Amid the ongoing boom in residential real estate, Armada ETF Advisors, LLC, in partnership with Tidal ETF Services, LLC (Tidal), launches the Home Appreciation U.S. REIT ETF (NYSE: HAUS).
The firm writes that the fund invests in publicly traded real estate investment trusts (REITs) that derive their revenue from ownership and/or management of residential properties.
The United States is experiencing a sustained, structural housing shortage aggravated in recent years by lack of building, creating short and long-term investment opportunities in residential housing, the firm says. Unlike other real estate ETFs that invest in stocks associated with real estate, the firm writes that HAUS allows investors access to REITs, which invest directly in residential real estate assets. REIT holdings must generate at least 75 per cent of its revenue from the following categories of prosperity: multifamily housing, manufactured housing, single-family rental housing, or senior housing.
“Real estate touches every investor, from young to old,” says David Auerbach, Managing Director of Armada ETF Advisors, LLC. “With inflation near record highs, a real estate allocation provides diversification to a traditional stock/bond portfolio. Through its underlying REIT investments, HAUS offers investors potential additional income benefits, including quarterly dividend payouts and potential appreciation.”
Armada ETF Advisors, LLC combines the expertise of the portfolio management team with a high-profile, sector-specific Advisory Board with experience across the residential housing market, publicly traded residential REITs and ETFs. The Advisory Board will help identify early trends, regional strengths and cycles to maximise the ETF’s core specialty.
“Real estate is personal. Having a roof over your head is something every person thinks and worries about,” says Justin Goldberg, CEO of Armada ETF Advisors, LLC. “While homeownership or the ability to invest in individual properties may be out of reach for many, our goal is to provide access to real estate through the flexible ETF wrapper.”