REIC's own a lot of office space. A lot of shares of REIC's are owned by retail investors, 401ks, state pensions, etc. Our economy is highly networked.
If a single named security falls through the floor because they couldn't pivot from B&M to E-comm, there is no insurance that is going to pay out for an investor's loss (securities fraud aside). Likewise, if you made a bet that's going sour (office space), you are going to eat that loss.
Words mean things! Insurance is when you pay someone else to manage the risk, hedging is when you do it yourself. Excuse my pedantry. Agreed that hopefully funds invested in office investment vehicles did not overexpose themselves in reaching for yield (because, heh, offices are sure things, right?), but, you know...
Do they? I've always found connotation to be an intimate and flexible concept, and serves as a limiting factor for true communication. Wittgenstein agrees, I think :)
I'm not aware of the mechanics of how that works. I have a state pension account from a previous job. Does my state pension manager buy an insurance policy? Please explain.
