FIBRAs, a defensive sector in 2022 and with better expectations for 2023

FIBRAs emerged as a defensive sector in the Mexican stock market in 2022 and are expected to continue this trend in 2023.
FIBRAs outperformed the market in 2022, driven by CBFIs' recovery and benefiting from nearshoring opportunities and resilience to interest rate hikes.

In the context of economic uncertainty, FIBRAs stand out as an attractive investment vehicle. Photo: primeimages.

01/10/2023

Last year, FIBRAs (Real Estate Investment Trusts) emerged as a defensive sector in the Mexican stock market, and this trend is projected to continue in 2023.

The S&P/BMV FIBRAs Index, comprised of the largest FIBRAs by market value, recorded a 12.68% gain in 2022, outperforming the overall market decline. This performance was driven by the recovery in the price of CBFIs (Certificados Bursátiles Fiduciarios). On the other hand, the IPC index of the Mexican Stock Exchange experienced a 9.03% decline.

Real estate companies have several favorable factors at play. Nearshoring opportunities, resilience to interest rate hikes, and potential office space recovery contribute to their appeal as investment options. Also, the distribution of dividends by FIBRAs further enhances their attractiveness for investors in the current economic landscape.

Read the full article (in Spanish).

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