If you look at my holdings(click here for detail), foreign REITs account for 42% and Malaysian REITs only accounted for 10%. The reason is that Malaysian REITs are overvalued & unattractive compared to foreign REITs. You can see by comparison.

Retail REIT – IGBREIT vs CAPITAMALL

IGBREIT CMT
SHARE PRICE 1.86 2.03
GROSS DIVIDEND YIELD 4.90% 5.90%
DIVIDEND YIELD AFTER TAX 4.40% 5.90%
P/B RATIO 1.73 0.98
GEARING RATIO 26% 32.90%
DIVIDEND CAGR (2017-Now) -0.65% 3.57%

Malaysia’s leading retail REITs versus Singapore’s leading retail REITs, due to the impact of COVID, we take the 2019 dividend for calculation, the CMT dividend compounding growth rate from 2017 to 2019 was in line with 3.57%, while IGBREIT was negative.

If it is restored to the pre-COVID level, the dividend yield of CMT is as high as 5.9%, and the dividend yield of IGBREIT is only 4.9%. After subtracting 10% tax, it is only 4.4%. At the same time, the current share price of CMT is still lower than NAV per unit, with a PB ratio of 0.98%, while IGBREIT is as high as 1.73.

Except for the gearing ratio of IGBREIT which is lower than CMT, CMT has won all other criteria. I really don’t see the bright spots of investing in IGBREIT.

Industrial REIT – Axreit vs Maple Logistic

AXREIT MLT
SHARE PRICE 2.25 2.05
GROSS DIVIDEND YIELD 3.82% 3.99%
DIVIDEND YIELD AFTER TAX 3.43% 3.99%
P/B RATIO 1.55 1.69
GEARING RATIO 29% 39.60%
DIVIDEND CAGR (2017-2020) 1.35% 2.40%

As for the industrial REITs, Axreit is superior in Gearing ratio and PB ratio, but MLT’s dividend yield is better, and the dividend compound growth rate is also higher than Axreit. personally i prefer MLT.

Fast Growing REIT – ATRIUM vs ASCENDAS INDIA

ATRIUM ASCENDAS INDIA
SHARE PRICE 1.08 1.33
GROSS DIVIDEND YIELD 7.41% 6.98%
DIVIDEND YIELD AFTER TAX 6.67% 6.98%
P/B RATIO 0.86 0.96
GEARING RATIO 39% 28.00%
DIVIDEND CAGR (2017-Now) 2.63% 16.08%

I believe nobody will choose Atrium instead of AIT, compounding dividend growth rate 16% is amazing, together with 6.98% dividend yield, which is higher than atrium’s 6.67%

Conclusion:

In fact, Bursa having limited good REITs, hence investors have no choice. Under the chasing of funds, the stock price is getting higher and higher.

However, Singapore is different. There are as many as 40 REITs. At the same time, there are many Biz Trusts, that why the stock price is relatively reasonable.

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