Thursday, 28 August 2014

Performance Review: IReit Global

Performance Review

Purchase Price: $0.885 on IPO Debut

Target price: $1.06

Sold Price: $0.895 Today

Profit / Loss (after deducting Comm): 0.58%  over the tenure of 2 weeks


Comment:

I have liquidate all my holding of IReit Global. The profit is negligible and the counter was sold while it was still far from fair value.

Rationale for selling prematurely is:

  • Price wasn't moving much from IPO price. As a result I believe speculators are looking to quickly liquidate their holding too. 
  • There is a need to take shelter from the coming ECB (Euro Central Bank)'s Quantitative Easing (QE) program which will depreciate the Euro, reduce the yield and therefore price of IReit.

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