REIT-TIREMENT

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Thursday, February 13, 2020

Coronavirus Outbreak - Buy, Hold or Sell SREITs?

Recently, majority of stuff we've heard and seen would be about Coronavirus. Everyday, news would report increasing number of cases, deaths and recovered patients. At the time of writing, there are 60K confirmed cases and 1.3K deaths worldwide. No one knows how long this outbreak will last, however, one thing for certain, this would eventually end, same like SARS and H1N1.
Now, it is very natural to worry whether this could lead to recession or market crash; should we buy, sell or hold your investment now ? A million dollar question that I have no crystal ball to tell. It is impossible (at least for me) to time the market bottom or top, so what I would do is to follow my investment strategy as my previous posts:
Buy or Sell ? or Hold ?
i) How to Come Out a Simple Dividend Investment Plan
I created my dividend investment plan in spreadsheet since 2013 and have been stick to it since then. As I am not good in timing the market, I prefer to accumulate SREITs and re-invest its dividends to take advantage of compound interest. Time is still on my side.

ii) Sector Contribution Weightage of REITs
I've classified REITs under 6 sectors, which are retail, office, healthcare, hospitality, industrial and logistics. Nowadays, a lot of SREITs own assets in multiple sectors which provide some form of diversification. My max. allocation for each sector is 25% by cost, so my REITs portfolio would not be too heavy on either sector.

iii) Quantifying REITs Fundamental
I have a set of criteria to analyze REIT fundamental. Of course, I am constantly seeking ways to improved my way of fundamental analysis.

iv) REITs Valuation
I would value REITs with relative valuation and yield factor method to determine buying and selling price. Generally, I am holding REITs long term for dividend instead of short term trading for capital gain.

So to answer the post title: No, I won't sell at this moment. Instead, I will look for opportunity to accumulate more SREITs should correction come.
Do not Panic Sell
And if you a new to REITs investing, you could refer to my previous post on:
1) What to Consider before Start Investing
You don't just open brokerage account and buy REITs, you would need to review your financial status beforehand. In here I shared out what you should take note before you start your investment journey.

2) Why Invest in REITs
You could find the advantages and disadvantages of investing in REITs. Also touched on physical properties rental yield matter briefly.

3) How to Start Investing in REITs.
In here I shared out how to start investing from opening account, portfolio management and where/how you could learn about REITs investing.

You could also refer to SREITs Data page to view full list of SREITs in Singapore and SREITs Results Date page for result announcement date. Speaking of which, recently I've found that Dividend Machine course (which only open once a year) is opened for registration until 1st of March.
In short, this is a course created by The Fifth Person which teach you about dividend investing. The course divided into 4 modules, which consists of personal finance, dividend stocks investing, REITs investing and portfolio management. You would get the following if you signed up:
1) Online Training Module and Future Contents Updates - Lifetime Access
2) Q&A Forum - Lifetime Access, Typically Reply within 48 Hours
3) Live 1 Day Workshop - Can Attend Repeatedly in Singapore or Kuala Lumpur,

I've personally signed up and attended this course on 2017, their workshop was informative. I also like how they update their online modules yearly with new contents and examples. At the end of their workshop, they would offer professional membership (no hard sell) which allow you to access their watch list, portfolio, case study and bi-annually meet-up.

You could sign up now (Non-Affiliated Link) with the price of S$ 488, with 30 days money back guarantee. In the case if you are not satisfied with their contents, you could have your refund. If you miss this time, the next opening would be next year.

Note: This is NOT a sponsored post, I get NO commission for your sign up. I share because I find this course useful and definitely value for money especially to those who are new to investing. Hope this post helps.

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