New Delhi: Emerging investment instruments -- REITs and InvITs --seem to be finally catching on with investors as mutual funds have invested nearly Rs 9,000 crore in such units in the first nine months of the year.
Fund managers have infused Rs 451 crore in real estate investment trusts (REITs) and Rs 8,528 crore in infrastructure investment trusts (InvITs), according to the Securities and Exchange Board of India (Sebi).
Mutual funds have increased their exposure in these investment avenues over the past nine months.
The investment by fund houses in REITs jumped to a staggering Rs 69 crore in September from a mere Rs 7 crore in January, while the same in InvITs rose to Rs 1,034 crore in September from Rs 611 crore in January.
Market experts believe that REITs could be a potential investment option giving good returns as interest of investors in the residential segment is declining due to inability to monetise assets and limited appreciation in property prices.
They further said that investment in InvITs may pick up in the coming month as recently the Reserve Bank allowed banks to lend to InvITs.
Recently, Sebi Chairman Ajay Tyagi, who met scores of foreign investors in the US, witnessed a keen interest among them for REITs and InvITs.
