How do you guys think of Stashaway income portfolio (projected income 3.75% P.A)?

Hi anon

I feel like for me the income portfolio is like a combination of bonds from banks + endowment plans from insurance companies in terms of features and benefits.

In terms of features the income portfolio is like a bond due to the initial lump sum deposit and the shorter commitment time period (I.E. bonds lock in period of 2 years, while Income is 3-5 years). On their other hand, it’s like an endowment plan due to the regular monthly savings. However the only difference about the income portfolio is the investment instruments used ( eg REIT, Equity etc).

For benefits, the Income portfolio wins the bonds in terms of per annum interest rate of a projected amount of 4.40% (bonds about 1.9%/ yr), which is comparable to most endowment plans provided by insurance companies. However the plus side of the Income portfolio is that it doesn’t require you to have a long term commitment like the endowment plan.

Hence , it’s like an endowment plan with shorter lock in period. End of the day, it really boils down to what you want to achieve at a certain period of your life and how you want to do it!

For me, as a student who works part time, I also do not have time to keep checking on the market, and the initial lump sum for now seems like a big burden. However because I’m able to be more adventurous with my money, I’m investing in the General Investment under StashAway that invest in Global equities and market.

Good luck in your investment journey, and feel free to let me know your thoughts as well!

From
Nixon
Student, NTU