Singapore REITs: Monthly analysis  – The Property Chronicle
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Singapore REITs: Monthly analysis 

The Analyst

  • FTSE ST Real Estate Investment Trusts (FTSE ST REIT Index) increased slightly from 859.68 to 865.91 (+0.72%) compared to last month’s update. Currently the Singapore REIT index is still trading with a range between 816 and 874.
  • Yield spread (in reference to the 10-year Singapore government bond of 1.551%) continues to tighten from 4.08% to 3.809%. However, the risk premium is still attractive to accumulate Singapore REITs in stages to lock in the current price and to benefit from long-term yield after the recovery. Moving forward, it is expected that DPU will increase due to the recovery of the global economy.
  • Technically the REIT Index is still trading in a sideways consolidation waiting for a breakout (upside bias). Current macro factors, such as a low-interest rate environment, aggressive M&A for future DPU growth and recovery of global economics support the bullish breakout.

Technical analysis 

FTSE ST Real Estate Investment Trusts (FTSE ST REIT Index) increased slightly from 859.68 to 865.91 (+0.72%) compared to last month’s update. Currently the Singapore REIT index is still trading with a range between 816 and 874.

  • As for now, short term direction: sideways.
  • Immediate support at 816, followed by 775.
  • Immediate resistance at 874.
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Source: Market Watch






The Analyst

About Kenny Loh

Kenny Loh

Kenny Loh is a senior consultant and REITs specialist at Singapore’s top independent financial adviser. He is also a certified financial planner, REIT trainer for the Singapore Exchange, and a certified trainer by the Institute of Banking and Finance Singapore. His personal investment blog is at http://mystocksinvesting.com.

Articles by Kenny Loh

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