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Great post.
I would add that investing in a listed property portfolio brings with it a much different return profile than the broad sharemarket as a whole.
An investment in listed property names today is going to return via dividends a relatively secure return for the foreseeable future, regardless of how the rest of the sharemarket does.
For some people with a large sum to invest, a 6%-7%+ gross dividend in a tax efficient PIE friendly holding, is a return that is going to keep on paying out every quarter like clockwork, with likely an increase to the dividend most years. This dividend return on the initial investment remains the same regardless of the share/unit price of the company on any given day.
Compare that to an investment in the broad sharemarket where dividends return are pitiful (well below inflation), and in any given year your sum may reduce in size by 20% or more and take another year or more to recover.
Yes over the long term the broad sharemarket should outperform, but not everyone has that long enough time horizon to wait for recoveries. Like for those within 10 years of retirement, or at the other end, those saving for a first home, wedding, etc.
And some of us just like investing in things that are currently selling at big discounts and will highly likely outperform in the medium term as the cycle eventually reverses.
Exceptional post. Well said.