Reit

[firehawkocean]

Hi everyone,

I am in a 30% tax bracket. However, I would like some diversification with a Vanguard REIT fund. I know the dividends are not qualified. However, I feel that this might give me some further diversification.

Any thoughts?

[kork13]

Sure, I agree that REITs can be a good diversification in any portfolio. I recently started into Vanguard's REIT ETF as well -- only downside is that REITs are generally considered "overpriced" right now.

My only recommendation: Buy/hold those REIT MF/ETF shares in a tax-advantaged account, such as an IRA or 401k. That will eliminate the negative aspect of having all of their dividends non-qualified.