U one lucky dude as i responded to a private message (thus can copy & paste here). IMHO, most of us here will tell U to do some R&D first before asking such a general Q

REITs:
U can buy / sell REITs (Real Estate Investment Trusts) online just like stocks. In fact, they are stocks of REITs which U buy into, thus they pay U the stockholder, dividends.

How do I buy REITS? Do you need to go anywhere to buy it?
a. Go sign-up with a securities company like Hong Leong eBroking http://www.hlebroking.com or Maybank2U's online share trading.
b. Then go buy a REIT (eg. TWRREIT, BSDREIT, ARREIT, AXIS, etc.)

I have a Hong Leong account. So if I open the Hong Leong eBrokring, I can use my Hong Leong account to buy REITS right? Will they deliver a letter to my house or they will give me a passbook?
Then the interest, will they automatic credit it into my hong Leong account?
a. U'd have to transfer yr $ into Hong Leong eBroking after opening an account. Dont worry, all online.
b. No passbook or anything - it's statement based and online only. It's literally STOCKS of REIT companies
c. REITs dont give interest - they give dividends. Yes the dividends goes into your HLeB a/c (not HLB a/c). U can then ask them to transfer it out to your HLB a/c.
d. FYI - cash lying in your HLeB account attracts FD interest rate


Q1. The dividends are given annually or every half a year?
Q2. How is it calculated?
Q3. How do I select good REITS?
Q4. So if I open a HLeB account, and just deposit money inside, they will give me FD interest rates? (That is cool) Any terms and conditions?
Q5. I only have RM2500 with me. Is that enough to buy REITs? The rest are all lock up in FD. My uncle told me about REIT but he refuse to teach me.
Q6. Can I ask them to send me statement to my house?
Q7. How to withdraw from HLeB?
Q8. Any yearly or withdrawal fees to pay for HLeB?
Q9. Any charges for transferring from HLB a/c to HLeB a/c?

A1. Dividends are given out either 1/2 yearly or qtrly - dependant on the REIT itself
A2. When U log in and see the counters/stocks, look for DY.
That's the gross Dividend Yield indicator
Dividend Yield = dividend paid out for a year / last closing price of stock
A3. Er.. it's personal.
To me - D/E <0.6, ROE or ROTA >=8%pa for several years and buy at a good value price (ie. high DY%)
Google D/E, ROE and ROTA
All these data are available on KLSE Tracker, which can be accessed once U get into HLeB's website by r-clicking on the counter to check
A4. No terms and conditions.
Dont lar just sit on the cash - buy at least 1 REIT OR attempt to buy ;P
A5. er.. $2.5K is not an optimal transaction value.
Optimal as in it's too low, thus the cost of brokerage and stuff will be a high % of your transaction. Optimal is about $3K+, where the cost is about 0.55% of the transaction value
A6. Yup of course - U also get emailed for every transaction AND U can check your holdings/portfolio online
A7. Just email them or call them. They'll draw a cheque and bank-into your registered bank a/c. Simple
A8. No fees other than transaction charges when buying/selling stocks
A9. Nope - FOC

What is D/E, ROE and ROTA?
D/E: http://en.wikipedia.org/wiki/Debt-to-equity_ratio
ROE: http://www.investopedia.com/terms/r/return...p#axzz1WOpfdYCk
ROTA: http://www.investopedia.com/terms/r/return...p#axzz1WOpfdYCk

0.55% of transaction value means if say my transaction is RM1000, they will deduct RM5.50 right?
0.55% - more like if U buy say $1 share * 1000 units, U'll be paying $1,000 * (100% +0.55%) for the purchase.
Mind U - $1,000 will attract like 1%++ costs, not 0.55%

why 1%++ cost? I thought you said is only 0.55%?
brokerage commission is $12 or 0.42%, whichever higher (excluding stamp duties and what not costs).
Thus, remember i said there's an OPTIMAL transaction value?
ie. your buy/sell should be about $3K
That's when your TOTAL cost is about 0.55%
Imagine at $3K, your brokerage would be 0.42% or about $12
VS
$1K and your brokerage is $12
Which of the above is "higher cost" as a % of transaction value? Comprehende

phew...

This post has been edited by wongmunkeong: Aug 31 2011, 12:20 PM

Thank you Mun Keong taikor for the detailed explanation and tips. Normally i'm not so lucky. Hehehe..

amitofo u deserve all of today's karma, well done bro


suicidal, about time u change ur avatar name to a positive nom given WMK bro is your 'saviour'

lol.. can change avatar name? my avatar name is really bad. always give bad impression.

You're welcome.
Hhehe - no taikor here, long time haven't "pehk yau" already

If U consider yourself lucky, please "pay it forward" when U can yar

does cimb can do reit investment online?

holybo,

Any online stock broker allows you to transact REITs, just like any other stocks.

anyone invested in AL-AQAR? what's the DY? From MREIT web site, it seems like 5.8% but from Bursa Malaysia web site, the declared seems to be more.

Also, the debt ratio seems quite high >40%. any comments?

Yes, you may PM me if would like to open CIMB online share trading account.

anyone sunreit ? recently epf taiko sapu some ...
Thanks for any comments

Wat about maybank investment?

Been reading Sunreit announcement and financial statements. Looks good. Very tempting. But chicken today.

It should be the lowest risk, because hospital rental/lease, but dividend is the lowest.

Already on board, entered twice already. First time at 1.07, Second time at 1.13. Waiting for my first REIT dividends, am very excited..heee

I am still thinking whether want to add more of sunreit...
First load 0.895 .....5500 unit....
Normally, all sifu REIT got how many unit ar?

maxsteel2001us,

Do you seriously think anybody with large holdings would tell you how many units they own?

sunreit is great....intra day trading also can earn about 5%....

REITs is for fixed cash income, is not usually for trading purposes. But, free to do so....
Now its time to collect some Amfirst and Atrium looo.....

AMFirst has proposed a rights issue, so you'll have to prepare additional funds for it to maintain the value of your stake when it comes around.

http://www.bursamalaysia.com/website/bm/li.../historical.jsp

This post has been edited by xjeez: Sep 7 2011, 10:03 AM

very explicit explanation...