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 REIT V2, Real Estate Investment Trust

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whizzer
post Jul 30 2010, 04:38 PM

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QUOTE(darkknight81 @ Jul 30 2010, 04:32 PM)
Hektar yield more than 9% ?  shocking.gif
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The small print at the bottom sez "Maybank IB Forecast".
whizzer
post Jul 30 2010, 05:41 PM

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QUOTE(cherroy @ Jul 30 2010, 05:16 PM)
Better use the historical data as guideline. More accurate, more realistic.

Stareit never give more than 7 cents until so far.
Suddenly predict to give 8.x cents?

I bring out my trolley to shop Stareit if it can give 8.x cents with current price of 0.85-0.87.  tongue.gif
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Yes. but also have to put a disclaimer : Past performance does not guarantee future results. tongue.gif
(Like what they do on mutual fund prospectus.)
whizzer
post Jul 31 2010, 12:05 AM

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QUOTE(Jordy @ Jul 30 2010, 09:29 PM)
cherroy bro,

Lets put it this way. Past period in my language means the period from July - December (Q3 - Q4) smile.gif
whizzer,

It is irrelevant, as residential property pricing does not affect commercial property prices.


Added on July 30, 2010, 9:34 pm

whizzer,

Let me reiterate, the increase of 3 cents in QCAPITA's price yesterday was baseless, as it is expensive in every way we look at it. Also, traders take advantage of yesterday to lock in their profits. So I'm looking forward for QCAPITA to drop a little further, perhaps another 2 cents.
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Jordy,
There was big sell off at the beginning of the month. I actually queued at 1.01 thinking that I won't get it because the q was big, then suddenly, got wallop. From past discussions, there was mentioned that foreign funds were liquidating small chunks to move to the other new REITs which has more liquidity for them to manuver. Thus yesterday one could be that these funds still liquidating. But don't know how we can confirm these kind of things. hmm.gif


whizzer
post Aug 4 2010, 12:07 AM

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QUOTE(sopol @ Aug 3 2010, 08:19 PM)
rclxms.gif ho.ho.ho..collecting rental every 3 months. Rental come me instead i go to the tenant

Nice hektar!  rclxm9.gif
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Yes. This one is more or less guaranteed at 2.5cts except for the last qtr divy smile.gif
whizzer
post Aug 9 2010, 10:42 AM

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QUOTE(kuekwee @ Aug 9 2010, 09:13 AM)
why got negative? how does it work?
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Means that if you bought REIT 3yrs ago, you will be seeing negative returns today.
But if you happen to have bought in the last year, you get positive returns.
whizzer
post Aug 12 2010, 04:42 PM

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QUOTE(JinXXX @ Aug 12 2010, 03:59 PM)
wow 1 bux, that cheap.. too bad i went into stocks/REIT late.. else i could be holding tons of REIT stocks
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Take it from someone who start stock/REIT during that time. You can feel the fear of investing. Everyone was running out of the market & your relatives, friends & neighbours are telling you don't touch stocks.

In hind sight, you can always say that if I had invest during that time, I will be rich. But during the actual time, you are thinking, will it go down another 10% the next day. sweat.gif

Needless to say, I bought but didnt dare buy a lot.
whizzer
post Aug 12 2010, 04:53 PM

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QUOTE(JinXXX @ Aug 12 2010, 04:44 PM)
yeah true.. but then there is a limit abt hw low it can go...

apart from that REIT i dont think can bankrupt.. unlike other normal stocks.. as
its a sort of TRUST FUND...
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There are risks. Property bubbles popping can bring REITs to its knees especially if they have high gearing.

Googled "REIT Bankruptcy" and got the following links for your reality check brows.gif :-

http://www.nytimes.com/2007/01/10/business/10mills.html
http://www.reuters.com/article/idUSN2620633720100426
http://retailtrafficmag.com/features/reit_...cy_threat_0205/
whizzer
post Aug 16 2010, 11:59 PM

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QUOTE(idunnolol @ Aug 16 2010, 08:06 PM)
Aiseh, Like stareit. Maybe complimentary stay at JW Marriot tongue.gif
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Normally, vouchers given by company that don't give dividend regularly (think Genting) biggrin.gif
or company that have stocks that are gorenged by the boss (think VT) laugh.gif

REITs doesn't seem to fall under those category. smile.gif
whizzer
post Aug 26 2010, 04:38 PM

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QUOTE(protonw @ Aug 26 2010, 03:41 PM)
Yup, Besides Arreit, I have Atrium, Axreit and Qcap.  all coming about the same time icon_rolleyes.gif
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I have Arreit, Atrium, Axreit, Qcap, Hektar & Stareit.
(in addition.. got Petdag, TM, Rcecap & fajar share divy)
Sept is definitely a divy month tongue.gif

This post has been edited by whizzer: Aug 26 2010, 04:38 PM
whizzer
post Aug 26 2010, 08:08 PM

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QUOTE(Jordy @ Aug 26 2010, 07:32 PM)
August was my dividend month. Rewarded myself with a new car tongue.gif
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wah. shocking.gif You can get a new car every quarter drool.gif
We are not worthy to be in the same forum as you notworthy.gif notworthy.gif
whizzer
post Aug 26 2010, 08:40 PM

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QUOTE(Jordy @ Aug 26 2010, 08:24 PM)
Of course not one quarter la. It has been 6 quarters since I started collecting dividend stocks before I could afford to get myself a new car. Now my quarterly dividends will be going towards paying my loan smile.gif
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I like this thumbup.gif Also my target to do this but not yet get enough to service car loan icon_rolleyes.gif
I will start with small toys first like a new HTC Desire biggrin.gif
whizzer
post Aug 26 2010, 10:41 PM

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QUOTE(Jordy @ Aug 26 2010, 09:41 PM)
whizzer,

Well, that's a start, but do not aim to buy a car like me. Aim to buy a house is better as it will be a valuable asset. I bought this car out of necessity.
jasontoh,

I am actually managing more than that amount in my portfolio, but not all in REITs.
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Actually. I got my house & my car almost fully paid for before I enter the stockmarket. ( I am just an ultra-conservative guy) At the moment, I'm REITs heavy (almost 60% of my portfolio). However, I am in the process of acquiring another house so I would have to trim down on my stockholding soon come up with the downpayment. I will keep my REITs and hopefully, they give me more than 8% which is better than the interest i hv to pay. Make sense or not hmm.gif

At the same, I hope I can also keep committed in at least investing RM1K in REITs monthly. Tough juggling acts but at least on the way to financial freedom tongue.gif
whizzer
post Aug 26 2010, 11:05 PM

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QUOTE(Jordy @ Aug 26 2010, 10:54 PM)
whizzer,

You must be either putting a lot of money down for your first home and car or very short tenure of loan. Since you have your first home already, acquire a second house and rent it out. The dividend will only be used in the case of vacancy or tenant defaulting. Part of the dividend can be placed somewhere else, perhaps reinvested.

REITs is not like unit trust though. How can you invest RM1,000 into REIT when half of the industry is priced at RM1 and above? Besides, you will be losing out on the brokerage fee if you invest in such a small amount. It would be better to invest in a lump sum or commit RM1,000 to unit trust.
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I normally q my purchase to at least RM3K. The RM1K is just a personal yardstick for me to keep that amount ready dedicated for REIT in a month. In summary, its a mindset thing. icon_rolleyes.gif

This post has been edited by whizzer: Aug 26 2010, 11:06 PM
whizzer
post Aug 26 2010, 11:19 PM

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Ok.. back to REIT Q&A.

Recently, I was looking through STARREIT annual report & I notice that for 2010 because of the rationalization, 45% of REIT is in Convertible Preference Unit in Starhill Global REIT.

My question is :-
1) Will there be any interest paid for these 45% (i.e. will they be providing any form of income) ?
2) With only 55% of the properties generating income, will dividend for StarREIT be less for next quarter ?

Attached Image
whizzer
post Aug 27 2010, 11:01 AM

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QUOTE(cherroy @ Aug 27 2010, 10:21 AM)
Not necessary, some preference shares do have fixed rate or fixed dividend. It depended on the issuance time

The Starhill Global convertible preference unit info, I gather from research report is like below
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Thanks. This sounds more assuring. That means at least, the CPUs are like a kind of bond which should earn 5.65% interest if not converted.
whizzer
post Aug 27 2010, 10:41 PM

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QUOTE(Jordy @ Aug 27 2010, 07:17 PM)
Oppss, sorry for that mistake. Didn't go through the announcement smile.gif

But still 5.65% is kind of low. They seem to have not found the right investment for their stash. Even the conversion will be at 30% premium, seems that STAREIT is at the losing end.
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We have hope that YTL are more caring with their RPTs unlike GenM tongue.gif
whizzer
post Aug 28 2010, 10:26 AM

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QUOTE(constant @ Aug 28 2010, 10:00 AM)
I dun understand when forumers here seem to be very happy when their REITs are on acquisition trial investing more and growing bigger. I am very contented if the REITs I am investing in remains as it is forever and continue paying me my yield. Tell me what I am missing here pls.

With each acquisition comes the risk. Risk that they are overpaying, risk of mismanagement etc. I do not want that.
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Actually, your argument is like the argument of whether its a half full or half empty glass of water. tongue.gif
More acquisition actually reduces certain risk (e.g. major tenant moving out).

There are other REITs that don't have much acquisition (e.g. ATRIUM). If you don't belong in the acquisition school of thought, then you have a choice to get those less aggressive ones with good yields. However, bear in mind for those small REITs like ATRIUM, the risk for non-lettable property is very high & impacts the share price tremendously. Happened to them before (its also a buy signal for me).

This post has been edited by whizzer: Aug 28 2010, 10:28 AM
whizzer
post Sep 2 2010, 04:42 PM

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Tomorrow ARREIT how ? Shoot up ka? biggrin.gif

This post has been edited by whizzer: Sep 2 2010, 04:43 PM
whizzer
post Sep 2 2010, 04:47 PM

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QUOTE(panasonic88 @ Sep 2 2010, 04:43 PM)
Wrong thread. Wrong thread. tongue.gif
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You got quick fingers.. blush.gif I change it already. tongue.gif
whizzer
post Sep 4 2010, 05:05 PM

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QUOTE(cherroy @ Sep 4 2010, 02:22 PM)
Not exactly 100% dilution on 9% with 7.25%.
As some are funded through borrowing aka leverage which rate won't be more than 6%, so you gain extra 1-2% through leverage.

The more the acquisition funded through borrowing, the more yield the reit can achieve, as long as the properties yield > borrowing cost.

Yes, the more the borrowing, the more the yield that can be achieved.
But recent financial crisis has give a good lesson. Once you cannot refinance the borrowing, the whole reit can collapse due to excessive debt.
So over leverage can be dangerous as well.
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Is this like buying a house for investment purpose? i.e. If you manage to rent out the house higher than the amount that you have to payback, you are actually gaining the difference.

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