10 Worst-Performing Industries in 2024

8. Mortgage REITs

iShares Mortgage Real Estate (REM): -3.52%

Mortgage REIT industry is the one industry in the broader real estate segment of the US that has been hit the hardest by high interest rates. That is because other than investor capital, borrowing is what Mortgage REITs rely heavily on to buy mortgage-backed securities. The Mortgage Real Estate ETF (REM) by Blackrock is down 3.5% YTD.

However, with a 50 basis-points rate cut in September and more rate cuts to come, Mortgage REITs industry is expected to get the much-needed boost.