Do the REIT's continue to be great Investments? Over the last 12 months, REIT's have quietly rallied 12%

Nicholas Forsyth

Market Matters

Do the REIT's continue to be great Investments? Over the last 12 months, REIT's have quietly rallied 12%. Two points to discuss: 1.Australian 3 year bonds are now yielding sub 2% significantly aiding the REIT's. 2.The trend remains your friend and the REIT's have been performing well. The REIT's do not compete with the banks on a yield basis. Generally paying around 1% lower yield and importantly it's unfranked, so we are looking at this sector more for capital gain. 1. WFD - Backing the Frank Lowy family is not a bad play, I am a buyer around $10 targeting $11 and then $13 stops need to be under $7.90. 2. GMG - Technically excellent low risk entry buying around $6.50 with stops under $5.60. 3. SGP - Technically a low risk entry with stops under $4.30. 4. GPT - Technically an excellent buy with stops under $4.10. I think the sector looks excellent supporting my view of lower interest rates for longer. Click here for full report (VIEW LINK)


Nicholas Forsyth
Nicholas Forsyth
Director
Market Matters

Market Matters is an online investment and share trading advisory service designed for those that want to take their wealth further. We specialise in advice for active share market investors, including those new to the markets or those with a Self...

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