RQI - RFI: Similar Yield To Other Cohen & Steers REIT CEFs Yet At Lower Risk

2024-04-21 06:48:19 ET

Summary

• Cohen & Steers Total Return Realty is a real estate focused closed end fund managed by Cohen & Steers.
• The fund invests in real estate securities, with a focus on equity REITs, as well as preferred shares and fixed income securities.
• The fund has a strong allocation towards high quality REITs and is well-diversified across different sectors.
• While at its core RFI is similar to other well-known Cohen & Steers CEFs, RFI does not carry an external leverage component in its books. This clearly de-risks RFI's profile, rendering the dividend more sustainable.
• In this article I elaborate on why I consider RFI a clear buy as opposed to RNP, which I downgraded earlier this month.

Cohen & Steers Total Return Realty (RFI) is one of the oldest real estate focused closed end funds, which is managed by the Cohen & Steers group. At its core, RFI seeks to deliver strong total returns by investing in various real estate securities, with a clear focus on equity REITs. Besides the investments in REITs, RFI has circa 19% of its asset base placed in preferred shares and fixed income securities that nicely enhance the yield profile of this CEF....

For further details see: