Singapore’s REIT hub ambition pays off with most foreign IPOs

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REITs are sought after and more frequently traded than most blue-chip stocks in city-state. FMTNews REIT RealEstate

SINGAPORE: Singapore may be tiny by geographical size, but its sway in the property management industry is anything but small.

The country’s favourable tax regime and well-established legal system made it particularly appealing for international investment trusts. With a yield of 6.2% – one of the highest globally – Singapore-listed REITs are sought after and more frequently traded by investors than most of the blue-chip stocks in the country.

More foreign investment trusts have flocked to the city-state, with the recent pound-denominated Elite Commercial REIT being first of its kind to be sold there. By contrast, DBS Group Holdings Ltd, the largest bank in Southeast Asia by assets, and Keppel Corp Ltd, an infrastructure-to-property conglomerate, rank 15th and 17th, respectively.

 

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