I agreed with you to buy these stock to hedge again ringgit because it have operation oversea.
I also agree with you not to buy the stock these few days because the FBM KLCI is in deep red these few day and these stock only pass ex dividend date and the price might be still adjusting.
MirageHotelPDlooks like majority of you here are quite worry about dilution of DPU if the private placement RM800m is realize. What about, with the PP, the company can reduce the debt level to much before 50% and therefore can barrow more low interest fund to acquire more high return hotels, like Majestic Hotels ? Bare in mind, with recent valuation hike in Austarlia hotels, the company no longer in the hurry to raise PP due to the total % of debt already falls below 50%. While you all keep waiting for the price to further down. I'm happily collecting reit that can secure me 8% or even higher.
IVKLSEYTLREIT had increase its credit limit to 60% so that is not a problem. But the debt is going to expiring in 2017 is worrying me, anyhow the loan going to be repaid either by private placement or get another loan.
Yes currently these counter give high dividend yield when we use its past dividend record and compared to it current price. But no one know how is the drop in tourism industry in Malaysia these year will affect YTLREIT and hence the dividends. If you looking for high dividend yield there is another REIT, AMFIRST you might interest at (I have never done any research on these AMFIRST yet).
As for property valuation, I personally don't look much at its because it is just paper asset. Whether we can get a buyer that willing to buy the properties at valuation price is still a question mark.
For short term investor who is looking for the dividends (around 8% per annual based on previous dividend paid out) can still collect the shares but just be careful on the large debts which eventually need to paid back one day as for now is around November 2017(based on 2014 annual report).
MirageHotelPDIVKLSE, I guess you didn't follow the restructuring of Stareit in 2011 and change name to YTL reit after that. YTL reit lease all the hotels in Malaysia & Japan with 15 years tenure and increase rental every 5 years. Every year, YTL Reit annual report mentioned that 'the income for YTL a REIT in Malayisa does not depends on economy outlooks. So, don't worry about tourism industrial in Malaysia until the lease expire in 2026.
ocpd@ivklse ytlreit income in Malaysia is guaranteed thru fixed leases (with increment), while Australia tourism is only ever increasing since the depreciation of Aussie dollar.