Been looking for a chance to get some REIT into 穷小子's portfolio, and patience has been rewarded finally. The current price may not be the lowest yet, but is a good opportunity to have a small position first. If rates hike, second purchase opportunity shall come into play.
Suntec Reit
Manage to get a comfortable 6.43% yield from yesterday. Furthermore, the price dropped from 1 month high at $1.75 to a close at $1.59 yesterday. That is a almost a 10% drop in a month. Is this a great bargain or a trap? Only time will tell.
Aim AMP Capital Industrial Reit
First time got into Industrial REIT. Not sure if this is a sunset industry, but no harm having a small position to get a 8.63%. This is one of the lowest holdings in 穷小子's portfolio.
穷小子 is trying to get a better position before the December US rates announcement. Whether hike or not, shall prepare different strategies for both scenarios.
hi can share your reason for buying now and not wait for dec?
ReplyDeleteHi,
DeleteNobody knows if there is a rate hike in Dec until it is confirmed. Even if the rates increase, there is no confirm that Reits will drop. Mr Market can be very irrational, so why not get into good position with a small purchase first and act accordingly.
Looking at the market today, it seems that Reits are moving up currently with Suntec Reit leading. 穷小子 is happy with this combo purchase. :)