Five steps to take in REIT investment.

Now, I would not tell people if it is a good time to buy or to sell anything in the stock market. Regular readers know this. It is only on hindsight that we could tell if it was a good time to buy or to sell. Everyone has perfect hindsight. Not very useful, is it?


I know I have many more than a thousand blog posts by now and it would probably take quite a bit of time to trawl through them but I have hand picked a few and provided hyperlinks in the right side bar for your easy reference.

In this blog post, I want to share what I think I can safely share with anyone without getting into trouble and that is my general approach to the issue of investing in REITs. I try not to be repetitive but it is hard to avoid repeating at least some of the stuff I have said before in earlier blog posts.

Step one, know what is a REIT. Yes, don't laugh! People buy things just because it is the flavour of the month or year sometimes. It is true! Know what is a REIT and whether it fits your investment objectives. If you don't know what you want out of your investments, please leave your money in your bank account. 

Step two, if investing in REITs fits your investment objectives, look at the numbers of the different REITs available and see if you like them. If you read my blog posts on the different REITs I am vested in over the last 2 to 3 years, you will get an idea of what I look out for when I examine their financial reports. My approach is by no means fool proof but I believe that it does a pretty decent job.

Step three, if you like the numbers of certain REITs even at their current unit prices, then, they are still good investments for you! Doesn't sound like a difficult conclusion to arrive at, does it?

Step four, decide how much of each REIT you want to buy into at the current unit prices. As a percentage of your total investible cash, how much would you be comfortable with investing? Now, this is a very personal question. Some people are conservative while some are bolder. Two people could have the same belief that being partially invested while keeping a war chest ready is the way to do it but differ as to the proportion of investible cash to use.

Step five, buy, hold and monitor. Yes, don't think that everything is hunky-dory after making your investments. You want to monitor how they are doing on a quarterly basis. Keep track of macro trends and think how these could affect your investments. If you stay on top of things, you will feel confident in your investments and if there should be opportunities to buy more on the cheap, you would be able to act decisively. By the same token, you would also know when prices are somewhat rich and that partial or full divestment could be a good choice.


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Visiting an indecent (even lewd) shop.

Remember the big hoo hah about the gigantic poster of a half naked man at Knightsbridge? Actually, that was not a poster. It was more like an enormous mural!

The images which would put most Singaporean men (including myself) to shame were on two walls at the corner of the building, a few storeys high!

For those of more puritanical persuasion, you might want to avert your eyes because here is a flesh  flash back:

A while back, I went with a friend who was visiting. She went with her camera in hand and took photos with the lone topless hunk in the shop. After that, the nightmare began. Nightmare? Now, now, don't be naughty.

Too dark! Too many steps! Too many angular handrails!

I don't have very good night vision and I had to squint in the very dimly litted interior and would suddenly go blind in areas with spotlights which made me even more blind as I walked into dimmer areas again. As I went up and down the steps, I walked into the corners of the handrails at least twice. I had the haematoma to show for it too!

The shirts on sale were somewhat too thick for our climate. Of course, the prices were too rich for me. Anyway, if you guessed that I probably walked away empty handed, you are right. No prizes though. Too easy.

You might be interested in reading my older blog post on Abercrombie & Fitch.

Hint: you would also want to read the comments section.

Read the blog post here:
Ad by Abercrombie & Fitch is indecent (even lewd)!

See my staycation photos at Hard Rock Hotel, Singapore: here.