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.

Tuesday, October 19, 2010

Analysis of Ascendas REIT

Current Price on 19th Oct 2010 = $2.11
  • Current Yield = 6.26%  
  • Price-to-book Ratio = 1.346 
  • Assets per unit = $2.604  
  • Debt per unit = $1.036
  • Gearing = 39.8%  
  • Secured Asset per unit = $1.336 (Estimated)
Ascendas REIT has reported its latest results, setting a benchmark for all industrial REITs as it is the biggest one on the market. One of the most stable REITs we have, it is quite sad that it has been priced in. Its yield is low compared to the rest, and its price-to-book ratio is above NAV. I will prefer to the smaller industrial REITs like Cambridge, AIMS AMP Capital or Cache which offer higher yield and trading at a discount to NAV.

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