On Valentine's Day, I used the cash in my SRS portfolio to buy presents - 2 REITs for myself. My criteria was pretty simple:
- Yield of REIT is more than 6% (both yield more than 6.5% at my purchase price)
- Price/NAV is less than 1.0x (both trading around 18-20% discount to its book value at my purchase price)
From that list, i bought 30,000 units of Fraser Commercial Trust (yield of 7.6%) at $1.29 and Starhill Global (yield of 6.9%) at $0.755 each on 14 February.
The addition helps bring my projected passive income to around $40,717 each year. Based on my historical cost of $610,349 (without accounting for revaluation gain), the portfolio is yielding around 6.7% and you can see from the chart below that i have some cash coming in every month except for Feb and Aug...
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