S’pore REITs affected by interest rate fears as bond yields soar

Even top-tier issues, including CapitaLand Ascott Trust (Clas), have been hammered down to their lowest levels in 2023 as investors run for cover. — The Straits Times

SINGAPORE: While the higher-for-longer outlook for interest rates has mauled stock markets, the real estate segment, and in particular the real estate investment trust (REIT) sector, has borne the full force of the sell-down this week.

Many Singapore-listed REITs, commonly referred to as S-REITs, are trading close to 52-week lows as US 10 and 30-year government bond yields climbed to their highest levels since 2007, following strong jobs data in the United States.