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RAIT INVESTMENT TRUST /Philadelphia, Pennsylvania It's Not Breaking Growth Records, But It's Safe.(THE NEW AMERICA)

Investor's Business Daily

| October 02, 2001 | COPYRIGHT 2001 Investor's Business Daily, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: Robin M. Grugal

In times of economic uncertainty, it's good to have a safe haven for your money.

RAIT Investment Trust might fit the bill. As a real estate investment trust, or REIT, the company must distribute 90% of its earnings to shareholders in dividends to keep its tax-exempt status.

Those monies come from interest earned on loans, rents and proceeds from the sale of real estate investments.

"It's a dividend vehicle," said analyst Michael Grondahl of U.S. Bancorp Piper Jaffray. "Dividend stocks are seen as safe havens in times of economic uncertainties. It's an attractive total return story, combining capital appreciation and income."

Different Than Most

Dividends aren't the only thing RAIT has going for it. Unlike most REITs, which buy and own properties directly, it acts primarily as a mortgage lender.

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