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, December 5, 2014

Analysis of AIMS Property Securities Fund

Current Price on 26th Nov 2014 = $0.127
  • Yield = 4.15%  
  • Price-to-book Ratio = 0.578
  • Assets per unit = $0.216
  • Debt per unit = Nil (including current liabilities)
Recently I am looking into AIMS Property which attracted my attention with its extremely low price-to-book ratio of 0.578. Moreover, they have cleared their debts which means you own everything without the risk of losing your money. Moreover (again), it has about $0.08 cash on hand. Compared it to their last traded price, it is about 60%.

Their distribution is very low at this point at 4.15% but I believe after going through so much in their reconfiguration of their portfolio it is time to invest and grow. However, we are still not very sure how it will come about. Looking at their track record of turning AIMSAMP Industrial Trust around, they do have the experience to turn it around and value add to the fund.

To me, this is going to be a friendly rival to Global Investment Limited which faced a similar situation earlier as well. Looks like it is time to raise cash and invest in this counter. (The only problem is its illiquidity which result it very wide buy-sell spread.)

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