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SIE: Investment Companies & Packaged Products
SIE practice questionmediumREITs

Which is NOT a feature of most publicly traded REITs?

  1. ADiversification across real estate assets
  2. BLiquidity through exchange trading
  3. CA fixed rate of return✓ Correct answer
  4. D90% income distribution requirement
Explanation

Why CA fixed rate of return

REIT dividends are not fixed and can fluctuate. REITs trade on exchanges, offer asset diversification, and must distribute at least 90% of taxable income.

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