Singapore Residential 11 April 2008 - UBS Investment Research

[ahlahdin]

.........................

[smartinvest]

UBS is one of the worst investment bank. After loosing almost USD40 Billion in the market, nobody could trust them. Their research report should be discounted. If they say buy , we should sell , when they say sell we should buy.

If UBS is really so good, they would not have lost that much and dilute their own shareholders interest.

[Tony Blair]

I couldn't agree more.Are they a thifty bank.No.High echeloeons are paid sky high salaries to do what?Speculate,invest?Sip wine and dine with clients money.Gone are the astute traders.The old generation are replaced by new world executives who play first and work later.

[jlrx]

UBS's predictions are 90% accurate. The evidence is shown below.

One year ago (March 2007), UBS predicted that property prices would rise and rise continuously until 2010 and beyond. Below is their chart published in March 2007:

http://farm4.static.flickr.com/3145/2412367429_585f7172e2.jpg

Today (April 2008), UBS predicts that property prices will correct until 2009, before rising again around 2010. Below is their chart published in April 2008:

http://farm4.static.flickr.com/3017/2413192246_d6b0b87f1e.jpg

As you can see, the two charts are identical up to 2007.

This shows that UBS is 100% accurate in predicting the past.

The only problem they have is in predicting the future.

[joe]

I couldn't agree more.Are they a thifty bank.No.High echeloeons are paid sky high salaries to do what?Speculate,invest?Sip wine and dine with clients money.Gone are the astute traders.The old generation are replaced by new world executives who play first and work later.

If analysts and investment bankers are so accurate, why aren't they all billionaires already instead of working at a bank, acting like eunachs to the rich clients?

[mr funny]

Published April 15, 2008

CityDev declines 5.2% after UBS downgrades stock to 'neutral'

UBS analyst Regina Lim cites falling home prices in city-state


(SINGAPORE) City Developments Ltd, Singapore's second-largest real estate company, led declines in developers after UBS AG downgraded the stock to 'neutral', citing falling home prices in the city-state.

CityDev, controlled by billionaire Kwek Leng Beng, fell 62 Singapore cents, or 5.2 per cent, to S$11.30 at the 5:05pm close in Singapore, a two-week low.

UBS analyst Regina Lim cut City Developments from 'buy' and reduced her price estimate to S$12.30 from S$14.12.

'UBS economists expect 2008 and 2009 growth to be 3.5 per cent and 5.9 per cent, respectively,' Ms Lim said in a report yesterday. 'We downgrade our residential price forecasts for 2008 and 2009 by up to 20 per cent. We remain cautious on developers with substantial exposure to Singapore.'

Singapore private home prices gained 4.2 per cent in the first three months of this year, the slowest pace in more than a year, after gaining 31 per cent in 2007, according to data from the Urban Redevelopment Authority released on April 2.

New home sales fell to 170 units in February, the lowest in at least nine months, the authority's data showed last month.

The FTSE Straits Times Real Estate Index, consisting of 43 companies on the Singapore stock exchange, has declined 13 per cent this year and the benchmark Straits Times Index has fallen 12 per cent.

Prime property prices could fall by 20 per cent this year and 2009, Ms Lim said in the report, with so-called middle-segment homes declining 10 per cent, and mass-market dwellings unchanged.

SC Global Developments Ltd, a builder of luxury homes in the city-state, fell five cents, or 3.6 per cent, to S$1.35, the most since April 9, when it plunged 4.9 per cent.

Keppel Land Ltd, the third-largest developer, fell 26 cents, or 4.4 per cent, the most since March 17, to S$5.66. UBS said both were vulnerable to slowing home sales in Singapore.

Ms Lim said UBS estimates for Singapore's economic growth indicate home prices may decline this year before recovering in 2009.

'In previous corrections, home prices recovered one to three quarters after GDP picks up,' she noted. -- Bloomberg