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ICRA Analytics data shows REITs and InvITs outperform Nifty50 and G-Secs in 2025India’s listed REITs and InvITs outperformed in 2025, delivering 19.55 percent returns versus Nifty50 TRI’s 11.42 percent, with REITs leading at 29.68 percent, per ICRA Analytics data.By Anshul  February 3, 2026, 2:58:07 PM IST (Published)2 Min ReadIndia’s listed Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs) emerged as one of the best-performing asset classes in calendar year 2025, significantly outperforming traditional market benchmarks, according to data released by ICRA Analytics based on InfRE360 and NSE data.

On an equal-weight basis, listed REITs and InvITs delivered a combined return of 19.55% in 2025, well ahead of the Nifty50 Total Return Index (TRI) at 11.42% and the G-Sec Index at 6.81%. The performance stresses growing investor appetite for yield-oriented instruments backed by real estate and infrastructure assets.

Within the trusts universe, performance varied by segment. REITs led the pack with a 29.68% return, supported by steady leasing activity and stable cash flows. Power InvITs returned 20.22%, reflecting operational resilience and favourable market conditions. In contrast, Road InvITs lagged with a 6.55% return, weighed down by asset-specific challenges and the impact of new listings.

ICRA Analytics noted that these figures are based on an equal-weight methodology across all listed entities, rather than market-cap weighting, and include both capital appreciation and distributions. December 2025 distributions are yet to be credited, which could further lift overall returns.

According to Madhubani Sengupta, Head – Knowledge Services, ICRA Analytics, the year-on-year trend shows mixed movement within the trusts space, even as the overall category strengthened.

“REITs nearly doubled their returns, rising from 16.81% in 2024 to 29.68% in 2025, reflecting sustained leasing momentum and consistent yield profiles. Power InvITs advanced from 9.43% to 20.22%, while Road InvITs dipped from 9.49% to 6.55%, highlighting divergent performance across infrastructure-linked assets,” Sengupta said.

She added that the interest rate environment in 2025 shifted investor preference away from G-Secs towards equity-linked and income-generating instruments. As a result, sovereign bonds underperformed, while listed trusts continued to attract strong demand due to predictable cash flows, competitive yields, and rising interest in real estate- and infrastructure-backed investments.

ICRA Analytics said public trusts have positioned themselves as a resilient alternative to traditional equities and fixed-income products, particularly for investors seeking regular distributions alongside capital appreciation.Continue ReadingTagsInvITsREITs