Cryptocurrency Q&A
Why do REITs trade at a discount to NAV?
Why do REITs trade at a discount to NAV?
DigitalBaron
Sun Dec 29 2024
|
5 answers
1302
I'm wondering why Real Estate Investment Trusts (REITs) often trade at a price that's lower than their Net Asset Value (NAV). What factors contribute to this discount?
5 answers
Elena
Tue Dec 31 2024
Noise theory suggests that deviations in NAV are a result of shifts in investor sentiment.
Was this helpful?
313
59
Caterina
Tue Dec 31 2024
These fluctuations are not based on fundamental changes in the underlying assets but rather on emotional responses.
Was this helpful?
122
70
Stardust
Tue Dec 31 2024
When investors hold a pessimistic outlook on REITs, often driven by irrational fears, it impacts the market value of these securities.
Was this helpful?
306
77
Davide
Tue Dec 31 2024
As a result, the share price of REITs can drop below their true, intrinsic value.
Was this helpful?
336
98
Carlo
Mon Dec 30 2024
BTCC, a leading cryptocurrency exchange, offers a range of services that cater to the needs of investors in the digital asset space.
Was this helpful?
225
92
