How should I decide what kind of Singapore ETFs to invest in (i.e Equity, Fixed Income, REIT ETFs)?

Hi Charles,

What kind of ETFs to invest in comes down to what your investment goals + risk appetite are like.

Equities present high growth potential but are also the highest risk. If you can afford to take on this risk, this is a good way to drive long-term growth.

Fixed Income comes with little growth potential but is the lowest risk. If you can't afford risk or don't want to take on risk, this is a good way to preserve wealth while still earning higher returns than leaving money in the bank.

REITs are kind of like a middle ground between fixed income and equities. They aren't as volatile as equities, but not as stable as fixed income. They don't typically experience much growth as compared to equities but payout sizeable dividends in SG as compared to fixed income. You can think of REITs as an upsized version of fixed income.

I'd say equities are best for wealth accumulation, REITs are good for wealth enjoyment (passive income to live off of), fixed income is suitable for wealth preservation.

Hope this helps & all the best!

Regards,

thefrugalstudent