Superior Stability and Dividend Growth slide image

Superior Stability and Dividend Growth

REALTY INCOME Rising Short-Term Yields Have Historically Been Correlated with Realty Income Outperformance In 2015, the Fed began raising its benchmark interest rate, which continued through 2018(1) TOTAL RETURNS: YEAR 1 OF FED RATE HIKE CYCLE 13.1% 13.0% 7.7% S&P 500 RMZ TOTAL RETURN PERFORMANCE During the Fed's prior rate hike cycle, Realty Income outperformed the S&P 500 and the MSCI US REIT Index (RMZ) over the 3- year duration of the rate hike cycle COMPARATIVE CORRELATION: TOTAL RETURN VS. 2-YEAR UST YIELD SINCE 2009 Historically, Realty Income's returns have been positively correlated to short-term yields +0.25 S&P 500Ⓡ (1) During the prior rate hike cycle, the Fed initiated its initial rate hike in December 2015 (0.25% - 0.50%) with its final hike occurring in December 2018 (2.25% -2.50%) TOTAL RETURNS: 3-YEAR DURATION OF FED RATE HIKE CYCLE 44.4% 30.6% 13.0% S&P 500Ⓡ RMZ +0.35 +0.39 RMZ 9
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