How else can I better invest my $70k? Plan to semi-retire by early 40s?

I'm in my early 30s and have plans to get married in the next 1-2 years.

Bonds: 7k
Stocks: 100k
ETF, unit trust, Robo: 42K

Cash:
1) 50K in DBS multiplier
2) 75k in UOB bank
(Both ~2.2% in interest per annum)
3) 73K in CIMB

Happy to leave my $125K in UOB and DBS multiplier as it gives me the flexibility and a good rate. I'll just treat it as bonds.

Knowing that I'll be using the money for my wedding, should I invest or keep in CIMB?

Plan to semi-retire by early 40s, no kids.

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Elijah Lee

25 Sep 2019

Senior Financial Services Manager at Phillip Securities (Jurong East)

Hello, if you intend to use the funds for the wedding, then I would not recommend taking undue risk with it. CIMB offers a decent interest rate for a no-frills bank account so you can leave it there and draw on it as needed.

However, although UOB and DBS offer a decent interest, you will be able to achieve better returns when you deploy them into income-producing assets. To that end, I would recommend a watch list of good income-producing stocks/REITs/ETF and slowly deploying your capital over time, with the money in the banks used as a warchest should the market present to you good opportunities.

When planning to semi-retire by early 40s, have an idea of the minimum cashflow you'll need for your expenditure, and aim to see how to meet that cashflow with a mixture of guaranteed and non-guaranteed income assets (which you will build from your early 30s to your 40s). You can also consider annuities that guarantee your capital but provide you with a guaranteed income, with the option to surrender and take back your capital should you need it again.

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