Contributed by: warriortan
1. Rickmers Maritime bites the dust; manager opts to liquidate
…Unitholders are highly unlikely to recover any of their investments” as the trustee-manager stated in Wednesday’s SGX filing “noteholders could potentially bear losses …”
Warriortan: Maybe not so relevant to others but this news is impactful to me as it prompted many reflections from me which I had share in another blog posting.
I can empathise with the unit-holders and unit-holders of Rickmers as I suffered the same fate a while ago with China Fishery. I also used to own shares of Rickmers Maritime.
2. Cramer explains how the Afghanistan bombing threw a wrench in the market
“Right now, investors are confused about Trump, a man who ran on the idea that America comes first, that China hurt our country with its currency manipulation, that interest rates may be too low, that Fed chief Janet Yellen is toast, that NATO’s no longer relevant and that the Export-Import bank is a boondoggle for big companies, suddenly repudiated every single one of those principles in a single 24-hour news cycle.”
If the president can change his mind so easily, if he can just abandon his hardcore, hard-fought principles while at the same time escalating the war in Afghanistan, then what else can he do? Investors, they do like a little predictability, and Trump is anything but predictable.”
Warriortan: What else can I say, just prepare your war chest. That is always an opportunity alongside a crisis.
3. Goldman Sachs anticipates return to long-term oil price stability
“Goldman’s long-term WTI price of $50 per barrel remains slightly lower than its 5-year estimate of $54 per barrel, however, the bank said that it anticipates a positive outlook going forward – one not seen for almost 15 years.”
Warriortan: With some stability and certainty, investments and confidence will return – we need that badly.
4. Fortune, Mapletree, Frasers Are Among Best-Value Singapore REITs
“UOB ranked the city-state’s REITs by comparing management fees to assets under management and dividend and net asset growth. Fortune REIT topped the rankings with a ratio of 0.03, followed by Mapletree Commercial at 0.05 … Managers have been in the limelight since the start of the year, ranging from unitholders’ outrage at Sabana REIT’s controversial proposed acquisitions to raised eyebrows over Keppel REIT’s rental reversion methodology restatement”
Warriortan: Plain vanilla management and investment may not be a bad thing when considering the cost and risk level. It depends on your investment objectives and expected return and risk tolerance.
5. Singapore REITs: Do they still possess long term value?
“But if we take a look at longer-term performance and see how REITs in Singapore compare to the broader equity market, we can see that they could still have a role to play in investors’ portfolios over longer time horizons and for anyone looking for a source of sustainable income.”
Warriortan: I agree and think that it would have a place in most investors’ portfolios. Worthwhile to consider if it is currently not in yours.
Hoping to do my small part for our society
This week featured organisation: Association for Persons with Special Needs
Their Mission : To equip persons with special needs, through best practices in education, training and support services, for open employment and life-long learning, in partnership with our stakeholders and the community.
Please support them generously.
Have a great long weekend!