A question many investors have often finance industry professionals like ourselves, is this the time to let go of their real estate investment trust (Reit) stocks given that the US Federal Reserve is expected to normalise interest rates soon, and reduce their quantitative easing (QE) measures.
In this article, we shall examine this hotly asked question by retail investors. We’ll start off by looking at FTSE ST Real Estate Investment Trust (REIT) Index. Here is the chart diagram:
Source: Phillip POEMS Trading Platform (One-year daily chart for FTSE ST REIT Index, July 25, 2017)
Looking at the chart above, we noted that the FTSE ST REIT Index chart is climbing higher, signalling possible discounting of the impact of higher interest rates. The average directional index (ADX) below is showing positive directional indicators (DIs) outpacing the negative Dis, and showing positive momentum.
Likewise, the recently debuted NikkoAM – Straits Trading Corporation Asia REIT …