January 2020 showed that Singapore REITs was the top net buy sector, as it generated net institutional inflows of S$174.9 million. This contrasted the net outflows of S$102.5 million and S$127.5 million in December 2019 and November 2019 respectively.
The top institutional net buy REITs in January generated a total return of 8.1%. These were Capitaland Commercial Trust (+$68.1 million), Ascendas REIT (+S$64.0 million), CapitaLand Mall Trust (+S$25.7 million) and Mapletree Industrial Trust (+S$22.3 milion). Through the calendar year 2019, the average total return was 25.2% which brought the 3-year total return to 66.9%.
Let’s take a closer look into the top 4 international net buy REITs and the business that they are involved in.
Read Also: S-REIT Report Card: Here’s How Singapore REITs Performed In Fourth Quarter 2019
CapitaLand Commercial Trust (SGX: C61U)
CapitaLand Commercial Trust (CCT) and CapitaLand Mall Trust (CMT) have brought in high fund inflows in early 2020 after announcing their proposed merger to create Asia Pacific’s third-largest REIT – CapitaLand Integrated Commercial Trust (CICT). This comes through in an S$8.3 million stock deal. The merger, at least the fifth tie-up among Singapore-listed REITs in the past 12 months, is expected to create a combined entity with a market cap of about S$17 billion and property value of over $20 billion.
CCT aims to own and invest in income-producing commercial real estate and real estate-related assets. Currently, its portfolio includes over 5 million square feet comprises eight well-located and distinguished properties in Singapore’s Central Area and two in Frankfurt, Germany.
As of 21 February 2020, CapitaLand Commercial Trust has a market cap of about S$7,869.6 million and closed at $2.050 per share.
Ascendas REIT (SGX: A17U)
Ascendas REIT is the largest and most diversified business space and industrial REIT listed in Singapore. Its portfolio consists of 102 properties in Singapore, 26 properties in Australia and 2 business park properties in China. Its total asset base is valued at about S$8.3 billion.
Ascendas REIT’s properties cater to a tenant base of about 1,430 international and local companies hailing from a range of industries including research and development, life sciences, informational technology, engineering, light manufacturing, logistics, electronics, telecommunications, manufacturing services and more.
As of 21 February 2020, its market cap was S$11,903.8 million and it closed at $3.280 per share.
CapitaLand Mall Trust (SGX: C38U)
CMT is, at present, the largest mall owner in Singapore, managing 16 shopping centres on the island state. CMT owns and invests in quality income-producing assets which are used or predominantly used for retail purposes primarily in Singapore. CMT’s portfolio consists of a diverse list of close to 3,000 leases with local and international retailers, with an achieved committed occupancy of 97.2%.
CMT has a market cap of S$9,222.01 million and $2.510 per share as of 21 February 2020.
Read Also: 4 Reasons Shopping Malls In Singapore Will Continue To Thrive, And Why You Should Invest In Them
Mapletree Industrial Trust (SGX: ME8U)
Mapletree Industrial Trust (MIT) was constituted as a private trust on 29 January 2008. MIT acquired its portfolio of 64 properties from JTC Corporation on 1 July 2008, which consisted of 27 property clusters.
MIT is a Singapore REIT established with the principal investment strategy of investing, directly or indirectly, in a diversified portfolio of income-producing real estate used mainly for industrial purposes, as well as real estate-related assets. Mapletree Industrial Trust Management Ltd is the manager of MIT.
MIT closed with a market cap of S$6,303.9 million and $2.960 per share as of 21 February 2020.
ETF RSP with FSMOne
Don’t Time the Market – Invest regularly with FSMOne.com’s ETF RSP feature. Investors can now apply for Regular Savings Plan (RSP) on a selected list of 40 ETFs listed on SGX, HKEX and US stock exchanges. Use Dollar Cost Averaging to help you take small but steady steps towards building a diversified portfolio.
4 Stocks This Week is not a recommendation from us to buy or sell any of these stocks. For investors who are keen to find out more, you should continue researching about them before making your investment decisions.
