Would AK invest in IREIT Global today?

Reader:
"I read your analysis of IREIT and how your strategy turned out in August 2015. You said that you wanted a minimum of 8% yield to invest in IREIT. So, you waited. At today's price, you would get more than 8%. Would you invest in it today?"





The reader was referring to a blog dated 14 August 2015. If anyone is interested in the background which led to this blog, please read: 
How did IREIT Global's rights issue turn out for AK?

AK:
"Wow! You read that recently? You must be combing my blog's archives! Gambatte! 

"Anyway, back then, my average price was about 66c and, estimating a DPU of 6c today is not unrealistic. So, conservatively, I am getting a 9.1% distribution yield for that investment.

"Actually, as things turned out, less than a week after I published that blog, I increased my investment in IREIT a lot more at 66c and 65.5c.





"On hindsight, I didn't have to go through all that trouble to get IREIT at a lower price during its rights issue but who could have known that Mr. Market would go into a mild depression later in August 2015? I am not saying that it was a bad thing, of course.

"I added to my investment in IREIT again in mid-2016 at 71c a unit which was 7.5% higher than 66c. Even though it was a higher price, I still found the REIT attractive as an investment for income. More recently, I added a bit more to my investment last month, paying 72.5c a unit."

Now, would you invest in IREIT Global today? It depends on what you are after and whether IREIT Global does the job for you.

Related posts:
1. FLT and CRCT added.
2. Projected yield of 8% safe?

Take home loan from bank and buy unit trusts!

For fun and laughter only. LOL.
Hi AK,

I'm new to your site, saw quite a few interesting post from you.. Wonder if I can get some advise and directions to investment...

Have $50k spare cash, now searching for what to invest...

I have a $500k HDB housing loan.

Some financial advisors asked me to switch to bank loan. Instead of using my spare cash to clear my housing loan, look for an investment product which is stable and has a good interest rate which is above the bank loan interest like JPMorgan Funds - Asia Pacific Income and First State Dividend Advantage.

Considering the US situation with the new president, USD is likely to rise with the promising policies to come. Then with the increase value of USD and decreasing value of SGD, would USD linked investments be good. Any recommendation?

I am only talking to myself here.

Hi C,
I don't recommend stuff. I am only talking to myself in my blog.

I like to tell myself not to ask barbers if we need a haircut. Switch from HDB loan to bank loan? These financial advisers work for HDB or for the banks har? Interest rates are going up, then, bank loan interest rates will go up or not?

Financial advisers ask me to buy income focused unit trusts which are likely to be more rewarding than using the money to pay down my mortgage? What are the underlying assets of these unit trusts? Bonds, income generating stocks or REITs, probably. Why they never ask me to invest in these directly har?

I don't know what Donald Trump is going to do to the USA or the US$. I am not very good at speculation. I did a few times before and fell into longkang. Shhh...
Best wishes,
AK

Related posts:
1. Fixed rates, SIBOR, FHR18 or HDB Housing Loans.

2. Nobody cares more about our money than we do.

3. Don't do silly things and we can retire smart too.