How to trade or invest in REITs
Before trading or investing in any REIT, it’s important to do your research. Make sure you understand the limitations and risks involved with REIT investing, and decide whether you would rather trade or invest directly in REIT stocks and shares, or pool your money in an ETF, which offers access to a range of funds within one position.
- Choose whether to trade or invest
- Create an account or log in
- Take steps to manage your risk
- Open and monitor your position
Since spread bets and CFDs are leveraged, it’s important that you take steps to manage your risk because leverage can increase both your profits and your losses.
Learn more about the impact of leverage on your trading
Investing in REITS is different to trading because when you invest, you’re taking direct ownership rather than just speculating on share prices. Leverage isn’t available for investments, so you’ll need to commit the full value of the position upfront. While this can increase your initial outlay, it also caps your risk.
With us, you can invest from £3 commission on UK shares, if you’ve opened three or more positions on your share dealing account in the previous month. Remember that investments can fall in value as well as rise, so you may receive less back than you initially invested.