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, October 18, 2013

Analysis of Croesus Retail Trust

Current Price on 14th October 2013 = $0.86
  • Current Yield = 8.60%  
  • Price-to-book Ratio = 0.974
  • Assets per unit = $1.683
  • Debt per unit = $0.80 (including current liabilities)
  • Gearing = 47.5%

Croesus Retail Trust caught my eye based on two factors. One is their extremely high yield at 8.6% which is currently one of the best. Moreover, it is trading at price-to-book ratio of below one. The problems are that the gearing is quite high at 47.5% and yen has fallen by 10%.

I believe that the valuation will move up because of the growth that their government has introduced. This should help in its NAV. Moreover, the businesses has picked up which is a good sign for Japan and Croesus Retail Trust.

I do not have money currently to make purchases but I will make more observation and analysis before my next move.

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