Today, I continued to triage my portfolio for any potential turbulence looming on the horizon 🫣🫣😑 Moving up ⬆️ Cap with all key holdings & trimming mistakes before they may boil over into bigger potential problems. Going with industry leaders with well covered dividends and proven management teams Sold ALL 9,088 $NXR-UN Nexus Industrial REIT in both the TFSA & RIF. Going to take the roughly $6,500 hit to the gut 😬, admit I messed up and got greedy chasing yield and believing in their turnaround story 🤡 Took the proceeds & purchased 2,370 $REI-UN RioCan REIT at 20.63 400 $CSH-UN Chartwell Retirement Residences at 20.10 400 $CHP-UN Choice Properties REIT at 14.74 Getting even more defensive as I prepare to leave on a 5 1/2 month travel adventure 🥂 Nexus could turn it around by continuing to sell off non-core assets. Like others, they should cut their distribution but likely won’t. I don’t need another Allied Properties on my radar when enjoying dim sum in Hong Kong 🇭🇰 or ramen in Japan 🇯🇵 Sometimes you get to the stage where it’s not what you make but what you don’t lose 🤠🤠🤠 Happy trading and may you all collect your SAFE & abundant distributions 🥂Canada Strong 🇨🇦 🥂
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4 Comments
Le Corb@lecorb · 19d
@albertacrude I’m not sure why you like REIT’s so much. One thing I’ve noticed is you do like price appreciation. If you’re goin b to invest in REIT’s, you have to play a timin b game with interest rates AND bond yields. You’re getting hit with rising bond yields, and eventually interest rates will likely climb as it is doing everywhere around the globe. REIT’s compete with rates/yields and are typically less competitive and this selloff. REIT’s long term are unable to grow dividends, and when they have to pay 90% of their earnings, there’s nothing left to re-invest and therefore no long term compounding. The legislation for REIT’s need to change and mandate a minimum of 40%-60% payout and the remainder to be re-invested at the discretion of management but not for the purpose of compensation etc. The only time REIT’s are truly a great investment is when they are starting up in a new sector like when storage, industrial or conversion from non-REIT to REIT took place. That is true growth. But once they deploy all of their capital, there’s none left to invest in the expansion of the business and only rent increases are available which have enough troubles paying rising expenses and a mountain of DEBT!!!
Robert S@mookie88 · 19d
Strangest thing, I read an article yesterday about how in 4 major Canadian cities that office space is in heavy demand. This surprised me as interest rates look to rise (based on oil prices). So these REITs which have been largely in the cold ... could it be some select might turn over a new leaf in autumn?
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