Is MoneyOwl's latest product WiseIncome a good investment?

Hi Anon,

Thank you for your interest in the Fullerton MoneyOwl WiseIncome fund!

This is a balanced fund designed for payouts and withdrawals in mind. The sources of income come from 30% S-REITs and 28% Asian Bonds. Whilst 30% Global Equities provide growth, and 10% Govt Bonds and 2% Cash provide stability.

For a near retiree like yourself, you may choose between the 4.5% or 8% payout options to complement your CPF, other retirement income insurance products, and investments. We have a projection tool for you to estimate your total payouts and portfolio value here.

The objective of the 4.5% payout option is for striking a balance between preserving capital for your loved ones while drawing an income in your retirement years. The 8% payout option is intended to maximise payouts while decumulating on your capital over time. It really depends on your needs and you may choose to switch between payout classes at any point without charges. Based on your sharing, it does seem that the latter would be a better option for you.

Payouts are quarterly, and this helps reduce some administrative costs as compared to having a monthly payout. Fund level fees are lowest in the market amongst similar multi asset funds. We've kept total costs low and with no sales charge and no trailer commisions.

*We are currently having 50% off advisory fees to end 2021.

Hence if you're comparing this fund to other traditional annuities, this will definitely be a more cost effective, flexible, and no frills option in your retirement planning.

It might interest you that as of day 1 of the fund's launch it has accumulated $24.592m total assets. (https://www.bloomberg.com/quote/FULFMWR:SP)

If you've read all the way to this point, I believe you can already answer the question on how does this fund compare to other alternatives on the market now :)​​​

The portfolio is more local Reits and Asian bonds. Very Conservative. Don't expect too much of a returns on this one. If you choose the 4.5% or 8% dividend payout options, you will then lose out on the growth as the dividends would not be channeled back into the portfolio to be reinvested but given to you quarterly.

I would go for Equities that have more exposure to US and China Market for greater potential growth.