$Lion-phillip S-Reit(CLR.SG)
Context:
I noticed that S-REIT prices were dropping yesterday, and I saw this as a potential opportunity to lower my average cost by adding to my existing position. Since I was still interested in the sector's potential to generate distribution income and provide long-term capital appreciation, I felt that buying at a lower price could improve my overall entry price. However, I was also aware that the price decline could reflect market concerns such as interest-rate movements, higher financing costs or weaker investor sentiment, so I wanted to take advantage of the lower price while maintaining a longer-term investment perspective.
My trade:
I added to my existing S-REIT position yesterday because I wanted to lower my average cost while the prices were falling. Rather than making a large purchase at once, I decided to add a manageable amount to my position so that I could continue monitoring the market and retain some capital for future opportunities. My main reason for buying was to improve my average entry price and potentially increase my future distribution income if the REITs continued to perform well. However, I recognised that buying at a lower price does not necessarily mean the investment has become more attractive, especially if the underlying fundamentals have deteriorated.
Takeaway:
Next time, I would assess the reasons behind the price decline and review the REITs' fundamentals before adding to my position, rather than focusing mainly on lowering my average cost.





