Shares & Derivatives
First REIT inflation risk explained again
By Investment Moats  •  September 19, 2011
First REIT inflation risk explained again first+reit+surabaya So I wrote in to First REIT’s in the past to enquire about earthquakes and inflation, 2 very common thing in Indonesia. Victor from First REIT gave me a good breakdown on that here. One of my readers Nick mentioned that Parkway Life REIT have a somewhat uncapped inflation protection mechanism. This means that the rent lease escalation of ParkwayLife REIT tracks inflation well. So we know that Singapore’s inflation have been fluctuating at around 5%, Parkway Life REIT’s growth this year have been 5.3% as well. Perhaps that is why it is so resilient in these tough times. So is this the same as First REIT? I know that they have an inflation rent lease escalation mechanism in placed as well, but it seems to be capped at 2%. I queried Victor again to see if it is the case. One thing I gotta hand it to Victor ......
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By Investment Moats
Investment Moats is set up by Kyith Ng and have been around since 2005. He aims to share his experiences making sense of money, how money works and ways to grow his money. It hopes that by sharing his experiences, both good and bad, season investors can advice and critique his decisions and new investors can learn from them and find their own style ...
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