REITs posted robust returns in the second quarter, with the FTSE Nareit All Equity REITs Index delivering a total return of 12.0%, bringing the year-to-date return to 21.3%. Broader markets also had positive returns but lagged REITs, with an 8.5% return on the Russell 1000 in the second quarter, and 15.0% for the first half of the year.
Self storage REITs were the top performing sector both in the second quarter and also in the first half of the year, with a total return of 23.6% and 36.4%, respectively. Other sectors with returns exceeding 20% so far in 2021 include retail, specialty, residential, and infrastructure.
mREITs were mixed in the second quarter, with a 5.7% return for home financing mREITs but a negative 1.8% return for commercial financing mREITs. Both mREIT sectors had strong results year-to-date, however, with total returns of 17.0% and 23.3%, respectively.
