Capitaland China Trust.
FLT and CRCT.
Have a more secure financial future in an uncertain world by creating a stream of reliable passive income with high yields.
Ever since the CPFB introduced a colorful pie chart of our CPF savings a few years ago, I would look forward to mine every year like a teena...
Posted by AK71 at 6:08 PM 4 comments
Labels:
CRCT,
Frasers L&I
In 2Q 2018, there was a bit of action in the S-REITs space for me and one of the things I did was to add to my investment in Starhill Global REIT at 64c a piece.
Posted by AK71 at 10:11 AM 8 comments
Labels:
AIMS-AMP Capital Industrial REIT,
Frasers L&I,
IREIT,
passive income,
REITs,
SGR,
Soilbuild REIT
Regular readers know that AK is usually pretty inactive as an investor, preferring to do nothing most of the time and just collect dividends.
Well, in 2Q 2018, in the S-REITs space, there was a bit of action.
There was the 1 for 10 rights issue by Frasers Logistics & Industrial Trust (FLT) in which I took up my entitlement and applied for a small number of excess rights.
To be honest, I did not think that the rights issue was very attractively priced.
Perhaps, it was fairly priced.
We have to take note that the massive deal weakened the REIT's balance sheet significantly while delivering very little increase to DPU and NAV per unit.
I must say that I feel that the deal was better for the sponsor than it was for the REIT.
We shall see if the REIT's DPU grows in future, everything else remaining equal.
Having said this, the REIT should still be a fairly safe and stable investment for income that keeps me happy enough to stay invested.
Even after the rights issue, the REIT is still only one of my bigger smaller investments (under $100,000 in market value but more than $50,000).
Posted by AK71 at 1:25 PM 17 comments
Labels:
Frasers L&I,
passive income,
REITs,
SGR
My investment in FLT made more than a year ago has done quite well so far and I would have been quite happy to have them keep the status quo.
Of course, that is not how things work in the real world.
FLT is proposing to buy 21 properties in Europe from its sponsor, most of them German and the rest are Dutch.
Germany is Europe's strongest economy and that is one reason why I invested in IREIT Global so many years ago.
Posted by AK71 at 12:30 PM 13 comments
Labels:
Frasers L&I
As REITs will always be relevant to the income investor, I have been thinking of how best to increase my investment in REITs again in an environment of increasing interest rates and I decided I should choose REITs which have a better plan or chance to improve their income.
Hedging interest rate risk is very well and good but this only kicks the can down the road because sooner or later, higher interest rates will hit home.
So, having the ability to increase income is still key as to whether a REIT will do well with interest rates increasing over time.
Very importantly, I also decided that it is probably a good idea to diversify more geographically and to reduce my portfolio's reliance on Singapore.
Remember I said this in a recent blog post on Sabana REIT?
However, things will get even more challenging for REITs from here on with interest rates expected to rise further. Industrial REITs here are facing an oversupply of space and a malaise in demand. (Source: History with Sabana REIT and current thoughts.)
So, although I like AIMS AMP Capital Industrial REIT (AA REIT), for example, last month, I decided to initiate a position at 92.5c a unit in Frasers L&I Trust (FLT) which owns logistics and industrial properties in Australia.
(30 November 2016) |
(September 2016.) |
CRCT's 4Q2016 results. |
Posted by AK71 at 3:54 PM 44 comments
Labels:
CMT,
CRCT,
Frasers L&I,
investment,
REITs