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Investment Tips for 2020


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I do a bit of property here in the UK and regular newsletters from Savills who we sometimes work with. I don't normally take much notice of the Real Estate Tips outside of the UK but this caught my eye. No mention of Thailand but they are suggesting Vietnam as the next SE Asia hotspot. I am not savvy enough to try and understand the Thai Economy or market but it does seem that other nearby countries are now catching up and possibly overtaking Thailand. You'll note in the article they still consider Vietnam to have barriers to boosting the economy but are working towards having a medium term plan to deliver a stable national economy, which Thailand has yet to establish. 



Market trends

Real estate investment tips for 2020: Asia-Pac

Against a backdrop of geopolitical tensions, regional uncertainties linger. India and Vietnam are future bright spots

Simon Smith

Head of Asia-Pacific Research


Asia-Pacific’s investable real estate universe is fast growing and extremely diverse. Differing cycles are creating different pockets of risk and opportunity, while the emergence of new asset classes is providing investors with a much broader range of options and strategies.

Vietnam appears to be a future bright spot (Ho Chi Minh City, above), with strong economic growth and a youthful demographic profile. But, investable assets remain scarce. Administrative hurdles continue as anti-corruption measures bite, in turn reducing liquidity and delaying development progress. However, over the medium term, this will establish sound governance and a better business environment, benefiting investors.

India, whose population is forecast to overtake China’s in the next five years, offers longer-term opportunity. The government has taken measures to boost the economy by reducing corporate taxes and re-capitalising banks. The central bank lowered the benchmark interest rate five times during 2019. These measures will drive occupier demand for traditional asset classes such as offices, but there are also real opportunities in alternatives. Co-living is one such example, supported by India’s huge millennial population.

Australia has experienced the worst and earliest bush fires in its history. Although still ongoing, the current damage to businesses and property is expected to have a near-term negative impact on GDP, mainly from a fall in farm production, private investment and tourism, albeit somewhat offset by government aid and unprecedented donations. Financial markets have also increased their expectation of an interest rate cut, but these are already at historic lows and there are doubts that they are still positively impacting the economy.

At a regional level, uncertainties still linger against a backdrop of geopolitical tensions, US trade relations and slowing economic growth. This has meant the emergence of a degree of downside risk to some countries in the region in 2020, particularly export-orientated economies, as investors remain more inclined to invest in real estate markets viewed as better insulated from such risks.

In the near term, looser monetary conditions will continue to support real estate markets as external and domestic headwinds mount. Core investors will continue to seek opportunities in the office sector, in spite of low yields, focused on major cities across the region.

Yields across most Asia-Pacific markets seem to have bottomed out. As a result, investors are searching for higher-yielding assets. Alternative asset classes, such as self-storage, data centres and senior housing, are benefiting.


* Apologies for the size of the images !

Edited by AJSP
Size of image apology
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2 minutes ago, thegrogmonster said:

My private retirement fund (Superannuation) is currently growing at around $1000 a day due to the stock market doing well.
Long may it continue.

Bloody hell! That's more than a third of a million a year. Well done. ☺️

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2 hours ago, thegrogmonster said:

Can’t see it lasting much longer at this growth rate.

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Same. I have relatively well in 2019 (NYSE), but this is not a normal growth driven by the economics, but by the billions poured in the money market by the FED.  Hence I bailed on my good winners, and stay a bit on the side now.

At a certain age one need to be carefull, as you dont really have many years to wait for recovery in case it all comes down.


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