General S-REITs Discussion Thread

[Dividends Warrior]

FLCT price creeping up slowly.

Some premium REITs also creeping up.

 

[homer123]

Quite an interesting analysis and seems to be borne out by the fact that those local bloggers that buy mainly Singapore stocks (like ASSI) are still ok, despite a super high concentration in Singapore stocks whereas a lot of others who ventured in the US stocks/crypto got burnt badly.

Anyway, hope you are correct that 1st order analysis works in Singapore, I just bought Comfort Delgro and Singtel this week! At the end of the year can compare performance vs MSCI World!

I think it is good opportunity to enter CDG. Its cash holding make its dividend more sustainable than Reit ..Hold, Collect Dividend and wait for price to recover

 

[DevilPlate]

I think it is good opportunity to enter CDG. Its cash holding make its dividend more sustainable than Reit ..Hold, Collect Dividend and wait for price to recover

Cannot compare Reits with CDG.
Its mandatory for reits to distribute 90% of their net income.

if you dislike potential rights issue for reits, perhaps can buy into reits etf like CFA…..buy and forget and collect dividends (but pay 0.6% mgmt fee though)

 

[limster]

Cannot compare Reits with CDG.
Its mandatory for reits to distribute 90% of their net income.

if you dislike potential rights issue for reits, perhaps can buy into reits etf like CFA…..buy and forget and collect dividends (but pay 0.6% mgmt fee though)

Actually it is possible to compare REITs with CDG, depending on what your investment objectives are.

For example, I'm very interested in profitable counters with good free cash flow as thats where dividends comes from. Could be a REIT, could be CDG. If CDG's rate of earnings growth and therefore dividend growth is faster than a particular REIT, I would be looking at CDG instead of that REIT.

On the other hand, its possible for someone who calls himself a pure REIT investor (maybe his blog is called REIT warrior or something like that), and for him, because of his special style, REIT and CDG is not comparable).

On the other hand, someone like Dividend Warrior, you can see by his portfolio that he is screening for good dividend counters, could be REIT, could be something else.

To each his own

 

[DevilPlate]

Actually it is possible to compare REITs with CDG, depending on what your investment objectives are.

For example, I'm very interested in profitable counters with good free cash flow as thats where dividends comes from. Could be a REIT, could be CDG. If CDG's rate of earnings growth and therefore dividend growth is faster than a particular REIT, I would be looking at CDG instead of that REIT.

On the other hand, its possible for someone who calls himself a pure REIT investor (maybe his blog is called REIT warrior or something like that), and for him, because of his special style, REIT and CDG is not comparable).

On the other hand, someone like Dividend Warrior, you can see by his portfolio that he is screening for good dividend counters, could be REIT, could be something else.

To each his own

You still cannot compare dividend stocks like CDG to reits.
Reits should only compare to maybe bonds for fixed income (yield seeking) investors. (reits yield vs risk free sgs yield)

Comparing CDG vs ST Eng vs Singtel probably more appropriate for any meaningful comparison.

 

[TehSi99]

I think it is good opportunity to enter CDG. Its cash holding make its dividend more sustainable than Reit ..Hold, Collect Dividend and wait for price to recover

Whst are the drivers to push price up?

Wonder why price dropped in the first place.

 

[limster]

You still cannot compare dividend stocks like CDG to reits.

I have been doing it all the time. When I have spare money, I have to decide what stock or ETF to buy. If I cannot compare REIT to stock, how do I know whether to buy REIT or stock?

Currently, my comparison suggests that stocks such as Comfort Delgro are more attractive than REITs, so I buy CDG. Other times, maybe a certain REIT look like better value, then I buy that REIT.

 

[DevilPlate]

I have been doing it all the time. When I have spare money, I have to decide what stock or ETF to buy. If I cannot compare REIT to stock, how do I know whether to buy REIT or stock?

Currently, my comparison suggests that stocks such as Comfort Delgro are more attractive than REITs, so I buy CDG. Other times, maybe a certain REIT look like better value, then I buy that REIT.

You are missing the point. You shouldn‘t even compare CDG with reits and then thinks that CDG is good stock to invest.

 

[limster]

You are missing the point. You shouldn‘t even compare CDG with reits and then thinks that CDG is good stock to invest.

it depends on your investing style. if you do fundamental analysis, you can use FA tools to help you assign a fair value to any counter, whether REIT or stock, and buy when there is a margin of safety.

I try not to buy overvalued REITs, like when all those REITs were going way above their NAV. Similarly I wouldn't want to buy Comfort Delgro when its overvalued, so i only started to get interested after I dropped below $1.2 . If Frasers CT drop below $2, I'm also a buyer!

 

[DevilPlate]

it depends on your investing style. if you do fundamental analysis, you can use FA tools to help you assign a fair value to any counter, whether REIT or stock, and buy when there is a margin of safety.

Exactly and reits vs CDG uses very different valuation metric altogether….so how to compare? Lol

 

[elvintay07]

Reits just go with strong sponsor like mapletree, Capitaland etc. I not worry they do rights issue. I only worry if you do private placement to dilute my shareholding.

Cannot compare Reits with CDG.
Its mandatory for reits to distribute 90% of their net income.

if you dislike potential rights issue for reits, perhaps can buy into reits etf like CFA…..buy and forget and collect dividends (but pay 0.6% mgmt fee though)

 

[homer123]

Cannot compare Reits with CDG.
Its mandatory for reits to distribute 90% of their net income.

if you dislike potential rights issue for reits, perhaps can buy into reits etf like CFA…..buy and forget and collect dividends (but pay 0.6% mgmt fee though)

Anyone can compare investment across different asset class . For investors like us , we look at potential return rather than apple versus orange analysis.

 

[homer123]

I was watching a youtube from Gabiel Yap and found a interesting topic on why investors should be carefull with big brand reits like Capitalland , Mapletree ? We know MIT have probably overpaid for its US DC bought at the peak , Ascendas reit overpaying SF US office (almost 780 million USD) ,MLT buying spree on overseas logistics properties also overpaid and suffering forex loss.

 

[elvintay07]

I was watching a youtube from Gabiel Yap and found a interesting topic on why investors should be carefull with big brand reits like Capitalland , Mapletree ? We know MIT have probably overpaid for its US DC bought at the peak , Ascendas reit overpaying SF US office (almost 780 million USD) ,MLT buying spree on overseas logistics properties also overpaid and suffering forex loss.

Be careful of big brand reits then buy small brand reits?

 

[TehSi99]

Reits just go with strong sponsor like mapletree, Capitaland etc. I not worry they do rights issue. I only worry if you do private placement to dilute my shareholding.

Frasers considered as big brand?

 

[elvintay07]

Frasers considered as big brand?

Consider la

 

[snowcrabramyeon]

Frasers considered as big brand?

FLCT is an STI component stock and FCT is in the STI reserve list. You say leh?

 

[starbugs]

Fraser is controlled by the Thai Beverage founder. It is only as strong as that family's fortune. During the GFC, the previous FCT had trouble rolling over its loans, but I guess most people have forgotten about this.

 

[weng0202]

Be careful of big brand reits then buy small brand reits?

I think small brand lagi worse. At least big brands won't end up become penny stocks or insolvent.

 

[elvintay07]

Fraser is controlled by the Thai Beverage founder. It is only as strong as that family's fortune. During the GFC, the previous FCT had trouble rolling over its loans, but I guess most people have forgotten about this.

Gabriel Yap is top 10 shareholder of FCT. He is like the Warren Buffett of Singapore reits. Relax la.

My reits portfolio is rather diverse. I got these reits and equally weighted.

(1) Ascendas Reit
(2) CICT
(3) FCT
(4) Mapletree Ind Trust
(5) Mapletree logistic Trust
(6) Keppel DC
(7) Keppel Reit
(8) Parkway Life Reits
(9) SPH Reit
(10) Ascott Hospitality Reit

If these reits die, I quite sure Singapore game over . Lol! ​