I like her and will continue to accumulate as a Rand hedge. Together with ITU, CAPC, IAP, STP, MDP, MSP and others. All property stocks offer endless share issues but at around the ruling price which should track the portfolio value - it limits their price growth but they tend to provide a stable investment. They will not dump shares at way below book! Unless, of course, they get into a financial bind and then all bets will be off! This type of property company (STP) is far more flexible and nimble than the traditional "handful of assets" monster fund. They feed off the rate differential between a 6%+ (and growing) portfolio yield and a 3% loan rate. It is all about your view on interest rates - if it's still lower for still longer - these should be good investments. Ordinarily - you can't expect them to shoot the lights out - but then again - their model offers a good dividend yield and ensures that they are also less likely to collapse! Well run - they can crate enormous wealth over time - personally - I am allocating 30% of my portfolio to offshore property. If the markets accept a lower for longer model - these shares will need to play catch-up to bonds yileds - this could result in a 200% gain in prices. Not too shabby an upside kicker for an uber-conservative sector. Of course - at those levels - they would turn into share printing presses and would need to offload.
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