REITs and Property Trusts with considerable interests in China and Hong Kong slipped by as much as 6 percent today as fresh concerns loom over the region. This comes on the back of a warning by HSBC Holdings that slower Chinese growth will continue to hurt its prospects in the market. Shares of HSBC Holdings tumbled by 5 percent after it missed profit estimates.
|CapitaRetail China Trust plunged close to 5 percent at the end of the trading day.|
Leading the slip was Forterra Trust which has reported a 22 percent drop in revenue for its 2Q2013. The only REIT that came out relatively unscathed from today's slip was Mapletree Greater China Commercial Trust after it reported higher-than-expected distributions for its last reporting quarter.
|REIT / Trust||Last||Drop||% Drop|
|Fortune REIT (HK$)||6.75||0.06||-0.88|
There have been fresh concerns in recent times that the Chinese government will not be extending stimulus despite a fall in the purchasing managers index to an eleven-month low. China has indicated that it will be looking to maintain a 7.5 percent growth target for the year.