Welcome

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, August 4, 2017

Analysis of EC World REIT - A hidden REIT with good statistics.

Current Price on 27th July 2017 = $0.785
  • Yield = 7.85%  
  • Price-to-book Ratio = 0.876
  • Assets per unit = $1.854
  • Debt per unit = $0.958 (including current liabilities)
  • Gearing = 51.7%
EC World REIT caught my eye because of their statistics and also the recent run-up of all other REITs and Business Trust. Let's take a look at the statistics.

With a yield of 7.85%, it is probably one of the highest yielding REIT in SGX now. Moreover, they are trading at a 12% discount to NAV which is good. Do note that all their properties are based in China doing e-commerce which looks like a boom now for them where online retailing is involved. Their Gearing is at a high of 51.7% and this is actually worrying.

This could be better than Sabana REIT that I bought recently and is able to challenge Viva Industrial Trust, Soilbuild REIT etc. It is not easy to find such a combination now i.e. high yield with trading at discount to NAV. I will consider moving some funds into this.

1 comment:

  1. Sir, much appreciate you can share the info with the Gearing ratio from ?

    ReplyDelete