it's all about yield.
yield lower, price lower.

that why reits risk appetite at the middle of Bond and equities.

Hey guys,I,received the drp too,wanna seek your guys expert advice,whether to reinvest or just opt for,cash payment, I only have 1k unit at the moment

dividend reinvestment plan

http://www.investopedia.com/terms/d/divide...estmentplan.asp

http://en.wikipedia.org/wiki/Dividend_reinvestment_plan

IGBreits doesn't hv.

AxisReits planning to do so.

http://www.axis-reit.com.my/investor-infor...on-in-new-un-2/

Rate hike already priced in long ago, remember there is period that many reit sold off across about end of last year?

For kecik meow retail investors, we should not be overly worried about interest rate movements.

Reason being, we have no (direct) access to the bond market.

Just base your REIT investing decision on whether u are happy with the yield offered and the rental reversion potential of the REIT.

E.g. CMMT 5.4% net yield, whether 12-M FD rate is 3.1% or 3.3% should not concern u...would u dump your CMMT and shift to 3.3% FD? I don't think u would. If u are holding for very long term...just ignore the price movements.

Just to add, REITs are not meant to be traded, and are not a good short-term liquidity parking facility. U don't invest in REITs money that u need to pay your car insurance and road tax renewal next year.

U buy and hold REITs for years].

Heheh - i'm with U here.
i "prune" if my DY% falls below 6%pa (CAGR) after holding >1yr
OR
the D/E or leverage is >50%

Personal reasoning:
a. General bond funds' long term (>=10yrs) return is approximately 4%pa to 5%pa (CAGR).
why take the extra risk by holding if the donkey REIT's returns is near simple bond funds?

b. If the REIT is taking on more leverage to achieve dividend payout / yields %, the management is "too optimistic" for my blood.

c. Why not based on price?
Well, if the DY% and D/E is good, there will be buyers, thus price-wise should NOT be a prob.
If price DOES goes nuts downwards, there will be value buyers (like me ) buying in & supporting the price at certain DY% returns.

Just a thought 

There is never guarantee that reit distribution won't shrink nor price won't drop.
Reit is not a guarantee fixed income instrument, if it is, it won't carry 6~7% yield.
It carries risk of distribution drop, property price crash etc.

I am not saying one doesn't need to prune, but one cannot worry off the price each day.
What I meant is, when you first bought the reit, one should have the mindset that you do not aim to sell the reit for capital gain as your goal.

While I do not mean one cannot or shouldn't sell the reit.
If the reit fundamental chance, property market crashing down, sell quick quick. 

As long as fundamental issue is intact (consistent yield, good property portfolio with good management), then price is not a major worry if one able to hold on the stock and targeting its yield.

Although I won't dare to say never sell a good idea, but if one has not sold Axreit since 1.xx until now after 5-6 years, has been getting handsome profit.

If one is afraid of price depreciation, one won't able to hold many stocks in reality.
Axreit price dropped from 1.60 when I first bought, to 1.00, a 30~40% plunge, that easily will scare off and worry many investors.
But when I set my taught to only getting its dividend and forget the price depreciation side of worry, then I able to hold the stocks and buy again, which enable I hold it until now.

Same with the story of one has never sold Genting or PBB or KLK share since 1970 or 1980's, they are pretty well off with the stocks as well.

If distribution/dividend able to stay intact, then most of the time their share price won't drop too much one.
They key is always the ability consistent yield that a stock can give.

Yes, we still need to always assess the reit situation, reit is not a foolproof investment, but mindset to hold the reit must be there in the first place, this is what I keep on mentioning.
If sovereign bond is carrying 6%, then there is no reason to buy reit at 6%, you demand at least 8~9%, so reit price need to be lower.

Each reit has its own fundamental issue as well, there are some "weak" or poor performance reit, or its property portfolio may not as good, so one still needs assess each individual reit with different approach.

bro, dun understand that part

Both IGB n Goldis will b suspended tomorrow
Privatization/corporate proposal on d way...

The yield may not be spectacular but I think rental reversion potential is greater compared to other REITs.

igbreit not bad.. nett profit up 15%..

lets hope tomorrow can hit 1.30 

Already hit 1.30 

Yield lower than 4.5%?
while FD rate approaching 4%?

A mere 0.5% extra for the risk taking? FD vs reit.

Doesn't sound good to me.

got already