Excerpts from UOBKayHian report Ascott Residence Trust (SGX: HMN) Ascott Residence Trust (ART)’s properties in the US, the UK and continental Europe have experienced a rapid recovery since May 22 with RevPAU near pre-pandemic levels in 2Q22. It is poised to scale greater heights in 3Q22, boosted by the summer holidays. ART has raised the asset allocation target in longer-stay assets, such as student accommodation and rental housing, by 10ppt to 25-30% of portfolio value. Distribution yield is expected to improve from 4.8% in 2022 to 5.8% in 2023. Maintain BUY. Target price: S$1.33. Strong pick-up in demand in countries with large domestic markets ART benefits from strong pick-up in demand in countries with large domestic markets, such as the US, the UK, Japan and Australia due to pent-up demand since Mar 22. International leisure and corporate bookings are rapidly recovering as many countries have reopened their borders...