Recently, there are PHILIPS Asia Pacific Dividend REIT and NikkoAM-STC Asia REIT listed on SGX.
Over the last few years, i have progressively sold off my REITS. Of course, I have purchased most of my reits in 2009-2010 at distressed prices.
But these few years, we have witnessed a few REITs being liquidated ( sale of assets ) or crash in prices due to poor management.
Just to name a few:
Being acquired:
1) Croesus Reit
2) Saizen Reit
Crash in prices:
1) Sabana Reit
Things, i like about some REITs here is:
1) Well managed REIT, i see its price rising by the weeks, eg Fraser Log, AIMS AMP REIT, Maple Log, Maple China.....
2) Some allow to collect distribution in Units. This will allow me to enjoy compounding effect of capital growth. Eg Fraser Commerical Trust
Things, i hate:
1) Rights issue, i have already planned and allocated funds for investment. And all of a sudden, i need to fork out more to purchase the rights.
2) Limited opportunities for reits to grow. Well, Singapore is just this size. There is a limit on your acquisation of properties at yield accretive prices.
So i purchase NikkoAM-STC Asia REIT.
It will invest in the top reits in Asia, with a projected dividend yield of 5%.
It is traded in min quantity of 100 shares. So, every quarter, i am able to re-invest my dividend by purchasing the amount of dividend received.( I hope they have a dividend reinvestment plan... = ) ).
I have no worries about rights issue. No further capital layout upon investment.
Lastly, in US, where Reits industry have a longer history, their Reits are trading mostly above book value, vs HK Reits trading below book. I believe the trend of well managed reit in Asia will follow the matrices of a US REIT.
For me, it is a YES in NikkoAM-STC Asia REIT.
Over the last few years, i have progressively sold off my REITS. Of course, I have purchased most of my reits in 2009-2010 at distressed prices.
But these few years, we have witnessed a few REITs being liquidated ( sale of assets ) or crash in prices due to poor management.
Just to name a few:
Being acquired:
1) Croesus Reit
2) Saizen Reit
Crash in prices:
1) Sabana Reit
Things, i like about some REITs here is:
1) Well managed REIT, i see its price rising by the weeks, eg Fraser Log, AIMS AMP REIT, Maple Log, Maple China.....
2) Some allow to collect distribution in Units. This will allow me to enjoy compounding effect of capital growth. Eg Fraser Commerical Trust
Things, i hate:
1) Rights issue, i have already planned and allocated funds for investment. And all of a sudden, i need to fork out more to purchase the rights.
2) Limited opportunities for reits to grow. Well, Singapore is just this size. There is a limit on your acquisation of properties at yield accretive prices.
So i purchase NikkoAM-STC Asia REIT.
It will invest in the top reits in Asia, with a projected dividend yield of 5%.
It is traded in min quantity of 100 shares. So, every quarter, i am able to re-invest my dividend by purchasing the amount of dividend received.( I hope they have a dividend reinvestment plan... = ) ).
I have no worries about rights issue. No further capital layout upon investment.
Lastly, in US, where Reits industry have a longer history, their Reits are trading mostly above book value, vs HK Reits trading below book. I believe the trend of well managed reit in Asia will follow the matrices of a US REIT.
For me, it is a YES in NikkoAM-STC Asia REIT.
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