MONKEY - horoscope predictions for 2014

The Monkey will juggle a busy year ahead, fueled by many opportunities in the workplace. You will find various platforms to progress professionally, and this provides you with challenging assignments or projects that pave the way to both wealth and career success. As long as you work steadily to your goals, this is a year where you’ll be able to strive ahead and prove your mantle to the world.

Work will take up most of your time this year but instead of complaining about the workload, be glad as you’ve reached a level where you’re being trusted with heavier responsibilities. You can expect more significant assignments, long-term projects this year alongside with more platforms to showcase what you’re capable of achieving. As such, it would be wise to spend some time in improving on your time management skill to help maintain a balanced workload.

Having said that, it is also important to put a distinction between pushing your limit and taking on more than what you can handle. Remind yourself from time to time that it is your focus to not take on more that you are capable of. This will allow you to focus on producing results based on quality rather than quantity. In the long-run, you are bound to be recognized and rewarded for your tireless efforts in the form of a promotion or bonus. Stay persistent in your work and ensure you have your focus in your goals and objectives.

In terms of planning and managing your finances, it is important to pay attention to the pros and cons associated with what you intend to do. Therefore, before any business deal or investment in real estate, do the necessary research and ensure you understand the bigger picture beforehand. It is also integral to reconsider your decision in extending a loan to your friends or family members. Unless you want an argument on monetary issues to cause a rift in your personal relationship, it is advised of you stay clear from any monetary commitment with your loved ones.

2014 is also a year to stay on your toes. The possibilities of accidents occurring – on the road or while performing dangerous activities – are high, so you must be careful with yourself no matter in what you do. Apart from that, your health outlook is looking bright without the risk of major illness or accident.

In a nutshell, 2014 shall turn out to be an exhilarating year for you. There are financial goals you can achieve and good health outlook to be enjoyed. However, it should be repeated that the road to success is never an easy one. Keep to an open mind, view the bigger picture and don’t let the stress get the best of you. Always continue your climb and find your motivation to press forward and strive for the mark set before you!

Suntec REIT - A display of growth potential

Strong quarter 
Suntec REIT (SUN) posted a respectable 4Q13 revenue of S$71.6m (+30.2%) and NPI of S$49.8m (+62.9%). The strong growth was mainly attributed to the completed Phase 1 AEI at Suntec mall. Currently, these area boasts a high 99.6% committed occupancy, while the areas unaffected by the AEI reported an occupancy of 91.3%. Together with Park Mall, SUN’s retail malls have achieved a high occupancy of 97.3% while its office portfolio remained at 99.6%.   
  
AEI to bring near-term growth 
Phase 2 of the AEI has achieved an impressive pre-commitment of 97.0%, scheduled to be completed in 1Q14, SUN is expected to benefit from the additional income contribution in 3Q14 (assuming 2-3 months of a fitting out period). However, earnings in 1H14 are expected to remain weak as SUN begins Phase 3 of the AEI in early Feb, which is scheduled to be completed in 4Q14. During the results briefing, management indicated that the AEI continues to remain on track for a 10.1% ROI, securing an average rental rate of S$10.10–S$12.59 psf/mth (based on stabilised rent).   
  
Well-poised for future growth 
With 12.5% of office space up for renewal in FY14 and asking leases secured at S$8.65 psf/mth last quarter, we expect SUN to continue to achieve positive rental reversions in FY14 - particularly on the back of a recovering office market. In addition, the recent acquisition of Leighton Tower is expected to bring the next stage of growth for the REIT in FY16 when the construction is completed. On the basis of clear growth prospects, we maintain an Add rating with an unchanged target price of S$1.96.

Mapletree Commercial Trust - Stronger than expected

Strong organic growth 
Mapletree Commercial Trust (MCT) reported 3QFY14 revenue of S$68.4m (+22.4% yoy) and DPU of 1.865 Scts (+15.5% yoy), mainly driven by the 38.7% rental uplift in leases renewed at VivoCity. Similarly, the rising occupancy in the PSA Building office to 100% and in the Alexandra Retail Centre (ARC) to 97.4% has attributed to the strong earnings growth. With 1.8% of retail space and 1.2% of office space up for renewal in FY13/14, we are confident that the high portfolio occupancy of 98.7% will be maintained as we step into the new financial year. In addition, with 15.4% of retail space and 7.3% of office space up for renewal in FY14/15, we expect MCT to benefit from the strong positioning of VivoCity and the recovery in the office market.   
  
Well-shielded from the rising interest rates 
During the quarter, MCT secured term loan facilities of S$397.6m to refinance all of its debts (S$338.6m) due in FY14/15 and some of its debts due in FY17/18. Although its gearing is relatively high at 40.8%, we seek comfort in MCT’s accessibility to loans and the fact that the next tranche of debt is only due to be refinanced in FY15/16. The all-in interest cost at the moment stands at 2.18% (unchanged from a quarter ago), with 74.5% of its total debt under a fixed rate. With these structures in place, we expect MCT to be well-shielded from any hikes in interest rates. 

Creating Positive Organisation

Management gurus, organisational behaviourists, human resource professionals, and positive psychologists recognise that real productivity resides within human beings. Every person, if motivated appropriately, is capable of generating the highest level of productivity. Studies have shown that such productivity growth easily beats any technological-driven productivity. Creativity, focus, flow, efficacy, optimism, resilience, to name a few, are strengths that cannot be replicated in machines. However, motivation is naturally intrinsic yet uniquely different with every worker, and it is not easy to elicit in a machine-like way. As postulated by recent research, one possible angle to encourage motivation is to cultivate positivity in the workplace. Here are four key strategies that can help:

1. Create positive culture
Generate positivity purposefully; it is essential for organisations to design their work culture to react to goodness.
2. Focus on strengths
Adopt and integrate strengths into strategies such as team deployment, career advancement, talent acquisition, training and development.
3. Instill meaning at work
Clarify mission and vision of organisation, so that workers understand the context and contribution of their tasks.
4. Develop authentic leadership
Position the leader according to his or her natural strengths supported with positive leadership interventions.