Zhitong Finance and Economics APP learned that, according to a report released by Lyon, it maintained an "outperform the market" rating for Link Real Estate Investment Trust (00823) to reflect the outflow of Hong Kong consumer spending. The profit forecast for 2025 to 2027 is revised down by 1.4%, 2.3%, and 5.7%, with the target price reduced from 45.7 Hong Kong dollars to 45 Hong Kong dollars. Despite the challenging operating environment in Hong Kong, Link has good growth prospects in its investment portfolio in other markets due to strong macroeconomic conditions or structural upgrades.

The bank pointed out that the Fed's 50 basis point rate cut signals the beginning of a new round of easing policies, preparing for REITs in advance. Rate cuts should reduce financing costs and increase trading volume, thereby driving growth in REIT businesses and consequently increasing the per unit distributable income for the entire industry. In terms of the distribution of REITs, the bank has a shareholding stance on Australia, Singapore, and India; a neutral stance on Malaysia, Japan, and the Philippines; and a shareholding reduction stance on Hong Kong. Considering the uncertainties in the retail and office markets, the bank advises Hong Kong Real Estate Investment Trusts to exercise caution.

In the REIT market, bullish on CapitaLand Integrated Commercial, EmbassyREIT (CICT.SP), Goodman (GMG.AU), IGB REIT (IGBREIT.MK), Link Real Estate Investment Trust, and RL Commercial REIT (RCR.PM).