NEWS AND UPDATES
REIT Total Return Portfolio Update: 10-year Anniversary
10 years ago, we set out to prove that active management can outperform passive investing. On 7/1/16, we commenced trading in the REIT Total Return (RTR) portfolio with a goal to maximize total return and beat the REIT index. Academic institutions have drilled...
Market Commentary | July 20, 2026
Forecasting Future Growth
The broader stock market performed well in the first six months of 2026. More importantly, for the first time in a long time, REITs (VNQ) delivered in equal measure with the NASDAQ Composite, S&P 500, and the Dow Jones Industrial.
The State of REITs: July 2026 Edition
REITs are now on a 3-month winning streak, adding another +3.08% average return in June and reaching a +13.66% total return over the first half of 2026.
The State of REITs: June 2026 Edition
REITs built upon a very strong April performance with another +2.53% average return in May and now have a +9.33% year-to-date total return. Small cap REITs (+4.28%) led again in May, with both mid caps (+4.28%) and large caps (+0.72%) also in the black. Micro caps...
Market Commentary | June 16, 2026
Portfolio Shuffle For more than 3 years, we have forecast that shopping center REITs are poised for outperformance. Well, like the broken clock that’s always right twice a day, this year our prognostication came true and stuck. After six consecutive quarters of strong...
Using Pareto Upgrades to Grow Yield on Invested Capital
In less than 2 years, yield on invested capital in our Baseline + accounts has increased from 8.55% to 11.33%. A large portion of this increase came from Pareto upgrades. What is a Pareto upgrade? Pareto superiority is an economic concept in which one choice is...
Market Commentary | May 20, 2026
Higher for Longer
The direction of interest rates has, for an extended time, played a significant role in discussions of economics and investment. Here is where we stood this morning.
The State of REITs: May 2026 Edition
The REIT sector roared back into positive territory after a very brutal March. REITs averaged a remarkable 8.9% April gain and now have a +6.31% year-to-date total return. Small cap REITs (+11.35%) soared in April as large caps (+9.05%) and mid caps (+8.13%) also saw...
Suitable Investors
If you were to ask, “Who is the ideal client for 2nd Market Capital Advisory?”, our immediate answer would be, “Anyone”. After all, we have long held that REITs TOUCH EVERY ECONOMIC SECTOR, and we know REITs well. Attempting to be less glib, we will, from time to...
The State of REITs: April 2026 Edition
Despite strong January and February gains, the REIT sector plunged into negative year-to-date territory (-2.22%) by quarter end as REITs aggressively sold off during a rough March (-7.52%). Small cap REITs (-5.65%) saw the least severe average negative returns in...