Singapore REIT Fundamental Analysis Comparison Table – 12 Dec 2013

FTSE ST Real Estate Investment Trusts (FTSE ST REIT) Index changes from 740.76 to 693.59 compare to last post on Singapore REIT Fundamental Comparison Table on Nov 9, 2013. The index is trading below 200D SMA and technically bearish. Currently the index is just sitting on the previous low support. More down side expected if the support is broken. Fundamentally there is still a fear of interest hike in near future which dampen the investment sentiment in REIT.

FTSE ST REIT Index Dec12-2013

Compare to last Singapore REIT comparison table:

Added VIVA Industrial Trust in the table.

  • Price/NAV drops from 1.0213 to 0.9748. (More yellow in the table now –> More REIT is under value now)
  • Dividend Yield increases from  6.15% to 6.50%. (Yield is getting more attractive)
  • Gearing Ratio increases from 32.92% to 33.34%.
  • In general, most Singapore REIT is slightly under value now and the distribution yield is getting attractive. However technically Singapore REIT is in the bearish territory and going to drop further if the support (FTSE ST REIT Index Chart) is broken. So don’t be ignorant to think this is the time to buy REIT yet as the price can drop further.  The uncertainty in term of interest hike in near future remains high as Federal is getting very close to start QE tapering after a series of good economy data in US. If you are still holding REIT at the moment, you need to have a strong heart to handle the potential new drop in your REIT. Good Luck!
  • See Bubble Charts: Risk Prevention & Value Pick.

Singapore REIT NAV Gearing Distribution Yield Comparison Table 12-Dec-2013

Find out how do I conduct research on Singapore REIT, how I color code and interpret those financial ratio in the comparison table, and why am I NOT touching any REIT at the moment although some REITs are undervalue. Find out WHERE and HOW to read the FTSE ST Real Estate Investment Trust Index because timing is very critical in making any investment decision.  Check out my next public tutorial on  “How to pick Singapore REIT for Dividend Investing” .

Singapore REIT Fundamental Analysis Comparison Table – 9 Nov 2013

FTSE ST Real Estate Investment Trusts (FTSE ST REIT) Index changes from 735.74 to 740.76 compare to last post on Singapore REIT Fundamental Comparison Table on Oct 12, 2013. The index is still trading below 200D SMA and technically bearish. However, there is sign of potential reversal if the index break the recent high of 750 as it will be forming an Inverted Head and Shoulders, a reversal chart pattern. Currently the index has moved out from the down trend channel and trading sideway. 750 is the resistance to watch. Fundamentally there is still a fear of interest hike in near future which dampen the investment sentiment in REIT.

FTSE ST REIT Index Nov8-2013

Compare to last Singapore REIT comparison table:

  • Price/NAV increases from 1.018 to 1.0213.
  • Dividend Yield decreases from  6.23% to 6.15%.
  • Gearing Ratio reduced from 33.07% to 32.92%.
  • In general, Singapore REIT is at the Fair Value and the distribution yield is reasonable. However technically Singapore REIT is in the bearish territory and in consolidation phase. So do not expect any big stock price upward movement for capital gain.  The uncertainty in term of interest hike in near future remains high and this causes limited upside potential for Singapore REITs or even wipe out your initial capital invested in REIT. Invest safe and this is not the time to be hero in REIT investing until the cloud is clearer. More importantly investors must know how to GET OUT if the charts turn bearish and start another down trend again.

Singapore REIT NAV Gearing Distribution Yield Comparison Table 9-Nov-2013

 

Find out how do I conduct research on Singapore REIT, how to interpret those financial ratio in the comparison table, when is the best time to buy using simple Trend Analysis. Furthermore it is important to understand the BIGGER TREND so that your investment will not be losing money in the down trend market. Find out WHERE and HOW to read the FTSE ST Real Estate Investment Trust Index because timing is very critical in making any investment decision.  Check out my next public tutorial on  “How to pick Singapore REIT for Dividend Investing” .

Is It Time to Invest in Singapore REIT to build up Passive Income?

Debt Ceiling settled (at least for the time being), US Government re-opens, no sign of QE tapering yet, Dow Jones Industrial Index, S&P500, NASDAQ are recording historical high and still on the solid uptrend, Europe is coming out from recession, China and US GDP are doing well again….. so many good news, IS IT A GOOD TIME TO ENTER THE MARKET?

I received many inquiries regarding whether this is the right time to buy Singapore REIT. To tell you the truth: I do NOT know as I am not the fortune teller. No one can predict the direction of the stock market but it is important to understand the global economy and how those events can affect our investment plan and portfolio.

Besides looking at those Singapore REIT Fundamental data like NAV, Distribution Yield, Gearing Ratio, etc .. (See the Comparison Table for Singapore REIT here.), there are a few risks that we need to be aware as far as investing in Singapore REITs are concerned:

  • The hike of interest – The day will DEFINITELY come and the only question is when? REITs (Unit price and Distribution) will be hit because REIT has to pay more interest to the bond holders and banks due to the debt especially REITs with high gearing ratio. The hike of interest will double hit the REIT’s NAV and Distribution. 
  • REITs are sensitive to economy cycles. Any weakness in rental will affect the distribution income.
  • Currency risks for REITs which have the properties oversea.
  • REITs which high gearing may issue Rights to raise more fund to improve the working capital.

It is impossible for us to 100% understand what is happening in the world and how it will affect our REITs portfolio. However we can make better investment decision by analyse the charts using technical analysis. The charts will tell us when to invest or when to take profit / cut loss.

Base on the chart, FTSE ST Real Estate Investment Trust Index is still trading below 200D SMA (long term trend) but there is potential sign of reversal base on chart pattern. However, the upside potential is limited as long as the index stay below the 200D SMA.

FTSE ST REIT Index Oct18-2013

 

 

Similar chart patterns shown in the following REITs, all of them are in consolidation mode but upsides are limited.

Ascendas REIT

2013Oct20-Ascendasreit-800x600

CapitaMall

2013Oct20-CapitaMall-800x600

 

 

CapitaComm

2013Oct20-CapitaComm-800x600

Keppel REIT

Keppel REIT Oct22-2013

Mapletree Comm

Mapletreecom REIT Oct20-2013

Mapletree Ind

Mapletree Ind REIT Oct20-2013

Suntec REIT

2013Oct20 SuntecReit-800x600

 

I will be sharing the Singapore REIT Fundamental Analysis, Technical Analysis and how the interest rate hike will impact your REIT investment in the coming public tutorial on  “How to pick Singapore REIT for Dividend Investing” . Sign up NOW as the seats are very limited due to the classroom size.