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Tuesday, 11 September 2012
Best Performing REITs - Singapore's the One.
Singapore's REIT, or real estate investment trusts, yield the best returns in the world. This performance is luring investors soon after a property shopping spree across Asia, thus giving them a broader stream of income.
According to Bloomberg, 'Singapore REITs have outperformed the city-state’s benchmark Straits Times Index, which has climbed 14 percent this year. The 10-year government bond yield in Singapore was 1.38 percent as of Aug. 29. Adjusted for inflation, Singaporean savers currently receive a negative real return on their savings of 4.79 percent.'
While Ada Choi and Leo Chung, CBRE analysts, wrote in a report on Asia's REIT that, 'Although Asian REITs are expected to remain in buying mode, they will likely turn more selective towards future acquisitions, with yield enhancement and insulation from the global economic slowdown emerging as important criteria.'
(Source: Bloomberg)
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