Technical Analysis of FTSE ST REIT Index (FSTAS351020)
FTSE ST Real Estate Investment Trusts (FTSE ST REIT Index) decreased from 647.67 to 631.70 (-2.47%) compared to last month's update. Singapore REITs index is currently forming an inverted head and shoulders chart pattern, trading near the support level of a big wedge pattern.
• Short-term direction: Sideways
• Medium-term direction: Sideways
• Long-term direction: Sideways
• Immediate Support: Blue Support Line (Wedge)
• Immediate Resistance: 200D SMA
FTSE REIT Index Chart (2 years)
Previous chart on FTSE ST REIT index can be found in the last post: Singapore REITs Monthly Update on January 18th, 2025.
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.
Data from REITsavvy Screener https://screener.reitsavvy.com
What does each Column mean?
As of May 2024, all REITs' Yield Spread will be referenced to SG Gov Bond Yields, regardless of trading currency.
Price/NAV Ratios Overview
ParkwayLife REIT |
1.61 |
Keppel DC REIT |
1.37 |
Mapletree Industrial Tr |
1.17 |
Capitaland Ascendas REIT |
1.16 |
Paragon REIT |
1.06 |
AIMS APAC REIT |
0.99 |
Manulife US REIT |
0.29 |
Prime US REIT |
0.31 |
Acrophyte Hospitality Trust |
0.32 |
Keppel Pacific Oak US REIT |
0.33 |
Lippo Malls Indonesia Retail Trust |
0.35 |
OUE REIT |
0.48 |
Distribution Yields Overview
Acrophyte Hospitality Trust |
12.16 |
IREIT Global |
11.92 |
Stoneweg European REIT |
9.29 |
Elite UK REIT |
8.97 |
Sasseur REIT |
8.96 |
ESR REIT |
8.83 |
Gearing Ratios Overview
Manulife US REIT |
58.2 |
EC World REIT |
56.1 |
Prime US REIT |
47.8 |
Lippo Malls Indonesia Retail Trust |
45.0 |
Keppel Pacific Oak US REIT |
43.7 |
Acrophyte Hospitality Trust |
43.2 |
Market Capitalisation Overview
Capitaland Integrated Commercial Trust |
14377.99 |
Capitaland Ascendas REIT |
11220.00 |
Mapletree Pan Asia Commercial Trust |
6211.40 |
Mapletree Logistics Tr |
6170.76 |
Mapletree Industrial Tr |
5781.44 |
Keppel DC REIT |
4638.90 |
Acrophyte Hospitality Trust |
127.60 |
Lippo Malls Indonesia Retail Trust |
153.94 |
Manulife US REIT |
183.50 |
Elite UK REIT |
190.14 |
Prime US REIT |
222.36 |
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 10 Best / Worst Performers for the January 2025
Source: https://screener.reitsavvy.com/
Refer to the Detail 2024 S-REITs Performance here.
SG 10-Year Government Bond Yield
Summary
Singapore REITs sector is consolidating at the the support level of about 630 of FTSE ST REIT Index. The US 10Y Risk Free Rate dropped to 4.48%, but this did not correlate to an increase in the S-REITs index. Singapore REITs sector is expected to be muted as long as US 10 Year Risk Free rate stay at current level.
US 10 Year Risk Free Rate
Fundamentally, the S-REIT sector is trading at a 12% discount to its fair value, with an average trailing twelve-month (TTM) yield of 6.15%.
According to the current Fed Fund Rate projections from the CME Group, the market expects a 25 basis point cut by end 2025, with a total reduction of 100 basis points cut from the peak of the interest rate cycle in 2024. The cut in interest rate will help to boost the DPU of the REITs which have shorter debt maturity profile and higher percentage of floating rate. However, the impact will only be reflected in the financial statement probably in Q2 or Q3 2025.
Kenny Loh is a distinguished Wealth Advisory Director with a specialization in holistic investment planning and estate management. He excels in assisting clients to grow their investment capital and establish passive income streams for retirement. Kenny also facilitates tax-efficient portfolio transfers to beneficiaries, ensuring tax-efficient capital appreciation through risk mitigation approaches and optimized wealth transfer through strategic asset structuring.
In addition to his advisory role, Kenny is an esteemed SGX Academy trainer specializing in S-REIT investing and regularly shares his insights on MoneyFM 89.3. He holds the titles of Certified Estate & Legacy Planning Consultant and CERTIFIED FINANCIAL PLANNER (CFP).
With over a decade of experience in holistic estate planning, Kenny employs a unique “3-in-1 Will, LPA, and Standby Trust” solution to address clients’ social considerations, legal obligations, emotional needs, and family harmony. He holds double master’s degrees in Business Administration and Electrical Engineering, and is an Associate Estate Planning Practitioner (AEPP), a designation jointly awarded by The Society of Will Writers & Estate Planning Practitioners (SWWEPP) of the United Kingdom and Estate Planning Practitioner Limited (EPPL), the accreditation body for Asia.
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