Rdi reit

DaMoon

Hi, the RDI REIT seems too good to be true with such a high yield and discount to NAV. What am I missing here about this property company? Is it worth a 5% portfolio allocation or should I avoid?

jaybeetoo

Check out previous performance https://www.hl.co.uk/shares/shares-search-results/r/rdi-reit-plc-ord-gbp0.40/share-charts

Down 57% over 5 years.

EdGasketTheSecond

All REITs are down due to Brexit and retail woes. NAV believed to be overstated by a lot of REITs. For large discount to NAV see INTU !

DaMoon

I see your point, but Intu owns solely shopping centres. RDI appears more diversified than this. Perhaps I will just keep an eye on it for now and not rush in to anything.

DrSyn

https://www.scamdoc.com/view/88308

https://www.scamadviser.com/check-website/rdireit.com

bowlhead99

DrSyn wrote: »

https://www.scamdoc.com/view/88308

https://www.scamadviser.com/check-website/rdireit.com

Oh yeah, I would definitely ignore the fact that it's a REIT listed on the London stock exchange with a secondary listing on the Johannesburg stock exchange, with its financial statements audited by KPMG, and instead focus as 'scamadviser' does on the fact that "We have checked several other websites like Sitejabber, Resellerrating and Trustpilot for reviews of rdireit.com but could not find any comments. This is a negative finding as any website who offers a service or product usually has several reviews at least. As a result we lowered our trust score."

Give me a break.

Though FWIW I am not invested in this fund.

DaMoon

Hi bowlhead99, I must agree that Drsyn's contribution is a little peculiar. However, in terms of the fund, is it worth further investigation? At 109p I'm thinking it's good value. I just don't understand why it's so cheap. There's something I am missing, surely.

one_hit_wonder

Going by the last annual report, the portfolio was 45% in retail. That includes some in Germany; I don't know whether that's doing as badly as retail in the UK, though I hear they have the internet there, too .

Gearing was 46%, which I wouldn't call very high (nor very low). But if the retail property was written down significantly, gearing might start to look a bit high.

So I suspect the retail is the main reason for the large discount. (The rest of the portfolio was 23% hotels and 32% commercial.)