25 Aug 2020
27M- i have 6 months of income stashed away as emergency funds. i also have 6 investments comprising of a range e.g bonds,etf, ilp. i also have money set aside for big expenses like house etc?
Should i feel worried about my savings and investmentS (?), and what do i do with the extra savings every month? Thanks
I don't see why you need to feel worried because your situation looks pretty healthy to me! What you need to take note of would be your asset allocation. Since you also have forward planning with your big ticket expenses already, you probably can allocate extra savings into investments if you really have no short term expenses coming in your way.
I can see that you have quite a number of investment vehicles, just make sure you understand what you are investing in or your consultant is competent in this area.
1) Given your time horizon (but not sure on your risk tolerance), you might want to allocate more on equity instead of bonds.
2) ETF is a good vehicle, however I won't say the same all ETF, especially STI ETF given its historical performance and nature.
3) ILP (I hope is the 101 kind) is fine as well if you have decided to commit long term, just ensure the funds allocated are to-date reliable and performing fund and have a proactive approach on monitoring other funds as well. Never assume can just invest in a certain fund and leave it.
In a nutshell, if all these areas are addressed properly, I feel you are on a good start on your wealth accumulation.
Write your thoughts