Portfolio Update June 2025: Add Lendlease, Sold Keppel REIT

Keppel REIT has been totally sold off, Lendlease REIT holding has doubled.

No dividend inflow. Dividend is on track to hit $50,000 this year, that's all to update. 

SG listed REITs are still Attractive

With local exposure REITs such as Lendlease going at 7% yield, it is a good value proposition. Low SORA rates are going to benefit due to lower interest expense, especially with liqudiity flushed in Singapore. 

I have never been a fan of condo investing when the yields are so low at 3-4% (before leverage) and investors are subjected to SORA + margin loans. Even operating on leverage, a condo investment now is less superior than that of owning REITs.

What's more, I am getting dividend inflow higher than what property investors get from rental income nett of Agent Commission, Singapore property tax and maintenance fee.

Comparision is simple, just use a $600,000 purchase of Lendlease REIT against a scenario of a $2 million condo which uses $1.4 million loan; mathematically, the dividend earn from Lendlease at $42,000 per year is higher than what condo investors get after netting off all the cost and government taxes.

So yes, I will continue to own REITs to earn a high annual dividend.

Dividend Received

Year to Date

USD: $3,682

SGD: $13,414.50

Portfolio Update end May 2025: Added UnitedHampshire and Lendlease REIT; $50,000 Annual Dividend

As per my thoughts, Lendlease REIT and Unitedhampshire US REIT are bargains. So I have used cash to purchase these shares. As a result, lendlease is a new addition in my portfolio. It is expected for full year 2025, my dividend received will exceed $50,000.

That is a restounding number and mainly thanks to the sell down in Singapore REITs despite the fact local REITs are facing declining interest expense. I am thankful for the market of offering the opportunity to accelerate my income accumulation.

I will continue to accumulate Lendlease REIT due to its 7% dividend yield in Singapore environment. 

Dividend Received

Year to Date

USD: $3,682

SGD: $13,414.50 (received from Yangzijiang Financial, Olam and Nanofilm)

Thinking Between Lendlease Commercial REIT vs UnitedHampshire US REIT

Following from my portfolio update, I am now stuck in a dilemma.

On one hand, while I am thinking to add UnitedHampshire US REIT (at 9% yield), I have come across a local REIT called Lend Lease Commercial REIT, it is a mid cap REIT which owns 02 Grade A buildings in Jem and 313@Somerset. Its occupancy in Singapore is a solid 99.9% with the Ministry of National Development being on a long term lease with rental escalations of about 2.5-2.6% annually. 

Lendlease Commercial REIT is currently at 51 cents with a dividend of 3.6 cents, giving it a 7% yield.

Why am I torn over it, Compared to my Current Holdings

Lendlease has a good 7% yield with very good assets in Singapore. In a way, barring recession, Lendlease is a dividend stock with growing dividends, its cost of debt is falling due to the falling Singapore SORA rate. I believe this stock will give 4 cents dividend in a few years time as interet rates keeps falling. (Lendlease cost of debt is 3.57%, while SORA is at 2.3%; likely lendlease cost of debt will fall to 3.2%). I expect lendlease DPU to be up 10% due to the falling SORA rates.

I am not bothered by the high gearing of Lendlease because the REIT is mostly backed by Singapore assets. As the saying goes, Singapore property prices will only go up or stay flat, the government does not dare to deflate property prices. 

On the other hand, United Hampshire US REIT has a lower occupancy rate but is in a totally income inelastic segment as opposed to Lendlease whose shop tenants are across the specturm (but of course not as many luxury tenants as seen in Paragon or Starhill Global REIT).

Strong Occupancy in Singapore and Improving Occupancy in Italy

Lendlease has a "building no 3" in Milan which it is trying to lease out after the return of the building by the main tenant. With improving occupancy, this will improve the net property income (NPI) of the Italy office complex.

Second, Lendlease has in built rental esclation for its Singapore Shopping malls and Office towers. This means higher NPI in time to come. This is why I foresee Lendlease will become a growing dividend REIT stock over time.

Extra Funds to Deploy for My portfolio

Right now, I am thinking between Lendlease REIT and Utd Hampshire US. The former has a strong tenancy and occupancy with a Singapore ministry being its largest tenant who will not default on its remaining 20 years lease. The REIT sports a 7% yield with a strong tenant base. On the other hand, if I take the latter, the tenancy profile is weaker and has exchange risk, the benefit is that I get a 9% yield.

The other thing I have to note is my portfolio concentration; with Utdhampshire being a large part of my portfolio, buying more of it puts me into a concentration risk.

Quite a weekend to think where to deploy my extra funds!

May Portfolio Update (2025): Little Movement, Changing Sing Dollar to USD to Earn $50,000 Annual Dividend

 Nothing much has changed in my portfolio except for the sale of a few shares in Olam and Alibaba.

With the weakening of US Dollar relative to Sing Dollar, I sense an opportuity to start accumulating more United Hampshire US REIT to grow my dividend.

Having researched the REIT thoroughly, I do feel it provides a significant amount of recurring dividend. In addition, as it is in the stripe mall and essentials goods area, tenant sales should not be adversely affecting with the looming price hike among US goods. I will be doubling my stake because a 9% dividend is something I will not miss and the cheap US dollar means my Sing Dollar is able to buy more of the same units.

With the accumulation, I may be creating a $50,000 SGD Annual Dividend Portfolio, something I would have found unachieveable, but thanks to the low prices REITs are going and the strong Sing Dollar, it has become real. With so many strong dividend stocks in both Hong Kong (Link REIT) and US (United Hampshire, possibly PRIME US), holding Sing Dollar and placing it in Singapore banks with low deposit rates is not a good value proposition anymore; its better to just change your money to Hong Kong or US Dollars to buy the dividend stocks avaliable in these countries. It will reap much more benefit than holding Sing Dollar.

Another stock I am evaluating is lend-lease REIT. It owns 02 Grade A buildings in Singapore with close to 100% occupancy and is of 7% dividend yield. Currently it's share price is at a low which makes it beneficial to own, of returns even surpassing what condo owners can own from renting out their property. Its largest tenant is Singapore's Ministry of National Development.

Dividend

Year to Date

USD: $3,682

SGD: $5,250

A Japan House Near Tokyo Costs Less than a Singapore HDB Flat of Same Travelling Distance, my Thoughts

I am not joking when I say this. Due to constant searches on housing in Japan, Facebook seems to be throwing its algo and think I am interested in a Japan property. So recently, they shared with me properties in Japan (Kawasaki City) going at USD$460,000 or about SGD$610,000 for properties of 50 mins travelling time to Tokyo Station and 50 mins to airport via train, of 1,100 square feet and a 2-3 years old house

If i were to extrapolate this to Singapore's context, it is akin to travelling from Woodlands or Sembawang area. While there is no data of 2-3 year old resale flat because Singapore law forbids the sale of such resale HDB, we do have data for 5 year old resale HDB flat of that floor area and in that area. 

A search on HDB resale transaction based on these parameters tells 5 year old HDB resales are going at SGD$680,000-$820,000. 

Fringe Properties in Tokyo Area are Much Cheaper than Singapore's and Why?

There are other areas of Tokyo too where like-for-like and travelling on public transport, their housing is cheaper than Singapore's. And unfortunately in Tokyo suburb areas, their property prices are not increasing much. 

For context, housing prices in Singapore has risen at a faster rate than Tokyo's. Why is this so? This is due to Japan's cultural reluctance to accept foreigners.

Due to this, the number of foreigners on long term pass and PR residing in Japan is extremely low at 3% vis-a-vis Singapore's 40%. While there are now foreign workers in Japan low-skill labour spectrum such as convincence stores or hotels; in proportion, it is still a small number. In short, the population trend of Japan has hampered Japan's housing prices.

Jap's population problem is so well documented and known that overall the population is declining. Adding of foreigners has not offset the local's attrition due to death. Far flung places of Japan have seen home prices going at a few hundred or thousand dollars because they are now abandoned.

Reversal of Singapore Populaiton Policy will Cause Property Prices to Crash and People Here to Suffer

Doing a "what if" Marvel like thinking, the question is what happens if Singapore becomes as inward as Japan and is not accepting of foreigners. The answer is simple: 25-30% fall in housing prices.

Japan has seen it and is trying to stem the residential housing price decline. If Singapore does it, the first order effect is there will be a wave of bad loans and DBS will have to massively impair its home loan portfolio.

I am not sure if MAS has stress test a 25% decline in HDB and condo prices, but based on current parameters, there will be a tremendous amount of equity top up required of home owners in Singapore. Consumption will fall and the second order effect is that those who had just received TOP for condo are likely required to pay 15% more via cash or CPF or risk themselves being declared bankrupt and lose the condo they had put their CPF in.

In short, Singapore can never turn back the clock because residential prices will collapse and many individuals who own two or more properties via leverage will be in a world of pain. 

<Not vested in Any Property But Just Thinking How our population policy cannot be reversed because It means the end of the Property Bubble here with Many Asset-Rich people becoming bankrupts>

China is now Very Much Worse Off with Trump Tariffs

 Contrary to what many market experts say, the "Trump Tariffs" is hurting China very badly. To combat the tariffs, China has devalued its currency to a near time low.

A currency devaluation means China's exports are now more competitive, however, it comes at a cost where China citizens have less purchasing power buying imports and travelling overseas is now more expensive. Sound anything similar? Yes, that is its another form of import tariffs. Hence for a tit for tat import tariff, China has imposed an addiitonal import tariff via currency devalulattion which is causing more pain for its citizens.

In a way, the USA started tariff war is now hurting both countries' citizens. It is likely China too is going to be in a world of a pain as opposed to what Xi jinping is painting.

What I am Doing

Unlike what a certain blogger is saying, the investment in China companies is painful, investing in alibaba or China tracker fund 2800,HK will be painful, Therefore, my view is we should not add in addiitonal stakes into China/HK HSI funds. Just stick to what you have and hold on.

Additional funds into them will hurt you. Do take "fin fluencers" advice with a pinch of salt due to their investments. Both China and USA will be going down the drain, not just one country.

<This post was penned down due to I noticing one online financial personality has been drumming up support for China which is beginning to be suspicious, Singapore government may not be doing anything but i feel it is contravening acts that Minister Alvin Tan may not have spotted.>

Portfolio Update April 2025- Addition of Olam; Buying Dividend Stocks in Current Period of Market Turmoil

Sold Petrochina and a few of Keppel REIT/ Asian Pay TV Trust during this past few days of "Tariff War Nightmare"

Added Alibaba, United Hampshire, Yanlord using the sales proceed. Alibaba was bought back because prices are below where I had made a partial divestment. As part of portfolio concentration, I will cap the total number of Alibaba shares I own to 15,000. Currently I own 14,700 shares.

A new stock of Olam was bought. A 7% dividend yielder due to the sell down in prices. It is similar to Keppel REIT sell down which made it attractive.

The portfolio is targeted to provide an average monthly dividend of $3,500 (5% yield on current portfolio of about $800,000). It has changed to that of a dividend-biased portfolio with some potential appreciation in Yanlord and Alibaba. 

While there is a global sell down to tariffs, I am buying into dividend stocks given they are now of higher yield. I do not expect many of their dividends to be adversely cut/

Dividend

LINK & United Hampshire US REITs are providing 7-8% dividend. Their tenant base sells relatively price inelastic goods comprising of supermarkets and essential good players.

Due to their resiliency and high dividend, I am confident owning these 2 REITS will place investors in a strong financial position in the current situation of trade war and economic contractions. Humans still need to eat and have essential groceries, these needs are met by the tenants of the above 02 REITs and hence their DPU will not be negatively affected to a great extent. I am confident these REITs are going to be great wealth accumulators in years to come, surpassing any Singapore condo investment. 

For Unitedhampshire, it may benefit from potential Fed Rate cuts and this places it to have higher DPU.

Unitedhampshire REIT and Asian Pay TV Trust dividend has come in, dividend collected year to date is: 

USD: $3,682

SGD: $5,250

Specially for United Hampshire US REIT, the current share price is US$0.445, so I am up 2.3% since Dec 2024, assuming a cost price of 45.5 cent in my Dec 2024 article where I stated United Hampshire will deliver better returns than big-sized condos in Singapore (this includes 2.05 US cents dividend).

HDB Resale Prices have Increased 50% in 5 years. Getting Unaffordable For Many Singaporeans and How We can Solve it to Benefit Housing Aspirations

HDB Prices have grown 52.7% from 1Q2020 (131.5) to 1Q2025 (200.9). That is a 52.7% rise in HDB resale prices. Like it or not, this is an unsustainable increase and is pricing many non home-owning Singaporeans out and affecting their housing aspirations.

Unaffordable and Making People not See Singapore as a Home

While Singapore has a cheaper housing scheme called the BTO and Balance of Sales, the number of housing applicants is overwhelming where people have not been able to get a home through this scheme despite the expanded supply; yours truly has experienced rejection letters from HDB more than the number of times I have been rejected by girls : p

Why has HDB Prices Gone to Unaffordable Levels?

Entirely my view, this is due to the influx of foreigners and their ability to pay a considerable amount for rental due to their lifecycle. This makes a HDB resale flat a great investment as dividend income.

For many foreigners or I would like to call sojourners, their time in Singapore amounts to about 20-30 years of their lifespan. During their 20s-50s, they migrate to Singapore to make money, squirrel aside savings for retirement at their home country (due to low cost of living and weak exchange rate) and then migrate back. Their expensive expenses (mainly housing) only lasts for 30 years.

Whereas for Singaporeans, post our age of 50-90, we are still stuck unable to move to another country (unless of course Singapore legislates a law to allow us dual citizenship). With double of our lifespan in this country, we are unable to bear the burden of a high accomodation cost for 60 years vis-a-vis foreigners of 30 years.

So back to the foreigner's life cycle, given they are only here for 30 years, they can pay up to 50% of their salary for rental expenses. This justifies why a 4 room HDB resale can be shared by 3 individuals at a monthly rental expense of $4,000. 

Maths wise, to an owner who is renting out a resale flat, a $48,000 rental income, netting off half a month commission and $6,600 in property taxes, a $1 million dollar 4 room resale flat still nets $39,300 in rental. That's a high rental yield and positive to an income statement given assuming a home interest loan at 2.6% interest.

$1 Million Resale Flat (affordable to investors but not affordable to Singaporeans who want a home)

As shown in the above example, to an investor, buying a $1 million resale flat makes good investment sense on the grand scale of things. Based on an LTV ratio of 70%, 2.6% interest for a 25 years loan tenure, an investor would need to make a cash outlay of $38,112 per year to finance his "investment" home, renting a HDB home out, an investor receives a cash inflow of $39,000 per month after property taxes and commission. 

At the end of the 25 years, the investor technically gets a home for free, only paying with CPF/Cash for 30% while paying nothing else; he/she can then rent for another 30-40 years, earning another cool $1 million in the process. It is a superb investment decision to use a HDB resale to earn money from foreigners.

However, to Singaporeans who are unable to ballot because of their income of say $15,000 per month, financing a $1 million resale flat is a financial disaster. An annual pay package of $195,000 (take home pay of $180,000) means 20% of their post tax income is used to finance a house. Of course, we know couples who are of slightly older age, earning less than $195,000 who does not wish to wait for a BTO and are buying such expensive resales so that they can have a home and family formation. Due to their circumstance, they are spending more than 20% of their income to actualize their housing and family aspirations.

The need to Equalize Difference between an Investor and Genuine Owners of HDB Flats

Simply based on finance, there is a difference beween an investor and genuine owners of HDB flats.

On one hand, investors find it easy to recoup gains utilising a HDB flat by renting it out. On the other, family owners due to them chasing the same unit of good, are killed financially trying for their aspirations. 

Solution

The simplest would be a return to the old pre-90s HDB policy where rental of HDB flats are not allowed for foreigners. However, the truth is that such a policy will lead to the destruction of property value and stress test will show banks such as DBS will collapse arising from underwater loans due to such a policy change. So stopping foreigners to rent HDB flats is a definite "no".

Alternative 1- Non Owner Occupied Property Tax Regime

Taxation is one of better policy measures, where non owner occupied tax rates should be increased. In my view, the current lower tier 12/20% taxation rate should be raised until mathematically investors of a resale HDB are in a worse off state than genuine owners of a HDB resale flat. My own back of the envelope calculation is that for E pass foreigners, they can afford up to 5k per month accomodation expenses based on a 15k post tax salary. This means Singapore has to formulate a property tax regime where it pains would be investors to stop investing in HDB resale.

Assuming (i) an interest expense of $18,000 on a HDB flat 25 years loan and LTV ratio of 70% for a 1 million resale flat, (ii) half a month agent commission of $2,000, idle cost of about $3,000 per year, the painpoint will only start when $34,000 out of the $60,000 rental income is taken out of the investment planning. This means $34,000 of the rental income should be deducted via taxation. Hence the lowest tier of HDB non-owner occupied should be set at 55% with the second lowest and thereafter set at 60%.

A reasonable non owner occupied HDB property tax should be as follows, which will benefit Singaporeans housing aspiration dreams while penalising investors of HDB resale:

Alternative 2- Accessible Housing to All Singaporeans for First Time Owning

Similar to what Ho Ching has suggested, all Singaporeans should have access to an HDB flat easily for their first time trying to purchase a home (with the only condition still limiting them to be the current monthly income limit). This means the government has to expand the BTO/ balance of sales supply to enable all Singaporeans are able to get a flat (singles or married and regardless of age) within 2 tries. This is due to the need to account for the fact there is a need to wait 4 years for it to be completely built.

This prevents would be genuine owners of HDB flat to compete with would be individuals who plan to use a HDB resale as investment.

HDB Should Not Be Used for Speculation or Investment, Otherwise if Investment is to Remain, HDB has to be Accessible to All Singaporeans

In summary, a HDB flat should be used to help Singaporeans achieve their housing and family formation aspirations. The current investment regime and alteration of HDB rental policies since 1990s have hurt us Singaporeans too much. There is an urgent need to restore parity between a genuine owner of HDB flat vs would be investors.

While a return to pre-90s rental policies is ideal, it would destroy the current banking sector dooming even DBS with under water HDB property loans. Hence, using the non-owner occupied property taxation is ideal. Second, adoption of the proposed taxation policy will help the government to get higher tax revenue and this eliminate financial budgetary headaches.

Otherwise as per alternative 2, all Singaporeans should have access to a HDB flat for the first time.

Look Beyond High Interest Savings Account, T bills/Insurance Policies; REITs and a few SGX companies Provide Better Yields with Low Risk

In recent meet ups, I have heard the lamenting that the reduction in interest rates of local bank's high interest savings and T bills have meant their money now compounds slower.

Safe but Very Slow

No doubt bank savings account are protected by the SDIC but due to how secured it is, the interest rates earned is fairly low.

In my view, Singaporeans should look beyond complete protection and stability. Taking some risk is needed to earn higher returns, it is a rule (pherhaps even law) in all investments. The rate of returns follows the rate of risk taken.

But That Dosen't Mean Taking Extreme Risk

That brings me to offering the solution of investing in stable companies that offer higher yields such as the local REITs (especialy Keppel and Capitaland [CICT]) and that of the 3 local banks. They are at 6.5% and 5% yield respectively.

No doubt there is risk involved, but my view is due to their systematic importance to Singapore's economy, the government will put a backstop in a severe economic downturn. Singapore neither wants to see a collapse of one bank nor a total selldown in City's area commercial office/retail space at 35% discount (like what is happening in China Tier 1 Cities). 

Should any of these situation happen, it will cause a downward spiral of Singapore's economy and a permanent loss of wealth for the rich of this country. Something the current government will not want to happen.

Hence while it is not a 100% chance they will be saved, it is likely a 95% chance; hence for some risk with a high degree of stability, investors can earn a much higher yield than what high interest savings, T bills or even insurance policies can offer.

Putting in Words the Solution

Therefore look beyond the realm of high (ironically now low) interest savings account and Singapore T bills, there are better options: the 3 local banks, Keppel REIT, local Capland and Fraser REITs; higher returns while investors take a low degree of risk.

Of course, people will point out that I do not invest in them (except for Keppel REIT) but that's because I wish to take higher risk on higher yield SGX stocks

Grab Full Year 2024 Results: Loss Making, Prepare to see Company Still Loss Making for 2025

 Grab Full Year Results is out and the company has narrowed its losses to US$158 million from US$458 million (page 4).

It is indeed good to see Grab continuing to efficiense itself. However, I think the company is not out of the woods.

Increase in Cost due to Mandatory CPF Contribution by Employer for Platform Workers

While the Singapore government will be bearing most of the cost during the next 3 years as transit, some costs is still borne by Grab, hence whatever cost savings Grab has been obtaining will be erased for Year 2025. 

I forsee its full year 2025 will still be loss making. Furthermore, with more South East Asian countries looking to protect its platform workers, costs borne by Grab in its Delivery and riding segment will rise.

This does not bode well.

Guidance

For FY2025, company us guiding for EBITDA gains of US$470 million, this is a gain from its current US$313 million, if we follow this, this means net income will improve by US$157 million. This means Grab will still be in loss making zone for FY2025.

Revenue Growth

Barring a recession, it is likely Grab will continue to grow revenue. But the truth is that the company is not reporting profits yet, which means growth in asset value. As of now, Grab has continued to make losses. Revenue growth has to grow at least 40% more before it turns profitable. And even if it turns profitable, its profits are minute compared to what Sea Group has obtained.

Grab is in lousy business segments which is cut throat and suffers from high labour unit cost as it expands. The ability to reap economies of scale is smaller as compared to e commerce companies. 

While Grab has a book value of US$2.79, I do feel eventually book value will grow but it will take a while. At price of US$4.40, it is overvalued by a mile. Only at US$2.79, would I consider it. For now, I would put it a mile away. This is an overvalued Tech company which is struggling to be profitable after a decade. A terrible company at present.

Spending for Feb 2025: Nearly Maximise Maybank Credit Card Cashback (7% cashback)

Spending Performance for Feb 2025

Total expenditure was $834 with $61 in cashback clocked (7.3% cashback). This is close to the best of my ability to fully utilise Maybank's credit card cashback system.

Grocery Spending

My basic neccessities spend remains high, of course this is due to the high cost of living in Singapore :p

This category's spending exceeds the cap Maybank has at each (per) category, however, I have been actively trying to cut my food ingredient expenses etc to ensure a minimalist lifestyle. Mirroring myself like a company, I am guiding for my recurring grocery expenditure (maintenance CAPEX) to be at $300-$350 monthly range.

Transport Expense

Transport will be at the $80 monthly range. Otherwise nothing to report and thanks to inflation, my expenses now allow me to utilise Maybank's Family and Friend's Cashback; previously hitting $800 monthly expenses was a stretch, now it is easier. Good thing or bad thing, its debatable. 

Fortunately due to my resourcefulness, I have cushioned the cost of living crisis with my skill set in the realm of credit cards.

<Non Sponsored Post on Maybank Credit Cards> 

UnitedHampshire US REIT - 11% Gains in 4 Months, Can The Gains Continue?

Since the 2 December 2024 post when United Hampshire US REIT was at 45.5 cents, the REIT is now at 48.5 cents and had given dividend of 2.05 cents. Investors who have bought it since then would have reap a 5.05 cents gain at a cost price of 45.5 cents.

That is a 11% return.

Will There be More Gains?

That is a yes. Despite the sale of 02 properties, the REIT has actively de levered. While its net property income will be lower this year, its interest expense will be lesser due to a lower leverage. Second with interest rates likely to be lowered due to the expectations of a declining US economy and incomptency of President Trump tariffs effects, I expect further fall in interest expense. Currently, the REIT's average interest rate is 5.17% with 26% of its loan tied to the floating interest rates.

Third, I expect the REIT manager to start taking units as part of its fees. So dividend should remain at 2.05 US cents per half a year and 4.1 US cents per year.

How about capital gains? Well as the market continues to appreciate the sustainability and strength in dividends provided by UtdHampshire, a re-rating will happen resulting in capital gains. My view is that this REIT deserves to be a 6% dividend yielder. Further, with escalating rents received each year, DPU will only rise from 4.1 US cents. In its hey days, this REIT was a 5.88 US cents yielder. However, I think this will be a stretch to regain its old times.

Target Price

I expect UtdHampshire US REIT to give 4.5 US cents dividend in 2026. At 6% yield. this values it at 75 US cents (it should be 64 US cents in 2024). This is a 50% upside with recurring dividends of 8% gains. It is worth buying the REIT and surpasses buying any Singapore property (for rental+ capital gains) even on leverage.

Asian Pay TV: Sustainable 1.05 Cents Dividend, a 13% Dividend Yielder

Asian Pay TV (APTT) has released its full year results.

Summary

• Total revenue declined by 5.4% due to sunset TV business
• Dividends of 1.05 cents, guiding for 2025 to be 1.05 cents
• Broadband Business Growth of 5%

Business Prospects

Revenue will keep falling at around 5% per year, this is due to the shift away from TV. CEO has commented the task now is to upsell customers to higher tier broadband plans to ensure revenue does not decline as much.

Sustainable Dividend

APTT generated 149 million in cash last year, I expect further decline to 145 million in cash this year.

Interest Cost is expected to grow as well to 42 million with the expiration of hedges. With Capex needs of 35 million and taxes of 13 million, APTT has 55 million in spare cash. Its current dividend payout of 1.05 cents equates to 19 million in cash. 

Hence, there is headroom to maintain its 1.05 SG cents dividend as it continues to use the excess cash to pay down the expensive Singapore offshore debt. I expect APTT to eventually become a $120 million annual cashflow generating trust still giving it the ability to maintain 1.05 cents dividend.

Good Dividend Stock to Own

APTT will continue to see revenue loss due to its large TV segment being in a sunset industry. However, dividend wise, APTT can maintain a 1.05 cents dividend.

So it is a good dividend stock to own as long as 10% dividend yield is maintained. At current price of 8.3 Sg cents, it is a good buy.

Yangzijiang Financial: More Stock Price Gain to Come

 Yangzijiang Financial Holdings (YZJFH) has delivered full year results which is within expectations.

Summary

• Earnings per share of 8.6 cents
• Dividends of 3.45 cents
• Earnings was boosted by china government grant (1 SG cents) and no more credit allowance provisions in losses

Currently YZJFH trades at a share price of 56.5 cents or SGD$1.98 billion market cap.

Earnings

As said, YZJFH recorded SG$40mil in government grant, SG$30 mil in exchange rate gains. I am sure this will not be replicated in FY 2025. However, as the company's debt investment portfolio continues to decrease, we might see more reversal in credit allowance which is a "gain". This will offset government grant income.

I expect YZJFH to log a 8 SG cents in annual earnings for FY2025. 02 reasons: first, its maritime investment business in Singapore is growing and second, the company will start reversing its credit allowance because its china debt investment is growing smaller.

$1,380 Million in Cash and Cash products in Singapore

One important point from the year end results is that YZJFH has transferred a significant amount of cash from China to Singapore. With the cash in Singapore, it can be easily verified and reduces the allegations that the cash items in its balance sheet is fake. 

The total amount of funds in Singapore cash and yield enhancement produces is now SGD$1.380 billion. The company has 52 cents in cash equivalent products. This means 90% of its current market cap is in easily realised assets. 

Cheap at Current Price 

Even at 56.5 SG cents, the stock is way too cheap. At future 8 SG cents earnings and 3.2 SG cents dividend, this stock is at least a 5% dividend yielder. Hence target price is at least 64 SG cents.

However, I do not think this is a fair value as it slowly winds down its China debt investment, with continuing share buybacks, YZJFH should march towards a $1.20 NAV. Putting it at 0.8 times price book, it is 96 SG cents. There is a lot more upside to go.

<Author is vested in YZJFH>

Portfolio Update Feburary 2025 - U-Turn on Keppel REIT Due to Decline, Partial Sale of Alibaba

Due to the run up in share price, I have taken profits off Alibaba.

About 12% of my stake in Alibaba was sold. I will hold the rest of the stake until it reaches HKD$210 (my estimated forward PE of 25). Should Alibaba return to the HKD $100-$125 region, I will start to buy back what i sold off.

Portfolio

Using the sales proceed from Alibaba, I have bought (i) Keppel REIT and (ii) PRIME US REIT.

Previously, I wrote why I would not buy Keppel REIT. However since then, it has fallen 7% post ex-dividend and become a fair value/hold at 81 SG cents. As I have said, the true dividend of Keppel REIT is 5 SG cents and with rental reversion and interest rate being lower, it can go up to maybe 5.3 SG cents. This translates to a 6.5% yield. Many of Keppel REIT properties are in prime areas and buildings are of the Trophy-Grade A status. So i do believe in the flight to quality story and the resiliency of its tenants.

On the assumption the REIT is a 5 SG cents yielder and if it becomes a 5% prospective yielder at $1, I will sell. 

PRIME US REIT is another addition and I do not need to repeat why I think it is a buy.

Dividend

Unitedhampshire REIT and Asian Pay TV Trust has announced dividend within expectations and are of good yield. However, as they will pay it in March 2025, I will not count in this post.

So dividend collected this year has remained at $0.

The portfolio now has a value of about $827,000.

UnitedHampshire Retail REIT Year End: 8+% Dividend with Potential Capital Gains. A Top Pick

 Unitedhampshier ("UHREIT") has announced its year end results. In summary:

• Leverage is down to 38.9%
• Annual Dividend is 4.06 US Cents
• Rental Escalation
• Interest Coverage Ratio of 2.5 times

Outlook

Impressive results throughout with revenue growing due to rental escalation. Its cost of interest seems to have peaked with interest now falling for 4Q.

Overall, I expect UHREIT to increase dividend due to higher rentals + possibility of the REIT manager electing to be paid in Units should share price hit 60 US cents.

Capital Gain

Often people says investing in REIT is for the dividends and not capital gains, however UHREIT may buck the trend- it offers both. With greater appreciation by investors of the resilience of its sub sector (groceries), investors will  be aware of the resilience in its dividends and find the REIT a steal at 48 US Cents (8.4% yield). I do think a re-rating will occur where it becomes a 7% yielder. 

In addition, I forsee with interest rate falling and revenue growing, the DPU of UHREIT will be 4.1 US cents for 2025 despite the divestment of 1 property. At forward 7% yield, I am guiding for UHREIT to be 64 US cents in 2025. 

UHREIT is exceptional and will best any Singapore property. It is going be a dividend yielder + capital gain giant for 2025. It should be worth its NAV of 75 US cents because of the annual profits it is clocking. With the fall in interest rates, its dividend will start to rise from its annual 4.06 US cents dividend.

Spending for Jan 2025: Hit $800

Previously, I had covered how I plan to budget my approximate $755 spending in credit cards for daily neccessities around Maybank Family and Friends Card.

Performance for Jan 2025

Total expenditure was $829 with $52 in cashback clocked.

Grocery Spending is High Due to Inflation

Close to my estimates, grocery remained expensive coming in at $410 per month. About $50 came from dining because F&B outlets withing supermarkets have the same MCC code of supermarket for Donki and NTUC fairprice.

Grocery expenditure will continue to form bulk of my expenses as I continue to prepare my meals to eat, drink and continue living in this world (sorry for being morbid, but harsh facts of life)

Spending Behaviour

Despite spending less on outside food, I incurred a medical cost at a government clinic, so it helped to reach the $800 minimum spending. 

Front loading was done due to an Eight Telecom Mobile credits promotion where if we top up $28 in credits we get $38 credited instead. This was bought on shopee. I also bought $20 of NTUC voucher on shopee to clear my shopee coins which offered me a final 25% discount off NTUC vouchers

My grocery spending in February might be slightly lower as I will burn through the the $20 NTUC voucher and not eat at F&B outlet within supermarket. For Feb, it is likely dining & groceries will be in the $300 range. Actual e- commerce expenditure might be zero. So I will be short of about $100 in estimated expenditure. Front loading might be needed. Dosen't help that Feb only has 28 days.

Transport

One thing I learnt is that Simplygo transactions takes a while to be posted to credit cards. For the month of Jan, my EZ link transportation fares from 24 Jan have not been calculated. As such they will only be charged in Feb. So the positive is that likely my Feb transport fare will be a lot higher. This will help me reach the $800 spend easier.

LINK REIT (0823.HK) : Best REIT for Dividend Income at 8% and How Singaporeans can Buy It

While many singapore dividend investors will praise how good the Capitaland and Fraser Group of REITs are for dividend at 4-6% yield; there is one REIT that has a lower leverage, a more diversified portfolio and of a higher dividend yield than any REIT in Singapore at 8.3%.

This is the largest REIT in Asia and with a REIT manager model which has been praised by Straits Times.

LINK REIT- 8.3% Dividend, Not Taking Debts to Sustain Dividend, 20.6% Leverage Ratio

The title says it all, perfectly sustainable REIT, low gearing at 20.6% that no other Capitaland REIT has been able to match. To cap it off, it maintains a sustainable payout ratio for dividend not overleveraging itself.

I am not kidding, these are facts as listed in its report [See Slide 9. From here on, I will be referring more to its slides as I don't wish to printscreen everything into infographics. Readers can click on the link to view the presentation alongside this article]

Debt Profile

Being such a large REIT in Asia and with a strong balance sheet, LINK REIT has an A rating from major credit rating agencies, something that even Singapore REITs are unable to achieve. Due to its strong credit rating, its borrowing cost is at 3.69%. 

On Slide 38, it is revealed LINK REIT has 55% debt in RMB and 24.5% debt in SGD. The borrowing cost of these 02 currencies are now reducing and this means LINK REIT's all in borrowing cost will reduce in time to come, this will improve distribution per unit and justify the story of a REIT with growing distribution.

Higher Occupancy

Most of LINK REITs properties have 95% or higher occupancy rates, it shows how good the proeprties are located and highly sought after.

Essential Services Tenant Mix

In terms of tenant profile, LINK REIT is closer to that of Singapore's Fraser Centrepoint Trust, it positions itself as a neighbourhood mall catering to the masses with no luxury malls brand name like Paragon or ION orchard.

In Slide 64-68, it can be seen that in Hong Kong, its top 3 tenant types are the essential services of supermarket, market stalls and F&B which forms close to 60%. In Singapore and China, the essential services segment forms 40% of the tenant mix. Hence despite the downturn in 2 of its markets, many of its tenants have registered lower than national average decline (after all, they are essential services, essential for the livelihood of the people)

Revenue Growth and Internal Manager Model

Despite the weakness in retail, the usual positive rental reversions have helped LINK REIT report a larger revenue. Singapore was a strong point where rentals went up by 18% in Jurong Point and Thomson Plaza.

LINK REIT uses an internal manager model. Unlike Capitaland and Fraser REITs, where a percentage of the distributable income goes to another company; there is no loss of revenue in rental income within LINK REIT. Hence in a time where distributable income is growing, all the gains are given to Unitholders of LINK REIT. Even if they acquire new malls, only the Unitholders benefit. 

It is a model superior to Singapore's but Capitaland, ESR and Fraser Property refuses to give up on because of the loss in profits. There is no conflict of interest within LINK REIT. Unitholders can be assured the REIT is shareholder friendly and always acts in the interest of Unitholders.

Diversified Portfolio

While it does have majority of its portfolio in Hong Kong and China, there is a significant portion in Singapore and Australia. In Singapore, the REIT owns Jurong Point, Thomson Plaza, Ang Mo Kio Hub and is one of the largest retail landlord here.

So Unitholders are not entirely exposed to China and HK markets. And as said, their tenant profile here are close to the essential services on virtue that these malls are positioned as neighbourhood malls.

Many Positives

The icing of the cake is of course how low the leverage of the REIT is at 20.6%; this is because the REIT is not forced to buy overpriced properties from a parent company and demonstrates how the internal manager model has no conflict of interest. LINK REIT tends to buy only properties when there is strong returns for its unitholders, it does not have any conflict of interest where a parent company will try to monetise profits at the expense of a child REIT.

All distributable income it earns from its portfolio of properties worldwide goes to Unitholders. As of its price of HK$32.1, it is now at 8.3% dividend.

As said in its debt profile, its all-in interest cost is set to go down because China and Singapore is facing an environment of lowering interest rates. This is a positive and possibility of growing its dividend per unit. 

I will not be surprised that the REIT will end up giving HK$1.6per semi-annually by 2030 due to positive rental reversion and lower interest expense. It will make the REIT a future 10% dividend yielder. 

As of now LINK REIT is already giving HK$1.34 per semi-annual basis.

At an assumption of a dividend of HK$3.2 and a 6% dividend yield, I have a target price of HK$53 for this REIT.

What I am Doing

I am definitely interested in this REIT. In an environment where Singapore REITs are using more leverage and yet giving less yield than LINK, I would invest more in LINK REIT. Yes there is exchange rate risk and commission from changing my currency from SGD to HKD. But I think it is worth it.

Every year, I will be earning 3% more in dividends and if I keep LINK REIT for 3 years or when it reaches my target price, it will exceed any returns if I had kept my money in Singapore REITs. 

While Sing Dollar has appreciated about 1% annually against the HKD dollar, I still have 2% more in dividend as upside. As such I will keep minimal Sing Dollar but transfer most of it to HK Dollar to purchase LINK REIT. My exposure to LINK REIT will grow from its current 5,500 shares (when the price is right) and it will become one of my larger dividend contributor.

How Can Investors Buy LINK REIT in the Hong Kong Exchange

The digital brokerages of Moomoo, Tiger and Webull has access to the Hong Market. All Singapore investors have to do is (I) sign up for an account, (ii) tick the option to trade in the Hong Kong Market, (iii) deposit money into these digital brokerage account and (iv) pay the the approx 0.5% exchange rate fee to convert SGD to HKD and you are all good to buy LINK REIT (Code Symbol 0823.HK).

Alternatively, the traditional brokerages of DBS, OCBC, Maybank, UOB Kay HIan also allows you to buy HK stocks but you need to complete a few forms to get things processed and done. They allow foreign currency conversions as well.

But I will still recommend using the first option of digital brokerages because they are easier and have less commission. Currently, I am not paid or is being sponsored by them, so you can be assured my intent is not financial nor have conflict of interest. 

Why I Would NOT Invest in Keppel REIT and Stick to US Office REIT

 Keppel REIT has announced its full year results

There are a few danger signs shown in the REIT's latest full year financials and in addition, its share price I feel is at a high. Hence I feel it is not worth owning Keppel Office REIT and I do feel REITs outside of Singapore such as Elite UK and Prime US are of a better deal (coincidentally, Keppel has a stake in PRIME US REIT)

Summary of Keppel REIT Financial Results

Before I delve deeper, below are the results/summary of Keppel Singapore Results:

• Dividend of 5.6 cents (decrease of 3.4%), yield is 6.3%, 
• Dividend funded by SG$20 million from anniversary distribution (capital gains), 100% payout ratio
• NAV of $1.24
• Leverage grew to 41.2%
• All in interest cost of 3.4%

All in all, while Net Property Income has grown, the higher interest cost has ate into K Reit's distributable income. DPU has decreased and my main worry is how its high dividend are been sustained by growth in borrowings.......

High Yield But Its by The Ad Hoc Anniversary Declaration

As seen in slide 6, 9.3% of K REITS dividend is outside of its 100% payout ratio. It is funded by a 20 mil Anniversary Distribution. This means the REIT has been borrowing more in order to fund its dividend. This is not sustainable

If anyone remembers history, it is similar to what happened to Keppel Pacific/PRIME US/Manulife US, these REITs were paying 100% in payout ratio and doing CAPEX by increasing its leverage. Keppel REIT is doing the same now, ironically 2 out of these 3 REITs were part of the Keppel family group.

To add icing to the cake, it is growing its leverage by paying more than 100% payout to finance its 5.6 cents dividend. This is not right. Its real sustainable dividend is only 5 cents.

Cap Rate Used by Keppel's Valuer Are Too Optimistic

Stop of saying fraud, I notice Keppel's valuer are using cap rates of 3.15% to 3.55% for its Singapore Office Properties. That is too close a margin to cut. Any mishaps in the Singapore Office property space and cap rates will have to be adjusted upwards. It leads to the cascading effects of lower valuations and in turn the risk of breaching MAS's leverage limit. 

Why US Office REITs in SGX

Simple, the US Office REITs of KORE and PRIME have lived through a storm and are still alive with re financing. In terms of capital returns + dividend, should US Office SGX REITs resume their dividend payout, they are likely to best Keppel Singapore REIT in capital + dividend gains.

I am willing to bet on it. Given the risk reward ratio, overseas office REITs are going to be a better investment vehicle than Singapore's office REITs. 

Positive on US Office SGX Listed REIT; Dividend Should Resume in 2026 and 2 REITs May become 10% Dividend Yielders

Interestingly, Straits Time has released an article on the positivity of the US Office REIT space.

Similar to them, I had been positive for a while. This was mainly due to the successful refinancing of all 3 SGX US Office REIT of their debt. This removes one key re-financing risk. Of course, Manulife US (MUST) refinancing as part of the proposal, has to start selling US office buildings from a position of weakness amid vacating tenants in both Penn and Diablo Buildings. 

Positive- Refinancing Done, 10% Dividend Resume 2026

Despite the high leverage of the US Office REITs (due to high cap rates used), refinancing of their debts were confirmed in 2024. My main investment, PRIME US, has refinanced albeit at a higher margin + SOFR.

With cashflow secured, my view is in 2025 both KORE and PRIME US will continue to use their rental cashflow to pay down debt. As what the REIT managers have guided, 2026 will be when dividends are restored. Personally, KORE and PRIME will declare 2.0-2.5 US cents in annual dividend. This will make them 10% dividend yielders.

Unitholders in current situation are likely to be sitting on a dividend windfall if the REIT managers execute to the plan.

It is possible for these REITs to sustain such high rates because their in-built cap rates are of a blended average of 6-7% for their office buildings; as opposed to Singapore office buildings which uses cap rate of 3.2%-3.8%. Due to the higher cap rate used by US Office buildings, the yield obtained by these REITs are higher and explains why they can become 10% dividend yielders in 2026.

A stronger balance sheet, resumption of payout and thus we should see 10% dividend for KORE and PRIME US unitholders if bought at current prices. KORE's leverage is below 45% and has the higher chance to resume payout in 2026. PRIME US is stil delevering and should still resume in 2026; though I truly hope there is no EFR on the pretext of delevering and buying an office building.

Next Positive- Growth of Occupancy Rate

US's work from home culture had resulted in occupancy rate for PRIME and MUST to fall to below 80% on a whole of portfoilo basis. For PRIME US REIT, I am confident occupancy rate will grow from 80% (3Q2024) to at least 85% (4Q2025).

This is mainly due to the return to office orders that is happening across USA now. Aided by the demolition of older and Grade B office buildings, a higher occupancy rate means higher revenue, this trickles to higher NPI and distributable income.

While others would tell me to bet on all horses, I have done my research and am betting on only 01 horse. In my view, it is likely the one who will benefit the most is PRIME with the youngest office portfolio. For now, I will hold on to my 470,000 shares in PRIME US REIT and be monitoring when "business as usual" dividend can be restored. 

KORE is a close second for me to buy but at 22.5 cents, KORE expected yield is only 11%; if KORE is down to below 20 US Cents, I would be an investor. PRIME on the other hand is likely to be a 12-13% yielder at current price, hence why i feel PRIME is a better buy. However both KORE and PRIME US looks like very good purchases for 2025. While readers would point to them as REITs which are weak, it is possible when cap rates fall, their leverage ratio will be the same or lower than their Singapore peers and yet give high dividends. This will be when a re-rating occurs.

Portfolio for Jan 2025

Jan 2025 saw a few changes. I have sold a few of Asian Pay TV Trust shares upon news of its refinancing and purchased Nanofilm and Alibaba shares.

In addition, I have re-bought shares in Yanlord Land. Yanlord is a special play because it is holding valuable Singapore properties. Its share price has taken a beating over the fear of a potential China Vanke collapse. My view is that if Yanlord is able to survive the current China Real Estate Downturn (90% of its business is in Real Estate China), it should experience a re-rating upwards from its current 0.2 times book value. This too may involve partial monetisation of its Singapore assets which will be a plus point.

Dividend Update

As none of the company in the portfolio have reported end of year results, no dividend is received. More company coverage will happen in February as and when they report results. Expected yield is about 5% for 2025.

Composition

Due to the slight increase in share price of Yangzijiang Financial and PRIME US REIT, the rest of the stocks has reduced in percentage. As usual my exposure to China is relatively high at about 55% of the portfolio.

The portfolio has a value of about $691,500.

Why Most Overseas Listed SGX REITs will Make you More Money than Local REITs

While investors are hunting for yield, what many do not realise is that our local REITs are not strong choices to earn income, what's more many of these Singapore properties are valued at very high and optimistic rates that if something bad occurs, many of these REITs will breach MAS regulations and are unable to borrow further.

Let's use an example of Suntec REIT to explain.

Concept of Capitilisation Rates ("Cap Rate")

Cap Rate is an important concept when it comes to understanding a REIT. It is used as the discount rate to present value the expected future income received of a building to today. Roughly Building A which is valued at 4% as cap rate will be double the value of building B which is valued at 8% cap rate, even though both Buildings A and B have the same amount of rental income earned.

Hence, the higher the cap rate, the lower the value of the building. It is similar to the idea of dividend yield. If investors expect a certain company to give a high dividend yield, its share price will be pushed very low until the expected high dividend yield is achieved. 

Suntec Example

Suntec owns office buildings in Singapore, Australia and UK. And from its latest report (see slide 59 and 60), the cap rate for the office buildings in the 3 countries are 3.4%, 6%, 5.5% respectively. 

As to why Suntec has been able to give high dividends relative to other Singapore office REITs; besides due to leverage, the main reason is because it has bought overseas office buildings with a high yield (high cap rate). While people would point that cap rate is determined by the location of a building, it is worth noting all Suntec's office properties in the respective countries are in the heart of major cities. Location wise, all these properties are Prime real estate. What differs is the cap rate used in each country.

The other reason is that Singapore, relative to other developed countries, uses a very low risk free rate because our interest rates are suppressed. But this explains why Singapore investors should not park our money in Singapore but move it overseas because we will get better returns as Singaporeans.

Overseas SGX-listed REITs

This brings me back to the overseas SGX-listed REITs. Due to their nature of business being not in Singapore, they have to use cap rates which are much higher than what Singapore buildings use. Hence while their property seems low in value, in fact they may be yielding more rental income than their Singapore counterparts. 

As REITs are required to pay at least 90% of income to gain tax benefits, in time to come, overseas REITs in the SGX will give a large amount of dividend to unitholders. Granted, in some countries like  the US office space, these REITs are now in a crisis of confidence phase beacuse high cap rates used means their building are lowly valued which in turn makes these REITs highly geared; however, once the crisis has come to pass and these REITs resume giving dividends. Due to the high cap rate used by their valuers now, future dividend will be high.

A few REITs like United Hampshire US and Elite UK have continued to give dividends and they have been giving relatively higher yields to Singapore Unitholders.

I have noticed this and instead of investing in Singapore REITs, I am now buying SGX-listed overseas REITs. 

As said, I will be recording the dividends, so investors will start to see via my quarterly logging, how much these overseas REIT are declaring as dividend relative to the local SG REITs. 

I believe the difference in amount will be staggering. Of course, using my limited knowledge, I have chosen to pick the supposedly stronger few who will survive the overseas property crisis now.

<Vested in UnitedHampshire and PRIME US REIT>

Why Former Sabana Director Chan Wai Kheong Is Making Things Hard For Sabana REIT Unitholders, And Not Proposing Constructive Motions for All to Benefit

Last Friday on 17 January 2025, there is another turn of event in the Sabana "saga". Former Sabana Director Chan Wai Kheong has rallied support of at least 10% (suspicion is supported by the Hong Kong company of "ESR Group") of shares owned to request for an EGM to do a price discovery process with view to achieve the sale of all or majority of Sabana Assets.

While I am not a unitholder of Sabana REIT, the proposal put forth by this former director of a REIT shows the director himself has very little knowledge of the happenings in the REIT industry or just trying to make things difficult for the new internal manager without the aim of monetising the assets as per what he claims which will benefit all unitholders in his letter.

Case History of Manulife US REIT- Instead of a Price Discovery Process, Requisite for a Dispostion Mandate Anchored on the Independent Valuers Valuation

Last year, Manulife US REIT voted for a Disposition Mandate, it was a straightforward process where the REIT manager is allowed to sell any property if it was at least 85% of the valued price calculated by the independent valuers. This was to allow for the quick monetisation of assets to protect unitholders' interest.

Therefore, what Chan Wai Kheong could have requested in order for Sabana Unitholders to  benefit are:

(i) Request for a disposition mandate, 

(ii) Set a timeline for the sales of properties, 

(iii) Mandate a TnC that each sale should not deviate no less than X%, e.g. 10% less than the Independent Valuers valuation of each Sabana's property.

A disposition mandate will result in a faster sales process because prospective buyers are anchored to a valuation report done by an independent Singapore valuer and this report is updated annually as per Singapore's law. It is much faster than a price discovery process put forth under Chan Wai Kheong's.

What Assumption Was Made

In my above thoughts, I had presumed the valuers of Savills and C&W of Singapore had done their valuation with independence and professionalism. Therefore Savills and C&Ws' year end report can be relied on as reference and is not fraudulent.

If Chan Wai Kheong is disputing this fact and hence is opting for a price discovery, he should come out and say in his professional view Savills and C&W of Singapore are committing flawed calculations in their reports and report this to the Singapore Institute of Surveyors and Valuers. This is something he as a former director of the REIT should know. Otherwise based on his past experience, he would be aware that the independent year end reports can be trusted, relied on and therefore proceed for a faster disposal process via a disposition mandate.

This will quickly help unitholders to realise the value of Sabana assets and protect their wealth. Alternatively as i have said in my second paragraph, he is just making things hard with no intent of helping unitholders and plans to add more roadblocks to lengthen the internatlisation process which has gone on for 1+ year. This internalisation process had been hit by roadblock one after another such as by a stubborn trustee of a Hong Kong Bank's (HSBC) subsidary who had to be overruled by the Singapore Court for a simple matter. 

All these have been resulting in undue loss in value for unitholders.