Wednesday Nov 27, 2024
Wednesday Nov 27, 2024
Wednesday, 16 January 2019 00:10 - - {{hitsCtrl.values.hits}}
The Colombo Stock Exchange (CSE) is planning to introduce Real Estate Investment Trusts (REITs) as a new product to the market this year, a top official confirmed.
“We are hoping that we will be able to facilitate REITs as a new product before the end of this year,” CSE Chief Executive Officer Rajeeva Bandaranaike told Daily FT.
REITs allow individual investors to buy shares in commercial real estate portfolios that receive income from a variety of properties, including apartment complexes, data centres, healthcare facilities, hotels, infrastructure (fibre cables, cell towers and energy pipelines), office buildings, retail centres, self-storage, timberland and warehouses.
In addition he said they hoped that the SEC Act and the Demutualisation Act would introducenew regulations.
“We believe the market liquidity has to improve before we bring in derivatives. This is very much on the agenda, but we will likely give priority to first introducing delivery versus payment (DVP) within the next one to twoyears.”
