Today, Cohen & Steers Quality Income Realty Fund (RQI) and Cohen & Steers Total Return Realty Fund (RFI) offer yields of 8.1% and 8.3% respectively. Both funds focus on real estate investment trusts (REITs) and have similar holdings, including Welltower (WELL) and American Tower (AMT). Their average total NAV returns over 24 years stand at 8.8% per year, indicating sustainable payouts.
Currently, RQI trades at a 0.9% discount to net asset value (NAV), while RFI is at a 1% premium. Historical trends suggest RFI may rebound, offering potential gains as interest rates decrease, which would also benefit REITs’ borrowing costs. This positions RFI as the favorable option for investors seeking both dividends and capital appreciation.
