Canadian Real Estate 3/20/26 And Everything Else
Updates on all trade ideas
Canadian Real Estate has begun 2026 with a -0.1% total return (XRE a/o 3/20). US REITs are -0.2%, and the CAD is unchanged vs USD.
Risks related to the Iran War remain high. Equities have not fallen nearly enough to reflect the impact of the oil supply and price shock that would result from extended closure of the Strait of Hormuz. As an example of indicator that would signal extreme panic, investors almost always enjoy a positive 1-year return when buying the S&P500 at 20% or more below its 200dma. On 3/20 the index closed only 1.7% below its 200dma. Investors should be prepared psychologically and financially for the possibility that equities could fall much further.
Hopefully diplomacy will avert a worst-case outcome. The greatest risks in the real estate sector are for companies with weaker balance sheets and those where investors are expecting a beneficial corporate action like major asset sales or M&A. Deals will slow sharply until the macro uncertainty is resolved.
This article updates valuations using 3/20 prices and updates financials for issuers that filed in the past week. Then a brief review of all previously mentioned trade ideas in the context of current market risks.
Topics
Valuation Comparison ($)
Canadian Real Estate Trade Ideas ($) D.UN, DIR.UN, DRM, HR.UN, KMP.UN
Other Trade Ideas ($) AAV, BDN. CSIQ, CSI (497), ELME, NOAH, PFX, STHO