Real estate investment trusts (REITs) are considered profitable investments during inflationary periods because of their ability to increase their rents. Also, the prices of properties that REITs hold usually rise amid an inflationary environment.
According to the Center for Financial Research and Analysis’ (CFRA) chief equity strategist Sam Stovall, REITs are “a strong inflation hedge, with sub-industries that issue short-term leases able to adjust quickly to rising prices.”
