Columbia Threadneedle Investments has launched the Columbia Research Enhanced Real Estate ETF (CRED), providing investors with a cost-effective way to access the real estate sector through a research-driven, modified market cap-weighted approach. The ETF tracks the Beta Advantage Lionstone Research Enhanced REIT Index, which consists of 70-90 REITs across eight sectors and is designed to outperform the FTSE Nareit All Equity REITs Index. Weighting emphasizes income and geographic opportunity, addressing financial advisors’ top three reasons for allocating to real estate according to recent survey results from Columbia Threadneedle Investments.
Marc Zeitoun, Head of Strategic Beta at Columbia Threadneedle commented: “Real estate has long been an important component in portfolio diversification strategies and there are many ways available for investors or allocators looking to access this asset class across various levels of liquidity. With CRED we offer them a differentiated yet research driven method that can help improve their benchmark exposures when it comes to investing in real estate.”
