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Singapore REIT Price / NAV Range Chart Oct-2018

Click on Singapore REIT Price / NAV Range Chart Oct-2018
for the source.
Author: Marubozu

Original post from http://mystocksinvesting.com

Singapore REIT Price / NAV Range Chart base on Oct 1, 2018 Singapore REITs Table.

 

See last Singapore REITs Price/NAV here to see the changes.

Disclaimer: This chart is NOT a recommendation to buy or sell. Do NOT use it if you don’t understand how to interpret it.

 

Check below on other events:

http://mystocksinvesting.com/course/singapore-reits-investing/REITs Investing Course 

http://mystocksinvesting.com/course/private-portfolio-review/REITs Portfolio Advisory 

http://mystocksinvesting.com/events/

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Singapore REIT Fundamental Analysis Comparison Table – 1 Oct 2018

Click on Singapore REIT Fundamental Analysis Comparison Table – 1 Oct 2018
for the source.
Author: Marubozu

FTSE ST Real Estate Investment Trusts (FTSE ST REIT Index) decreased slightly from 808.04 to 802.97 (-0.63%) as compared to last post on Singapore REIT Fundamental Comparison Table on Sept 2, 2018.  The REIT index continues to trade within a tight range between 800 and 820 and is currently forming a Symmetrical Triangle (a medium term consolidation chart pattern).

There are two chart patterns observed in this FTSE ST REIT Index. Head and Shoulders pattern is the trend reversal pattern, this is a bearish pattern. Symmetrical Triangle is a consolidation pattern, i.e. moving sideway. Thus, Short to Medium Term Singapore REIT direction: Side way to Down.

 

Fundamental Analysis

 

  • Price/NAV decreases from to 1.00 to 0.99 (Singapore Overall REIT sector is slightly under value now).
  • Distribution Yield increases from 6.67% to 6.77% (take note that this is lagging number). About one third of Singapore REITs (17 out of 40) have Distribution Yield > 7%.
  • Gearing Ratio stays at 34.6%.  22 out of 40 have Gearing Ratio more than 35%. In general, Singapore REITs sector gearing ratio is healthy.
  • Most overvalue REIT is Parkway Life (Price/NAV = 1.54), followed by Keppel DC REIT (Price/NAV = 1.36), Ascendas REIT (Price/NAV = 1.30) and Mapletree Industrial Trust (Price/NAV = 1.34).
  • Most undervalue (base on NAV) is Fortune REIT (Price/NAV = 0.58), followed by  Starhill Global REIT (Price/NAV = 0.77), Far East Hospitality Trust (Price/NAV = 0.73), OUE Comm REIT (Price/NAV = 0.67) and EC World REIT (Price/NAV = 0.77).
  • Highest Distribution Yield (TTM) is Lippo Mall Indonesia Retail Trust (11.19%), followed by SoilBuild BizREIT (8.91%), Viva Industrial Trust (8.31%), Cromwell European REIT (8.14%), EC World REIT (8.49%), Sasseur REIT (8.28%) and Cache Logistic Trust (8.25%).
  • Highest Gearing Ratio are Viva Industrial Trust (41%), Far East HTrust (40.3%) and OUE Comm REIT (40.3%).

Disclaimer: The above table is best used for “screening and shortlisting only”. It is NOT for investing (Buy / Sell) decision. To learn how to use the table and make investing decision, Sign up next REIT Investing Seminar here to learn how to choose a fundamentally strong REIT for long term investing for passive income generation.

  • 1 month increases from 1.50784% to 1.51200%
  • 3 month increases from 1.63239% to 1.63740%
  • 6 month increases from 1.75000% to 1.75300%
  • 12 month increases from 1.95692% to 1.96141%

US Fed has increased the interest rate to 2.25% on Sept 26, 2018. There is no knee jerk reaction because FTSE ST REIT index has already priced in rate hike. Next watch is the rate hike in Dec 2018. The current probability of interest rate hike to 2.5% is 74.4%.

 

 

Summary

Fundamentally the whole Singapore REITs is slightly under value now.  Overall yield for Singapore REIT is getting attractive (average yield of 6.77%). Yield spread (reference to 10 year Singapore government bond) has compressed to 4.238% (compared to previous month of 4.29%). DPU yield for a number of small and mid cap REITs are quite attractive (>7%) at the moment.  However, technically, the REIT index is forming a Head and Shoulder trend reversal chart pattern, and currently trading side way in a symmetrical triangle pattern waiting for the breakout. More down side is expected if the 800 support level is broken. Small and medium cap REITs have reached an attractive entry level and investors can do some selective shopping now.

See all other relevant  Singapore REITs blog posts here.

If you need an independent professional review on your current REIT portfolio and need any recommendation, you may engage me in the REIT portfolio Advisory. REITs Portfolio Advisory.  http://mystocksinvesting.com/course/private-portfolio-review/

 

Finally I have sometimes to conduct the REITs Investing Course again in this coming Oct 2018.

Please check out the detail here and register online.

Investing in Singapore REITs

 

 

 

 

 

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Why most people cannot achieve their investment goal?

Click on Why most people cannot achieve their investment goal?
for the source.
Author: Marubozu

 

I have been wondering many years why most people are not able to invest properly after attending expensive courses and many seminars. I have seen many smart people and professionals like lawyer, doctor, CFO, Managing Director, accountants, engineers, scientist, etc still are struggling in their own investment planning and meeting their investment goal. I have finally found an answer after going through 1 on 1 private portfolio review and consultation with more than hundred students and seminar participants. In summary, it is only down to The Misalignment of Want, Passion & Commitment.

 

 

Want

Everyone wants to make money through investment or trading. This can be seen from the attendance of the free seminars and paid courses. People go from one seminar to another seminar, attend course after course searching for the “best system to make money”. We can see many people use their smart phone to take pictures and taking notes, some of them even record the seminar or course content with or without permission. We can see the “Want” is strong in the people and they want to learn the “How”. Since their “Want” is so strong and they may be learning the Best Investment System but why are they still not doing it right? The problem lies with their Passion.

 

 

 

Passion

We know we learn well in the subjects we are passionate in. We will do extra mile to excel in the subject and spend more time learning it. I remember myself were a noob 9 years ago when come to investing. I graduated with an engineering degree and know nothing about finance and economy. To my surprise, I fell in love in investing after attended the 1st investment course in 2009 and I always put investment and trading as my 1st priority.

80% of people give up after attending classes and the most common excuse is “I don’t have time”. However, I always told them that “It is not about whether you have time or not, the key question is whether you have the passion to put learning investment as your 1st priority”.

 

Commitment

I spent a lot of time learning Fundamental Analysis, Technical Analysis and Macro-economy. I monitor the stock market every day to see how’s the price movement correlates to different economic news, monetary policies, company earnings, etc. I watch how the central banks’ monetary policies affect the currency movement, how the US Dollar’s movement affects the Crude Oil and Gold Price besides the demand and supply. I learned and traded different financial derivatives like CFD (Contract for Difference), Futures and Option. It is not easy for an engineer to learn all these financial stuffs while having a full time corporate job as senior management.

I received an email from one participant from my seminar asking whether my course can guarantee making money for investment with minimal effort. She told me that she does not want to waste her money attending another course because she did not take any action from her previous investment course with other trainer. My blunt reply to her “If you don’t practice what you have learned in the class, you will never start investing. I would suggest you don’t waste your money to attend classes if you don’t put any priority and commit yourself to practice. It is not about the amount of money, it is a question whether you are committed to get started to invest. No action = no grow of capital.”

 

Summary

“Wants without Passion & Commitment” — in my humble opinion, is the main reason why most people cannot achieve their investment goal.

If you want to achieve your investment goal but you know yourself you don’t have passion in learning all those financial jargons & economic theory, or you have other priorities in your life, or you would like to spend more time to pursue your other passion like gardening, travelling, reading, e.t.c, you may engage an Independent Financial Advisor to help you to construct your investment portfolio to achieve your financial goal.

 

Kenny Loh is a Senior Consultant of a largest Independent Financial Advisor in Singapore. He won 4 Awards in 2017, there are: Financial Alliance Quality Class Merit Award, Top 5 Investment Asset Under Advice (AUA) Award, Rookie Consultant of the Year Award and Best Practice Consultant Award. He specialises in building Diversified Investment Portfolio for Retirement and currently having Asset Under Advisory of Millions.

Kenny Loh

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5 Reasons Why you should include REIT in your retirement portfolio

Click on 5 Reasons Why you should include REIT in your retirement portfolio
for the source.
Author: Marubozu

One of the common questions I always receive in my seminars is what type of asset classes are suitable in our retirement portfolio. Is it endowment, annuity, universal life, bonds, equities, physical properties, land banking, hedge funds, etc. Physical properties is one of the most favorite asset classes when come to investing in Singapore. However, there are some disadvantages on physical properties investing when we are entering into our retirement age.

REIT stands for Real Estate Investment Trust and can be served as alternative to physical property investing. I will share here 5 reasons to include REIT as alternative investment to physical real estate in your retirement portfolio.

  1. Liquidity – during our retirement age, we need liquidity to pay for our living expense and for any unforeseen medical expenses. The flexibility and easiness to liquidate our investment assets to cash is extremely important. For retirees who are holding many physical real estate may want to consider to REIT as alternate to physical real estate for their retirement years as it can be liquidated immediately and get the cash back within 5 working days.
  2. Tax free and Lower total cost – there are many tax advantages by investing in REIT because the dividends generated and capital gain from REIT are not taxable. However, there are BSD, ABSD, SSD, Property Tax, Rental Income Tax by investing in physical real estate. In addition, investors still have to pay for hefty legal fee and agent commission, fire insurance cost, repairs and maintenance cost. No legal fee is payable and the brokerage commission is much lower for investing in REIT.
  3. High yield – REIT offers 5-9% annual dividend compared to physical real estate which generate between 2-5% depends on the real estate types. The REIT manager always look for yield accretive acquisition and go through a series of AEI (Asset Enhancement Initiative) of the portfolio to increase the distribution payout every year.
  4. Diversification – REIT offers better diversification in terms of number of properties, property types, tenant based, geographical and sectors compared to landlord who can only own one or two residential properties with the resources available. Investors are able to have a well balanced and diversified portfolio with a little as a few thousands dollars of the investment capital for retirement.
  5. Hassle free – As the landlord of the investment properties, he or she has to deal with the sourcing of properties, negotiation of the Sales & Purchase Agreement, apply and service the bank loan, collecting rental, managing the tenants, dealing with the property maintenance, etc. However, there is no such hassles when investing in REIT as there are professional managers engaged to deal with all these tasks.

In summary, people should enjoy their retirement years by fully optimising their investment to generate the monthly passive income. Retirees should enjoy their retirement instead of getting worried about their investment and also deal with all such hassles. REIT is an asset class which retiree should include into their investment portfolio for their retirement.

 

Kenny Loh is a Senior Consultant from Singapore Largest Independent Financial Advisor helping clients in building an investment portfolio for retirement. He specialised in Singapore REIT and has been conducting REIT investing courses for past 6 years. 

He won the Top Investment Asset Under Advisory (AUA ) 2nd runner up in 2017 and currently managing million of AUA. He also won the Best Practice Consultant Award in 2017. He can be contacted through kennyloh@fapl.sg if you would like his help to personalise a REIT portfolio for your retirement.