Which type of investments may be valued annually?

Real estate is often valued annually due to several factors that can significantly influence its market value over time, including changes in the local market conditions, property improvements, or economic factors such as interest rates and employment levels. This regular reassessment allows investors, property owners, and stakeholders to understand the value of the asset within the context of current market dynamics and potential tax implications.

In contrast, other investments may not have an annual valuation requirement or process. For example, U.S. Treasury Notes and bonds issued by corporations like Wal-Mart are typically valued based on their interest rates and market demand but are usually evaluated on a semi-annual basis when interest payments are made. Similarly, preferred stock from a corporation like GE has a fixed dividend and may not require an annual valuation unless significant market changes occur. Overall, real estate's unique characteristics and the various factors that can influence its value make an annual valuation more standard practice in its management and investment analysis.