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From: jgpo@ihu1e.UUCP (John, KA9MNK)
Newsgroups: net.invest
Subject: Re: IRA's and REIT's - (nf)
Message-ID: <367@ihu1e.UUCP>
Date: Tue, 8-Jan-85 12:00:41 EST
Article-I.D.: ihu1e.367
Posted: Tue Jan  8 12:00:41 1985
Date-Received: Wed, 9-Jan-85 05:18:39 EST
References: <36500005@convex.UUCP>
Organization: AT&T Bell Labs, Naperville, IL
Lines: 21

I just purchased 100 shares of Mortgage Growth Investors (ASE - MTG) for
my IRA.  MTG is trading at about 17.50 (Jan. 7 close).  Value Line rates
MTG 2 (above average) for both Timeliness and Safety.  Merrill Lynch has
a triple buy (their highest, 1/1/7 I think) opinion on MTG.  MTG's yield
is 8.4%.  Beta is 0.55.

Of the three types of REITs available, long-term mortgage REITs and equity
REITs are considered conservative investments (just what you'd want in your
IRA).  The short-term mortgage REITs are more speculative.

A lot of REITs went belly-up in the 1970s.  When picking a REIT, look for
one that went through the bloodbath and survived.  If your REIT performed
at all well from ~1973 through ~1976, you can probably assume that its
management knows what it's doing.


	John Opalko
	AT&T Bell Labs
	Naperville, IL