Originally posted by @Kon Zel:
Originally posted by @Matt Ward:
@Jesse M. You may want to look into REITS... stock price doesn’t fluctuate much and they’ll pay a good dividend, and it’s liquid. Within REITS you can decide how risky you want to be as well. Just another option.
To say that REITs are liquid and price doesn't fluctuate is a joke. They trade based on their NAV which can move with real estate prices and/or rates. As an investment, they're a good arrow in your quiver but its an investment, not a cash holding. There is definitely risk associated with holding them.
Not to pick on you Matt, but this is one of my biggest pet peeves. People ask for short term holding (cash) recommendations and people chime in with syndicated loan funds, REITs, etc. Literally anything else but actual cash holdings. Yeah, we're in a benign credit environment and defaults are near historic lows. Doesn't mean its time to treat investments that may lose value as cash.
I didn’t say they don’t fluctuate - I said they don’t fluctuate much, which as a broad generalization is true compared to other securities. Obviously they are not as liquid as cash, but as I mentioned it is an option that has a better return than cash holdings, and you can dispose of your shares any time you want (vs a syndication - which you mentioned, not me). If you want to extrapolate something from peoples post here to fit your agenda or create a narrative to discuss your pet peeves, do it with someone else.
