There was an interesting piece last week in the Personal Finance section of the FT on a UK REIT called Ground Rent Investment Fund. I hadn’t heard of them (the fund, not ground rents) before and it’s a solid investment story. I’m not convinced that they’re really an alternative to index linked bonds. A single asset is likely to have long periods of fixed bond like income. A portfolio is more likely to behave like the rental performance of the underlying real estate assets. As we’ve seen in previous blogs, the various real estate sectors have performed quite differently in terms of rental growth rates.