Total returns of top 50 stocks hit 12% QTD

Seven firms are noted to have higher total returns compared to the best-performing trust.

The 50 most traded companies by turnover outperformed the 43 trusts in the S-REIT sector in QTD, according to an SGX report. These firms averaged a total return of 12% compared to the 1% average total return generated by the S-REITS.

The top 50 firms also posted a 6% median total return over the same period, compared to the 2% median total return of S-REITs. These companies are also the recipient of $1.2b in net institutional inflow over the past 11 months of 2019.

Seven listed companies notably that outpaced the top S-REITs in 11M 2019, said SGX. These are identified to be Global Invacom, Rex International, AEM Holdings, Frencken Group, Hi-P International, UMS Holdings and Sunpower. The report noted that these firms adopted technology advancements into their business.

The seven firms generated total returns above 60%, higher than even Keppel DC REIT’s total return of 60%.

Meanwhile, the listed trusts amongst S-REITs posted an average total return of 23% and median total return of 20% for the past 11 months.

The report noted that this sector has seen record secondary fundraisings in 2019, totalling more than $6b. The four REIT IPOs in Singapore has ranked amongst South East Asia’s five biggest IPOs in 2019 by deal value. The five strongest REIT performances during the same period were Keppel DC REIT, Ascendas Hospitality Trust (Stapled Trust), Ascendas India Trust (Business Trust), Mapletree Commercial Trust and Sasseur REIT.