SINGAPORE (Feb 4): Singapore's real estate investment trust valuations have fallen to attractive levels, warranting re-entry by investors as warm again to yield plays, DBS says in a note.

“With heightened economic uncertainty from low oil prices and slowing growth in China, S-REITs once again shine in the midst of current market volatility as ‘safe havens,’” the bank writes.

It notes that REITs have fallen less than the broader Singapore stock index and that they offer an average yield of 7.1%, a spread of 4.9% above 10-year government bonds.

DBS’ preferences are Ascendas REIT, Mapletree Greater China Commercial Trust, Mapletree Commercial Trust, Frasers Centrepoint Trust, and CapitaLand Retail China Trust.