Does anyone have an opinion on this new launch REIT?

Glen_Clark

I'll probably be criticized for bringing politics here. Wheras the professionals have recognized its politics driving markets and have taken to hiring politicians like Osborne instead of academics.
My feeling is that the public are beginning to realise how much they are being ripped off by PFI, and so the political climate is gradually turning against it.
So, as a long term investor, I'm out.

PS:I should add I have no inside knowledge of politics. But then you wouldn't expect to get that for free on an internet forum. Otherwise fund managers wouldn't be paying so much to hire politicians.

chucknorris

economic wrote: »

i just bought 750 shares @ 639.5.

I had to pay a little more than you, at just under 640.

Marine_life

I own a few REITs in my portfolio and I like the asset class for its decent dividends. However, if there is a discount to NAV then that would concern me as most of the high quality funds are trading at a premium.

i tend to look for REITS which cater to certain niches and or have a decent dividend. Three of those I own are:

- MedicX Fund which currently yields about 6.5% but actually trades at a premium of close to 50% :eek but has a huge amount of security as its clients are healthcare providers.

- Tritax big box which is yielding just under 4.5% but has had some nice capital growth since i bought in last year and is a specialist in big logistics centres.

- Empiric student properties which does what is says on the tin and currently yields about 5.5%

Bazofts_Revenge

I SEGRO is a REIT too. I've been pretty happy with their returns and they seem to be very good at communicating their latest deals. 23% gain in 12 months and a dividend yield of 3.26% Dividend grwth of 2, 8 & 5% over the last 3 years.

Glen_Clark

Marine_life wrote: »

most of the high quality funds are trading at a premium.

Thats because they have very lucrative existing contracts.
Presumably a new trust will have to buy old contracts at a premium, or new ones?
Theresa May has said she wants value for money. With so much QE money flying about, and enthusiasm for PFI contracts, she could get it. Like when National Express paid so much for the East Coast Rail Franchise it nearly bankrupted them. And as for Jeremy Corbyn.....
As an example of what its like to jump on the bandwagon too late - When the Thatcher giveaway privatizations had run their course the European Privatization Investment Trust was set up to capitalize on privatizations abroad. But the political climate being different there meant it lost money and closed.