Asked on 22 May 2019
I have 10k investible cash and thinking how to out that into a diversified portfolio or just start with one counter, eg CapitaMall Trust (CMT) which seems to be the most popular amongst my colleagues now.
I believe that the safest to start with will be retail reits that are based in Singapore such as CapitaMall Trust and Frasers Centrepoint Trust.
However, do look at the valuations as I feel that it is still on the high side.
REITs are quite affordable and good for beginner investors who are stuggling with good capital for investment.
At present 38 REITs are listed on the Singapore stock market. They can be subdivided into these sectors: office, retail, industrial, hospitality and healthcare.
If you are looking to invest in REIT industry safely, you can look for industrial or office REITS. Hospitality and Retail sectors are next.
Currently these REITS are looking good for beginner investment :
Dasin Retail Trust (SGX: CEDU)
OUE Commercial REIT (SGX: TS0U)
Sabana REIT (SGX: M1GU)