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.

Wednesday, October 16, 2013

Analysis of Keppel REIT

Current Price on 14th Oct 2013 = $1.245
  • Current Yield = 6.33%  
  • Price-to-book Ratio = 0.982
  • Assets per unit = $2.286
  • Debt per unit = $1.017 (including current liabilities)
  • Gearing = 44.5%
  • Secured NAV = $1.18 (95%)

Keppel REIT has announced their results which is quite good and stable. Yield is currently at 6.33% with a price-to-book ratio close to 1. One important thing to highlight is that their Secured NAV is $1.18 which is 95% of their purchasing price. This shows the strong safety net that it has and I doubt that it will fall below this price. (There again, there are REITs which are trading below Secured NAV pricing, but not too far away)

I was an investor of Keppel REIT until June this year when I sold it. Well, with the current statistics, I won't be looking at this. There are REITs with similar profile and offering better statistics.

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