--- title: Singapore REITs Monthly Update (06 September 2024) description: Stay ahead of the curve with our monthly REITs and market updates for September 2024. Get the latest insights on REITs performance, market trends, and expert analysis delivered directly to your inbox. --- [Skip to content](https://reitsavvy.com/insights/singapore-reits-monthly-update-06-september-2024#main-content) [![op can-4](https://reitsavvy.com/hs-fs/hubfs/op%20can-4.png?width=7114&height=2442&name=op%20can-4.png)](https://reitsavvy.com/) ![menu-toggle](https://21645388.fs1.hubspotusercontent-na1.net/hubfs/21645388/menu-toggle.svg) ![menu-close](https://21645388.fs1.hubspotusercontent-na1.net/hubfs/21645388/menu-close.svg) ![menu-toggle](https://21645388.fs1.hubspotusercontent-na1.net/hubfs/21645388/menu-toggle.svg) ![menu-close](https://21645388.fs1.hubspotusercontent-na1.net/hubfs/21645388/menu-close.svg) - [Home](https://reitsavvy.com) - [What's a REIT](https://reitsavvy.com/what-is-reits) - [S-REITs Overview](https://reitsavvy.com/s-reits-overview) - [REITsavvy Subscription](https://reitsavvy.com/reits-screener) - [REITsavvy Screener Login](https://screener.reitsavvy.com/) - [REITsavvy Insights](https://reitsavvy.com/insights) - [Events](https://reitsavvy.com/events) - [About Us](https://reitsavvy.com/about-us) - [Home](https://reitsavvy.com) - [What's a REIT](https://reitsavvy.com/what-is-reits) - [S-REITs Overview](https://reitsavvy.com/s-reits-overview) - [REITsavvy Subscription](https://reitsavvy.com/reits-screener) - [REITsavvy Screener Login](https://screener.reitsavvy.com/) - [REITsavvy Insights](https://reitsavvy.com/insights) - [Events](https://reitsavvy.com/events) - [About Us](https://reitsavvy.com/about-us) [Singapore REITs Monthly Update](https://reitsavvy.com/insights/tag/singapore-reits-monthly-update), [2024](https://reitsavvy.com/insights/tag/2024) # Singapore REITs Monthly Update (06 September 2024) [By- Kenny Loh,](https://reitsavvy.com/insights/author/kenny-loh)   **Technical Analysis of FTSE ST REIT Index (FSTAS351020)** --- FTSE ST Real Estate Investment Trusts (FTSE ST REIT Index) increased from 654.43 to 702.98 (7.15%) compared to [last month's update.](https://reitsavvy.com/insights/singapore-reits-monthly-update-12-august-2024) This is the highest percentage gain in the index in a while. The REIT Index has started an uptrend and enter bullish territory. •    Short-term direction: Up•    Medium-term direction: Up •    Long-term direction: **Sideways** •    Immediate Support: 20D, 50D SMA and 200D SMA (665-675 zone) •    Immediate Resistance: 732-740 Zone ![](https://reitsavvy.com/hs-fs/hubfs/image-png-Sep-09-2024-02-32-55-9900-AM.png?width=1024&height=547&name=image-png-Sep-09-2024-02-32-55-9900-AM.png)FTSE REIT Index Chart (2 years) Previous chart on FTSE ST REIT index can be found in the last post: [Singapore REITs Monthly Update](https://reitsavvy.com/insights/singapore-reits-monthly-update-12-august-2024) on 12 August, 2024. **Fundamental Analysis of 38 Singapore REITs** --- The following is the compilation of 38 Singapore REITs with colour-coding of the Distribution Yield, Gearing Ratio and Price to NAV Ratio. - The Financial Ratios are based on past data and these are lagging indicators. - All REITs have the latest Q2 2024 values. - I have introduced weighted average (weighted by market cap) to the financial ratios, in addition to the existing simple average ratios. This is another perspective where smaller market cap REITs do not disproportionately affect the average ratios. Data from REITsavvy Screener [https://screener.reitsavvy.com/](https://screener.reitsavvy.com/) - For more information about REITsavvy Screener, check out over [here](https://reitsavvy.com/reits-screener). ![](https://reitsavvy.com/hs-fs/hubfs/image-png-Sep-09-2024-02-34-21-7484-AM.png?width=952&height=1024&name=image-png-Sep-09-2024-02-34-21-7484-AM.png) **What does each Column mean?** - **FY DPU: If Green,** FY DPU for the recent 4 Quarters is higher than that of the preceding 4 Quarters.**If Lower, it is Red.** - **Yield (TTM):** Yield, calculated by DPU (trailing twelve months) and Current Price **as of August 12, 2024.** - **Gearing (%):** Leverage Ratio. - **Price/NAV:** Price to Book Value. Formula: Current Price over Net Asset Value per Unit. - **Yield Spread (%):** REIT yield (ttm) reference to Gov Bond Yields. REITs are referenced to SG Gov Bond Yield. **As of May 2024, all REITs' Yield Spread will be referenced to SG Gov Bond Yields, regardless of trading currency.** **Price/NAV Ratios Overview** - **Price/NAV increase to 0.89 **(Weighted Average: 0.89) - Increased from 0.85 in August 2024. - Singapore Overall REIT sector is slightly undervalued - **Most overvalued REITs (based on Price/NAV)** | Keppel DC REIT | 1.60 | | --- | --- | | ParkwayLife REIT | 1.52 | | Capitaland Ascendas REIT | 1.33 | | Mapletree Industrial Tr | 1.21 | | Frasers Centrepoint Trust | 1.05 | | Mapletree Logistics Tr | 1.02 | - **Most undervalued REITs (based on Price/NAV)** | Manulife US REIT | 0.29 | | --- | --- | | Prime US REIT | 0.33 | | ARA Hospitality Trust | 0.34 | | Keppel Pacific Oak US REIT | 0.35 | | Lippo Malls Indonesia Retail Trust | 0.36 | | OUE REIT | 0.43 | **Distribution Yields Overview** - **TTM Distribution Yield decreased to 6.37% **(Weighted Average decreased to 5.91%)     - Decreased from 7.14% in August 2024 (Weighted Average was 6.36%) - **15 of 38** Singapore REITs have TTM distribution yields of above 7%. - **Highest Distribution Yield REITs (TTM)** | IREIT Global | 11.79 | | --- | --- | | ARA Hospitality Trust | 11.39 | | Elite Commercial REIT | 9.93 | | Cromwell European REIT | 9.77 | | United Hampshire REIT | 9.33 | | EC World REIT | 9.24 | - Yield Spread **tightened to 3.76%.** (Weighted Average remained similar at 3.99%)    - Tightened from 4.25% in August 2024. (Weighted Average was 4.01%) - From May 2024 onwards, all yield spread measurements are now in relation to SG Gov Bond Yields, no longer a mix with US Gov Bond Yields **Gearing Ratios Overview** - **Gearing Ratio remained similar at 39.12% **(Weighted Average: 38.28%) - Remained similar from 39.14% in August 2024. (Weighted Average: 38.28%) - Gearing Ratios are updated quarterly. Therefore there were only 2 gearing ratio updates this month. - S-REITs Gearing Ratio has been on a steady uptrend. It was 35.55% in Q4 2019. - **Highest Gearing Ratio REITs** | EC World REIT | 57.9 | | --- | --- | | Manulife US REIT | 56.3 | | Prime US REIT | 48.1 | | Lippo Malls Indonesia Retail Trust | 45.0 | | ARA Hospitality Trust | 43.5 | | Keppel Pacific Oak US REIT | 42.7 | **Market Capitalisation Overview** - **Total Singapore REIT Market Capitalisation increased by 7.12% to S$92.57 Billion.** - Increased from S$86.20Billion in August2024. - **Biggest Market Capitalisation REITs (S$ Million):** | Capitaland Integrated Commercial Trust | 14410.76 | | --- | --- | | Capitaland Ascendas REIT | 12795.27 | | Mapletree Pan Asia Commercial Trust | 7412.37 | | Mapletree Logistics Tr | 7022.26 | | Mapletree Industrial Tr | 5981.85 | | Frasers Logistics & Commercial Trust | 4226.20 | - **Smallest Market Capitalisation REITs (S$ Million):** | ARA Hospitality Trust | 136.30 | | --- | --- | | Lippo Malls Indonesia Retail Trust | 153.94 | | Elite Commercial REIT | 161.43 | | Manulife US REIT | 183.50 | | BHG Retail REIT | 226.03 | | EC World REIT | 226.76 | Disclaimer: The above table is best used for “screening and shortlisting only”. It is NOT for investing (Buy / Sell) decisions. If you want to know more about investing in REITs, scroll down for more information on the REITs courses.   **Top 20 Best / Worst Performers of August 2024** [Source:](https://mystocksinvesting.com/wp-content/uploads/2021/10/Top-20-Worst-Performance-REIT-Sep-2021.png)[https://screener.reitsavvy.com/](https://screener.reitsavvy.com/) ![](https://reitsavvy.com/hs-fs/hubfs/image-png-Sep-09-2024-05-01-55-5414-AM.png?width=1474&height=1352&name=image-png-Sep-09-2024-05-01-55-5414-AM.png) **SG 10-Year & US 10-Year Government Bond Yield** - SG 10 Year: 2.59% (decreased from 2.88%) ![](https://reitsavvy.com/hs-fs/hubfs/image-png-Sep-09-2024-03-01-03-5271-AM.png?width=902&height=424&name=image-png-Sep-09-2024-03-01-03-5271-AM.png) **Summary** Singapore REITs have experienced a strong rally over the past month in anticipation of an interest rate cut in September. The FTSE ST REIT index has recently begun an uptrend, signaling the start of a bull market for Singapore REITs. The expected cut in the U.S. interest rate and the decline in the U.S. 10-year bond yield are key catalysts that could further boost the Singapore REIT sector. According to the current Fed Fund Rate projections from the CME Group, a minimum 25 basis point cut is expected by Q3, with a total reduction of at least 100 basis points by the end of 2024. The S-REIT sector is currently trading at an 11% discount to its fair value, with an average trailing twelve-month (TTM) yield of 6.42%. Despite the recent rally, valuations and distribution per unit (DPU) yields remain attractive. Investors may consider locking in the current yield at a discounted valuation, while awaiting a potential valuation re-rating in response to the anticipated interest rate cut by the end of 2024. ![](https://reitsavvy.com/hs-fs/hubfs/image-png-Sep-09-2024-03-02-09-9392-AM.png?width=1024&height=354&name=image-png-Sep-09-2024-03-02-09-9392-AM.png) US 10 Year Risk Free Rate [*Kenny Loh is a Wealth Advisory Director*](https://engage.fa.com.sg/kennyloh/)*and REITs Specialist of Singapore’s top Independent Financial Advisor. He helps clients construct diversified portfolios consisting of different asset classes from REITs, Equities, Bonds, ETFs, Unit Trusts, Private Equity, Alternative Investments, Digital Assets and Fixed Maturity Funds to achieve an optimal risk-adjusted return. Kenny is also a CERTIFIED FINANCIAL PLANNER, SGX Academy REIT Trainer, Certified IBF Trainer of Associate REIT Investment Advisor (ARIA) and also an invited speaker of REITs Symposium and Invest Fair.*  You can join my Telegram channel [#REITirement – SREIT](https://t.me/REITirement) Singapore REIT Market Update and Retirement-related news. [https://t.me/REITirement](https://t.me/REITirement)   ![op can-4](https://reitsavvy.com/hubfs/op%20can-4.png) **[Insights](https://reitsavvy.com/insights)** **[REITs Screener](https://screener.reitsavvy.com/)** Unless otherwise specified, all return figures shown above are for illustrative purposes only, are not actual customer or model returns and are not indicative of future performance or results. Actual returns will vary greatly and depend on various factors including personal and market circumstances. Investment involves risk. It is important to note that the capital value of investments and the income from them may go down as well as up and may become valueless. Some of the statements contained in this website may be considered forward-looking statements which provide current expectations or forecasts of future events. There is no assurance that the conditions described in this website will remain in the future and actual results may differ materially. This website is for information purposes only and is not and should not be construed as an offer or the solicitation of an offer or a recommendation for the purchase or sale of any investment or subscribe for, or to participate in, any services. The information contained within this website has not been reviewed in the light of your personal circumstances. You should carefully consider whether any investment views and investment products/services are appropriate in view of your investment experience, objectives, financial resources and relevant circumstances or seek financial advice. All advertisements on the website have not been reviewed by the Monetary Authority of Singapore. Any notification from the REITsavvy application is not a product advertisement that has been reviewed by the Monetary Authority of Singapore. This advertisement has not been reviewed by the Monetary Authority of Singapore. Copyright © 2023-2024 REITsavvy. All Rights Reserved. [Disclaimer & Privacy Policy |](https://reitsavvy.com/disclaimer-and-privacy-policy) [Terms of Service](https://reitsavvy.com/terms-of-service) ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "Kenny Loh", "url" : "https://reitsavvy.com/insights/author/kenny-loh" }, "dateModified" : "2024-11-20T04:49:13.063Z", "datePublished" : "2024-09-09T03:02:49.000Z", "headline" : "Singapore REITs Monthly Update (06 September 2024)", "mainEntityOfPage" : { "@id" : "https://reitsavvy.com/insights/singapore-reits-monthly-update-06-september-2024", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject" } } } ```