Singapore Reits on foreign jaunts outperform as home market stutters
Published on May 9, 2014 3:51 PM
SINGAPORE (Reuters) - Real estate investment trusts in Singapore with growing exposures overseas in places like China, Japan and Australia are bucking the trend of lower returns at home where the city-state's market has been slowing.
Known as S-Reits, the US$49 billion (S$61.1 billion) sector, Asia's second-largest after Japan, fared poorly in 2013.
Jitters about the end of the US Federal Reserve's stimulus programme and a series of moves by the Singaporean government to cool the property market raised concerns the trusts would lose their appeal to yield-hungry investors.
Those worries have not subsided, as evidenced by South Korea's Lotte Shopping's decision last week to postpone the listing of a US$1 billion trust in the city-state.
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