Q: Those ETF are at the same share price as 18 yrs ago...,could they still go much lower or is it a good entry point at this level ?
5i Research Answer:
While their unit prices have been flat for over a decade, XRE has a close to 8% CAGR over the past 22 years when including its distributions. This CAGR was close to 10% at the price peaks of 2020 and 2022. We feel that price could continue to go lower, especially as the broader TSX market moves lower, but with rates declining, this is one of the sectors that could benefit the most. For investors with a long-term timeframe, we would be comfortable slowly accumulating here, while acknowledging that it could drift lower in the intermediate-term.
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in ZRE.