For REITs the first thing I see is divindend. From comparison of the Reit stocks , I judge that 6% above are reits I should consider of. The next thing is the PE Ratio to decide whether it is the right price for me to go in. For MQReit, I go in at 1.12 with PE 17.72 . Altough the PE is considered high among the other Reits, but I see that they give a very competitive dividend payout.

Whereas for ATRIUM, I go in at 1.08 with PE 7.18. I think this is a very good  and undervalued Reit. Based on their annual reports, they have near full and are going to full occupancy... and they offer good dividend. So I think this is a very good one to buy. But I am not sure why there is no volume for this stock tough.

its a no no for me.. Still think that PAVReit is overpriced. hmm... 

based on my study on their dividend.. the avg dpu is 0.0718 and its 4.6% based on the current price 1.56 .

although their dividend for recent years is increasing , and assuming that they continue to give the dividends at such rates, its about 5.28% based on the current price.

so I prefer to go for ALTRIUM since my strategy is to take higher dividends and for long run. and taking into consideration I'm not buying in volume also.. so buying PAVReit is not recommended for me. If I am an investor who am able to buy with volumes, I will buy PAVReit and take dividends while wait for the price to go up to my target price and sell to gain profit.

I'm trying to find the info on the occupancy tenure also .. How come it's not in their annual report ? I can't find that piece of info

do you guys reinvest your dividend into the same REITs??

and if the REITS have mostly fixed interest rates in their portfolios. Shouldnt be a problem right?

Generally, Yes,... but it also depends on when the time comes for the REIT to renew its loan facility,... by that time, if it has not yet 'adjusted itself' to the new higher loan interest environment, THEN,.. basically,.. its dpu will be affected.
Yes,... increasing interest rate will compress the yield gap, making REIT yield needing to go HIGHER to attract investors. The enable a REIT yield to go higher, its unit price must drop,... OR,... its dpu must INCREASE.

Either one of the above will 'enlarge' the yield gap again,....

Back to my point earlier,.. if BNM does not increase interest rates in Msia,... then, theoretically, the yield gap remains steady,...

Yes, bro Smurfs,... if MGS yield = 4.30%, what would be the recommended REIT yield please ?

So,... if MGS yields 4.30%, then a prime REIT like IGBREIT should yield 4.30% + 0.15% = 4.45%.... hmm,.. not too wide a spread... I think should be wider,.. otherwise,... hoho,... earning 0.15% more in a risky REIT,... everybody would not be willing to do so.

Hi sifu, what's u guys think about atrium reit? Compare with sunreit.... thinking which to enter.. tqtq

I'm thinking of investing in Hektar & Amanah Tanah PNB. Wonder if they are any good....

Holding for multi-years already.

Pavilion KL is good but in pavilion reit portfolio there is Damen mall which is practically “dead”,people mostly only go there to makan and not shop

What do you think about Hektar Reit? It has about 8.5% DY. I'm thinking of investing RM45,000

IGB Reit DY seems to be lower, that's why i'm thinking about Hektar Reit

Hi,

I have started to dip into MREITS again this month.

Note that at the end of this week, MREIT prices jumped. This jump is probably due to talk that BNM may be cutting rates soon due to weak domestic economy and US Fed becoming dovish at their last meeting.

MREIT sifus please advise good price to enter, i entered ytlreit at 1.33. how about sunreit, pavreit, axreit, ccmt?

All this talk of IGB, SUN, PAV... am I the only guy in HEKTAR and ARREIT?

In it for the high dividend yield and for the prospect that they will appreciate. PBR is around 0.6-0.7 and their EPS have been improving.

why look at yoy DPU and not yoy DY??

Wow!! I saw a chart in there...

DPU 2017 9.6 sen.

Total DPU received + current share price < 1.51



Got nice dy each year but still losing money....

Yes but can also look at fundamentals like NTA, PBR which all show that due to market sentiment, these reits are undervalued by 30-40%. The way I see it, the low price now makes it attractive to go in.

With high DY, they keep paying me for keeping the shares (at a higher rate than SUN, IGB, PAV etc. at those rates of 4-5% I rather just put in ASx) and over time it's possible that the share value will rise to reflect the value of the portfolio, so I might get capital gains too (like what people who entered IGB/SUN/Axis when they were cheap now get to experience).

The REIT can also dispose of underperforming properties and give back to the shareholders, so even if chap lap I still get something good. 

Just my thoughts

Sorry but I do not subscribe to your thinking that 'REITs have relatively low risks compared to other products in the stock market.'....
Here's why...

Knowing and understanding the risk involved is important but that cannot be just it. Managing our risk and most of all we need to figure out if it's justifiable to take on the risk. Justifiable, as in the sense, does the reward compensate us in undertaking the risk to make that investment?

Take Hektar Reit. Why? Since it was brought up recently. The 'current' dividend of 8,34 sen suggests a yield of 8.3% but it's not as straight forward as that, since stock prices are adjusted after going ex-dividend. And less we forget that one needs to HOLD the reit for at least one year to effectively make a 8.3% yield, and that too we have to make a huge assumption that the price remains at 1.00.

Well, is this 'reward' justifiable to make this bet?

What could go wrong? Well, Hektar dividend is shrinking. Obviously if and when it continues to shrink, there will be people who are more than willing enough to dump this stock. Pay less dividend wo, still want to keep meh?

And in Hektar's case, if dividends continue to decline, then that 8.34 sen dps is highly questionable. Now if I were to call it a day on this investment, my yield is NOT going to be 8.3%. If I had bought the stock at 1.00, the current next payable dividend is 2 sen. Payable 3 oct. So if I sell after the dividend, say in Dec, my yield is only a pathetic 2%. Is it worthwhile? What if the stock falls after going ex? Heck, I could easily lose money!! ( *** as it is, Hektar dividend is STILL declining as per latest q report - which means the chances of it declining is even greater! *** )
* my comment on KLCC was extremely sarcastic. Which I will not offer any apologies. Understanding the current traded volume of a stock is important. Understanding it's bid spread is just as important. If a stock consistently carries a high bid spread, then any slight trading (such as a 100 shares purchase or 600 shares purchase could easily distort the share at a given time. For example, when KLCC got up to 8,30+ yeasterday morning but it was on a volume of a mere 600 shares? should one get excited/kiasu over the stock that it is 'UP'?  Well? I am sure you know the answer. This is pure stock trading/investing 101 basics. It's amazing to see so many dive into the stock market without even understanding the simplest market basics.  *