A type of mutual fund investor who is primarily interested in high current income should consider

Question

Quizplus · Accepted Answer

Mortgage REITs (real estate investment trusts) typically invest in mortgage-backed securities and generate high yields by using leverage. These yields are often distributed as dividends, making them attractive to investors seeking high current income. Property REITs also generate income from rental properties, but may have more fluctuation in dividend payouts depending on occupancy rates and other factors. Growth funds and banking industry sector funds are not focused on generating income, and are therefore not suitable for investors seeking high current income.

A Type of Mutual Fund Investor Who Is Primarily Interested