Real estate investment trusts (REITs) fell behind property developers in the first half of the year. However, UBS expects a reversal in this trend in the second half of the year, following the implementation of a fresh round of property cooling measures effective 6 July 2018. Singapore REITs are likely to be more resilient amid heightened risk aversion, given their defensive traits. UBS’ most preferred REITs are CDL Hospitality Trusts (CDLHT), CapitaLand Commercial Trust (CCT), Ascendas REIT (A-REIT), Mapletree Logistics Trust (MLT) and Frasers Centerpoint Trust (FCT). On the other hand, property developers are likely to trade rangebound as heightened policy risk casts an overhang on the outlook for Singapore’s residential property market.  The outlook for residential property pri

As we enter 2H18, investors are now busy pruning their portfolio and re-allocating their cash into different markets. If you are one of them and looking for ideas on how you should re-allocate your portfolio, DBS thinks that Singapore should be one of the markets that you should overweight in your portfolio. Here are three reasons why DBS thinks you should take an overweight position on the Singapore market. 3 Reasons Why You Should Take An Overweight Position On The Singapore Market Singapore’s Economic Transformation Underway To Make Singapore More Attractive For Investments Singapore’s economy is historically heavy on exports. However, the Singapore government is working on an economic transformation to steer Singapore towards a more broad-based economy with the services sector to

The market is grappling with rising uncertainties from interest rate hikes and global trade war. Sentiments swung 180 degrees from optimism about a broader-based domestic economic recovery and improving corporate earnings to pessimism and fear of the impact of a US-China trade war and liquidity crunch as central banks adopt a more aggressive tightening path. Uncertainties Have Created Attractive Valuation For Singapore Stocks However, despite the doom and gloom, DBS thinks that it is now the right time to invest in the Singapore stock market. DBS notes that Singapore equity market valuation has fallen to an attractive level. The MSCI Singapore Index 12-mth forward PE swung down by two standard deviations, which is deep by historical standards. In addition, corporate earnings revision has b

There are around 40 real estate investment trusts (REITs) and stapled trusts in Singapore currently. As highlighted here, the REITs and six stapled trusts had an average distribution yield of 6.7%, as of 6 July 2018. The figure is an average, so some REITs will have an above-average yield while others will be below-average. A REIT’s distribution yield can be affected by a number of factors; one such factor is the sub-segment in which the REIT operates in. With that in mind, let’s look at the various sub-segments a REIT or stapled trust operate in, as categorised by the Global Industry Classification Standard (GICS). Retail This sub-segment holds real estate used for retail activities such as shopping centres, something that most investors would be familiar with. To know if a certai

REITs have traditionally been a mainstay in Singaporeans’ investment portfolio. However, with interest rates now rising, interest in REITs seem to have waned. However, DBS thinks that there are four good reasons why you should be investing in REITs at this point in time. S-REITs Aren’t Bonds, So Stop Pricing Them As One Investors and the market have been taking a cautious stance towards REITs due to rising interest rates and expensive valuations over the last five years. However, DBS opines that both investors and the market have been misreading drivers of REIT prices. After all, REITs are not straight out bonds and the impact of rising interest rates is mitigated by an expected upturn in rent rates. DBS notes that investors are incorrectly perceiving S-REITs as a straight forward bond

Since reaching a year-to-date high of 3,615 in early May, local benchmark Straits Times Index has shed more than ten percent amidst the amplifying volatility and trade war concerns. According to UOBKH, the retracement is largely due to a shift in interest rate hike expectations and the US-China trade spat. Such volatile time will require specific investing strategies in order for investors to beat the market. Hunting For Oversold Stocks On A Risk Premium Basis One investing strategy that UOBKH recommends is to look out for oversold stocks, which are measured by market risk premium. UOBKH notes that stocks like Oversea-China Banking Corporation (OCBC), DBS Group Holdings (DBS), Keppel Corporation (Keppel Corp) and Wing Tai Holdings (Wing Tai) have seen a rise in risk premium that is much

JLL, Lendlease launch proptech accelerator in Singapore GLOBAL real estate giants JLL and Lendlease are partnering to launch an accelerator in Singapore to kickstart innovation in real estate, an industry said to have been slow to tech advancements. But unless both companies commit to a substantial investment and a long-term plan to “transform legacy businesses”, the accelerator will yield limited benefits, observers said. Propell Asia – described as the first Singapore-based regional property technology (proptech) accelerator – opens for applications on Monday. (adsbygoogle = window.adsbygoogle || []).push({}); HDB closer to solar power target after awarding latest tender SOLAR panels are set to be installed in blocks of public flats managed by the West Coast

(Click to see my Dividend Stock Tracker) Most readers would know that I maintain a list of very popular high yield dividend stocks in Singapore. You can see the dividend yield, and how the dividend yield fluctuates as price changes. You can see its EV/EBITDA and its net debt to asset, to assess how leveraged they are. For some time, I kept getting the high yield are not cheap argument. Perhaps it depends on the context of what other stocks they are comparing to. Or the time period they are compared to. Interest rate is rising, so what is an average yield in the past, say a 5-5.5% dividend yield for Singapore based office properties, 6.5-7.5% dividend yield for industrial properties are not considered fair value. However, high yield dividend stocks, if they do not have a business behind it,

Singaporeans’ fascination for property investments stem from its meteoric rise since our island nation gained independence. Even in a more developed property market we live in today, en-bloc sales continue to fuel renewed frenzies in properties. Even on the back numerous property cooling measures enforced to reduce speculation in residential properties, sky-high prices mean that property investments remain out of reach for ordinary Singaporeans. This is where real estate investment trusts (REITs) play their part – allowing ordinary investors to access property investments in Singapore and other major property markets by pooling our monies to invest in a diversified portfolio of properties.   Find Out More What Are REITs? 7 Types Of REITs Listed In Singapore How To Start Investing

Real estate investment trusts (REITs) are an asset class that investors in Singapore are highly interested in. The opportunity to own properties, not only in Singapore, but the rest of the world is enticing. This is coupled with relatively high yields – returning close to 6.5% per annum in distributions currently. Since the launch of CapitaLand Mall Trust, the first Singapore-listed REIT, in 2002, Singapore has gone on to see its REITs and business trusts market grow in breath and depth, to a combined market capitalisation of close to $100 billion today. Read Also: Investing in Property VS REITS: Which is Better The Singapore Exchange (SGX) has attracted REIT and business trust listings not only from Singapore but Europe, USA, China, Hong Kong, Indonesia, Japan, Malaysia, India, and Aust

Alpha fund, CDL tie-up put two office assets on the market AIMING to cash in on the upturn in the Singapore office market, Alpha Investment Partners and City Developments Ltd (CDL) are understood to have put Manulife Centre in Bras Basah Road, and 7 & 9 Tampines Grande up for sale through separate expressions of interest exercises. The total price tag of the two assets exceeds S$1 billion, The Business Times understands. The vendors are looking at prices in excess of S$550 million for Manulife Centre, which works to about S$2,270 per square foot based on the 11-storey commercial building’s net lettable area (NLA) of about 242,000 sq ft. The building has retail space on street level and offices above. (adsbygoogle = window.adsbygoogle || []).push({}); Mapletree partners major