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Sailing Through the Storm: REITs and the S&P 500 Amid the 2008 Financial Crisis Greetings, ProsperousPounds readers! Today we're embarking on a historical journey, one that takes us back to the heart of the 2008-2009 financial crash - or for Millennials the "once in a lifetime event" that we seem to have experienced annually. Our mission? To assess the stock market prices from the start of 2008 to the end of 2009, enabling us to gauge the extent of the damage that this financial calamity unleashed on UK Real Estate Investment Trusts (REITs) and the S&P 500, as well as to understand their recovery trajectory. Read on to discover REITs performance during a recession and find the 2 REITs we analysed that beat the wider market! Across the Atlantic: S&P 500 SPY ETF First on our journey is the well-known S&P 500 SPY ETF, an embodiment of the performance of 500 largest companies listed on the US stock exchanges. This benchmark recorded a decline of -20.49% over the two-year period, illustrating the depth of the crisis. The market tremors began in late 2007 and the situation worsened into 2008, climaxing with the collapse of Lehman Brothers in September 2008, which unleashed a sharp descent in stock prices. The power of American resilience was soon on display. The US federal government across the Bush/Obama eras introduced a significant stimulus package, the Federal Reserve took aggressive measures, and as a result, the recovery wheels were set in motion. Nonetheless, as we closed the chapter on 2009, the S&P 500 was still grappling to regain lost ground, ending this tumultuous period with a substantial net loss. As always there is always a silver lining - if you had the cash on hand it was a great time to buy in for long term S&P 500 investors. UK's REITs: Navigating Troubled Waters Bringing our attention back home, we delve into how some UK REITs fared during this storm. SEGRO, currently the largest UK-based REIT by market cap - known for owning and managing modern warehouses and light industrial properties, found itself in the eye of the storm. As the crisis tightened its grip, SEGRO's portfolio was severely hit, resulting in a drastic -58.20% plunge in value. Two other homegrown REIT giants, Land Securities Group and British Land, also faced the wrath of the crisis. Land Securities Group, a major player in commercial property development and investment, saw a shrinkage in value by -49.27%. British Land, with its portfolio predominantly in retail and office spaces, suffered a decrease of -38.57%. The severe downturn for these REITs can be traced back to their considerable exposure to retail and office space sectors that were severely impacted by the crisis. The Dark Horses: Derwent London and Big Yellow Group Amidst the chaos, however, were a few who defied the trend - beating the S&P 500, a tough task. Derwent London, a REIT known for its London-centric and design-led property development, managed a modest increase in value of 0.69%. Their resilience amidst the storm can be attributed to their discerning portfolio selection and tenant base. Similarly, Big Yellow Group, a self-storage company, also proved its mettle during the crisis. With a relatively mild decline of -11.14%, it weathered the storm better than most. Interestingly, as businesses downsized and individuals faced financial stress through repossessions, the demand for storage space actually increased, serving as a cushion for Big Yellow Group against the recession's worst impacts. Lessons from the Past, Strategy for the Future The rollercoaster journey from 2008 to 2009 and the long recovery after served as a stark reminder of the cyclicality of the global economy. The financial storm taught investors who had become used to the good times about the critical importance of portfolio diversification and measured risk management. The varied performances of these REITs and the S&P 500 highlight the differential effects of a financial crisis across sectors and regions. While some, like SEGRO and Land Securities Group, bore the brunt, others like Derwent London and Big Yellow Group demonstrated admirable resilience. Such divergence underscores the need for a well-balanced portfolio and a thorough understanding of market dynamics. In the high-stakes game of investments, change is the only constant. As we extract lessons from the past, we're better equipped to chart a more informed path for the future. As we conclude this trip down memory lane, we're reminded of the timeless wisdom of Warren Buffett, "Be fearful when others are greedy and be greedy when others are fearful." Amid the unpredictable tides of market dynamics, these words resonate louder than ever. Stay tuned to ProsperousPounds for more insightful deep-dives into the world of finance, investments, and economic history! Disclaimer: The content provided in this blog post is intended solely for informational purposes. It is not designed to offer financial advice or a definitive guidance on investment strategy. While every effort has been made to ensure the accuracy of the data and information mentioned, ProsperousPounds does not guarantee its correctness or predict future market trends. Investments involve risk, including potential loss of principal. The historical performance of the companies or investment vehicles mentioned does not guarantee future returns. Readers are advised to conduct their own comprehensive research or seek advice from a certified financial adviser before making any investment decisions. The opinions expressed in this post are the author's own and do not reflect the view of ProsperousPounds or any of its affiliates. ProsperousPounds does not endorse any companies or investments mentioned in the post. Always remember that investing in securities involves the risk of loss, and you should only invest money that you are prepared to lose.

Top 20 UK REITs for you: July 2023 In this post, we delve into the world of Real Estate Investment Trusts (REITs),unravelling a top 20 list of the most prominent REITs in the UK for 2023. We shine a spotlight on each entity's unique portfolio, strategic approaches, and market distinction. Offering a deeper understanding of the dynamic property market, we hope this piece ignites your interest and fuels informed decisions. If you are new to REITs, why not try our 101 guide here? Stay tuned as we explore the UK's REIT landscape in-depth. An overview of the market We have picked the top 20 REITs (by market cap) listed on the UKs FTSE 100 and FTSE 250 exchanges as the basis for our analysis. We believe the blue chip prestige and scale of these companies are your best bets for REIT investments. Our information is taken from July 2023. Together these 20 REITs have a combined market cap of £46.2 billion - which may sound a lot but for comparison purposes is only roughly 2.4% of the total FTSE 100 market cap. Our smallest REIT assessed was Urban Logistics with a market cap of £589m and the largest Segro over 16 times the size with a £9.6bn market cap. We have analysed the total market cap of these 20 REITS in the graph below - the top 5 players make up over 50% of this, something worth noting if looking to diversify your risk. What do these REITs do? Most of the REITs we looked at own a vast number of properties, often across a variety of uses. We have tried to place them in broad buckets overall, coming up with 7 categories Commercial, making up 30.8% of the market cap of the top 20 REITs analysed, has 7 REITs. A prime example of a company in this sector is Land Securities Group PLC, which owns the iconic 20 Fenchurch Street (also known as the "Walkie Talkie"), a distinctive commercial skyscraper in London. Industrial, contributing 26.7% to the market cap of the top 20 REITs analysed, has 4 REITs. SEGRO PLC exemplifies this sector with its significant asset, The Slough Trading Estate in Slough, one of Europe's largest business parks. Residential (Student Accommodations), contributing 7.0% to the market cap of the top 20 REITs analysed, is represented by one company, Unite Group PLC. One of their notable properties is Sky Plaza in Leeds, one of the tallest student accommodation buildings in the world. Retail, making up 20.2% of the market cap of the top 20 REITs analysed, includes 5 REITs. Healthcare, contributing 5.1% to the market cap of the top 20 REITs analysed, includes 2 REITs. Self-Storage, making up 7.2% of the market cap of the top 20 REITs analysed, is represented by 2 REITs. Big Yellow Group PLC operates in this sector and is renowned for its flagship self-storage building in Kennington, London. Diversified Portfolio, contributing 3.0% to the market cap of the top 20 REITs analysed, is represented by a single REIT, LXI REIT PLC. This company has a broad range of properties, including a Prezzo restaurant in Newquay and a Travelodge in Thrapston, illustrating the diversity of its holdings - maybe one to add if you are looking on a diversification pathway. Top 3 reasons to invest in REITs Before we dive into the detail, lets quickly explore some key reasosn you may want to add REITs to your invetsment protflio; High Dividend Yields: UK-based REITs provide impressive dividend yields. REITS are legally required to distribute at least 90% of their profits to shareholders, they offer a consistent income stream, especially appealing in times of economic uncertainty. Diversification: Investing in a UK-based REIT gives exposure to the property market, diversifying an investor's portfolio - as real estate often performs differently to stocks. REITs spread risk across various property types such as commercial, industrial, and residential real estate. Liquidity and Accessibility: REITs, traded on major stock exchanges, are highly liquid and easily accessible to all investor types - indeed some of the REITs in this analysis trade for less than £1 a share. This brings the property market within reach of many, offering flexibility that direct property investments often lack. If you need your money you easily sell your shares within minutes, unlike investing directly into a Buy To let. The top 20 UK REITS listed; So lets get to business, what are the top 20 UK REITs we think could make a good addition to an investment portfolio in 2023? SEGRO PLC Market Cap: £9,674.38 million, Share Price: 785.4p. Starting with SEGRO - the largest REIT in our list, who specialise in the ownership, management, and development of modern warehousing and light industrial properties throughout Europe. LAND SECURITIES GROUP PLC Market Cap: £4,907.57 million, Share Price: 658.8p. Secondly we have Land Securities who are the UK's largest commercial property development and investment company, with a portfolio of diverse high-quality offices and retail assets. They boast an impressive dividend yield of 5.86% at the time of writing. UNITE GROUP PLC Market Cap: £3,850.13 million, Share Price: 955.5p. Unite Group specializes in student accommodation across key university towns and cities in the UK. Lets dive in a bit more here, for what I think is the most interesting REIT in the UK right now. Unite Group own 157 student properties across 23 cities in England, Scotland and Wales. Unite continues to invest in its operation opening Hayloft Point in central London for the start of the 2022/23 academic year - a flagship £190m building for over 900 students. Unite are looking to the future and are actively buying well-located development sites in Bath, Bristol, Durham, Edinburgh, Glasgow (west end), London and Nottingham. Unite Group provides you with a passive mechanism to invest in the student property boom without the hassle of property management and dealing with the fallout of student house parties yourself. With 2.86 million students at UK higher education institutions, surely this is a market here to stay. BRITISH LAND CO PLC Market Cap: £3,253.13 million, Share Price: 345.9p. British Land Company is a leading property development and investment company with a diverse portfolio that includes retail parks, superstores, shopping centres, and premium office buildings. TRITAX BIG BOX REIT PLC Market Cap: £2,621.96 million, Share Price: 141p. Tritax Big Box is a REIT focused on investing in and managing very large, modern, and efficient logistics facilities in the UK. Tritax Big Box are an interesting case study, having experienced a surge in their share price in the years following the outbreak of Covid - influenced by the demand for the companies they support, including Amazon. However, their share price has fallen since a high in April 2022 - maybe now s a good time to buy back in? DERWENT LONDON PLC Market Cap: £2,537.77 million, Share Price: 2,228.00p. Derwent London owns a portfolio of commercial real estate predominantly in central London. They are known for their design-led approach. SHAFTESBURY CAPITAL PLC Market Cap: £2,466.85 million, Share Price: 127.1p. Shaftesbury Capital owns an array of properties in the heart of London's West End. Their portfolio spans shopping, leisure, and entertainment sectors. BIG YELLOW GROUP PLC Market Cap: £2,003.31 million, Share Price: 1,069.00p. Big Yellow Group is a leading player in the self-storage sector, owning and operating numerous storage facilities across the UK. SAFESTORE HOLDINGS PLC Market Cap: £1,975.14 million, Share Price: 904p. Safestore Holdings is another major self-storage company, with a wide network of facilities in the UK and Europe. LONDONMETRIC PROPERTY PLC Market Cap: £1,819.60 million, Share Price: 183.6p. LondonMetric Property is a FTSE 250 REIT specialising in distribution, retail, and residential property investment across the UK. LXI REIT PLC Market Cap: £1,654.47 million, Share Price: 95.85p. LXI REIT is a diversified investment REIT with a focus on the UK commercial property market. ASSURA PLC Market Cap: £1,457.75 million, Share Price: 48.98p. Assura operates in the primary care property sector, building, managing, and maintaining healthcare centres throughout the UK. PRIMARY HEALTH PROPERTIES PLC Market Cap: £1,323.13 million, Share Price: 98.55p. Primary Health Properties is a REIT specialising in primary healthcare facilities. Their portfolio includes GP surgeries, NHS centres, and pharmacies across the UK and Ireland. HAMMERSON PLC Market Cap: £1,273.62 million, Share Price: 25.24p. Hammerson is an owner, manager, and developer of retail destinations across Europe. GREAT PORTLAND ESTATES PLC Market Cap: £1,108.90 million, Share Price: 435p. Great Portland Estates focuses on properties in central London. Their portfolio comprises of a mix of office, retail, and residential properties. WORKSPACE GROUP PLC Market Cap: £1,015.68 million, Share Price: 523p. Workspace Group provides flexible office, co-working, and meeting spaces in London, catering primarily to new and growing companies. With the move to hybrid working and the push to dispose of large corporate offices this REIT may be in a great position to capitalise on a fast changing commercial office market. SIRIUS REAL ESTATE LD Market Cap: £988.11 million, Share Price: 82.35p. Sirius Real Estate is a leading operator of branded business parks, providing conventional space and flexible workspace in Germany. SUPERMARKET INCOME REIT PLC Market Cap: £977.05 million, Share Price: 78.7p. Supermarket Income REIT invests in a diversified portfolio of supermarket sites across the UK. UK COMMERCIAL PROPERTY REIT LIMITED Market Cap: £704.28 million, Share Price: 53.5p. UK Commercial Property REIT Limited invests in a diversified portfolio of commercial real estate throughout the UK. URBAN LOGISTICS REIT PLC Market Cap: £589.03 million, Share Price: 122.6p. And last but not least ... Urban Logistics REIT is focused on the acquisition and management of strategically located logistics properties across the UK. Conclusion In conclusion, the variety of REITs offers a unique and often profitable avenue for investments, with a broad diversity in property portfolios. From warehousing to retail, office spaces to healthcare facilities, the UK's REIT landscape is as diverse as it is rich. The robust nature of the property market underlines REITs place as a fundamental segment in a balanced investment portfolio. What did you think? Going to buy any of these REITs, let us know in the comments. Thanks for reading another blog post on ProsperousPounds - your one stop shop for all things finance and investing, written by an average Joe in the UK. Looking for more? Why not try our detailed 2,000 word plus guide for all things REITs here. Disclaimer: The content provided in this blog post is for informational purposes only, making it a point of reference and not adapted to personal circumstances. It does not constitute financial, investment, or any other type of advice, nor does it contain a comprehensive analysis of the mentioned Real Estate Investment Trust (REIT) companies. The author of this blog post has no affiliation with any of the companies mentioned herein, and the opinions expressed are entirely personal, based on publicly available information at the time of writing, and not influenced by the companies themselves. At the time of writing he does not own, directly, shares in any of these REITs. The information included may contain inaccuracies or be outdated, given the nature of financial markets and the volatility of circumstances surrounding REIT companies. The author does not guarantee the accuracy or the completeness of any information on the site or found by following any link on this site. Investment decisions should never be made based on the content of this blog post. Always consult with a licensed financial or investment advisor before making any investment decisions. It is essential to perform due diligence and/or consult with financial professionals before making any financial decisions. The author will not be liable for any errors or omissions in this information nor for the availability of this information and will not be liable for any losses, injuries, or damages from the display or use of this information. Your use of the information contained herein is at your own risk.

Escaping London's Chaos for a Wealthier Lifestyle Yearning for a life of financial prosperity and a healthier work-life balance? Say goodbye to London's hustle and let ProsperousPounds be your compass to uncovering the best UK cities where money and lifestyle harmoniously converge. Join us on a thrilling journey as we compare Liverpool, Manchester, and Leeds, cities brimming with financial potential and captivating lifestyles. From lucrative career opportunities to vibrant cultural scenes, we'll explore how these cities offer the ideal blend of financial growth and personal fulfillment. Discover hidden gems where your pounds go further, allowing you to thrive financially while savoring the joys of life. Our in-depth analysis will reveal the cost of living, job prospects, and recreational delights, empowering you to make a wise decision for your prosperous future. Whether you're a young professional aiming to climb the financial ladder or a family seeking a tranquil haven without sacrificing financial stability, we have your back. Each city has its unique charm, from Liverpool's artistic treasures to Manchester's vibrant nightlife, and Leeds' scenic parks. Balance your career ambitions with a thriving lifestyle as we guide you to the UK cities that promise the perfect equilibrium. Embrace a life of financial growth, cultural enrichment, and a happier work-life balance. ProsperousPounds invites you to unlock the secret to a wealthier and more fulfilling life outside London's chaos. London - The Dynamic Metropolis Firstly, lets baseline our comparisons with some key info on London. The vibrant capital, bursting with opportunities, yet costly to navigate. With a mix of bustling business districts and peaceful green spaces the city is ever changing and offers something for everyone, but requires a hefty budget to truly experience it all. Population: Approx. 9 million (ONS, 2023) Median Salary: £38,600 (ONS, 2023) Average Cost of a 1-bed flat: £550,000 (Rightmove, 2023) Top 5 In-Demand Jobs: Software Developers, Nurses, Financial Managers, Marketing Managers, Project Managers (Indeed, 2023) Biggest Employers: The NHS, Transport for London, Financial Services Firms (HSBC, Barclays) (LinkedIn, 2023) Top 5 Things to Do: Visit the British Museum Take a ride on the London Eye Explore Covent Garden Walk along the South Bank Watch a show in the West End Economic Growth Over Last 10 Years: 25% (ONS, 2023) House Price Change over the Last Year: +2.5% (ONS, 2023) Manchester - The Northern Powerhouse Manchester, a northern powerhouse with rich industrial heritage, renowned for its culture, football, and music scenes. Known for its welcoming locals and affordable lifestyle, the city provides an urban charm without the London price tag. Welcome to the home of the Champion League winners on 2023 - Manchester City! Population: Approx. 550,000 (ONS, 2023) Median Salary: £29,600 (ONS, 2023) Average Cost of a 1-bed flat: £175,000 (Rightmove, 2023) Top 5 In-Demand Jobs: IT Specialists, Marketing Managers, Mechanical Engineers, Nurses, Project Managers (Indeed, 2023) Biggest Employers: The University of Manchester, BBC (MediaCityUK), Amazon (LinkedIn, 2023) Top 5 Things to Do: Explore the Science and Industry Museum Visit Old Trafford Stroll in Heaton Park Shop at the Arndale Centre Experience the Northern Quarter Economic Growth Over Last 10 Years: 32% (ONS, 2023) House Price Change over the Last Year: +4.5% (ONS, 2023) Birmingham - The Cosmopolitan Jewel Birmingham, a city with a rich history and an ambitious future, where cosmopolitan meets tradition. With a diverse food scene and exciting live events, Birmingham offers a balanced lifestyle between its industrial heritage and modern urban living. Population: Approx. 1.1 million (ONS, 2023) Median Salary: £27,500 (ONS, 2023) Average Cost of a 1-bed flat: £150,000 (Rightmove, 2023) Top 5 In-Demand Jobs: IT Professionals, Nurses, Marketing Specialists, Mechanical Engineers, Teachers (Indeed, 2023) Biggest Employers: The NHS, Jaguar Land Rover, Cadbury (LinkedIn, 2023) Top 5 Things to Do: Visit the Birmingham Museum and Art Gallery Explore the Bullring Shopping Centre Take a canal tour Visit Cadbury World Discover the Thinktank Science Museum Economic Growth Over Last 10 Years: 28% (ONS, 2023) House Price Change over the Last Year: +3.5% (ONS, 2023) Leeds - A Thriving Urban Oasis Leeds, a bustling city known for its excellent shopping, vibrant nightlife, and beautiful surrounding countryside, captivates with its blend of rich industrial history and exciting future. Offering an enticing mix of affordability, culture, and quality of life, Leeds stands tall as a remarkable urban oasis. Population: Approx. 790,000 (ONS, 2023) Median Salary: £26,500 (ONS, 2023) Average Cost of a 1-bed flat: £140,000 (Rightmove, 2023) Top 5 In-Demand Jobs: IT Specialists, Nurses, Marketing Professionals, Mechanical Engineers, Teachers (Indeed, 2023) Biggest Employers: NHS, Asda (headquarters), University of Leeds (LinkedIn, 2023) Top 5 Things to Do: Visit the Royal Armouries Museum Shop at the Victoria Quarter Explore Roundhay Park Experience the nightlife in Call Lane Enjoy a concert at Leeds Arena (TripAdvisor, 2023) Economic Growth Over Last 10 Years: 28% (ONS, 2023) House Price Change over the Last Year: +3.8% (ONS, 2023) Liverpool - The Cultural Melody Liverpool, a city of music, culture, and rich history, is a captivating blend of its iconic Beatles legacy and impressive Albert Dock. With an array of cultural sites, passionate locals, and a vibrant social scene, Liverpool offers an engaging city lifestyle without breaking the bank. Population: Approx. 496,000 (ONS, 2023) Median Salary: £25,500 (ONS, 2023) Average Cost of a 1-bed flat: £115,000 (Rightmove, 2023) Top 5 In-Demand Jobs: IT Professionals, Nurses, Marketing Executives, Mechanical Engineers, Chefs (Indeed, 2023) Biggest Employers: NHS, Shop Direct, University of Liverpool (LinkedIn, 2023) Top 5 Things to Do: Explore The Beatles Story Visit Liverpool Cathedral Stroll around Albert Dock Explore the Museum of Liverpool Enjoy a match at Anfield or Goodison Park Economic Growth Over Last 10 Years: 26% (ONS, 2023) House Price Change over the Last Year: +4.0% (ONS, 2023) Glasgow - The Friendly Cultural Gem Glasgow, Scotland's largest city, is famous for its friendly locals, stunning architecture, and vibrant arts scene. With a rich cultural heritage and a diverse culinary scene, Glasgow offers a unique experience that's hard to resist. Population: Approx. 620,000 (ONS, 2023) Median Salary: £27,000 (ONS, 2023) Average Cost of a 1-bed flat: £110,000 (Rightmove, 2023) Top 5 In-Demand Jobs: IT Professionals, Nurses, Marketing Executives, Mechanical Engineers, Chefs (Indeed, 2023) Biggest Employers: NHS, University of Glasgow, Scottish Power (LinkedIn, 2023) Top 5 Things to Do: Visit the Kelvingrove Art Gallery and Museum Explore the Riverside Museum Enjoy a walk in the Botanic Gardens Visit the iconic Glasgow Cathedral Shop on Buchanan Street Economic Growth Over Last 10 Years: 27% (ONS, 2023) House Price Change over the Last Year: +3.7% (ONS, 2023) And finally the table you have always needed to decide where is best to live - who would have known Glasgow is the best place to live for your pub trips...and as you can see all the cities have grown faster than London in recent years, making it an exciting time to move. Congratulations on your journey to moving outside of London with ProsperousPounds! From vibrant Liverpool to dynamic Manchester and tranquil Leeds, each UK city offers a perfect blend of financial growth and fulfilling lifestyle. Armed with valuable insights, you're ready to make a wise choice for your future. Why not embrace a life of greater wealth, contentment, and a harmonious work-life balance. Take the leap to a happier life beyond London's hustle. Your path to prosperity begins now. Let's conquer new horizons together! Let us know your thoughts in the comments

Overcoming Economic Obstacles: The Smart Approach to Pay Rise Rejections Amid UK Economic Volatility Imagine your desired pay rise within reach, only to have it slipped away because of wider economic forces. It's a tough pill to swallow, but the current economic volatility in the UK, a complex cocktail of the continued fallout from Brexit, high inflation driven by Putin's invasion of Ukraine and escalating interest rates, often makes this a harsh reality. The question then arises, how do you navigate such a challenging landscape? This article aims to offer tangible solutions to that very question, helping you turn rejection into an opportunity for growth and advancement. The good news is you are not alone facing this problem and together we can share lessons for a more positive future. Understanding the Economic Landscape The UK economy has been on a rollercoaster ride recently. Liz Truss's infamous 49-day stint premiership had repercussions that led the Bank of England to take corrective economic actions, adding another layer of complexity to the already struggling economy. Economists concur that Brexit has held back UK growth and investment, impacting businesses' ability to offer generous pay rises across the board. To add fuel to the fire, inflation is soaring, with food inflation at a whopping 17.4% in July 2023, in stark contrast to average wage increases of only 7.3% in May 2023. The governments cost of living support has tapered off, following the initial energy scheme help. There has never been a more important time in the 21st century to make sure your pay reflects the rising costs you are facing. With the Bank of England raising interest rates for the 13th consecutive time in June 2023, taking the main rate to 5%, mortgage and rent costs have become heftier burdens on household finances. So how do you cope with a rejected pay rise and what are your next steps may you ask? Riding the Storm: Reacting to Pay Rise Rejection The economic landscape might seem daunting, but your response to a pay rise rejection can shape your professional journey positively. It's crucial to respond with grace, professionalism, and understanding, given these external pressures. Even if you plan to leave your company, its usually best to have a positive relationship with your boss as after all the world is only becoming smaller. Beyond the "No": Understanding the Denial It's essential to seek clarity on why your pay rise was rejected. While macroeconomic factors may play a role, there could also be company-specific or performance-related reasons. By unravelling these, you can plot the course for your next steps. If you have any colleagues you are close too take a temperature check with them to see if it is a company wide issue. Brewing Insights: Seeking Feedback Amid the economic storm, continuous professional development is crucial. Invite your manager for a cuppa and use this opportunity to seek feedback. Ask for specifics; what didn't go as well as they'd like? How can you prove your worth to them? What do you need to achieve over the next six months to guarantee a rise? This knowledge will serve as your compass, guiding you towards areas that require growth and improvement. Strategising for the Future: Preparing for Success With this feedback and understanding, you can chart a course towards future success. This may mean enhancing your skills, addressing performance gaps, or setting a future date to revisit the pay discussion. A New Horizon?: Considering a Career Move Given the current economic scenario and the rejection of your pay rise, it might be worth considering if a new role or company could offer better financial prospects. A recruitment consultant can provide valuable insights into market trends and potential opportunities. Sites like Glassdoor and FishBowl are invaluable resources that allow you to understand your specific pay situation in the context of your industry - go sign up if you haven't they are both free to use. Turning Rejection Into Reflection: A Five-Point Action Plan Embrace the Feedback: Leverage the feedback from your manager to identify areas for improvement and professional growth. Use resources such as online learning platforms to upskill and increase your value to the company. There are reams of content for free on the internet to help you grow, make the most of it. Be Economically Aware: Stay informed about the wider economic climate. BBC news provides regular updates and commentary suitable for all, in addition to ProsperousPounds! Improve Your Negotiation Skills: 'Never Split the Difference: Negotiating As If Your Life Depended On It" by Chris Voss and Tahl Raz, is a great read. Written by a former FBI hostage negotiator it can put you on a path to enhancing your ability to negotiate effectively. Consider Professional Advice: Seek the services of career coaches or recruitment consultants to get a sense of the market and evaluate your specific options. Maybe dust off that CV and ensure it is up to date with your latest achievements, training and qualifications. Engage with ProsperousPounds: Utilise the resources, advice, and community on ProsperousPounds to navigate your financial journey effectively. Concluding Thoughts The UK's economic volatility may cast a shadow over pay rise prospects, but remember, you have the tools to navigate this landscape. Your response to rejection, your understanding of the reasons behind it, the feedback you seek, and the strategic plan you develop for the future can all turn this setback into a stepping stone towards success. Your resilience and strategic thinking will be key as you journey through this challenging economic climate, whether that means persisting with your current role or exploring new opportunities. As Churchill aptly put it, "Success is not final, failure is not fatal: It is the courage to continue that counts." So, approach this period of economic uncertainty with courage, and let your resilience guide you towards your financial goals. Disclaimer: The information provided in this article and on the ProsperousPounds platforms is for general informational purposes only. It should not be considered as financial advice. You should consult with a professional financial advisor, accountant or legal professional where appropriate. Neither ProsperousPounds nor the author shall be liable for any loss or damage caused or alleged to be caused directly or indirectly by the information referenced in this article or on the ProsperousPounds platforms.

A Comprehensive Guide to REITs: Your Key to Prosperous Investing Introduction to REITs Real Estate Investment Trusts (REITs) are unique investment vehicles enabling individuals to venture into large-scale, income-generating real estate. The concept, born in the United States in 1960, crossed the Atlantic to arrive in the UK in 2007, introduced by the Finance Act 2006. Spanning shopping centres to hotels, and even alternative assets like data centres or cell towers, these trusts own or finance income-producing real estate across a diverse range of property sectors. The beauty of REITs is their accessibility; they enable both small and large investors to own a piece of lucrative real estate investments without the need to buy commercial property directly. Read on to discover more about the 118 REITs in the UK and many more globally. The Anatomy of a REIT To truly understand REITs, you must first look at their structure. Here's a glance at the typical blueprint of a REIT: REITs own and usually operate income-producing real estate or related assets. The assets can range from classic commercial properties like office buildings, shopping centres, and apartments, to more niche sectors like self-storage facilities, student accommodation, or healthcare facilities. REITs primarily generate income from their assets, making them different from real estate development companies that aim to profit from the resale of developed properties. REITs can also sell property, but it is usually not their main focus. Types of REITs Broadly, REITs are classified into three categories, each with its unique investment proposition: Equity REITs: invest in and own properties and are the most common type of REIT, especially in the UK. Income is generated from leasing these properties, which is then distributed to shareholders. A case in point is British Land, one of the UK's largest REITs, with a portfolio stretching across commercial, retail and residential properties. Mortgage REITs (mREITs): lend money to real estate owners and operators either directly through mortgages and loans or indirectly by acquiring mortgage-backed securities. They generate income from the interest earned on these finance led, property-themed investments. Hybrid REITs: both own and finance real estate, giving investors the best of both worlds, albeit at a potentially higher risk level due to the dual exposure of property and financing risks. How Do REITs Work in the UK? The lifecycle of a REIT, from inception to income generation, is as follows: A company registers as a REIT by making an election to HM Revenue and Customs (HMRC). REITs are extensively governed through UK legislation, which helps protect investors by defining their requirements for existence clearly. The REIT then raises capital from investors, which is used to purchase or finance properties. The REIT manages these properties and collects income, typically in the form of rent but it can also include sales of property. Finally, at least 90% of the REIT's taxable income must be distributed back to its shareholders as dividends, thereby ensuring investors receive a regular income stream. The REIT is exempt from UK tax on the income and gains of its property rental business - a key incentive for investors, who only pay tax at the individual level e.g. on dividends or capital gains. A way to minimise this liability may be to purchase REITs through an ISA. As of March 2023, the aggregate market capitalization of REITs in the UK is now £58 billion, showcasing the large market on offer. Why Invest in REITs? Several compelling reasons make REITs a worthy addition to your investment portfolio: Diversification: Real estate, as an asset class, tends to have a low correlation with other sectors such as equities and bonds. Therefore, REITs provide diversification, reducing portfolio risk. Housing in particular is widely seen as a need rather than want, providing stability during tough economic conditions that may befall shares. Dividends: The legally mandated distribution of at least 90% of taxable income means REITs typically offer higher dividend yields than many other equities, providing a regular income stream. This makes REITs a key consideration for those, such as pensioners, who want a stable income stream over time. Liquidity: Unlike physical property, which can take months to buy or sell (or even years if the market crashes!) REIT shares are traded on major stock exchanges, providing investors with the ability to enter or exit their investments quickly - often instantaneously. Transparency: Being publicly traded entities, REITs are required to disclose financial results and other pertinent information, providing a high degree of transparency through their annual reports and interest from analysts, institutional investors and the wider public. UK REITs: A Closer Look UK REITs stand apart due to their exemption from corporation tax on rental income and gains from property disposals, making them tax-efficient investment vehicles. UK REITs can broadly be classified into: Diversified REITs: These own a variety of property types, often across various sectors. Examples include British Land and Land Securities Group, both of which have diversified portfolios across commercial, retail and residential properties. This reduces your risk of exposure, such as in the commercial office market which is seeing a decline in demand due to the move away from in office working post COVID. Specialised REITs: These focus on specific property sectors. SEGRO, a leading UK REIT, specialises in owning, managing and developing modern warehouses and light industrial properties. Another example is Primary Health Properties, which invests in healthcare facilities. Top REITs you should be aware of in the UK include: Land Securities Group PLC (LAND): An Equity REIT with a diversified portfolio. Land Securities is one of the largest commercial property development and investment companies in the UK. It owns and manages a variety of properties, from shopping centres to offices, and operates in property development, investment, and property management. British Land Company PLC (BLND): An Equity REIT with a diversified portfolio. This company is a significant player in property development and investment in the UK, owning, managing, and developing a range of commercial properties, with a focus on retail locations and London offices. SEGRO PLC (SGRO): An Industrial Equity REIT. SEGRO is a leading owner, manager, and developer of modern warehouses and light industrial property in the UK, serving customers from a wide range of industry sectors. Hammerson PLC (HMSO): A Retail Equity REIT. Hammerson is a prominent British property development and investment company, focusing on retail. The company's portfolio includes prime shopping centres, convenient retail parks, and investments in premium outlet villages. Derwent London PLC (DLN): An Office Equity REIT. Derwent London owns a portfolio located in central London. The company is known for its innovative and design-focused approach to property management, focusing on long-term investments. Shaftesbury PLC (SHB): A Diversified Equity REIT. Shaftesbury invests exclusively in the liveliest parts of London's West End. Their portfolio is concentrated in Carnaby, Seven Dials, and Chinatown. Great Portland Estates PLC (GPOR): An Office Equity REIT. Great Portland Estates is a British property development and investment company that owns a portfolio of commercial property in central London. Workspace Group PLC (WKP): An Office Equity REIT. Workspace Group rents office, co-working, and meeting space across London. Their buildings house some of London's fastest-growing and established businesses. LondonMetric Property PLC (LMP): A Retail & Industrial Equity REIT. LondonMetric Property is a property investment company that focuses on retailer-led distribution, out of town, and convenience retail property. Tritax Big Box REIT PLC (BBOX): An Industrial Equity REIT. Tritax Big Box is dedicated to investing in and funding the pre-let development of very large logistics facilities in the UK. NewRiver REIT PLC (NRR): A Retail Equity REIT. NewRiver is a property investor, asset manager, and developer focused on the UK retail and leisure sector, with a portfolio that includes community shopping centres, retail warehouses, high street assets, and several leisure assets. Primary Health Properties PLC (PHP): A Healthcare Equity REIT. Primary Health Properties is a British-based REIT investing in healthcare facilities in the UK and Ireland, including GP surgeries, pharmacies, dentists, and community healthcare facilities. Assura PLC (AGR): A Healthcare Equity REIT. Based in Warrington, Assura is a long-term investor in and developer of primary care properties, working with GPs, health professionals, and the NHS to create innovative property solutions. Big Yellow Group PLC (BYG): A Specialty Equity REIT in Self Storage. Big Yellow Group is the UK's brand leader in self-storage, operating numerous stores, including those branded as Armadillo Self Storage. St. Modwen Properties PLC (SMP): A Diversified Equity REIT. St. Modwen Properties operates across the full spectrum of the property industry, focusing on long-term regeneration and development projects. The Global REIT Landscape: Broadening Your Horizon REITs aren't confined to the UK; they've gained traction worldwide, providing further investment opportunities. A few global examples include: US: The largest and oldest REIT market, the US is home to several giant REITs. For example, Prologis, a US-based REIT, is a global leader in logistics real estate with a focus on high-barrier, high-growth markets. Asia: Asian markets such as Singapore and Hong Kong also host several REITs. Mapletree Logistics Trust in Singapore, for example, has a diverse portfolio of logistics real estate spread across Asia. Investing in REITs: Key Considerations Before taking the leap into REITs, consider the following: Property type and location: The performance of REITs can significantly vary based on the type of properties they own and where these properties are located. Management quality: The quality of a REIT’s management team, their track record, and how they have navigated past economic downturns should be a key consideration. A key factor to consider for your wider investment portfolio is not just asset growth, but how to conserve the assets you own - meaning the management team of a REIT are a key thing you need to look into. Dividend yield and payout ratio: While high yield can be attractive, it's essential to balance this with the payout ratio to ensure dividends are sustainable over the long term e.g. if a REIT share price is falling it may flatter the dividend yield. A further option - ETFs that own multiple REITs REITs and REIT ETFs offer distinct avenues for real estate investment. Individual REITs, firms owning or financing properties, can yield high returns and enable focus on specific real estate types or regions, but carry greater risk tied to the performance of a single REIT. Conversely, REIT ETFs provide diversification by spreading risk across several REITs. While generally having lower transaction costs, they might yield lower returns than a top-performing REIT. Management fees can also impact overall returns. The choice between individual REITs or REIT ETFs hinges on one's risk appetite, investment objectives, and understanding of the real estate market. Control seekers might opt for REITs, while a hands-off approach favours ETFs. A few REIT related ETFs to consider; Vanguard Real Estate ETF (VNQ) This fund offers exposure to the U.S. real estate sector by tracking the MSCI US Investable Market Real Estate 25/50 Index. iShares U.S. Real Estate ETF (IYR) This ETF follows the Dow Jones U.S. Real Estate Index, which measures the performance of the real estate sector of the U.S. equity market. iShares UK Property UCITS ETF (IUKP) IUKP provides exposure to UK property companies and REITs. SPDR FTSE UK All Share UCITS ETF (FTAL) While not exclusively a REIT ETF, it does hold a diversified portfolio of UK equity securities, including property companies and REITs. Conclusion: Your Call to Action REITs open the door to the lucrative world of real estate investment, providing an accessible route for UK investors to gain exposure to a traditionally high barrier-to-entry sector. Now you now longer need to look at your Monopoly board and dream, for the price of only a few pounds per share you are now able to become a part owner of mega property schemes. By understanding the mechanics and considerations of investing in REITs, you could enrich your investment portfolio and take a significant stride towards a more prosperous financial future. So, whether you're looking for a steady income stream, diversification, or exposure to real estate without the hassle of direct ownership, REITs may be worth exploring. Your next step? Dive deeper into specific REITs that align with your investment goals, research their performance, and possibly consult a financial advisor. Remember, every investment journey is unique, just like you. With informed decisions and strategic moves, REITs can be a powerful weapon in your investment arsenal, propelling you towards financial prosperity. Happy investing! Please note: The information provided in this blog is for informational purposes only and should not be construed as financial advice. It is not intended to be a substitute for professional financial advice. Always seek the advice of a qualified financial advisor with any questions you may have regarding your personal finances. All investments carry risk, and all investment decisions of an individual remain the responsibility of that individual. There is no guarantee that systems, indicators, or signals will result in profits or that they will not result in losses. All investors are advised to fully understand all risks associated with any kind of investing they choose to do. Past performance is not indicative of future results.

Comparing Traditional Real Estate Investing and REITs: Which is best for you in 2023? In the realm of property investing, people often only consider a buy to let empire as their way to break into the market - today we will compare this with Real Estate Investment Trusts (REITS) see a quick start guide on them here. As they offer different rewards and risks, your choice between the two should align with your financial goals, risk tolerance, and lifestyle preferences. Traditional Real Estate Investing involves directly purchasing properties such as residential homes, rental apartments, or commercial buildings. This hands-on approach allows investors to leverage properties for rental income or sell at a profit when market values appreciate. On the other hand, REITs are companies that own, operate, or finance income-generating real estate. By buying shares in a REIT, you indirectly invest in the properties that the trust owns, offering a more passive form of investment. Let's delve deeper into these two strategies to identify which might be the best fit for you. Liquidity REITs offer high liquidity as they trade on major exchanges just like stocks and can be bought or sold in seconds. This means you can buy or sell shares at any time during market hours, something perhaps more important given the wider economic volatility in the UK in 2023. Traditional real estate, on the contrary, is not easily converted into cash. The selling process can take months, making it a less liquid investment. Capital Requirement Traditional real estate investing usually requires a substantial initial investment for the property purchase, not to mention ongoing maintenance and potential renovation costs. The average UK house price was £286,000 in April 2023 - £9,000 higher than 12 months ago, continuing the upwards trajectory seen over the past few decades. REITs, however, allow investors to start with much less money. You can purchase shares for the price of a single stock, making it accessible for those with less capital. Indeed the biggest REIT in the UK, Segro, is currently (July 2023) trading at 784.40p, allowing you to dip you toes into the REIT water for under £10. Potential Returns Both investment paths have the potential for significant returns. In traditional real estate, profits can come from rental income and property appreciation. With REITs, returns are typically from dividends and share price appreciation. Historically, both have shown robust long-term growth, although individual real estate properties can exhibit higher variability in returns. Time Commitment and Skills Required Traditional real estate investing is often hands-on, requiring time and effort in property management, including finding tenants, handling maintenance, and dealing with emergencies. In contrast, REITs require no such commitment, making them a more passive investment. Investing in REITs also requires less specialised knowledge, as you don’t need to understand the ins and outs of property management or real estate markets in the same depth. REIT shares can be bought in seconds, often it can take months to exchange contracts on a house. Risk Level Both types of investment carry risks. With traditional real estate, these can include property damage, sudden major repairs, market downturns, and problematic tenants. For REITs, risks include market volatility and the potential for company mismanagement. However, an advantage of REITs is that they often have a diverse portfolio of properties, reducing the impact if one property underperforms. This extends to both the number and types of properties, for instance exposure to retail, logistics and residential real estate can be achieved through one REIT alone. Making a choice between traditional real estate and REITs The key to choosing between traditional real estate investing and REITs depends on your personal circumstances and investment preferences. If you prefer a more hands-on approach, have significant capital to invest, and are willing to wait for longer-term returns, traditional real estate investing may suit you. However, if you prefer a more passive approach, have less capital to start with, and want the flexibility to move in and out of investments, REITs may be a better choice. Regardless of your decision, always conduct thorough research or seek advice from financial advisors before entering any investment. Understanding these factors can help you make a more informed decision, taking one step closer to meeting your financial goals and creating your desired lifestyle. Whether you choose the path of traditional real estate or REITs, successful investing is about patience, knowledge, and strategy. Happy investing! Please note: The information provided in this blog is for informational purposes only and should not be construed as financial advice. It is not intended to be a substitute for professional financial advice. Always seek the advice of a qualified financial advisor with any questions you may have regarding your personal finances. All investments carry risk, and all investment decisions of an individual remain the responsibility of that individual. There is no guarantee that systems, indicators, or signals will result in profits or that they will not result in losses. All investors are advised to fully understand all risks associated with any kind of investing they choose to do. Past performance is not indicative of future results.

The Alluring World of Real Estate Investment Trusts (REITs): a 101 guide Hello, fellow investors, and welcome back to ProsperousPounds, your one-stop source for all things finance and investment in the UK. Today, we're taking an exciting journey into the realm of Real Estate Investment Trusts, or REITs, a unique way to diversify your portfolio, create an income stream and get involved in large-scale real estate projects without the hassle. Please note that this post is for entertainment and educational purposes only and not financial advice. Always conduct your research or consult with a certified financial advisor before making investment decisions. Unravelling REITs So, what exactly are REITs? These are corporations that own, operate or finance income-generating real estate. Available for trade on the stock market, they cover a wide array of properties, from warehouses to student housing. This setup enables individual investors to reap dividends from real estate investments without personally buying, managing, or financing any properties. Picture the numerous cranes outlining the London or Manchester skylines - REITs offer you the opportunity to invest in some of the most significant property schemes in the UK right now. The Advantages of REITs: A Place in Your Portfolio Now that we've peeled back the layers on REITs let's look at why they deserve a spot in your portfolio. Stable income stream: By law, REITs must distribute at least 90% of their taxable income as dividends, promising a regular income for investors. Liquidity: Unlike traditional properties, which could take months to sell, REIT shares can be purchased and sold effortlessly on the stock market. Diversification: REITs offer exposure to real estate, an asset class typically underrepresented in most portfolios, and often performs differently from the broader stock market. Inflation hedge: As living costs rise, so do property rents, leading to increased profits for REITs and more income for their shareholders. Accessibility: REITs democratise real estate investment, making it accessible to investors of all financial standings. FTSE-Listed REITs: Five Examples Now that we understand REITs and their benefits let's look at five REITs currently traded on the FTSE in London. As always, you should conduct thorough research or consult with a financial advisor before investing. Land Securities Group: As the UK's largest commercial property development and investment company and a REIT since 2007, Land Securities offers exposure to the thriving London real estate market. Its portfolio includes shopping centres, offices, and retail parks. British Land: Another heavyweight in the real estate sector, British Land specialises in managing, developing, and financing a portfolio of commercial properties. Its offerings are segmented into offices, retail, and Canada Water. Unite Group: If you've ever been interested in the student housing market, Unite Group could be your choice. With nearly 150 properties across the UK and partnerships with 50 universities nationwide, Unite has showcased the strengths that REITs can offer. Derwent London: Derwent capitalises on the office real estate in Central London. It generates most of its income from medium to longer-term tenants, promising stability. Tritax Big Box: Tritax, a specialist REIT, invests in large-scale logistics facilities and owns property used by giants like Tesco and Sainsburys. As e-commerce continues to grow, Tritax's portfolio of warehouses stands poised to benefit. Wrapping Up Investing isn't about becoming wealthy quickly; it's about consistent growth over time. So, remain patient, disciplined, and never stop learning. Watch more on this topic here. Keep ProsperousPounds by your side as you continue your successful investment journey. Stay prosperous! Investing with Caution Remember, the information shared here is for general informational purposes only and does not constitute personalised financial advice. Always conduct your own research, and consult with a certified financial advisor before making any investment decisions.

10 UK-Based Real Estate Investment Trusts (REITs) for Your Investment Radar in 2023 Real Estate Investment Trusts (REITs) have long been favoured by investors seeking exposure to the real estate market without the complexities of direct property ownership. In the UK, several REITs offer attractive investment opportunities in diverse real estate sectors. In this blog post, we will explore the top ten UK-based REITs that should be on your investment radar. See a QuickStart guide of REITs here. Please note that this post is for entertainment and educational purposes only and not financial advice. Always conduct your research or consult with a certified financial advisor before making investment decisions. British Land Company Share Price: 345.5p | Market Cap: £3.2 billion | Dividend Yield: 6.55% The British Land Company primarily focuses on commercial real estate, including retail and office spaces. With prominent properties like Broadgate in London, this REIT offers investors a chance to be a part of the bustling heart of the city. Land Securities Group Share Price: 655.2p | Market Cap: £5 billion | Dividend Yield: 5.86% Investing in Land Securities Group allows exposure to a diverse portfolio of retail, leisure, and residential properties, including the renowned Bluewater Shopping Centre in Kent. Hammerson Share Price: 25p | Market Cap: £1.26 billion | Dividend Yield: 0.79% Hammerson predominantly invests in retail properties and has a stake in premium outlets across Europe, including the famous Bicester Village luxury shopping outlet. SEGRO Share Price: 784.2p | Market Cap: £9.6 billion | Dividend Yield: 3.35% Specializing in industrial properties, SEGRO is a solid choice in the era of e-commerce, catering to various industries like food and general manufacturing, transport, logistics, and retail. Derwent London Share Price: 2234p | Market Cap: £2.5 billion | Dividend Yield: 3.52% Focusing on central London properties, Derwent London boasts a vast portfolio of commercial real estate, primarily serving media, advertising, professional services, and retail tenants. Tritax Big Box Share Price: 141.2p | Market Cap: £2.6 billion | Dividend Yield: 4.00% Tritax Big Box specializes in large UK logistics real estate, positioning itself to benefit from the growing demand for e-commerce, with major tenants like Amazon and DHL. Shaftesbury Share Price: 126.3p | Market Cap: £2.48 billion | Dividend Yield: 1.97% Shaftesbury owns a unique portfolio focused on London's West End, featuring a mix of restaurants, cafes, bars, shops, residential, and offices, including the famous Carnaby Street. Workspace Group Share Price: 523p | Market Cap: £1 billion | Dividend Yield: 4.93% Capitalizing on the flexible working trend, Workspace Group focuses on flexible office spaces in London, attracting corporate clients with its strategic locations. Great Portland Estates Share Price: 436p | Market Cap: £1.1 billion | Dividend Yield: 2.90% With a specialization in Central London properties and long-term lease agreements, Great Portland Estates boasts a portfolio of high-quality assets in vibrant districts. NewRiver REIT Share Price: 87.9p | Market Cap: £265 million | Dividend Yield: 7.83% NewRiver REIT offers diversification through its ownership of shopping centers, retail warehouses, and pubs across the UK, making it an attractive option for investors seeking higher dividends. Conclusion While these ten UK-based REITs present exciting investment opportunities, it is essential to conduct thorough research and consider your risk tolerance before making any investment decision. Remember, investing always carries risks, and you should only invest money you can afford to lose. We hope this blog post provided valuable insights into the potential real estate investment options available in the UK market. For personalized financial advice, consult with a certified financial advisor. Until next time, happy investing!