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CFA Level 3
Alternative Investments

Benefits of Investing in REITs

Easy Real Estate Investment Reits

Mark is a financial analyst who is exploring investment opportunities in real estate. He has come across Real Estate Investment Trusts (REITs) as an investment vehicle. Mark wants to understand the benefits of investing in REITs, particularly how they align with the principles of diversification and liquidity compared to direct real estate investments.

Which of the following statements best describes a key advantage of investing in REITs over direct real estate investments?

Hint

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