I was considering looking into two shares that have great yield - both in terms of yield and wale.
As I looked at both the german and japanese economy, it seemed that the economy and government of germany are rather prudent in their approach. Steady slow growth seems to be evident for IREIT while Croesus has the stimulus package of the Japan economy that could push it upwards.
Given the same amount of money, the companies are rather similar apart from the country and industry they are in. In an additional note - IREIT appears to have a strong new sponsor (or more asset flow which requires more equity - note nearly 900m in real estate on standby) in Tikehau Capital while Croesus Retail has internalize its asset manager creating strong alignment of interest for the long run.
Honestly, both appear to be good companies with a growth path of some sort. Hard to say which will emerge top but japan does appear politically more stable while europe may break up. But as peter lynch said, no point second guessing the economy - it is likely a waste of time.
On a side note, both trusts are undervalued compared to that of their peers listed locally which could mean we are sitting on good value. You can research the undervaluation causes independently. Likewise - Quarz capital management has a well detailed one here (https://www.quarzcapital.com/en/research/i-reit).
Based on Quarz target...a 25% upside + 8.54% gives a nice window of 33.54% baring no unforeseen circumstance.
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| Breakdown of data. Country's economic data courtesy of OECD |
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