Group 1 - The core conclusion of the report indicates a significant increase in the subscription enthusiasm for public REITs since the beginning of 2025, with subscription multiples reaching historical highs. However, there is a notable divergence between the primary and secondary markets, where new projects have high offline subscription multiples but experience significantly reduced first-day price increases, even hitting new lows for the year [1][10][12] - The report attributes this divergence to three main factors: a general decline in the secondary market, increased caution among investors, and a shift in market sentiment towards stricter quality requirements for underlying assets [1][12][16] - The report highlights that since July 2025, the first-day turnover rates of newly listed REITs have remained high, indicating a strong participation of short-term speculative funds that tend to sell off on the first day, exerting downward pressure on the secondary market [1][16][22] Group 2 - The report notes that the expansion of the inquiry range and the pricing of new projects close to the upper limit of the inquiry range have narrowed the valuation gap between the primary and secondary markets, thereby squeezing the profit margins in the secondary market [2][19] - It emphasizes that the recent phenomenon of divergence in the REITs market is a result of multiple factors, including asset quality, market sentiment, funding behavior, and pricing mechanisms. As the new subscription yields continue to converge, the market is expected to shift from "short-term speculation" to "long-term allocation" [1][22] - The report suggests that investors should be cautious when participating in primary subscriptions and focus more on the quality of underlying assets. It identifies water conservancy and heating projects as having higher operational stability among listed asset types, while new asset types may receive valuation premiums upon listing, particularly in port and cultural tourism assets [1][22] Group 3 - The credit bond market review indicates mixed performance in credit bond yields, with public bonds generally outperforming bank perpetual bonds. The yields of 5-year public bonds decreased by 4-6 basis points, while 7-year bonds saw a decline of 2-4 basis points [23][24] - The report states that the issuance scale and net financing scale of credit bonds increased week-on-week, with a total issuance of 4,671.65 billion yuan, up 1,253 billion yuan from the previous week [32] - It also highlights that the average issuance interest rate of credit bonds decreased to 2.15%, down 7.4 basis points week-on-week, with significant declines observed in financial bonds due to a higher proportion of AAA-rated bonds [39][40]

Group 1 - The analyst has over 10 years of experience researching companies across various sectors, including commodities and technology [1] - The analyst has researched more than 1000 companies, focusing on metals and mining stocks, as well as other industries like consumer discretionary, REITs, and utilities [1] - The analyst transitioned from writing a blog to creating a value investing-focused YouTube channel, where extensive research on numerous companies has been conducted [1] Group 2 - No stock or derivative positions are held in the companies mentioned, but there is a potential for initiating a long position in PSTL within the next 72 hours [2] - The article expresses the analyst's own opinions and is not influenced by compensation from any company mentioned [2]

Summary of Key Points from the Conference Call Industry Overview - The global real estate index declined by 1.5% last month, underperforming global equities by 390 basis points [2][11] - The underperformance is attributed to concerns regarding future rate cuts by the Federal Reserve [2] - Year-to-date performance shows Asia as the best-performing region (+25.6%), followed by Europe (+18.2%) and the US (+2.8%) in USD terms [2] Regional Performance - Europe outperformed with a +1.2% return, while the US and Asia saw declines of -1.6% and -1.8%, respectively [2] - Industrial real estate led the performance for the month with a +5.3% return, driven by a rebound in logistics leasing activity [2][3] - Residential real estate lagged with a -5.9% return due to soft operations in the US and rate sensitivity in Europe [2] Company Insights - UBS has initiated coverage on UAE real estate, giving Buy ratings to Aldar and Emaar [2] - The UBS 28th Annual Global Real Estate CEO/CFO Conference is scheduled for December 2-3, 2025, in London, featuring 70 global real estate management teams [2] Valuation Metrics - The global real estate sector is estimated to have an ~11% return as of October 31, 2025, with a 6.9% discount to NAV [4] - The 2025E P/E ratio is projected at 20.3x, with a 2025E DPS yield of 3.7% and 2024-25E EPS growth of 8.8% [4] Top Picks - Notable top picks include Keppel DC REIT, CapitaLand Ascendas, and Emaar Properties among others across various regions [5] Sector-Specific Trends - In Asia, the residential property market in mainland China remains weak, while Hong Kong's office market is improving due to active hiring [37] - Private REITs in China are expected to offer greater flexibility and fewer regulatory constraints compared to public REITs, creating new capital recycling opportunities [38] - Japanese REIT sponsors are noted for facilitating external growth, often offering assets at discounts to enhance accretion [39] Australia/New Zealand Market - Australian real estate was flat over the last month, outperforming global averages by 1.5 percentage points [40] - A-REIT performance was volatile, with expectations for a rate cut affecting market sentiment [41] - Notable performers included CNI (+6.8%) and INA (+3.3%), while ARF (-5.9%) and CLW (-3.4%) underperformed [43] Singapore Market - Singapore REITs raised approximately S$4 billion in 2025 YTD, indicating strong investor confidence [52] - The residential market is seeing buyers moving up price points, suggesting a positive outlook for 2026 [53] Japan Market - Japan's real estate returned +0.4% over the last month, outperforming global averages [58] - The new Prime Minister's policies may impact the housing market, with a focus on foreign investment regulations [59] China Market - The top 100 developers in China saw contract sales decline by 41% YoY in October 2025, indicating ongoing weakness in the property market [71] - CR Mixc has been upgraded to Buy due to its ability to identify emerging brands and signs of luxury retail recovery [72] Conclusion - The global real estate sector is facing challenges due to macroeconomic factors, but certain regions and sectors are showing resilience and potential for growth. The upcoming conference and ongoing evaluations of REITs and property markets will provide further insights into investment opportunities.

Group 1 - The REITs index experienced a decline of 0.4% last week, closing at 1041.51, with significant performance variation among sectors, particularly strong in municipal environmental and consumption REITs [5][6][11] - The market sentiment has gradually stabilized after the impact of third-quarter report disclosures, with the REIT index rebounding from a low of 1030 points [5][6] - The new infrastructure and municipal environmental sectors showed higher trading volumes, with average daily trading volume at 5.75 billion, indicating a marginal increase in market activity [5][6][11] Group 2 - The report highlights that the current market sentiment remains fragile, suggesting a cautious approach for institutional investors regarding entry timing [6][11] - The report notes that the second half of the year has seen a weakening sentiment in the REIT market compared to the first half, influenced by project listings, unlockings, and expansions [6][11] - The report emphasizes that the opportunities arising from the oversold market conditions, along with institutional allocation needs, are crucial for supporting the REIT market [6][11]

Report Industry Investment Rating No relevant content provided. Core Viewpoints - This week, the REITs sector showed a volatile and weak trend with a narrowing year - to - date index increase. There was significant differentiation in performance among different asset types. The municipal facilities, consumer infrastructure, and transportation infrastructure sectors performed relatively well. The average weekly price changes of equity - type REITs and franchise - type REITs were - 0.8% and + 0.4% respectively. In terms of the weekly price changes of major indices, CSI Convertible Bond Index > CSI 300 Index > CSI All - Bond Index > CSI REITs Index. As of November 7, 2025, the dividend yield of equity REITs was 10BP lower than the average dividend yield of CSI Dividend stocks, and the spread between the average internal rate of return of franchise - type REITs and the ten - year Treasury yield was 240BP [1]. Summary by Related Catalogs Secondary Market Trends - The CSI REITs Index had a weekly price change of - 0.4% and a year - to - date price change of + 2.8%. As of November 7, 2025, it closed at 811.48 points. The index's performance was weaker than that of the CSI Convertible Bond Index (+ 0.90%), CSI 300 Index (+ 0.80%), and CSI All - Bond Index (+ 0.05%) this week. Year - to - date, the price change rankings of major indices were: CSI 300 Index (+ 18.9%) > CSI Convertible Bond Index (+ 18.0%) > CSI REITs Index (+ 2.8%) > CSI All - Bond Index (+ 0.8%). In the past year, the CSI REITs Index had a return rate of 5.3% and a volatility of 7.5%. The total market value of REITs remained at 220.6 billion yuan on November 7, and the average daily turnover rate was 0.59%, a 0.05 - percentage - point decrease from the previous week [2][6][7]. - Most sectors closed up, with the municipal facilities, consumer infrastructure, and transportation infrastructure sectors leading the gains. The top three REITs in terms of weekly price increase were Huaxia JINMAO Commercial REIT (+ 4.42%), Zheshang Hu杭Yong REIT (+ 2.37%), and Guotai Haitong Jinan Energy Heating REIT (+ 2.25%). New infrastructure REITs had the highest trading activity, with an average daily turnover rate of 0.9%. Park infrastructure REITs had the highest trading volume share this week, accounting for 23.8% of the total REITs trading volume. The top three REITs in terms of net inflow of main funds were Huaxia Zhonghai Commercial REIT (25 million yuan), Huaxia Huarun Commercial REIT (9.68 million yuan), and Huaxia Fund Huarun Youchao REIT (6.73 million yuan) [3]. Primary Market Issuance - From the beginning of the year to November 7, 2025, there were 2 REITs products in the "accepted" stage, 0 in the "declared" stage, 4 in the "inquired" stage, 7 in the "feedback" stage, 10 in the "passed and pending listing" stage, and 7 newly listed products [22]. Valuation Tracking - REITs have both bond and equity characteristics. As of November 7, the average annualized cash distribution rate of public - offering REITs was 6.08%. Different valuation indicators were used from the bond and equity perspectives. There were significant differences between equity - type and franchise - type REITs. As of November 7, 2025, the dividend yield of equity REITs was 10BP lower than the average dividend yield of CSI Dividend stocks, and the spread between the average internal rate of return of franchise - type REITs and the ten - year Treasury yield was 240BP [24][27]. Industry News - The first public - offering REIT in Northeast China was successfully listed on the Shanghai Stock Exchange. On November 6, CITIC Construction Investment Shenyang International Software Park REIT was listed. The underlying assets of the fund are 13 R & D office buildings in Shenyang International Software Park. The initial offering of fund shares was 300 million, raising a total of 1.098 billion yuan [4][29].

Investment Rating - The industry investment rating is "Positive" (maintained) [1] Core Viewpoints - The REITs market is expected to continue to offer good investment opportunities due to the downward pressure on bond market interest rates, the "asset shortage" logic, and the anticipated entry of social security and pension funds into the market [3][5] Summary by Sections Market Overview - As of the 45th week of 2025, the CSI REITs (closing) index was 811.48, up 4.84% year-on-year but down 0.42% month-on-month. The CSI REITs total return index was 1041.51, up 11.67% year-on-year but down 0.4% month-on-month [5][18] - Year-to-date, the CSI REITs (closing) index has increased by 7.28%, while the CSI 300 index has risen by 36.36%, resulting in an excess return of -29.09% [14][18] Trading Volume and Market Activity - The trading volume of the REITs market reached 733 million units, a year-on-year increase of 16.91%, with a transaction value of 2.877 billion yuan, up 18.93% year-on-year. The turnover rate for the period was 2.96%, down 1.08% year-on-year [25][27] - Over the past 30 days, the total trading volume in the REITs market was 3.458 billion units, a year-on-year decrease of 17.87%, with a total transaction value of 15.051 billion yuan, down 20.3% year-on-year [30][34] Sector Performance - In the 45th week of 2025, the weekly performance of various REIT sectors was as follows: affordable housing -0.98%, environmental +0.74%, highways +0.09%, industrial parks -1.09%, warehousing and logistics -1.62%, energy -0.51%, and consumption +1.19%. Monthly performance showed similar trends [35][49] - The consumption REITs sector saw a monthly increase of 2.08% [35] Upcoming Listings - There are currently 10 REITs funds awaiting listing, indicating an active issuance market [6]

Investment Rating - The report does not explicitly provide an investment rating for the REITs industry Core Insights - The C-REITs secondary market is under pressure, with the C-REITs total market capitalization approximately 220.6 billion yuan and an average market cap of about 2.9 billion yuan per REIT as of November 7 [3][13] - The C-REITs total return index has increased by 7.61% year-to-date, while the C-REITs closing index has risen by 2.77% [2][11] - The report highlights three main investment strategies for REITs: focusing on policy themes and quality undervalued projects, recognizing the market's acknowledgment of weak-cycle assets, and paying attention to original rights holders with ample asset reserves [6] Summary by Sections REITs Index Performance - The C-REITs total return index fell by 0.40% this week, closing at 1,041.5 points, while the C-REITs closing index decreased by 0.42%, closing at 811.5 points [1][11] - Year-to-date, the C-REITs total return index has increased by 7.61%, ranking fifth among various indices [2][11] REITs Secondary Market Performance - The secondary market for C-REITs showed a downward trend, with 33 REITs rising and 42 falling this week, resulting in an average decline of 0.73% [3][13] - The best-performing sectors this week were ecological and municipal water conservancy REITs, while industrial park and logistics REITs experienced a pullback [3][13] REITs Valuation Performance - The internal rate of return (IRR) for listed REITs shows significant differentiation, with the top three being 华夏中国交建 REIT (9.7%), 平安广州广河 REIT (9.3%), and 易方达广开产园 REIT (8.4%) [5] - Price-to-NAV ratios range from 0.7 to 1.8, with the lowest being 华夏中国交建 REIT at 0.7 [5] Investment Recommendations - The report suggests focusing on REITs in a low-interest-rate environment expected in 2025, emphasizing the importance of quality projects and the potential for recovery in undervalued assets [6] - It also highlights the need to consider asset resilience and market prices when planning investments [6]

Core Insights - The consumer market's heat has significantly boosted the REITs market, particularly in consumer infrastructure REITs, driven by the consumption peak during events like "Double Eleven" [1][2] - The overall public REITs market has shown strong performance this year, with consumer infrastructure REITs leading in growth due to consumption subsidy policies and improved market expectations [2][3] Group 1: Market Performance - As of November 9, the average increase for 12 listed consumer REITs this year is 24%, with notable performers like the Jiashi Wumei Consumer REIT exceeding 50% growth and Huaxia Jinmao Commercial REIT over 40% [3] - The total market capitalization of the 12 consumer REITs has surpassed 42 billion [3] Group 2: Investment Trends - The recent surge in consumer REITs has led to high subscription rates, with the Huaxia Zhonghai Commercial REIT receiving nearly 160 billion in subscriptions before its listing [5] - The demand reflects market recognition of quality commercial assets and the scarcity of foreign brands in the public REITs sector [5] Group 3: Performance Disparities - In Q3, consumer REITs collectively reported revenues of 598 million and net profits of 20.11 million, with Huaxia Huarun Commercial REIT leading in revenue [7] - There is a notable performance disparity among different REITs, with some achieving significantly higher revenues than others [7] Group 4: Future Outlook - The operational capabilities of shopping centers, including renovation and innovation, remain core competitive advantages for consumer REITs [8] - The macroeconomic environment and interest rates will continue to influence REIT pricing and investor returns [9]

1. Report Industry Investment Rating There is no information about the industry investment rating in the provided content. 2. Core Viewpoints of the Report - The REITs market continued to decline this week, with the park and warehousing logistics sectors leading the decline. The market is still concerned about their pressure on occupancy rates. The Shenyang International Software Park REIT listed on Thursday, showing a weak performance and breaking the issue price on the first day, which may suppress the market sentiment for subsequent new products. The short - term weak and volatile pattern may continue [2]. - As of November 7, 2025, 18 REITs have been successfully issued this year, with an issuance scale of 36.34 billion yuan, a year - on - year decrease of 25.8%. This week, 3 new public offering REITs made new progress [2]. - The CSI REITs Total Return Index closed at 1041.51 points this week, down 0.4%, underperforming the CSI 300 by 1.22 percentage points and the CSI Dividend by 2.63 percentage points. Property - type REITs fell 0.84%, while concession - type REITs rose 0.15%. The consumer, data center, environmental protection and water services, and transportation sectors performed better [2]. - In terms of liquidity, the average daily turnover rates of property - type and concession - type REITs this week were 0.60% and 0.45% respectively, down 8.70 and 0.36 basis points from last week. The trading volumes were 577 million and 129 million shares respectively, down 11.78% and 0.79% week - on - week [2]. - In terms of valuation, the ChinaBond valuation yields of property - type and concession - type REITs were 3.89% and 4.07% respectively. The warehousing logistics, transportation, and park sectors ranked among the top three [2]. 3. Summary According to the Directory 3.1 Primary Market: 3 New Public Offering REITs Made New Progress - As of November 7, 2025, a total of 77 REITs have been issued, with a total issuance scale of 202 billion yuan, a total market value of 220.6 billion yuan, and a circulating market value of 110.9 billion yuan. Among them, there are 54 property - type REITs and 23 concession - type REITs [12]. - This week, 3 new public offering REITs made new progress: the CITIC Construction Shenyang International Software Park REIT was listed, the Shanxi Securities Jinzhong Public Investment Ruiyang Heating REIT was under inquiry, and the E Fund Guangxi Beitou Expressway REIT was accepted. There was no new progress in the expansion of REITs this week [13][14]. 3.2 Secondary Market: Liquidity Declined This Week 3.2.1 Market Review: The CSI REITs Total Return Index Fell 0.4% - The CSI REITs Total Return Index closed at 1041.51 points this week, down 0.4%, underperforming the CSI 300 by 1.22 percentage points and the CSI Dividend by 2.63 percentage points. Property - type REITs fell 0.84%, while concession - type REITs rose 0.15%. The consumer, data center, environmental protection and water services, and transportation sectors performed better [2]. - Among individual bonds, 33 rose and 42 fell. The top three were the China AMC JINMAO Commercial REIT (+4.42%), the Zheshang Expressway REIT (+2.37%), and the Guotai Junan Jinan Energy Heating REIT (+2.25%); the bottom three were the GF Chengdu Gaotou Industrial Park REIT (-9.44%), the CICC Liandong Science and Technology Innovation REIT (-8.43%), and the E Fund Guangzhou Development Industrial Park REIT (-7.01%) [2]. 3.2.2 Liquidity: Both Turnover Rate and Trading Volume Decreased - The average daily turnover rates of property - type and concession - type REITs this week were 0.60% and 0.45% respectively, down 8.70 and 0.36 basis points from last week. The trading volumes were 577 million and 129 million shares respectively, down 11.78% and 0.79% week - on - week. The data center sector was the most active [2]. 3.2.3 Valuation: The Valuation of the Affordable Housing Sector was Relatively High - The ChinaBond valuation yields of property - type and concession - type REITs were 3.89% and 4.07% respectively. The warehousing logistics, transportation, and park sectors ranked among the top three [2]. 3.3 This Week's News and Important Announcements - News: On November 4, 2025, Li Ming, the vice - chairman of the China Securities Regulatory Commission, stated at the 2025 International Financial Leaders Investment Summit that support will be provided to include REITs and other products in the Hong Kong Stock Connect [29]. - Announcements: Multiple REITs issued share unlocking announcements this week, including Huatai Jiangsu Expressway REIT, Yin Hua Shaoxing Raw Water Water Conservancy REIT, etc. Some REITs also announced dividend plans [29].

Investment Rating - The report does not provide a specific investment rating for the public REITs industry [1]. Core Insights - The REITs index experienced a decline of 0.40% this week, while the Shanghai and Shenzhen 300 index rose by 0.82% [19]. - The total market capitalization of the industry is approximately 217.1 billion yuan, with a circulating market value of about 110.9 billion yuan [1]. - The trading volume for the week was 25.9 billion yuan, reflecting a decrease of 6.3% compared to the previous week [7]. - The report highlights the correlation of REITs with various indices, showing a correlation of 0.16 with ten-year government bonds and 0.37 with the Shanghai and Shenzhen 300 index [21]. Summary by Sections Market Overview - The report notes significant events in the market, including the listing of the CITIC Construction Shenyang International Software Park REIT on November 6, which had a trading volume of 77.57 million yuan and a turnover rate of 23.74% [10][11]. - Other notable events include the holding of meetings by various REITs to discuss performance and future strategies [10]. Trading Performance - The report indicates that 32 REITs saw price increases, 2 remained stable, and 43 experienced declines, with an overall decrease of 0.40% in the REITs market [23]. - The largest gain was recorded by Huaxia Jinmao Commercial REIT, which increased by 4.42%, while the largest decline was by GF Chengdu Gaotou REIT, which fell by 9.44% [23]. Investment Recommendations - The report suggests that the overall economic stability remains unchanged, and REITs are expected to have strong allocation attributes in the long term. Investors are encouraged to pay attention to sector rotation and expansion opportunities [7].