S-REITs Appear Unattractive Now – How To Navigate The Crash? (26 Oct 2023)

TL;DR

Learn about the current state of the Singapore REITs market, including its recent decline and mixed opinions on investing, as well as updates on the US Stock Market, including the ongoing Israel war and the Q3 earnings season.

Transcript

hello everyone good evening to all of you great to see you guys tonight uh can you guys all hear me clearly now if anyone of you can hear me clearly do let me know in the chat box okay okay so uh for those of you who are joining us for the first time tonight I'm Hazel from the D investors right we focus on sharing more valuable content to empower i... Read More

Key Insights

• 😠 The Singapore REITs market has been beaten down and is facing mixed opinions, making it a challenging environment for retail investors.
• 🦮 Understanding that macroeconomies are dynamic and focusing on fundamentals can help guide investment decisions during tough times.
• 🔔 Fundamentally sound REITs can still experience financial impacts, but over the long term, their strong fundamentals should support performance and profitability.
• ◀️ Geopolitical conflicts, like the Israel war, generally have limited impacts on the stock market unless they escalate into larger-scale disruptions.
• 🛀 The current earning season for US S&P 500 companies shows overall stability and slight recovery in earnings.
• 🏴‍☠️ Consumer defensive stocks, like Proctor and Gamble, offer stable performance despite moderate growth rates.
• 🔡 Technical analysis and buying at appropriate price levels can help manage risks and potentially lower average costs in the stock market.
• 🆘 Understanding that stock prices go through fluctuations and applying disciplined investment strategies can help navigate market volatility.
• 🌼 Considering both dividends and capital gains/losses when evaluating total returns provides a more accurate understanding of profitability.

Questions & Answers

Q: Should I invest in Singapore REITs given the current high interest rates?

The decision to invest in Singapore REITs should consider both the macroeconomic environment and the fundamentals of the specific REITs. While high interest rates may impact REITs, it's important to analyze their financials and long-term prospects before making a decision.

Q: How does geopolitical conflict, such as the Israel war, affect the US Stock Market?

Geopolitical conflicts often have limited effects on the stock market unless they escalate into a regional or global war that disrupts supply chains or drives inflation. Currently, the Israel war is not expected to significantly impact the US or global economies.

Q: Why is it important to consider both dividends and capital gains/losses in total returns for REIT investments?

Total returns for REIT investments should consider both dividends and capital gains/losses because owning REIT units involves price fluctuations, just like any other stocks. Dividends collected may offset capital losses, and looking at the full picture helps evaluate overall profitability.

Key Insights:

• The Singapore REITs market has been beaten down and is facing mixed opinions, making it a challenging environment for retail investors.
• Understanding that macroeconomies are dynamic and focusing on fundamentals can help guide investment decisions during tough times.
• Fundamentally sound REITs can still experience financial impacts, but over the long term, their strong fundamentals should support performance and profitability.
• Geopolitical conflicts, like the Israel war, generally have limited impacts on the stock market unless they escalate into larger-scale disruptions.
• The current earning season for US S&P 500 companies shows overall stability and slight recovery in earnings.
• Consumer defensive stocks, like Proctor and Gamble, offer stable performance despite moderate growth rates.
• Technical analysis and buying at appropriate price levels can help manage risks and potentially lower average costs in the stock market.
• Understanding that stock prices go through fluctuations and applying disciplined investment strategies can help navigate market volatility.
• Considering both dividends and capital gains/losses when evaluating total returns provides a more accurate understanding of profitability.
• Learning frameworks and techniques, such as those taught in workshops, can assist in building a well-diversified REIT portfolio and making informed investing decisions.

Summary & Key Takeaways

• The Singapore REITs market has been experiencing a downtrend and is being impacted by high interest rates. There are mixed opinions on investing in Singapore REITs, with some choosing to stay away and others seeing it as an opportunity to accumulate positions.

• Understanding that the macroeconomy is dynamic and always changing is important when investing. Focusing on the fundamentals of the businesses rather than macroeconomic news can help make more informed investing decisions.

• Fundamentally sound REITs may still experience financial impacts during tough times, but over the long term, their strong fundamentals should support their performance and profitability.