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FTSE NAREIT Dividend Yield

Real estate investment trusts are required to pay out much of their income as dividends. Since this is the case, there is no need for ratios such as price to earnings because the dividend yield is representative of earnings power. However, the plain trailing twelve month dividend yield is not necessarily the best indicator of valuations due to the cyclical nature of the dividend payments. We prefer to use the 10 year inflation adjusted dividend yield, which is calculated similarly to the 10 year inflation adjusted p/e ratio.

Max   20 Yr   10 Yr    5 Yr
Historical Dividend Yield of Real Estate Investment Trusts Index Log Chart Source: National Association of Real Estate Investment Trusts