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.

Monday, March 12, 2018

Analysis of Dasin Retail Trust - Still attractive

Current Price on 12th Mar 2018 = $0.90
  • Yield = 8.71%  
  • Price-to-book Ratio = 0.718
  • Assets per unit = $2.916
  • Debt per unit = $1.409 (including current liabilities)
  • Gearing = 48.3%
Dasin Retail Trust is one of my closely-watched counter. Ever since my previous purchase of 80,000 shares, the price has gone up and I have received dividends from them. With the recent results, it still looks attractive.

With the current yield of 8.71%, it is one of the highest yielding REIT in SGX although it functions as a Trust. Moreover, it is trading at price-to-book value of 0.596 which means we are buying at 40% discount to its valuation which is very attractive. The drawback is that its properties are in China which means we are exposed to China risk. Gearing is also at a high of 48.3%.

Their properties are currently at 100% occupancy which means if they were to grow the trust, they need to buy more properties. To buy more properties, they will probably need to issue new units which is not favourable unless they are able to buy at steep discounts to valuation, like what they did previously.

I am vested with 80,000 shares, enjoying the upcoming dividend of $3,300. And I am holding on to this. In fact, I am considering to buy more.

2 comments:

  1. yeah man, and the unit price is doing well even with the market slump

    ReplyDelete
  2. The problem of this counter is its financial engineering

    ReplyDelete