In a perfect investment world, all real estate investment trust (REIT) stocks would never lose 30% or more of their value, would pay safe and stable high-yielding dividends with no cuts and their funds from operations would easily cover the dividends each quarter.
But 2020 is far from the perfect investment world, and REIT stocks are among the worst-performing stocks this year. Inflation, followed by multiple interest rate hikes and fears of a deep recession, has slashed the prices of almost all REITS, culminating in highly inflated dividend yields.
