Singapore REIT Fundamental Analysis Comparison Table – 4 Mar 2018

Technical Analysis

FTSE ST Real Estate Investment Trusts (FTSE ST REIT Index) increases slightly from 805.48 to 811.22 (+0.7%) as compared to last post on Singapore REIT Fundamental Comparison Table on Feb 12, 2017.  The REIT index up trend is definitely over and looks like going to reverse to down trend after breaking the 200D SMA support. There are a few bearish signals from the charts:

  • 20D has crossed down 50D and 200D SMA.  This is the 2nd warning signal the FTSE ST REIT index will start the down trend.
  • A Bearish Pennant is in formation. Breaking down this pennant will send the index down to 740-750 region.
  • 200D SMA is served as tough resistance now and will turned down pretty soon if index cannot get back above the 200D SMA.
  • The index now is consolidating around the 61.8% Fibonacci Retracement Level.
  • The immediate important support is 800. Breaking this 800 support is the confirmed signal for the bearish trend starts as a “Lower Low” will be formed.

Fundamental Analysis

  • Price/NAV increases from 1.04 to 1.05 (Singapore Overall REIT sector is still over value now after the recent sell off).
  • Distribution Yield decreases from 6.54% to 6.47% (take note that this is lagging number). About one quarter of Singapore REITs (9 out of 39) have Distribution Yield > 7%.
  • Gearing Ratio increases from 34.4% to 34.8%.  20 out of 37 have Gearing Ratio more than 35%. In general, Singapore REITs sector gearing ratio is healthy.
  • Most overvalue REIT is Parkway Life (Price/NAV = 1.62), followed by Keppel DC REIT (Price/NAV = 1.49), First REIT (Price/NAV = 1.34) and  Mapletree Industrial Trust (Price/NAV = 1.36).
  • Most undervalue (base on NAV) is Fortune REIT (Price/NAV = 0.66), followed by OUE Comm REIT (Price/NAV = 0.77)  and Sabana REIT (Price/NAV = 0.74).
  • Highest Distribution Yield (TTM) is Lippo Mall Indonesia Retail Trust (8.94%), followed by SoilBuild BizREIT (8.72%), Viva Industrial Trust (8.59%), Sabana REIT (8.28%), and Cache Logistic Trust (8.02%).
  • Highest Gearing Ratio are Soilbuild BizREIT (40.6%) and iREIT Global (40.3%).

Disclaimer: The above table is best used for “screening and shortlisting only”. It is NOT for investing (Buy / Sell) decision. To learn how to use the table and make investing decision, Sign up next REIT Investing Seminar here to learn how to choose a fundamentally strong REIT for long term investing for passive income generation.


Interest Rate

  • 1 month increases from 1.00879% to 1.12625%
  • 3 month increases from 1.12691% to 1.24563%
  • 6 month increases from 1.33784% to 1.39888%
  • 12 month increases from 1.46634% to 1.52796%


Fundamentally the whole Singapore REITs is still over value now after the recent sell off.  Overall yield for Singapore REIT is still attractive (average yield of 6.47%) but we have to watch closely the US interest rate hike (84.5% probability US Fed is going to increase another 25 bps to 1.75%). The FTSE ST REIT Index has already moved ahead before the next interest rate announcement on Mar 21, after dropping about 7.4% from the peak.  Currently the REIT index is trading in consolidation phase.  The index may have another big move after reaching the apex of the bearish pennant pattern. Technically the direction of the REIT index is short term side way and medium term down trend.


What Should You Do?

  • If you are holding any big REIT position, you may want to reduce your exposure or hedge your portfolio. You have to proactively manage (making decision logically) your portfolio instead of reacting to the event (emotion takes over) when things happen. Be prepared for another huge leg down after the Mar 21 Fed announcement of the rate hike.
  • If you do not have any REIT now but want to build up your REIT portfolio for passive income, it is time to do homework now to put fundamental strong REIT into your watch list. You can do a great shopping when there is panic selling.
  • I receive many emails asking me when is my next REIT class. Unfortunately there is NO firm schedule at the moment. Tentatively I am planning in May or June 2018 but it is very much depends on my schedule. I would suggest you subscribe through my mailing list to be kept posted on the next REIT class schedule.
  • If you need an independent professional review on your current REIT portfolio and need any recommendation, you may engage me in the REIT portfolio Advisory. REITs Portfolio Advisory.



See all other relevant  Singapore REITs blog posts here.





Singapore REIT Fundamental Analysis Comparison Table – 3 October 2015

FTSE ST Real Estate Investment Trusts (FTSE ST REIT Index) increases from 683.6  to 692.19 (+1.26%) compare to last post on Singapore REIT Fundamental Comparison Table on Sept 2, 2015. The index is currently consolidating in a Bearish Pennant pattern before the next move and waiting for US Fed to increase the interest rate.  If the support of this Bearish Pennant is broken, expect a further selling off. This is not the right time to accumulate any REITs at the moment although the Distribution Yield and valuation looks very attractive.  Need to keep a close eye on how this REIT Index re-acts after the US Fed increases interest rate. So, sit back, relax and wait for the chart to tell us when is the right time to do the shopping.

FTSE ST REIT Index Oct3-2015


  • Price/NAV remains at 0.91.  (Singapore REIT is under value now)
  • Distribution Yield increases from 7.49% to 7.51% (take note that this is lagging number). Current yield is attractive but dangerous to make investing decision purely base on the yield. Past performance does NOT equal to future performance.
  • Gearing Ratio maintains at 34.09%
  • Most overvalue is Ascendas iTrust (Price/NAV = 1.34) followed by Parkway Life (Price/NAV = 1.36).
  • Most undervalue is OUE Commercial REIT (Price/NAV = 0.57), followed by Fortune REIT (Price/NAV = 0.58).
  • Higher Distribution Yield is VIVA Industrial Trust (10.02%) followed by iREIT Global (9.85%). Note: Yes!! It is very attractive but we have to understand the Risks and whether the distribution is sustainable or not. High Distribution Yield does not mean it is safe REIT for investment. Don’t invest purely base on the Yield % because it is wrong thing to do without knowing the reasons.
  • Highest Gearing Ratio is Croesus Retail Trust (47.3%) followed by Keppel REIT (42.6%)



Disclaimer: The above table is best used for “screening and shortlisting only”. It is NOT for investing (Buy / Sell) decision. To learn how to use the table and make investing decision, Sign up next REIT Investing Seminar here to learn how to choose a fundamentally strong REIT for long term investing.


Singapore Interest Rate Oct3-2015SIBOR Oct3-2015


  • Singapore Interest Rate increases from 0.45% to 0.49%
  • 1 month increases from 0.94621% to 1.01741%
  • 3 month increases from 1.07075% to 1.13933%
  • 6 month increases from 1.12700% to 1.19083%
  • 12 month increases from 1.24788% to 1.31225%

Currently all the REITs in Singapore started the down trend and in the short term consolidation. If there is no further sell down after the US Fed announces interest rate hike which is expected by end of 2015, the current correction of Singapore REITs provides a good opportunity to pick up some fundamental strong REITs for long term passive income investing. So, prepare your Great Singapore REIT Shopping list now!

Check out the How to Invest in Singapore REIT to generate Passive Income here.

Global Stock Market Indices PE Ratio At a Glance (13 September 2015)

Market Indices PE Ratio for Major Stock Exchange globally

  • US: Dow Jones Industrial, S&P500, NASDAQ, Russell 2000
  • Europe: FTSE100, CAC40, DAX
  • Asia: KLCI, STI, HangSeng, ASX200, CSI 300, JCI, SET, KOSPI, NIKKEI 225, SENSEX, TWSE, NZX50, PSEi

Global Stock Market PE PB Ratio Summary Sept13-2015

  • PE  = Price Per Earning

See Aug 2015 Global Stock Market PE Ratio here.

Average PE ratio reduced from 20.33 to 18.50 after Global Stock Market Sell off in August. August 24, 2015 was recorded as one of the worst Black Monday in stock market history.  VIX still maintains at a high level at 24.20 showing that the fear is still pretty much in the market. Any shock may cause another round of selling off. Next week all eyes will be on FOMC minutes and see whether the US Federal Reserve is going to raise interest rate. Technically $INDU, $SPX, $COMPQ, $RUT are showing Bearish Pennant which going to breakout soon. Fasten your Seat Belt!


VIX Sep11-2015Shiller PE Ratio Sept11-2015S&P500 PB Ratio Sept11-2015S&P500 Dividend Yield Sept11-2015


Dow Jones Industrial, S&P500, NASDAQ, Russel 2000 Charts

  • $INDU, $SPX, $COMPQ, $RUT are currently on official down trend and currently forming a Bearish Pennant. 20D SMA is currently acting as a dynamic resistance. The chart patterns are similar for all 4 indices.
  • $TRAN is Dow Jones Transportation Index. The index continues the down trend.
  • DIA, SPY, QQQ and IWM are the Indices ETF. IYT is Dow Jones Transportation ETF.

$INDU Sept11-2015$SPX Sept11-2015$COMPQ Sept11-2015$RUT Sept11-2015$TRAN Sept11-2015DIA Sept11-2015SPY Sept11-2015QQQ Sept11-2015IWM Sept11-2015IYT Sept11-2015

Past 1 Month Sector Performance

Sector Performance Sept11-2015

Treasury Yield

US 5 Year Treasuy Yield Sept11-2015US 10 Year Treasuy Yield Sept11-2015US 30 Year Treasuy Yield Sept11-2015Yield Curve Sept11-2015



Original post by Marubozu