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Anonymous

09 Sep 2020

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How do I determine whether a REIT is doing well and what do I need to look out for before deciding whether that REIT is a good investment?

AMA Manulife US REIT

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Carol Fong

09 Sep 2020

Head of Investor Relations at Manulife US REIT

As mentioned earlier, Manulife US REIT is a member of REITAS and its website also has a list of metrics for investors to consider, when investing in REITs.

This list ā€œGeneral considerations when investing in a REITā€ can be found at https://www.reitas.sg/reit-basics/metrics-to-co... and hereā€™s a summary:

Like any other publicly listed stock, individual investors may buy units in a REIT, which are listed on a stock exchange. It is also possible to get REIT exposure via REIT mutual funds or REIT exchange traded funds (ETFs).

REIT shares are priced by the market throughout the trading day on the exchanges they are listed on.

Below are some key metrics relating to REITs (in no particular order). The list is not exhaustive and readers should do their own research and due diligence before investing.

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Quality and Track Record of Management, Portfolio & Financials

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Aggregate Leverage (Gearing ) Level

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Price to Net Asset Value (NAV)

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Tenant Mix

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Occupancy Rate

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Weighted Average Lease Expiry (WALE)

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Lease Expiry Profile

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Debt Expiry Profile

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