Trade Alert 03/21/2025

Trades placed:

• Purchased 218 shares of Rexford (REXR) at $39.2832.
• Purchased 79 shares of Prologis (PLD) at $108.5742.

Allocation

• Rexford went from about 6.78% to about 7.28% of the portfolio.
• Prologis went from about 3.86% to about 4.36% of the portfolio.

Industrial REITs combined to represent about 15.06% of the portfolio, so this trade will move the sector to about 16.06% of the portfolio. Our other industrial REIT position is in Terreno (TRNO) at 4.42% of the portfolio.

Why split the allocation?

• Rexford has the advantage of a larger discount to our targets, lower AFFO multiple, and lower price to NAV.
• Prologis has the advantage of more technical weakness in the short-term, a globally diversified portfolio, and it was a smaller starting allocation.

Foreshadowing

These potential purchases were foreshadowed in the subscriber portion of the Portfolio Update yesterday. Industrial REIT share prices got hit today, down about 3%, so I took the opportunity to increase our positions. I was already interested in them, but hadn't decided if I would make the move. The dip convinced me.

Tariffs remain a key concern for the industrial sector, but I still find the valuation appealing.

My Execution

These trades went into my taxable account at Schwab. I closed out some shares of SGOV (one of the short-term Treasury ETFs) to free up the resources.

Source: Schwab

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