Second Reit ETF on SGX launching this month

Singapore

ANOTHER real estate investment trust (Reit) exchange-traded fund (ETF) will soon be listed on the local bourse, pandering to investors' appetite for low-cost yield products.

Called NikkoAM-StraitsTrading Asia ex-Japan Reit ETF, it tracks the FTSE EPRA/NAREIT Asia ex-Japan Net Total Return Reit index, focusing on Reits listed in Singapore, Hong Kong, China, Malaysia and Indonesia.

The constituents were shortlisted after being screened for size and liquidity. Currently, Singapore Reits make up 14 of its 23 constituents. They include the usual favourites such as Ascendas Reit, CapitaLand Mall Trust and Mapletree Industrial Trust.

Nikko AM head of product development and management Phillip Yeo said: "But this is as of today. Because depending on how well they fit in, some will drop out because their …