Distribution per unit (DPU) growth is crucial when investing in real estate investment trusts (REITs). A REIT that can consistently increase its DPU will not only provide the investor with higher distribution, its unit price will likely appreciate along with the DPU growth. With that, here are two REITs that have increased their DPU in the last quarter. Frasers Logistics and Industrial Trust (SGX: BUOU) With a portfolio valued at A$3.0 billion, Frasers Logistics and Industrial Trust is one of the larger industrial REITs in Singapore. Its investment portfolio consists of 61 properties in Australia, 17 in Germany and four in the Netherlands. In the July to September quarter, the REIT managed to increase its distribution per unit by 0.6%. While a 0.6% increase may not seem like much, it is a

Against the backdrop of a rising interest rate environment, REITs seem to be one of the obvious losers. This is because REITs are asset-heavy investments that require high levels of leverage, borrowing substantial amounts of money to purchase properties that they subsequently rent out. Read Also: Increasing Interest Rates In 2018: Here Are 4 Ways Singaporeans Will Be Affected In Singapore, there are currently 39 listed REITs and a further nine business trusts (of which six are property related). On average, they have a debt to asset ratio of just under 35%. With rising interest rates, REITs will have to fork out more in interest payment, potentially reducing the distributions they can pay to investors. How REITs Have Performed In YTD 2018 To gauge the performance of REITs in 2018, we can l

It’s earnings season again. Real estate investment trusts (REITs) have always been one of the favourite investment choices for risk adverse investors due to their stable earnings qualities. In this article, I will look at two REITs that have lived up to their investors’ expectation by delivering positive performances in their latest earnings updates. The first REIT on the list is Ascott Residence Trust (SGX: A68U). As a quick introduction, Ascott Residence Trust is a REIT focusing on hospitality assets. Its sponsor is property giant, CapitaLand Limited (SGX: C31). For the third quarter ended 30 September 2018, Ascott reported that revenue grew 6% year-on-year to S$134.5 million while gross profit improved by 9% to S$64.2 million. Similarly, distribution per unit (DPU) was up by

Is Mapletree Logistics Trust Worth Investing In Now? What you do say to a growing property with a 6.4% yield in a growing industry? The post Is Mapletree Logistics Trust Worth Investing In Now? appeared first on Value Invest Asia.

To help investors make better portfolio allocation, DBS regularly publishes its model portfolio. The model portfolio consists of a basket of shares that DBS thinks are worth investing in. In this article, we are going to highlight three of them that DBS thinks are worthy to be in every investor’s portfolio. Investors Takeaway: 3 Stocks Worthy To Be In Every Investor’s Portfolio Genting Singapore Genting Singapore’s (Genting) share price has recovered marginally since its 1Q18 results following the ease of concerns over margin pressure. Moving forward, DBS foresees significant potential for Genting to rally strongly. Despite the recent turnaround in profitability, some investors remain sceptical over the sustainability of Genting’s earnings recovery. DBS thinks that the scepticis

Mapletree Logistics Trust (SGX: M44U) reported higher distribution per unit (DPU) on Monday, boosted by growth from its existing properties and the addition of two new Hong Kong properties. The latest report was for the second-quarter earnings results for fiscal year ending on 31 March 2019 (FY18/19). Mapletree Logistics Trust is an Asia-focused logistic real estate investment trust (REIT) with 138 properties in its portfolio. The properties span across Singapore, Hong Kong, Japan, Australia, South Korea, China, Malaysia and Vietnam and have a total book value of S$7.6 billion. Let’s take a quick look at the results. 1. Gross revenue for the reporting quarter increased by 13.8% year-on-year to S$106.6 million while net property income rose by 14.6% to S$90.2 million. 2. Distribution per

Most investors in the market are familiar with the name Mapletree. After all, it is the sponsor of four different REITs that are listed on SGX with strong firepower. In the past 12 months, the Mapletree Group of REITs have been one of the more active S-REITs with acquisitions worth $3.1 billion made in Singapore, Hong Kong, China, Japan and the US. We dive into the Mapletree brand to see what makes its REITs so unique in the S-REIT space. Investors Takeaway: Dissecting The Mapletree Brand REITs Mapletree Logistics Trust Mapletree Logistics Trust has been on an acquisition spree. It added $1.8 billion worth of new assets over the past 12 months. Moving forward, there are still plenty of inorganic growth opportunities for Mapletree Logistics Trust in China, Hong Kong, Japan and Australia.

There are 30 blue-chip companies in the Straits Times Index (SGX: ^STI), but not all blue-chips can maintain their coveted position. In September, the co-creators of Singapore’s stock market benchmark, the STI, announced some changes to the index as part of their routine review to ensure that the companies in the index continue to meet its requirements. Together with announcing changes, they also revealed the new STI reserve list. Companies on the reverse list will replace any STI component that becomes ineligible due to corporate actions before the next review. One company on this new list is Mapletree Logistics Trust (SGX: M44U). A Closer Look Mapletree Logistics Trust was the first Asia-focused logistics REIT to be listed on the Singapore market back in 2005. The REIT’s portfoli

Mapletree Logistics Trust (SGX: M44U) is a real estate investment trust (REIT) that owns 134 logistics properties around Asia and Australia. There are two things about income-seeking investors may want to know about the REIT right now: its latest financial results and valuation. Financial Results The table below shows the key financial figures from Mapletree Logistics Trust’s earnings report for the first quarter of the financial year ending March 2019 (FY18/19). Source: Mapletree Logistics Trust’s Earnings Update Overall, we see that there was growth across the board compared to a year ago. The REIT’s performance was driven by growth from its existing portfolio along with contributions from its two new acquisitions in Hong Kong. As of 30 June 2018, the REIT’s gearing

Axis REIT is the first Islamic business space and industrial REIT to be listed on Bursa Malaysia. As at 30 June 2018, Axis REIT has a portfolio of 42 properties worth RM2.66 billion. In this article, I’ll cover Axis REIT’s results for the last 10 years and discuss its plans for growth in the near-future. Here are 12 things to know about Axis REIT before you invest: Group financials 1. Axis REIT \expanded its portfolio size by a compound annual growth rate (CAGR) of 14.91% for the past 10 years — from 19 properties worth RM730 million in 2008 to 40 properties worth RM2.55 billion in 2017. The REIT acquired two more properties in 2018 increasing its total number of properties to 42 and portfolio size to RM2.66 billion presently. Source: Axis REIT Q2 2018 and annual reports 2. Gro

Yesterday, the co-creators of Singapore’s stock market benchmark, the Straits Times Index (SGX: ^STI), announced some changes to the index as part of its September quarterly review. The announcement also revealed the new STI reserve list. Companies on this list will replace any STI component that becomes ineligible due to corporate actions, before the next review. With that, let’s look at the five STI reserve list components in order of market capitalisation. Component #1: Suntec Real Estate Investment Trust (SGX: T82U) Suntec Real Estate Investment Trust is the first composite real estate investment trust (REIT) in Singapore, owning both retail and office properties. Its portfolio includes Suntec City, a one-third interest in One Raffles Quay, a commercial building in Australia’s

In Lady Gaga’s style, the Singapore stock market benchmark, the Straits Times Index (SGX: ^STI), has “asked” telco StarHub Ltd (SGX: CC3) to stop telephonin’ me – that’s because StarHub will soon be dropped from the STI. Taking its place will be pan-Asian retailer, Dairy Farm International Holdings Ltd (SGX: D01). The index’s co-creators – Singapore Press Holdings Limited (SGX: T39), Singapore Exchange Limited (SGX: S68), and FTSE Russell – made the announcement today after the stock market closed. The changes are part of the September quarterly review of the index. The replacement of StarHub with Dairy Farm will take place after the close of business on 21 September 2018 and will be effective on 24 September 2018. Dairy Farm’s share price (in US do

The SGX S-REIT 20 Index fell to a year-to-date low in July this year as the Federal Reserve continued to on hiking interest rate. However, S-REITs have been gradually recovering. Here are five REITs that are still showing value in the market, according to the analysts. Investors Takeaway: 5 Value Picks For Singapore REITs CapitaLand Commercial Trust CapitaLand Commercial Trust (CapitaCom Trust) saw its revenue grew following the additional contributions from Asia Square Tower 2 and CapitaGreen. The contributions from both new assets more than offset the income vacuum from asset sales. UOBKH notes that while there were still negative rental reversions, the rental spread has been narrowing. This reflects the improving conditions in the office rental market. UOBKH anticipates the spot re

The FTSE Value-Stocks ASEAN Index uses a proprietary screen to identify value stocks from ASEAN. The index uses a criterion which looks at valuation, quality factors, and contrarian factors. On the valuation front, the index uses the price-to-earnings (PE) ratio as its main selection determinant. Once all the companies that fit into its screening criteria are selected and ranked, the 50 companies with the lowest PE ratios are selected for the index. SGX recently released a report, looking at the performance of the 10 Singapore companies included in the index. We looked at five from the list here. Today, let’s take a look the other five (figures as of 13 Aug 2018, unless otherwise stated): 1. Mapletree Logistics Trust (SGX: M44U) is the third, real estate investment trust (REIT) to be inc

The FTSE Value-Stocks ASEAN Index promises to curate a group of high quality value stocks from the ASEAN region. A recent report from local bourse operator SGX revealed that there are 10 Singapore-listed companies made the cut for the index. As a quick background, the FTSE Value-Stocks ASEAN Index is made up of approximately 50 value stocks from the ASEAN region, namely Indonesia, Malaysia, Philippines, Thailand, and Singapore. The index provider uses a proprietary value screen that includes valuation, quality and contrarian factors. Over the past 10 years the FTSE Value-Stocks ASEAN Index has returned an annualised yield of 6.6%. In contrast, the Singapore stocks within the index which are included have returned a staggering 155% total return or 9.9% annualised. Let take a quick look at t