered sweet returns over the last decade
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