Jan 30, 2018

Cory Diary : Recent Trade Actions 20180130

2018 January is I feel a more memorable day for my portfolio other than in the black. Is the first time I have a proper clean up state of my Reit counters that is much better balanced to form a better core. Few things I did. Sold AGT moons ago. Sold SPH Reit some time back. And today, sold remaining lots of LMIR as well. Bought back Ascendas Reit and Ascendas HT.


The more I learn about LMIR the more I am a little worried. The perpetual shares it has issued is a relatively huge burden. This obscure the gearing which I do not like at all. It would be much better if they are able to get private placement. Then the recent rating downgrade warning kind of sink in. With the current yield of more than 8%, they would need to find some way to raise money ( probably expensively ) this year or to further their acquisition. This is a red flag to me. Since I have achieved 15% returns since 2017 on this counter, is time to say good bye. I do love the yield. Sad.

SPH Reit

Negative revision is the outlook. It may get better but i do not like the few properties or the play on seletar mall to keep the price up. If the stock market is to turn, this won't be my core holding. The yield around 5% doesn't look so good despite the low gearing not gearing up.

Ascendas Hospitality Reit Trust

The plan to sell the two hotels look good considering the impact to dividend is minimal but the value unlocked is more than 10% of it's Nav. Furthermore, FHT results may have help my confidence a little.

Current Reits allocation is around 36% of  Equity Portfolio.



No comments:

Post a Comment