When it comes to choosing between mutual funds and real estate investment trusts (REITs), it all depends on an individual’s investment goals, risk tolerance, and personal preferences, according to Mr. Subhash Goel, MD of Goel Ganga Developments.
While mutual funds are more diversified, REITs offer higher returns, with research from the National Association of Real Estate Investment Trust showing an increase in returns from 16.5% in 2000 to 39.9% in 2021. However, mutual funds generate high returns over time due to the power of compounding. Ultimately, investors should consider their own circumstances when making investment decisions.
