My First Purchase for June 2017

I finally added CapitaLand Mall Trust to my portfolio. This is a REIT that needs no introduction and many of us staying in Singapore would have visited some of it's malls on a regular basis. Their malls are located near to mrt stations and are able to draw human traffic due to their strategic locations. CMT was the first REIT to be launched in Singapore. It was launched in 2002 and IPO price was $0.96. For those fortunate enough to buy during that time and have the patience to hold till now, their dividend yield would be around 11.59%.

The malls owned by CMT are as shown below. Besides these properties, CMT also holds 122.7 million units in CapitaLand Retail China Trust (CRCT), which translates to an approximate 14.11% stake as at 31 December 2016.  The fair value of CMT’s investment in CRCT represents 1.6% of CMT and its subsidiaries’ (CMT Group) total asset size as at 31 December 2016. By buying CMT's shares, unitholders will also indirectly get to invest in CRCT at the same time.

Funan Digital Mall is currently closed for redevelopment works. It will be an integrated development comprising six-storey retail mall, two office towers and one block of serviced residences once completed.. The property would only be operational and contributing in 2019.

Technical

RSI is close to 30% and Stochastics is at 20% level indicating oversold. Current price level also looks like a support level (at least to me).

Screenshot from Chartnexus App

Fundamental

My dividend yield is around 5.77%. CMT's NAV is $1.8863 and 52 Week Low Price is $1.87. CMT is usually trading above it's NAV so $1.87 is another good support level to add more. I may have jump the gun on this trade. The dividend yield would be 5.95% if based on the 52 Week Low price of $1.87.

Temasek bought 337.9K shares in May at $1.943. Can undercut Temasek at current price. Hurray!😀

Screenshot from Spiking App