+1     

A fool always thought he is more clever than others, as he thought everybody else is a fool. That's what make him a fool 

His answer :
   

Well the two CMMT malls in Penang is doing well here, still the most popular malls among Penangites.
I wonder how's the Mines in KL?

I thought this was only becoz CMMT bought over and was doing a major revamp.

Prior to that, the mall was not too bad, have a lot of shops open and events organised.

Anyway, the quiet moment, won't last long, prolly another few months.

Nice to watch movie in TropMall. Nice, spacious and price is cheaper then MV.

Just a note of caution to REIT players..

MGS 10 year yield has been steadily increasing from 3.5% in early 2014  and shot to 4.4% recently over 'junk' status.

Although MY reit yield have not corrected in par with MGS10Y, the gap is getting narrower.

It will be a matter of time for the REIT yield to correct itself. Consider this a fair warning to adjust your portfolio.

REIT yield has always traded to reference MGS10Y reference yield (as its consider zero risk), usually between 2%-3% depending on asset quality. Now the gap has narrowed, there could be a chance that REIT yield s will rise higher to compensate. As yield goes higher, price comes down. 

The way I am looking...

RM exchange rate is gone to hell.. as every one knows.. foreigners holding MY REIT will risk forex loss.

The other weapon to stabilize the RM rate is to raise interest, but zeti has been trying to prevent this because of slow economy. But when push come to shove.. and RM/USD becomes 5.. then all bets are off..

Yes US is in a pickle.. in fact the USD strength is going reverse of common sense, even if FED is going to raise rates, its going to be 0.25%.. it doesn't explain the 30% gain for USD. It is more a flight to safety from the crumbling emerging economy. If FED can raise rate it SIGNALS that the US economy is doing well, hence more people will pour their money in. The longer the FED delays it, the worst it will get. Everything in US is already very expensive.. including bonds and stocks.. as the momentum builds up it will come crumbling soon.

Germany and Switzerland already have negative interest rate and is suffering from deflation...  this also helps people to push their money to US assets...

For your comment that treasury is yielding <2% is correct, but US REIT yields are trading at average of 4%, which is 2+% above their respective treasury, which reflects the fundamentals.

Now compare to Malaysia, MGS is trading at 4.4%.. how much does the average REIT yield need to trade at?

Heck look at SG, see how much the REITs have corrected in price.. while MY REITs is still high and mighty for now... but for how long?

So I say TRIM and ADJUST the REIT portfolio.. keep REITs with solid assets.. 

Look south for better yields since SG REIT has corercted significantly..

From your 4 reits.. IF i were you i will trim down to 1.. but that is just me. 

But that is just me...

You can decide on your own.. 

Only 1... and that is because i bought it cheap previously..

Recently disposed no 2...

You can try look at SGX, some reits is approaching 10% due to recent correction.. 

But SGD now very expensive...