5 ETFs to Buy and Hold for the Next 10 Years

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1. Vanguard Real Estate Index Fund ETF Shares (NYSE:VNQ)

Vanguard Real Estate Index Fund ETF Shares (NYSE:VNQ) invests primarily in real estate investment trusts, closely tracking the returns of the MSCI US Investable Market Real Estate 25/50 Index. The exchange traded fund holds 168 securities in its portfolio, with total net assets amounting to $84.7 billion as of January 31, 2022. 

One of the biggest underlying equities in Vanguard Real Estate Index Fund ETF Shares (NYSE:VNQ)’s portfolio is Prologis, Inc. (NYSE:PLD), a global leader in logistics real estate. 

Elite hedge funds are buying Prologis, Inc. (NYSE:PLD) stock. At the end of December 2021, 37 funds reported owning stakes in  Prologis, Inc. (NYSE:PLD), up from 32 funds in the preceding quarter. The total stakes held in the fourth quarter amounted to $544.3 million. Jeffrey Furber’s AEW Capital Management is the largest shareholder of Prologis, Inc. (NYSE:PLD), with 2.1 million shares worth over $358 million. 

Here is what Third Avenue Management has to say about Prologis, Inc. (NYSE:PLD) in its Q1 2021 investor letter:

“Prologis, Inc. (a U.S.-based real estate investment trust that is the largest owner of modern logistic facilities with a platform that expands more than 950 million square feet of space in 19 countries globally) completing $2.0 billion USD of debt placements at a weighted average interest rate of 0.9% with an average term of more than 13 years. In the process, the company has further solidified one of the most compelling capital structures in the real estate industry with a prudent loan-to-value ratio of approximately 25% that is primarily fixed-rate debt at an average cost of 1.8% for a term that exceeds 10 years. As a result, the long-tenured management at Prologis (including one of the true leaders in the real estate space CEO Hamid Moghadam) have set up the company for what could be a very rewarding period ahead as incremental rental income and asset management fees seem likely to accrue disproportionately to shareholders on the “bottom-line” with its interest costs locked-in.”

You can also take a look at 10 Semiconductor Stocks to Buy Under $50 and 10 Dividend Stocks with Over 10% Yield.

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