Author: Eden Advisors

Secondary fundraising – Rights issue (The tale of Keppel KBS USD Reit)

REITs are one of the favorite tools of investors, they give predictable dividends, easy to understand and generally have the nature of democratizing ownership of an otherwise very illiquid asset such as a shopping mall or malls. Unfortunately REITs also have a strategy to grow its dividend and opportunity sets are limited due to only 10% of capital retained and a 45% gearing cap set by the regulator. As such, to acquire new assets. A company needs to raise funds either by debt, equity or a mix of both (e.g. perpetuals). In recent days, there were many destructive deals...

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Retail Electric Marketplace

Today, I will cover two topics of interest – Retail Electric Marketplace With a little promotion to a local bank you can sign up for the new good deals here. – https://www.dbs.com.sg/personal/electricity-marketplace/default.page Independent comparison: https://compare.openelectricitymarket.sg/#/home Now down to the numbers and how I derived my findings through a basic data comparison. The premise is that electricity tariffs are heavily dependent on crude oil prices, the former is charged by SP Group (Government) and the latter is market driven and denominated in USD 1. Downloaded data from the EMA (Energy Market Authority) that dates back till 2014 2. Obtained the prices of...

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Musings about housing and alternatives in real estate investments

As you manage your portfolio over different phases of life, you tend to find what sticks. What is predictable, what you can control and what you can’t. One key thing that always stood out was the sustainability of real estate as an investment. As a friend of mine (who happens to be a real estate lawyer) once said – based on his view of the world, real estate is one of the asset that is sure to endure and make money. I find the saying quite true, property acts as a good store of wealth, it is linked to...

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Fixed Income: On Singapore Savings Bonds, Hyflux Perps, PE-backed corporate bonds

In the past couple of month, there were quite a number of local news relating to the fixed income space. Have a look below: 1. MAS scraps $50k issue limit for Singapore Savings Bonds (The Straits Times on March 02, 2018) 2. Trading of Hyflux shares, perpetual securities halted (The Straits Times on May 24, 2018) 3. Investors can consider Temasek’s first retail private equity bond to help supplement retirement income: Ho Ching (The Straits Times on JUN 4, 2018) Introduction There are 3 parts to the article today relating to the 3 articles above. 1. The burgeoning demand...

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