4 stocks to gain tech exposure indirectly as a dividend investor

Everyone is about tech these days and with good reason! With the 2020 price run up though, there’s a high degree of downside risk. In this article, I explore some alternatives to classic Tech stocks where you can benefit from emerging tech trends while minimizing downside risk. It’s a way of gaining exposure to tech by picking tech supporting industries or businesses, or those which are tech-adjacent.

Allied Properties REIT

Allied Properties is a leading office REIT in Canada. They are expanding their data centre portion of their portfolio. As per their Q3 2020 Financial Report, 15.2% of their monthly rent is derived from urban data centres and 76.1% is from office use. They specialize in adapting their office use spaces into data centres. They currently operate 3 urban data centres located in Toronto, Ontario.

Brookfield Infrastructure

Owns and operates high quality, long-life assets that generate stable cash flows. These assets require relatively minimal maintenance, have a high barrier to entry and generally appreciate in value over time. This includes utilities, transport, energy and data infrastructure. Operations are spread in North and South America, Asia Pacific and Europe

Granite REIT

Granite REIT is focused on globally diversified logistics. They own and manage logistics, warehouse and industrial properties globally. Their strengths in warehousing and logistic centres has enabled them to benefit greatly from the COVID-19 pandemic and shifting trends. This REIT has performed on par with the US Tech stocks from both the start of 2020 and from a March low basis.

Summit Industrials REIT

Summit Industrial Income REIT focuses on growing and managing a portfolio of light industrial properties across Canada. They are involved in the construction of data centres, but recently sold their interest in data centres to focus on industrial properties. Their tenants consist primarily of transportation, warehouses and light manufacturing firms.

*Disclaimer: I may own some of the stocks listed above.

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