Investing in REITs is like own the properties and get the rental only.Dont need much appreciation side from the reit price.

It is something like a fixed income instrument or in other words , passive income.One shout treat it differently from ordinary share.

If wanna trade around with fluctuate price , REIT might not be the place.

My 2 cents.

Yes, whenever there is a dividend payout, the price of the share will be adjusted accordingly. (The money has to come from somewhere.) This applies to all shares and also unit trust during distribution.

Also need to take note whenever there is dividend announced, the demand for the share increases and the price would also go up, rite?

The attractive thing about REITs is the consistent payouts and lower tax, if there is capital appreciation that's a bonus only if I decided to sell the shares.

When dividend is announced and before Ex-Date, the REIT stock will go up due to heavy buying as everyone wants to earn from the dividend payout

hi bro,

can provide some comment or guide on should i buy PANAMY or PAVREIT with low capital?

Thanks

low capital ? 100k ? 1000k ? hehehehe

get both la...

the world was not created in one day, try to made it as a commitment like buying house ...... every months have to pay the investments of buying shares if miss one or two months wont kena penalty lahhh. buy whenerver have spare bucks, then 10 years laters power of compounded interest effects powderful ohh...... FORMULA? see below


http://qrc.depaul.edu/StudyGuide2009/Notes...%20Interest.htm

and my siggy below by my idols .....

8k only. if i sell my KNM (entry price 98c) then i still left spare 2-3k for this 2 stock

i know with 2-3k, i can only afford 100 unit (minimum) for PANAMY. but when i do the calculation based on DPU, i found that 100 units of PANAMY can give u more divvy than 2000 units of REIT due to the DPU is based on share price and PANAMY share price is around 20x REIT


another thing i am confused is with the yield%. it is mentioned that HEKTAR yield is 7.xx% but the divvy (end today) issued is only 3c per share.

3/1.39 * 100 = 2%

from the above calculation, its 2% only

or does the yield% means total year. so 1 year payout 4 times. which makes it 2% x 4 = 8% ?

thanks for the feedback sifus

nope its not 8%
lets use some assumption dividends
Q1=3sen
Q2=2.75sen
Q3=3.5sen
Q4=3.25sen
say average price is 1.38
so yield is 3+2.75+3.5+3.25/1.38=9.06%
please correct me if Im wrong

pana

Thanks!

Seems that S REITs are more intersting....no taxes on those as long as they pay >90% of their profits.

As usual i guess Msia needs their taxes!

im on this ship now

im on the ship too... unsure whether this is the time to enter the ship or not... bought amfird@1.19 and tower@1.30

Haih, still not sure if this is the right time to enter REIT looking at property slow down in Malaysia and the highish KLSE at the moment.

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Added on February 25, 2012, 10:56 amI got a question, when we purchase REIT, it's based on the market value right, not on NAV right?

BTW, what's NAV for ?

This post has been edited by soul2soul: Feb 25 2012, 10:56 AM

The net worth of the reit's properties based on latest market valuation.

Does it mean that NAV is the 'fair value' of the REIT?

When they announce dividend payout, the yield is based on dividend payout / the price which an investor bought the REIT. Correct me if I am wrong.

Some sort of.

They announced the dividend/distribution in how many cents.
They never announced dividend how much yield.

So how much yield you are getting is based on your purchase price of the reit.
eg.
The reit announced 7 cents pa.
You bought at 0.90, so you are getting 7.77%.
Another person bought at 0.85, the person get 8.2%.

Thanks for the info Cheeroy, appreciate it.. i myself is a novice.. bought amfirst at 1.19 and still queueing for tower reit at 1.29... the price is kinda high though.. usually price will decreased after dividend payout right ? expecting the price to decrease soon as amfirst just declared their dividend payout.

Opening price will be ex- or deducted from the previous closing price, but with generally won't decrease too much.

As the more decrease the price is, the higher yield attractive will be if distribution in the future remain, (generally does as lease/rent generally on long term basic unless the lease is not renewed by the tenants)

Another question:
How does these divs work into the personal taxation?

In Msia, theres 10% tax on MRIETs divs.
In Singapore theres 0% on SREITs divs.

Do you have to declare these divs as income and pay the necessary personal taxes?

eg Lets say one is paying 26% personal tax...
Does one have to pay the oustanding 16% tax on divs form MREITs?

And the 26% tax on the divs from SREITs?

Thanks in advance

Arreit dividend for 2011
(0.0714 / 0.9) x 100 = 7.93333333%

Does STAREIT pays their dividend via E-dividend ?