High dividend ratios struggle to compete with the sluggish market; the attractiveness of REITs still needs further enhancement.

On August 12, four REIT products recorded on-market dividends and ex-dividend on the same day, with dividend ratios exceeding 99%. According to statistics, as of the ex-dividend date, more than 70 REITs have started distributing dividends this year, with over 70% of single dividend distributions accounting for more than 99% of the distributable profits. From the secondary market performance perspective, as of the market close on August 12, about 80% of the 88 listed REITs have seen declines this year, with some REITs even falling over 40%. Even among the products that have distributed dividends this year, the proportion of those with declines exceeds 80%. Industry insiders analyze that a high dividend payout is indeed an important feature of REIT products, which is why these types of products are regarded as quasi-fixed income assets by many investors, particularly institutional ones. However, compared to the dividend ratio, the dividend yield and the effect of filling dividends are actually more important indicators to focus on. Regarding the performance of REITs in the secondary market, in addition to being affected by the operating conditions of the underlying assets, it also struggles to attract investment due to insufficient liquidity.