The table below shows the Nifty REITs & InvITs based on the Highest Market Capitalization.
Name | Market Cap (Cr) | Close Price (rs) |
EMBASSY OFFICE PARKS REIT | 32216.06 | 364.11 |
Nexus Select Trust | 20173.74 | 134.46 |
MINDSPACE BUSINESS PARKS REIT | 20155.50 | 338.40 |
POWERGRID Infrastructure Investment Trust | 11516.95 | 96.05 |
Brookfield India Real Estate Trust | 9717.19 | 265.83 |
INDIA GRID TRUST | 9591.90 | 133.49 |
IRB INVIT FUND | 3730.87 | 65.36 |
To know more about the Nifty REITs & InvITs, refer to: Nifty REITs & InvITs.
Content:
Nifty REITs & InvITs Meaning
Nifty REITs & InvITs index comprises Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs) listed on the NSE. It provides investors with exposure to income-generating real estate and infrastructure assets. These trusts distribute a significant portion of their earnings to shareholders.
REITs primarily invest in commercial real estate, earning rental income, while InvITs focus on infrastructure projects like roads and power transmission. Both offer regular income and diversification opportunities. Investing in REITs and InvITs can provide stable returns, similar to fixed-income assets, with the added potential for capital appreciation.
These trusts are regulated by SEBI, ensuring transparency and investor protection. They are mandated to distribute a large part of their earnings, making them attractive for income-seeking investors.
Features Of The Nifty REITs & InvITs
The main features of Nifty REITs & InvITs include high dividend yields, regulated structure, and diversified asset base. They offer a stable income stream and potential capital appreciation. The index is designed to track the performance of publicly listed REITs and InvITs in India.
- High Dividend Yields: Nifty REITs & InvITs typically offer attractive dividend yields, distributing most of their earnings to shareholders. This makes them a good choice for income-focused investors.
- Regulated Structure: These trusts are regulated by SEBI, ensuring compliance with stringent norms. This provides investors with transparency and protection, enhancing the credibility of the investment.
- Diversified Asset Base: Nifty REITs & InvITs invest in a range of real estate and infrastructure assets, spreading risk across multiple projects. This diversification can lead to more stable returns.
Nifty REITs & InvITs Weightage
The table below shows the Nifty REITs & InvITs Weightage based on the Highest Weights.
Company Name | Weight (%) |
EMBASSY OFFICE PARKS REIT | 33.12 |
Nexus Select Trust | 16.62 |
INDIA GRID TRUST | 11.5 |
POWERGRID Infrastructure Investment Trust | 10.16 |
MINDSPACE BUSINESS PARKS REIT | 10.01 |
Brookfield India Real Estate Trust | 8.93 |
Bharat Highways INVIT | 5.43 |
IRB INVIT FUND | 4.21 |
Nifty REITs & InvITs Index
The table below shows the Nifty REITs & InvITs Index based on the 1-year return.
Name | Close Price (rs) | 1Y Return (%) |
Nexus Select Trust | 134.46 | 25.68 |
EMBASSY OFFICE PARKS REIT | 364.11 | 21.53 |
MINDSPACE BUSINESS PARKS REIT | 338.40 | 10.73 |
Brookfield India Real Estate Trust | 265.83 | -0.78 |
INDIA GRID TRUST | 133.49 | -1.40 |
IRB INVIT FUND | 65.36 | -9.21 |
POWERGRID Infrastructure Investment Trust | 96.05 | -17.49 |
How To Buy Nifty REITs & InvITs?
To buy Nifty REITs & InvITs, open a brokerage account and place an order through your trading platform. Ensure you have sufficient funds in your account. Consult your financial advisor to understand the suitability of these investments in your portfolio.
First, research the available REITs and InvITs listed on the NSE. Evaluate their performance, dividend yields, and underlying assets. Use your brokerage platform to monitor market prices and place buy orders when you’re ready.
Finally, after purchasing, regularly review your investments. Monitor the performance of the REITs and InvITs, staying updated on any news or changes in the market that could affect their value. Consider reinvesting dividends to maximize returns.
Advantages of Nifty REITs & InvITs
The main advantages of investing in Nifty REITs & InvITs include high dividend income, diversification, and regulated structure. They offer exposure to real estate and infrastructure assets without direct ownership, providing liquidity and professional management.
- High Dividend Income: Nifty REITs & InvITs distribute a significant portion of their earnings as dividends, providing a steady income stream for investors. This makes them attractive for those seeking regular returns.
- Diversification: Investing in REITs and InvITs allows for diversification across various real estate and infrastructure projects. This spreads risk and can lead to more stable overall returns compared to single-asset investments.
- Regulated Structure: SEBI regulates these trusts, ensuring transparency and adherence to stringent norms. This regulatory oversight enhances investor confidence and protection, making them a reliable investment option.
Disadvantages of Nifty REITs & InvITs
The main disadvantages of investing in Nifty REITs & InvITs include market risk, interest rate sensitivity, and limited growth potential. These factors can impact returns and overall investment performance, requiring careful consideration by investors.
- Market Risk: Nifty REITs & InvITs are subject to market fluctuations, which can affect their value. Economic downturns or unfavorable market conditions can lead to lower returns and potential capital loss.
- Interest Rate Sensitivity: These investments are sensitive to interest rate changes. Rising interest rates can negatively impact REITs and InvITs, as higher borrowing costs can reduce their profitability and dividend payouts.
- Limited Growth Potential: While they offer stable income, Nifty REITs & InvITs may have limited capital appreciation compared to other equity investments. This makes them less suitable for investors seeking high growth potential.
Introduction to Top Nifty REITs & InvITs
Nexus Select Trust
The Market Cap of Nexus Select Trust is ₹20,173.74 crore. The monthly return is 0.98%, and the yearly return is 25.68%. The stock is 3.75% away from its 52-week high.
Nexus Select Trust, an urban consumption center real estate investment trust in India, manages a portfolio of 17 Grade A urban consumption centers spanning 14 cities. The portfolio includes approximately 9.2 million square feet of gross leasable area and two complementary hotel assets.
With over 1,044 domestic and international brands across 2,893 stores, Nexus Select Trust hosts over 130 million footfalls annually. The portfolio includes notable centers like Select Citywalk, Nexus Elante, and Nexus Seawoods.
Embassy Office Parks REIT
The Market Cap of Embassy Office Parks REIT is ₹32,216.06 crore. The monthly return is 4.40%, and the yearly return is 21.53%. The stock is 9.58% away from its 52-week high.
Embassy Office Parks REIT owns and operates a 45 million square feet portfolio, including nine office parks and four city center office buildings across Bengaluru, Mumbai, Pune, and NCR. Their properties host over 230 companies.
The portfolio includes commercial offices, hospitality, and other segments, with strategic amenities like business hotels and a 100 MW solar park. Key properties include Embassy Manyata, Embassy TechVillage, and Embassy 247.
Mindspace Business Parks REIT
The Market Cap of Mindspace Business Parks REIT is ₹20,155.50 crore. The monthly return is -1.70%, and the yearly return is 10.73%. The stock is 7.86% away from its 52-week high.
Mindspace Business Parks REIT owns an extensive office portfolio in India, covering Mumbai, Hyderabad, Pune, and Chennai. Their assets include Mindspace Airoli, Paradigm Mindspace Malad, and Commerzone Yerwada.
The company’s portfolio comprises five integrated business parks and five independent office buildings. The investment manager is K Raheja Corp Investment Managers Private Limited.
Brookfield India Real Estate Trust
The Market Cap of Brookfield India Real Estate Trust is ₹9,717.19 crore. The monthly return is 5.50%, and the yearly return is -0.78%. The stock is 2.32% away from its 52-week high.
Brookfield India Real Estate Trust is an institutionally managed REIT engaged in developing and maintaining commercial real estate in India. Their portfolio includes approximately 18.7 million square feet of Grade-A workspaces.
Their key assets include Candor TechSpace in Kolkata, Mumbai, Gurugram, and Noida. The investment manager is Brookprop Management Services Private Limited.
India Grid Trust
The Market Cap of India Grid Trust is ₹9,591.90 crore. The monthly return is -2.04%, and the yearly return is -1.40%. The stock is 6.60% away from its 52-week high.
India Grid Trust is an infrastructure investment trust in the power transmission sector. Their portfolio includes over 33 power projects across several Indian states, comprising operational and greenfield transmission projects.
The trust’s assets include Jabalpur Transmission Company, TN Solar Power Energy, and Purulia & Kharagpur Transmission Company. The investment manager is IndiGrid Investment Managers Limited.
IRB InvIT Fund
The Market Cap of IRB InvIT Fund is ₹3,730.87 crore. The monthly return is -2.08%, and the yearly return is -9.21%. The stock is 14.27% away from its 52-week high.
IRB InvIT Fund manages a portfolio of toll road concessions in Maharashtra, Rajasthan, Karnataka, Tamil Nadu, and Punjab. Key projects include Surat-Dahisar, Tumkur-Chitradurga, and Bharuch-Surat.
The trust operates through special-purpose vehicles for each road project. The investment manager is IRB Infrastructure Private Limited.
POWERGRID Infrastructure Investment Trust
The Market Cap of POWERGRID Infrastructure Investment Trust is ₹11,516.95 crore. The monthly return is -2.00%, and the yearly return is -17.49%. The stock is 24.21% away from its 52-week high.
POWERGRID Infrastructure Investment Trust manages five inter-state transmission system projects under the tariff-based Competitive Bidding mechanism. The portfolio includes 11 transmission lines and three substations.
Key assets include Vizag Transmission, POWERGRID Kala Amb, and POWERGRID Parli Transmission. The investment manager is POWERGRID Unchahar Transmission Limited.
Nifty REITs & InvITs – FAQs
REITs (Real Estate Investment Trusts) and InvITs (Infrastructure Investment Trusts) are investment vehicles that pool funds from investors to invest in real estate and infrastructure projects, respectively. They provide regular income through dividends and potential capital appreciation.
As of the latest update, the Nifty REITs & InvITs index comprises multiple companies, but the exact number may vary. It is essential to check the most recent data from NSE or a reliable financial source for the current list of companies.
Highest Weightage In Nifty REITs & InvITs # 1: EMBASSY OFFICE PARKS REIT
Highest Weightage In Nifty REITs & InvITs # 2: Nexus Select Trust
Highest Weightage In Nifty REITs & InvITs # 3: INDIA GRID TRUST
Highest Weightage In Nifty REITs & InvITs # 4: POWERGRID Infrastructure Investment Trust
Highest Weightage In Nifty REITs & InvITs # 5: MINDSPACE BUSINESS PARKS REIT
The top 5 stocks are based on Highest Weightage.
Investing in Nifty REITs & InvITs can be beneficial due to their potential for regular income, diversification, and exposure to real estate and infrastructure sectors. However, like any investment, they come with risks and should be evaluated based on individual financial goals.
To buy Nifty REITs & InvITs, open a brokerage account, fund it, and use the platform to purchase listed REITs and InvITs. Research each investment, consider consulting a financial advisor and monitor the performance regularly to make informed decisions.
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Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.