Welcome to my investment blog where I share with you my analysis of REITs in Singapore.

I hope that my investment philosophy will bring me a steady stream of income apart from my job. I am aiming for at least $3,000 per month which can sustain the current expenses of myself and my family.

Do enjoy reading my blog and post any comments that you have. I welcome them because it is a time to learn from each other.

When I am looking at investing in REIT, here are some of the guidelines that I am looking at. Feel free to comment on it. I am willing to listen to ideas.

-> at least 8% yield.
-> Price that is lower than its NAV.
-> Low gearing (if possible)
-> High secured NAV.

Current Dividend income is $3,800/month.

Friday, April 27, 2012

Analysis of Suntec REIT

Current Price on 26th Apr 2012 = $1.33
  • Current Yield = 7.38%  
  • Price-to-book Ratio = 0.651
  • Assets per unit = $3.361  
  • Debt per unit = $1.318
  • Gearing = 39.2%  
  • Secured Asset per unit = $1.147 (Estimated)
Suntec REIT has published its results which I think it is worth looking. Its yield is at 7.38% which is quite decent since there are not many REITs which are trading at above 8%. One attractive point is that its price-to-book ratio is at 0.651 which means that we are buying at 35% discount. Moreover, its secured NAV is 86% of its trading price.

I am looking at one potential investment which I can switch should I decide to sell either K-REIT or FCOT and this will definitely be the one to choose. Will monitor the price closely together with K-REIT Asia and FCOT to decide later.

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