A large part of evaluating REITs and business trusts is to look at their dividend yields relative to their peers as well as the past trends. We will look at an update of the REITs and business trusts latest dividend yields.

SREIT and Business Trust Fundamentals 24th Aug 2014

  Looking at the above chart, it is quite apparent that business trusts in general have much higher dividend yields than SREITs. Does that mean they are better? Not really, business trusts are different from SREITs in terms of the structure, see Differences Between REITs and Business Trusts. REIT rental income generally tends to be quite stable especially for retail and healthcare. Business Trusts however, depends on the assets which can vary widely from ships to utilities, ports and so on. Another trend which you would notice is that some business trusts tend to have very high leverage as well. ......