A real estate investment trust is a listed vehicle that allow investors to consolidate funds for the purpose of investing in a portfolio of income-generating properties. Rental income collected from tenants, less expenses are distributed on a regular basis to provide stable yields to Unitholders.
- REITs offer stable returns from the rentals collected from the tenants.
- REITs offer tax advantages. For individuals and qualifying Unitholders, distributions from REITs are free of tax at source.
- REITs as a portfolio diversification tool - REITs have a risk profile slightly higher than that of bonds and a return profile slightly lower than that of stocks. REITs offer competitive returns for the risk assumed.
- REITs provide a hedge against inflation. When inflation rises, the value of real estate and real estate securities can be expected to increase as well.
Soilbuild Business Space REIT is a Singapore real estate investment trust established with the principal investment strategy of investing on a long-term basis, directly or indirectly, in a portfolio of income-producing real estate used primarily for business space purposes in Singapore and Australia as well as real estate-related assets. Soilbuild REIT was listed on the Singapore Exchange Securities Trading Limited ("SGX-ST") on 16 August 2013 ("Listing Date").
To invest in Soilbuild Business Space REIT which is listed on the Singapore Exchange (SGX), an individual must first have a securities account with the Singapore Central Depository (Pte) Ltd. Investors may purchase units in Soilbuild Business Space REIT through their stockbroker or investment advisor.
The stock code is Soilbuild Business Space REIT and stock symbol is SV3U.SI.
CPF members are allowed to invest up to 35% of the Investible Savings in their CPF ordinary account to purchase or where applicable, subscribe for new units in Soilbuild Business Space REIT. You are advised to contact CPF Board to check on the latest regulations prior to making investment decisions.
Distributions from Soilbuild Business Space REIT to Unitholders will be computed based on at least 90.0% of its Annual Distributable Income. The REIT will make distributions to Unitholders on a quarterly basis, with the amount calculated as at 31 March, 30 June, 30 September and 31 December each year for the three-month period ending on each of the said dates.
Soilbuild Business Space REITs annual financial period begins on 1 January and ends on 31 December.