🌟🌟🌟Singapore is the undisputed global hub for SReits. SReits are structural yield plays. They live and die by interest rates. When US inflation stays sticky and the Federal Reserve keeps yields high, it acts like a giant gravity well pulling global capital out of SReits and into risk free US Treasuries.
If US Treasuries go up , global fund managers will gravitate towards them and sell SReits.
However do not dump SReits entirely but treat it with extreme selectivity. Avoid highly leveraged SReits and pivot toward premium institutional grade SReits.
A good example of an SReit that has a high interest coverage ratio (ICR) and a high fixed debt mix is $Keppel DC Reit(AJBU.SI)$ . As a pure play data centre trust, Keppel DC REIT stands as one of the most fundamentally fortified balance sheets on SGX.
The relentless global explosion of AI training, cloud computing gives this SReit significant pricing power during lease renewals.
@Tiger_SG @TigerStars @Tiger_comments
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