A Multivariate Analysis of REIT Characteristics on Risk-Adjusted Return

This paper analyzes the relationship of individual financial characteristics on overall real estate investment trust (REIT) performance. Although the functionality of REITs can be quite complex, this study and its results aim to identify which factors have significant influence on returns. Risk-adju...

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Main Author: Adams, Peter
Format: Dissertation (University of Nottingham only)
Language:English
English
English
Published: 2017
Subjects:
Online Access:https://eprints.nottingham.ac.uk/46122/
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author Adams, Peter
author_facet Adams, Peter
author_sort Adams, Peter
building Nottingham Research Data Repository
collection Online Access
description This paper analyzes the relationship of individual financial characteristics on overall real estate investment trust (REIT) performance. Although the functionality of REITs can be quite complex, this study and its results aim to identify which factors have significant influence on returns. Risk-adjusted return, represented by an individual security’s annualized Sharpe Ratio was regressed against several independent financial factors using multiple econometric regression models including ordinary least squares, fixed effects and general method of moments. The results from these three models add confidence to the beta coefficients associated with each individual factor and help shape a broader and more complete analysis of causality. Additionally, the model in this paper includes a binary variable to represent the period of 2008-2009 in an attempt to quantify the immediate negative effects the global financial crisis had on REIT returns. Ultimately, this model suggests dividend yield, interest coverage, value, and investment growth may have significant impact on risk-adjust return.
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format Dissertation (University of Nottingham only)
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institution University of Nottingham Malaysia Campus
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language English
English
English
last_indexed 2025-11-14T20:01:06Z
publishDate 2017
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spelling nottingham-461222018-04-17T15:11:42Z https://eprints.nottingham.ac.uk/46122/ A Multivariate Analysis of REIT Characteristics on Risk-Adjusted Return Adams, Peter This paper analyzes the relationship of individual financial characteristics on overall real estate investment trust (REIT) performance. Although the functionality of REITs can be quite complex, this study and its results aim to identify which factors have significant influence on returns. Risk-adjusted return, represented by an individual security’s annualized Sharpe Ratio was regressed against several independent financial factors using multiple econometric regression models including ordinary least squares, fixed effects and general method of moments. The results from these three models add confidence to the beta coefficients associated with each individual factor and help shape a broader and more complete analysis of causality. Additionally, the model in this paper includes a binary variable to represent the period of 2008-2009 in an attempt to quantify the immediate negative effects the global financial crisis had on REIT returns. Ultimately, this model suggests dividend yield, interest coverage, value, and investment growth may have significant impact on risk-adjust return. 2017-09-13 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/46122/1/Final%20Version%20REIT%20Dissertation%20Online%20Submission.pdf application/pdf en https://eprints.nottingham.ac.uk/46122/2/UPDATED%20FINAL%20MASTER%20DATA%20LIST%20COMPUSTAT%202003-2016.xlsx text/plain en https://eprints.nottingham.ac.uk/46122/3/REIT%20DO%20FILE.do Adams, Peter (2017) A Multivariate Analysis of REIT Characteristics on Risk-Adjusted Return. [Dissertation (University of Nottingham only)] REIT Investment Real Estate Finance
spellingShingle REIT
Investment
Real Estate Finance
Adams, Peter
A Multivariate Analysis of REIT Characteristics on Risk-Adjusted Return
title A Multivariate Analysis of REIT Characteristics on Risk-Adjusted Return
title_full A Multivariate Analysis of REIT Characteristics on Risk-Adjusted Return
title_fullStr A Multivariate Analysis of REIT Characteristics on Risk-Adjusted Return
title_full_unstemmed A Multivariate Analysis of REIT Characteristics on Risk-Adjusted Return
title_short A Multivariate Analysis of REIT Characteristics on Risk-Adjusted Return
title_sort multivariate analysis of reit characteristics on risk-adjusted return
topic REIT
Investment
Real Estate Finance
url https://eprints.nottingham.ac.uk/46122/