Cointegration of Real Estate Stocks and Reits with Common Stocks, Bonds and Consumer Price Inflation - an International Comparison

This study provides evidence on the investment performance of real estate relative to bonds and common stocks in the U.S. Using quarterly total return data over the years 1978-2012, the analyses show that, over this period, on a risk-adjusted basis real estate was the top performing asset class, outperformed both bonds and stocks. Real estate, in the Eastern U.S., was the top performer, outperforming both bonds and stocks. The results also show that real estate provided a partial hedge against actual and expected inflation, and that, in combinations with bonds and stocks, it made up a major share of optimal portfolios constructed for various target returns within the Markowitz optimization framework

Download Full-text

German Real Estate Returns in International Comparison

Understanding German Real Estate Markets ◽

10.1007/978-3-642-23611-2_24 ◽

2011 ◽

pp. 363-372

Author(s):

Daniel Piazolo

Keyword(s):

Real Estate ◽

International Comparison ◽

Real Estate Returns

Download Full-text

An Analysis of the Relationship between Inflation and Gold Prices: Evidence from Pakistan

THE LAHORE JOURNAL OF ECONOMICS ◽

10.35536/lje.2013.v18.i2.a1 ◽

2013 ◽

Vol 18 (2) ◽

pp. 1-35 ◽

Cited By ~ 3

Author(s):

Saira Tufail ◽

Sadia Batool

Keyword(s):

Real Estate ◽

Stock Prices ◽

Foreign Currency ◽

Stock Exchange ◽

Asset Price ◽

Price Inflation ◽

Dual Nature ◽

The Government ◽

The Relationship ◽

Unexpected Inflation

In this study, we formulate a new inflation equation to capture the potential effects of gold and stock prices on inflation in Pakistan. We aim to assess the inflation-hedging properties of gold compared to other assets such as real estate, stock exchange securities, and foreign currency holdings. Applying time-series econometric techniques (cointegration and vector error correction models) to data for 1960–2010, we find that gold is a potential determinant of inflation in Pakistan. On the other hand, it also provides a complete hedge against unexpected inflation. Real estate assets are more than a complete hedge against expected inflation, although stock exchange securities outperform gold and real estate as a hedge against unexpected inflation. Foreign currency proves to be an insignificant hedge against inflation. Given the dual nature of the relationship between gold and inflation, it is increasingly important for the government to monitor and regulate the gold market in Pakistan. Moreover, stock market investment should be encouraged by the government given that asset price inflation does not pose a critical problem for Pakistan as yet.

Download Full-text

Money Laundering in Real Estate (RE)

Money Laundering and Terrorism Financing in Global Financial Systems - Advances in Finance, Accounting, and Economics ◽

10.4018/978-1-7998-8758-4.ch003 ◽

2021 ◽

pp. 53-90 ◽

Cited By ~ 2

Author(s):

Mark Lokanan ◽

Gaurav Chopra

Keyword(s):

Real Estate ◽

Money Laundering ◽

Law And Order ◽

Property Market ◽

Economic Sectors ◽

Price Inflation ◽

The Real Estate ◽

The Government ◽

Using Data ◽

The Stability

Money laundering is a defiance of law and order within the real estate (RE) sector in Canada. Laundering of illicit funds impacts the stability, reliability, and integrity of the government, financial institutions, and the economic sectors. Due to its mysterious nature, there are more unknowns about the quantum of snow washing in the property market or its effects on price inflation. Using data from the Cullen Commission about money laundering in Canada, this chapter is an effort to examine the nuances that law enforcement encounters while investigating illegal investment operations. This chapter illuminates a broad range of problems around the investigations of unlawful investments and recommends pragmatic solutions to the illicit flow of money in RE sector of Canada.

Download Full-text