Active Management and Sector Allocation Strategies Amid Economic Changes

Patrick Wilson, a portfolio manager for CenterSquare Investment Management’s real estate securities group, was a guest on the latest episode of the REIT Report podcast. He noted that REITs are currently in a “pretty enviable position,” which has translated into greater interest in increasing REIT allocations from CenterSquare’s existing investor base, as well as from prospective clients.

“In a typical garden variety recession, which rhymes with higher unemployment, lower consumption spending, REITs tend to fare well given the long duration contractual leases that they have in place, the higher dividend income which is creating current income, and their values being tied to underlying physical asset bases,” Wilson said.

Elsewhere in the interview, Wilson reviewed public versus private real estate valuations, potential opportunities in market dislocation, global trends in REIT markets, the diversity benefits REITs offer, and more.