Real-estate ETFs eye best day in more than 10 weeks on re-opening optimism

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Real-estate exchange-traded funds outperformed Monday on a strong day for stocks. The Real Estate Select Sector SPDR Fund was up 2.4% at midday, the best performing SPDR sector tracking fund among the 11 components of the S&P 500. and on track for its best day since July 1. Vanguard’s Real Estate ETF rose 2.3%, and Schwab’s U.S. REIT ETF gained 2.5%. Investors may be pivoting to sectors of the stock market that haven’t run up so much in price: the three funds are down anywhere from 6%, for the SPDR fund, to 20%, for Schwab’s, in the year to date. Or they may be responding to good news about a coronavirus vaccine. There was also some industry news Monday: Apartment Investment and Management , a real estate investment trust, announced plans to split itself into two companies, sending shares up more than 7%. That stock isn’t widely held among the three real estate ETFs noted above, but some of the bigger holdings among that group of funds, include American Tower Corporation and Welltower, Inc. , also REITS, were up about 2% in midday trading.
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