REIT is the abbreviation for Real Estate Investment Trust, and originated in the U.S. in 1960. REITs are companies that own or finance income-producing real estate in a range of property sectors. REITs allow anyone to invest in portfolios of real estate assets the same way that he or she invests in other industries – purchasing individual company stocks, mutual funds, or exchange traded funds (ETF). The stockholders of a REIT earn shares of income produced by real estate investments, but no need to directly manage, acquire, or finance the real properties. Besides, under certain rules with regard to shareholder structures, assets and income tests as well the dividends payout requirements, REITs do not need to pay Federal income taxes. Nowadays, over 30 countries have developed REITs. There are more than 230 REITs traded on the stock exchanges in the U.S., making the U.S. the biggest REIT market in the world. In recent years, with the growth of institutional investors and of commercial real estate investments, China has also conducted a lot of explorations in asset securitizations. The launch of REITs in China is just around the corner.
Global REIT Investment Challenge is initiated by several prestigious universities who are actively involved in research related to real estate finance. Organized by Asian Real Estate Research Institute (ARERI), the challenge Aims to promote the knowledge of commercial real estate management and investment, to study the real estate investment strategies, and to facilitate asset securitization and industrial development for REITs. The challenge also serves as a way of training the future industry leaders, providing network opportunities for young talents interested in asset management industry.
This competition will be assessing on the combination use of Internet investment simulation and industry research – case study. Sponsors of the 2019-2020 Global REIT Investment Challenge include Asian Real Estate Research Institute, S&P Global Market Intelligence, Singapore Exchange, EquitySim, etc.