No more CPF shielding?

The premise of the CPF shield issue came from the conundrum of RA as a retirement 1st safety-net account with CPFIA-SA as funds spearheading higher returns (with higher risks involved).

Options amongst others are via cessation of CPFIS-SA altogether or pose restrictions on the purchase of stort term funds.

My opinion is that it's unlikely to change a legitimate investment or curb innovation spirit.

Normally, The Gov will alter its policy to protect the public. So, until one fine day when many people do SA shielding and lost a lot of money, I don't foresee the policy will chang.

Feels strange that they allow this, given that it's so rampant. Further discrimates between the financially educated and those who are not.. :/

With all the reasoning and arguments from the ground, CPFB just need to make 1 policy change by removing the CPF SA account upon reaching age 55, and you are left with OA, MA and a RA. You cant game the system against the Game Master, since the SA was designed and intended for citizen to reach the FRS for CPF life. Its not intended as a bank account for you to withdraw at your convenience.

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CPFB has no reason why they have to pay 4% to SA upon age 55, when they can just pay 2.5% to OA, by either 1) transfer all balances from SA back to OA at age 55 or 2) set SA interest at 2.5% upon reach age 55. The latter is easier to apply across effectively by changing the interest rate without removing the account.