Alternative Investments/Real Estate: AXS Investments Launches Mortgage REIT Focused ETF

The new ETF from AXS Investments offers investors a strategically timed exposure to real estate credit.

AXS Investments has teamed up with Gapstow Capital Partners to introduce a novel ETF named the AXS Real Estate Income ETF (NYSEARCA: RINC). This ETF offers an innovative avenue for higher yields through exposure to liquid real estate investments.

RINC is tracks the Gapstow Real Estate Income Index (GREI), which is a unique index developed by Gapstow Capital Partners designed to track publicly traded mortgage REITs (mREITs) that own and/or originate real estate debt.

Furthermore, unlike other mREIT-focused ETFs, RINC is balanced across sectors, with 50% in commercial real estate lending, 25% in non-agency residential real estate debt, and 25% in agency residential real estate debt. This diversification helps manage risk and maintain a well-rounded portfolio.

The partnership between AXS Investments and Gapstow Capital Partners aims to provide investors and advisors with an alternative to corporate junk bonds, offering distinct exposure to real estate credit. This move diversifies the high-yield segment of portfolios and presents a fresh approach to credit-side real estate investments.

Notably, at present, mREITs are trading at attractive prices and significant spreads compared to historical norms. This is due to the sector reeling from the confluence of a swift increase in interest rates, elevated office vacancy rates, and a brief series of banking crises in a short span of time. However, over time, interest rates are expected to stabilize, the demand for residential housing will persist, and a distinct withdrawal of banks from real estate lending is likely to offer substantial prospects for various mREITs. These opportunities encompass the ability to undertake and initiate compelling new debt investments.

RINC joins AXS Investments’ suite of alternative income solutions, expanding the range of options available to investors seeking diversified income and growth opportunities.

Gapstow Capital Partners, with its solid background in multi-asset credit investing, brings valuable expertise to this venture.

Related Story:  Columbia Threadneedle Debuts ETF Focused On REITs

Image by Merrill Lyew from Pixabay


Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

  • This field is for validation purposes and should be left unchanged.


Latest Alternative Investment News
Digital Assets: Epic Lays Off 830 Employees As Metaverse Underperforms
September 29, 2023     Digital Assets, News

Earlier today, Tim Sweeney, the head of Epic Games, shared an email with the company’s employees, announcing some significant changes within the organization. In this message, Sweeney discussed the necessity…
Artificial Intelligence: Mysterious US-Based Books3 Dataset Used To Train AI Was A Massive Trove Of Pirated Books
September 29, 2023     Artificial Intelligence, Latest News, News

Thousands of books penned by some of Australia’s most esteemed authors may have fallen victim to what Booker prize-winning novelist Richard Flanagan has described as “the biggest act of copyright…銅鑼灣_Causeway_Bay_銅鑼灣時代廣場_Times_Square_office_Tower_One_阿里巴巴_Alibaba_Hong_Kong_June_2022_Px3_03.jpg
FinTech: Ant’s Chongqing Consumer Finance Arm Raising $616M To Ramp Up Loans
September 29, 2023     FinTech, News

Chongqing Consumer Finance, the consumer finance arm of Ant Group, a prominent player in China’s financial technology landscape, is currently in the process of raising a substantial sum of fresh…
Venture Capital: Mercury’s Fund V Mops Up $160M For US Startups “Between The Coasts”
September 29, 2023     News, Venture Capital

Mercury Fund, the premier early-stage venture firm with a focus on non-coastal tech hubs, has successfully closed its largest fund to date, Mercury Fund V, with a total capital commitment…