Singapore REIT Fundamental Analysis Comparison Table – 2 September 2015

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FTSE ST Real Estate Investment Trusts (FTSE ST REIT Index) decreases from 752.6 to 683.6 (-9.17%) compare to last post on Singapore REIT Fundamental Comparison Table on Aug 2, 2015. The index has broken down from the 200D SMA support and it is a confirmed down trend.  Immediate resistance at 710. Expect more down side in coming months as there is no sight of bottoming and trend reversal yet. Don’t catch the falling knife in Singapore REITs although the Distribution Yield looks very attractive at the moment.

FTSE ST REIT Index Sept2-2015

 

  • Price/NAV decreases from 1.00 to 0.91.  (Singapore REIT is under value now)
  • Distribution Yield increases from 6.84% to 7.49% (take note that this is lagging number). Current yield is attractive but dangerous to make investing decision purely base on the yield.
  • Gearing Ratio increase slightly from 34.02% to 34.09%
  • Most overvalue is Ascendas iTrust (Price/NAV = 1.37) followed by Parkway Life (Price/NAV = 1.33).
  • Most undervalue is OUE Commercial Trust (Price/NAV = 0.57), followed by Fortune REIT (Price/NAV = 0.60).
  • Higher Distribution Yield is VIVA Industrial Trust (10.09%) followed by iREIT Global (9.55%). 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%)

Singapore-REIT-Fundamental-Analysis-and-Comparison-Table-2-Sep-2015

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, check out the very pragmatic and educational public seminar here “Investing in Singapore REIT“.

Singapore Interest Rate Sept2-2015 SIBOR Sept2-2015

 

  • Singapore Interest Rate decrease from 1.01% to 0.45%
  • 1 month increases from 0.75916% to 0.94621%
  • 3 month increases from 0.87858% to 1.07075%
  • 6 month increases from 0.93858% to 1.12700%
  • 12 month increases from 1.06358% to 1.24788%

Base on the latest trend analysis from the stock chart, Retail Malls and Healthcare REITs have broken down the support and started the sell off.  Basically all the REITs in Singapore started the down trend. The current correction of Singapore REITs provides a good opportunity to pick up some fundamental strong REITs for long term passive income investing. It is time to prepare a Great Singapore REIT Shopping list and wait for the right valuation and entry point to start accumulation. Happy Shopping!

Check out all Singapore REITs Chart Here.

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Singapore REIT Bubble Charts: Price/NAV vs Distribution Yield vs Gearing Ratio

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Bubble chart derived from Aug 2 Singapore REITs Fundamental Comparison Table.

These Bubble Charts are used to show the “relative” position compare to other Singapore REITs.

Two visual bubble charts to pick and avoid:

  1. Undervalue Singapore REITs with High Distribution Yield (Value Pick)
  2. Overvalue Singapore REITs with High Gearing Ratio (Risk Avoidance)

The Singapore REIT Bubble charts are best used to visually Short List Singapore REIT only.

Singapore REIT Bubble Chart (Value) Aug8-2015Singapore REIT Bubble Chart (Risk) Aug8-2015

Disclaimer: This is NOT a Buy or Sell Recommendation. Investors are advised to speak to the Authorized brokers for any investing decision. The Author does not guarantee the accuracy of the data and presentation.

See last Singapore REIT Bubble Charts here to see the relative movement.

To understand how to conduct Fundamental Analysis and Trend Analysis of Singapore REIT, check out the Singapore REIT Investing Class here.

Continue ReadingSingapore REIT Bubble Charts: Price/NAV vs Distribution Yield vs Gearing Ratio

Singapore REIT Fundamental Analysis Comparison Table – 2 August 2015

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FTSE ST Real Estate Investment Trusts (FTSE ST REIT Index) decreases from 781.09 to 752.6 (-3.65%) compare to last post on Singapore REIT Fundamental Comparison Table on July 1, 2015. The index has broken down from the 200D SMA support and it is a confirmed down trend.  Immediate resistance at 770. Expect more down side in coming months.

FTSE ST REIT Index Aug2-2015

Learn how to conduct Trend Analysis here.

  • Price/NAV decreases from 1.03 to 1.00.  (Singapore REIT in at fair value now)
  • Distribution Yield increases from 6.61% to 6.84% (take note that this is lagging number)
  • Gearing Ratio reduces from 34.08% to 34.02%.
  • Most overvalue is Ascendas iTrust (Price/NAV = 1.46) followed by Parkway Life (Price/NAV = 1.45).
  • Most undervalue is OUE Commercial Trust (Price/NAV = 0.64), followed by Fortune REIT (Price/NAV = 0.67).
  • Higher Distribution Yield is VIVA Industrial Trust (9.45%) followed by iREIT Global (9.07%). Note: 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 (50.4%) followed by Keppel REIT (42.6%)

Grab an insight of the REIT class here 3 Tips To Increasing Returns On REITs Investments

Check out the very pragmatic and educational public seminar here “Investing in Singapore REIT“.

Singapore-REIT-Fundamental-Analysis-and-Comparison-Table-2-Aug-2015

 

Singapore Interest Rate Aug2-2015SIBOR Aug2-2015

 

  • Singapore Interest Rate increase from 0.39% to 1.01% (a huge spike in one month!).
  • 1 month increases from 0.69688% to 0.75916%
  • 3 month increases from 0.82100% to 0.87858%
  • 6 month increases from 0.88374% to 0.93858%
  • 12 month increases from 1.01367% to 1.06358%

A huge spike in Singapore Interest rate and a down trend in FTSE ST Real Estate Investment Trust Index may scare off some investors. Base on the trend analysis from the stock chart, there are weakness in Hospitality and Commercial Trust, but Retail Mall and Healthcare are still holding well. The current correction of Singapore REITs present a good opportunity to pick up some fundamental strong REITs for long term passive income investing. Wait for the moment of “Movement in Sympathy” of REIT sell off when the interest rate hike and prepare for shopping list! The key question is which REIT to put into watchlist and When is the right time to buy.

Check out all Singapore REITs Chart Here.

 

 

 

 

 

Continue ReadingSingapore REIT Fundamental Analysis Comparison Table – 2 August 2015