Singapore REITs - RHB Invest 2024-07-25: A Slightly Positive Progressive Step; OVERWEIGHT

Singapore REITs - A Slightly Positive Progressive Step; OVERWEIGHT

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Singapore REITs - RHB Investment Research  | SGinvestors.ioCapitaLand Ascendas REIT (SGX:A17U) KEPPEL REIT (SGX:K71U) CDL HOSPITALITY TRUSTS (SGX:J85)
  • Monetary Authority of Singapore’s (MAS) proposal to simplify and slightly relax gearing and interest coverage ratio (ICR) requirements for S-REITs is a positive step, and provides greater flexibility and clarity in current high interest rate environment while ensuring prudence.
  • It also gradually shifts the managing appropriate debt levels onus to REIT managers and market mechanisms. If implemented, it will be a slight positive overall for the sector, and mainly benefit a few of the large-cap S-REITs with above 40% gearing and smaller overseas REITs.

A slight relaxation and simplification of leverage requirements for S-REITs.

  • - Read this at SGinvestors.io -
  • - Read this at SGinvestors.io -
  • The proposal is currently open to public for views and suggestions until 23 Aug 2024.

Proposed changes reflective of a higher interest rate era.

  • Read more at SGinvestors.io.





Vijay Natarajan RHB Securities Research | https://www.rhbgroup.com/ 2024-07-25



Read More Analysis On Singapore REITs (S-REITs):
Analyst Reports on Singapore REIT Sector

Check Out Also The Summary Of:
S-REIT Share Price Performance
S-REIT Target Prices & Ratings





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