BlackRock CIO Highlights Global Real Estate Diversification Benefits
07/15/2015 | by Sarah Borchersen-Keto

Sherry Rexroad, chief investment officer at BlackRock Global Real Estate Securities Group, joined REIT.com for a video interview during REITWeek 2015: NAREIT’s Investor Forum, held in New York.

Rexroad emphasized that one of the primary benefits of investing in global real estate securities is the diversification gained from exposure to different economies with varied monetary policies. She cautioned against investing in a single country because of the outsized influence that monetary policy is exerting at this time.

Rexroad said that if she had to pick a single region to invest in, she would choose one with divergent monetary policies, “so that I could play both sides.”

Since the Americas are predominantly driven by the United States’ monetary policy, Rexroad said she would steer toward Europe, the Middle East and Africa (EMEA), or the Asia-Pacific region. Investing in these countries would allow investors to experience both easing and tightening of monetary policy, according to Rexroad.

Rexroad also commented on recent elections in the United Kingdom.  While the outcome has produced greater certainty in the markets, she noted that a referendum on staying in the European Union remains on the table. Although Rexroad expects the U.K. to ultimately stay within the EU, she predicted that some volatility could occur in the intermediate term.