CapitalMall Trust 3.08%

[AlphaQuant]

Why Capitamall keeps raising money ?
IIRC, there is so many rounds of MTN in the past 2 to 3 years.

If they are sincere enough, should set the yield equal to institute investor, why always short change the retail investors ?

There is plenty of MTN issuances going on all the time - just that the retail blokes are not aware of them.

I think this CapMall issue is somewhat fairly priced, albeit somewhat unattractive.
The only incentive for CapMall to do a retail offering is prob to flash its brandname - the CapitaLand group seems to be very keen to promote its brand all the time.

From CapMall POV, it spends more money doing the paperwork, engaging the banks to use the ATM, but it gets away with a somewhat lower coupon and gets investor recognition with its name. So net small win taking into account intangibles.

From the retail POV, it's one more option in a very scarce market for retail bonds, albeit at somewhat unattractive rates for rising rate environment. So net win simply due to lack of options in a low saving rates environment (savers-repression).

Fro the banks - it's fees galore. So net win for sure.