We are not shorting the mkt, but we are encouraging the shorting of the mkt.

Since I am looking closely at Silverlake Axis too,I would like to reflect on the above posting that I made back in October 16, 2016. SAL held its AGM on October 26th., and one of the attendees provided the feedback as below on his observation at the AGM :-

I had to leave after 2 hrs of shareholders questioning the board on various resolutions. Generally, the points summarized as follow:

1. Shareholder question about razor99 short sell report.
2. Board appointed Deloitte to investigate report and the results were not out before AGM.
3. Understandably some shareholders did not find it fit that queries were not being addressed which forms the basis of the financial report. (technicality: I believe the resolution is to accept the accuracy financial report numbers rather than the integrity of the company and its financials. YMMV)
4. Many going back and forth. Chairman kept highlighting that he need to spend lots of time to explain details and that there is a system/professionals that should be respected.
5. Imo my feel is that the board should have prepared shareholders with very clear disclaimers beforehand and handled situation better. Noted that newly appointed director munir did eventually say that in his own capacity, he is not aware of any corruption by silverlake during his previous tenure in related banking.
6. Also felt that there were some queries that the board could not keep addressing without getting into trouble.. Unfortunately for the board, their words hold more liability in public space than the shareholders.

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Above highlighted sentence puts a lot of doubts in investors' mind.

How credible is the following study conducted by The Legatum Institute ? If it is credible enough, and Sgp can sustain this performance, then we should consider ourselves fortunate to be situated so close to this great island-state.

Invest all the way into Sgp, if we are of the view that this is true. Our retirement funds investment haven....

The 2015 Legatum Prosperity Index, a project by the Legatum Institute that annually ranks countries’ prosperity based on income and wellbeing, has placed Singapore at the top of its Economy sub-index. The country has climbed one place higher each year in the Economy sub-index since it ranked third in 2013. Singapore beat 142 other countries such as Switzerland, which held the spot last year and is now 2nd, and China, which is 3rd.

Link : http://sbr.com.sg/economy/news/singapore-b...conomy-in-world

Edited by adding : Of course, when something is good, there will be contenders and people fighting for that thing. A very good case here is : First REIT. The Indonesian Gov't sees that first REIT can do well in Sgp, hence they are trying to replicate this in their slowing economy.

Investors in Sgp will hold the price up,... if First REIT wishes to delist and shift, then they should compensate investors well enough for this good counter. Not just give us back 15% above nav,.....

What is fair ??????????

This post has been edited by Hansel: Nov 4 2015, 11:44 AM

Just came across the fact that another favourite counter of mine, namely Singpost, has announced results om Nov 2nd, ie two days ago. Missed the result ann't...

Dividend for the second quarter of FY2015 has increased from 1.25 cts per share to 1.50 cts per share. Being an Sgp-based entity, headquartered in Sgp with assets in many parts of Asia Pacific, there is a very slim chance that the management will 'shift' the listing to another bourse besides the SGX.

i like this JUMBO story!

sgd40 mil cap of chili crabs, bakuteh and ramen.



This post has been edited by AVFAN: Nov 9 2015, 05:10 PM

after sale of FIRST REIT, what u getting?

JUMBO?.... Food items recession proof.. haha

no jumbo, that was for fun.

I'm still watching Frasers Centrepoint Trust and Keppel Corp. Keppel DC REIT is a 'boutique' REIT that I'm looking at too. It came out in the Business Times last week that the non-traditional REITs are slowly finding their ways into the SGX.

Perhaps investors should have a look at non-traditional, boutique REITs too.

If you like Food Junction, you can use the same methodology to analyse Jumbo.

i reserved my last bullets for Keppel DC.

will see if i get the chance...

I like keppel DC too and hence vested. Data center demand will have healthy growth thanks to exponential growth in internet and cloud computing...

Keppel DC price didn't move much in recent market rout...

What are your opinions of KDC ?

The biggest challenge for KDC REIT is forex risks. Many of the assets are overseas, except for the USA. The SGD, being such a strong currency is now seen to be disadvantageous to REIT investors when it comes to rental collection, unless the rental is TO BE COLLECTED in the SGD, or even partially denoted in the SGD, like First REIT.

Unfortunately, since the days of First REIT's IPO, investors have NOT MANAGED to influence for rentals to be collected in the SGD anymore. The magic could only work once, and that was with First REIT.

Another cons is it is trading well above its NAV, about 20% premium i think.
Good thing is it is quite a young reit, and with its healthy gearing of 30%, it should growing inorganicly via acquisition, translating into higher DPU. This should be able to offset any drop in DPU due to forex risk

u and vector already said, no need my comments.

Thanks gents,.. okay, I have this to say about the price being below the nav.

Sometimes, it does not really mean that a REIT or a stock is worthy to buy if the price is below its nav. Experience tells me that if a REIT or a stock cannot get its price above nav, there are reasons for this. One possibility is because the REIT or stock is not good enough, that's why the mkt does not accord the proper price to the counter.

On the other hand, if a ctr has its price being above its nav, the reason could be because it is good enough to be there, and the mkt is willing to buy it at the higher price. But of course, certainly 20% is a bit too high-lar,...

The concept of : good things not cheap and cheap things not good is applicable to REIT units and stocks too.

On this NAV thing, Keppel Dc reit is still in growing phase, meaning it will grow its asset via acquisitions. So NAV will go up sooner or later right? So probably market is anticipating this and hence willing to pay premium above its CURRENT NAV ?

Right,... the mkt could be pricing in the fact that this REIT is worth 20% more than its current nav, because of this positive fact that its nav will go up after more asset purchases. This is a very big positive sign.

On the dpu and the forex risk, I guessed the most impt thing is the yield. After factoring-in an increase in the dpu and a 'damaging' effect from the powerful Sing Dollar, let's see what yield will it arrive at.

Some news about SREITs in general... for your reading pleasure :-

REITs roll out desperate tactics to drive growth in tough times Check out these interesting trends seen in Q3.

REITs are struggling to keep investors happy as growth slows. A report by Barclays highlighted some tactics that REIT managers have used to keep their results solid in Q3. Barclays noted that more REITs are embarking on acquisitions to diversify their portfolios, particularly in light of the cooling domestic property market. For instance, AREIT embarked on an acquisition spree in Australia, while MLT has also snapped up properties in Australia and Vietnam.

More REITs are also propping up their falling dividends with divestment gains, such as KREIT and Suntec.

Lastly, REITs are turning to issuing perpetual securities to reduce their gearing after the MAS imposed a single-tier leverage limit of 45% in July, such as KREIT and AREIT.

“Our quarterly scorecard shows industrial REITs in general performing better than expected with average DPU rising 5% y/y and 1% q/q, helped by a positive policy change. Office REITs continued to show signs of cracks. While Fed rate hikes remain an overhang for SREITs, valuations don’t look expensive,” said Barclays.

This morning,...

1) FCT has dipped further to 1.890.

2) Keppel Corp has dipped further to 6.810.

3) OCBC dipped to 8.920.

4) Keppel DC REIT stayed at 1.040.

Steady,...hold your fire....

I'm holding my reserve bullet too. Please give a shout when the right timing approaching.