Part 3/9:
For investors willing to accept a bit more risk, Real Estate Investment Trusts (REITs) are currently yielding around 5% on average. However, it’s crucial to recognize the sensitivity of REITs to interest rate movements; if rates increase—as they did in 2022—REIT prices could decline. To mitigate this risk, investors should focus on high-quality REITs with strong fundamentals and investment-grade credit ratings, which tend to offer more resilience during market fluctuations.