16-04-2014, 10:00 AM
(16-04-2014, 09:35 AM)Dividend Warrior Wrote: [ -> ]Read below carefully again and see whether you are really prepared?(15-04-2014, 02:54 PM)gzbkel Wrote: [ -> ]I think the phrasing in my original post is not very good. I should not use the word "advice", because naturally it makes everyone cautious. I would like to rephrase my question.
If you are in my position right now (heavily vested in REITs, not very experienced in investing), what would you do?
- Would you stay vested in REITs, collect dividend, and try to ride through possible capital drop due to rising interest rates?
- Or would you divest and go into some other investment that is less sensitive to interest rates?
Just hoping to know more about other people's views.
Of course views are just views. In the end, I still need to decide for myself and take full responsibility for my own investments
Hi,
This is my 2 cents worth opinion.
I am also heavily vested in REITs (around 70% of portfolio). I intend to stay fully-vested because:
-I am single. No children to feed. No housing loan. No car loan. So, I can take the risks.
-I am a net buyer of stocks at the current stage of my life. If prices drop, I will probably average down more. This requires discipline in saving and building up a substantial war chest of cash. I intend to use my salary, dividends and bonuses for this purpose.
-by staying vested, I can still benefit from the dividends while waiting for the correction to happen. If the correction takes a long time to come, at least I have the dividends.
Hope my opinion is useful to u. Do consider carefully before making a decision. I have the lowest reputation points in this forum. so u should take my advice with a huge dose of salt. Good luck!
Please considered the time factor too. If you really are prepared, congratulations. It may works. Some of the REITS had worked for me before.
Nevertheless, always "CAVEAT EMPTOR"
Not vested in any REITS now.
"Saturday, 26 November 2011
The REIT myth busted
Whatever Reits pay out in dividends, they will take back a few years later in the form of rights issues"
By TEH HOOI LING
Or
http://wealthstory.blogspot.sg/2012/02/r...usted.html