Industrial real estate investment trusts (REITs) own portfolios of industrial buildings, which they lease or sell for profit – profit which is passed on to shareholders in the form of dividends.
Real estate is about location and property quality. Some companies focus only on the best of both and others take on more risk by investing lower down on each.
Prologis Inc (NYSE:PLD) was in 15 hedge funds' portfolio at the end of December. PLD investors should be aware of a decrease in activity from the world's largest hedge funds in recent months.