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.

Thursday, September 30, 2010

Analysis on Mapletree Industrial Trust

This is the analysis from Mapletree Industrial Trust Prospectus

  • Price = $0.88 - $0.93
  • Yield = 8.02% 
  • Price to book ratio = 1.082 
  • Asset per unit = $1.479 
  • Debt per unit = $0.62 
  • Gearing = 41.9% (even though prospectus indicated 38.5%)
  • Secured NAV = $1.479
The attractive part of this REIT is that it has only unsecured loans, which means that all its assets are unencumbered. Therefore, its secured NAV is $1.479 which is equivalent to its assets per unit. The yield is high enough with 8.02% which is one of my criteria. The only drawback is its price to book ratio which I thought is quite high.

I will definitely apply for this IPO. Hope that I will get some...

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