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Saturday, July 6, 2019

Top 3 Of The Biggest REITs In Malaysia To Invest

Author: shinovachan | Publish date: Fri, 5 Jul 2019, 8:34 PM

REIT Investment in Malaysia is one of the prominent ways to achieve a good return on investment this year, according to the headline of The Edge Market “REIT Malaysia could become market darlings in 2019.” Hence Malaysian Investors always seeking for the best REIT in Malaysia.

A check on Bloomberg revealed that the dividend yield of the 18 Bursa Malaysia-listed REITs averaged 5.95% currently, rendering the yield spread of M-REITs an unexciting 1.88% over the 10-year Malaysian Government Securities (MGS) yield of 4.07%. REIT investment segment is always been the first choice of top investors in Malaysia.

Malaysian real estate investment trusts (REITs) have a long history. Since then, Malaysia’s REIT market has grown significantly and is now home to 18 REITs.

Here, I am presenting the list of 3 Biggest REITs of Bursa Malaysia to invest this year.
Top 3 REIT In Malaysia to Invest

1. KLCC Stapled Group (KLSE: 5235SS.KL):
KLCC Stapled Group is one of the biggest giant of REIT in Malaysia with a market capitalisation of RM 14.03 billion (around S$4.7 billion). The group consists of units in a real estate investment trust (KLCC REIT) stapled together with the ordinary shares of KLCC Property Holdings Berhad (KLCCP).
KLCC Property Holdings Berhad has stakes in Suria KLCC, Mandarin Oriental (in Kuala Lumpur), and Menara Maxis. Meanwhile, KLCC REIT is the famous owner of PETRONAS Twin Towers, Menara 3 PETRONAS and Menara ExxonMobil.


KLCC Stapled recently pay 8.8 sen dividend May due to 1Q net profit up 1.82%, net profit to RM183.96 million from RM180.67 million a year earlier, on higher revenue and profit before tax (PBT) from office and retail property investments.
Group revenue was 2.4% higher at RM353.45 million in 1Q ended March 31, 2019 (1QFY19) versus RM345.11 million.
KLCC Stapled Group Key Statistics 2019 (Q1):

P/E Ratio 49.11
EPS 0.16
Dividend 4.76%
Revenue 353.45 M (MYR)
Net Profit 19.82%

2. IGB Real Estate Investment Trust (KLSE: 5227.KL):
IGB Real Estate Investment Trust is the second largest REIT in Malaysia with a market capitalisation of RM 6.23 billion.
The Trusts initial property portfolio will consist of the Mid Valley Megamall (MVM) and The Gardens Mall in Malaysia. MVM prides itself in bringing a new retail concept to Malaysians in 1999 – the “megamall”. Since then, this retail model has caught on well with many shoppers.
IGB Real Estate Investment Trust recorded a higher net profit of RM82.88mil for the first quarter of 2019, compared with RM82.25mil a year earlier mainly due to high rental income.

Revenue rose to RM141.23mil from RM136.79mil previously. The company also announced an income distribution of 2.4 sen per unit for a payout totaling RM85mil, to be paid on May 31, 2019. IGB REIT has recently declared dividends of 6.91 sen from 4.38 sen in the same period of the previous year.
IGB Real Estate Investment Trust Key Statistics 2019 (Q1):

P/E Ratio 20.38
EPS 0.09
Dividend 4.97%
Revenue 141.23 M (MYR)
Net Profit 58.68%

3. Pavilion Real Estate Investment Trust (KLSE: 5212.KL):
Pavilion Real Estate Investment Trust is a REIT in Malaysia with a market capitalisation of RM 5.19 billion . The Company invests, directly and indirectly, in a diversified portfolio of income producing real estate used for retail purposes in Malaysia and other countries within the Asia-Pacific region. Its properties are centrally located in the heart of Kuala Lumpur’s golden triangle.
Pavilion Real Estate Investment 1QFY19 revenue grew by 14.8% Y-on-Y mainly contributed by revenue from new property, Elite Pavilion Mall (+RM14.7 million) where acquisition was completed in 2QFY18, and higher revenue from Pavilion Kuala Lumpur Mall (+6.9%).
Pavilion Real Estate Investment Trust Key Statistics 2019 (Q1):

P/E Ratio 19
EPS 0.1
Dividend 4.81%
Revenue 150.92 M (MYR)
Net Profit 45.87%

Thus in this manner above REIT Malaysia stocks are the best list according to my best research with the research analyst team of Multi Management Future Solutions Malaysia.The information is taken from different sources like Bloomberg, The Edge Market and other high authority financial sites of Malaysia. I have put the crucial effort with the MMF Solutions stock analyst team to find the best 3 best REIT in Malaysia with its key financial statistics. Investors can choose the REIT as per their financial needs and goals.

The above list gives complete knowledge of there performance statistics on Malaysia Stock Exchange, but still I am not suggesting you to buy this stock list, do your own research before investing in this REIT stocks .

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