When inflation persist, it is not the earning of company is better but money getting smaller. Thus, stocks price should adjust upwards as well.

When property price increased but yield is high. Means demand is more than supply. When property price increased but yield is lowered. This means a clear money getting smaller sign. Supply is mote than demand property price will not go up.

As we mentioned earlier. We will review our REITS policy from holding of all type of REITs to switching towards divdiend yield stocks as income model. Key reason is definitely MRT. We will review and go along with the strategy of the swapping for higher yield and growth of dividend stocks. But reducing those inactive REITs and also impacted by the MRT factor.

When investing into properties, strategic location becomes an important factors. My personal view is MRT made many locations becomes strategic instead of one area. It is a good news for the average but not so good for the strategic. Worst is for those no plan to be connected in the next 5 year. Office and low to middle end residential will see the direct effect.

All data pointed to the steady recovery from most segment especially GDP, retail and home prices. Because of this Australia dollar rallied as expectation of better commodities prices.  If US, China, ASEAN are doing well. Recovery can be seen in EU. We may see a perfect growth in next 2 to 3 years. Underlying risks still there. But in short to mid term look positive. 

We upgrade Insas to strong buy and change YSPSAH to mild buy on weakness as price has escalated near RM 3 before ex-dividend.