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Holding Agree Realty REIT in a Roth IRA saves significant taxes on dividends compared to taxable accounts.

Market News
03 Jun 2026
24/7 Wall Street
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Bullish
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Agree Realty, a retail net-lease REIT, pays dividends taxed as ordinary income, making Roth IRA the preferred holding for tax efficiency. With a 4.2% yield and monthly distributions, holding Agree in a Roth IRA avoids federal taxes that can consume 24% or more of dividends in taxable accounts. Over 10 years, this tax saving compounds significantly, potentially adding tens of thousands in extra income. Investors often pair Agree with Realty Income REIT for a balance of yield and growth, but Agree's lower leverage and growth prospects make it attractive for Roth accounts. Investors should consider moving Agree shares from taxable accounts to Roth IRAs or plan phased Roth conversions to maximize tax benefits.

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