Why SREITs seem 'oversold' in the short term

Is it still smart to invest?

According to OCBC, S-REITs appear to be oversold in the short term. While the recent market selloff of S-REITs might have taken the shine of S-REITs at the moment, we believe that this selloff has been overdone; it has not shaken OCBC's resolve that S-REITs remain attractive investments.

Furthermore, in light of the recent share price weakness, OCBC believes that even in the quagmire there is value to be found.

Here's more from OCBC:

As we shall show via several sensitivity analyses, we believe that the magnitude of interest rate hikes that is being priced into the SREITs at present is far higher than even in our most bearish market scenario.

If investors were to cherry pick wisely, certain SREITs might even present them with considerable capital upside and attractive returns.

We have identified three key focal points that we believe would be beneficial to understanding the impact of higher interest rates on SREITs.

These are the following:

Opportunity costs for investing in yield-plays

Impact on distributions from higher interest costs

Risk on NAV through cap rate expansion

If you've been wondering whether SBR could work for your company — yes, probably.

A lot of the companies we partner with started as readers. They'd been following our coverage for a while, saw their own customers and competitors in it, and eventually asked the obvious question: could we do something with you? The answer is usually yes. The shape of it depends on what you're trying to do.

The options are broader than most people assume — thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. Some partners use one channel; most use a mix. We figure out the right combination by starting with your brief, not with our rate card.

So if the question has been on your mind, here's the easy way to ask it.

We'll tell you honestly whether we can help, and how. It's a better use of everyone's time.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia