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Anonymous

05 Mar 2020

What are the main considerations that need to be taken note of when deciding on a short-term or a long-term investment?

How should we prioritise them?

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    Discussion (2)

    What are your thoughts?

    Terence Tan

    Terence Tan

    30 Oct 2019

    Level 5·Financial Services Consultant at Manulife Financial Advisors

    Hi Anon

    For me personally, and the advice I tell clients before you start investment to make sure to have at least 6 months of expenses in your bank account. Otherwise, work towards saving this first

    Next would be to ask yourself, why are you investing.

    Do you want to use it in the next few years for a car?
    House downpayment?

    Or just to invest for the future, retirement etc

    With that set, you then determine your risk profile. Do you want to beat inflation?
    Can you stomach when the market is down?

    Do you want to do the investment yourself?
    Do the stocks analysis etc yourself?
    Do you have sufficient time n commitment to diligently do your homework?

    Monthly investment or a 1-time lump sum investment?

    The charges you will incur if you trade/ invest per annum

    Types of stocks/ bonds/ FD/ funds that you are comfortable with
    The country/ region or industry of the stocks/ funds

    These are some of the questions I assist my clients with. And to know how much is ideal, I advise clients 20% of their annual income

    Hope this helps! Cheers!

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      When thinking of investing I personally am convinced that short term investing cannot be longterm successful. Time is in our side...

      more on my thinking here:

      https://seedly.sg/questions/what-is-your-general-investing-philosophy-strategy

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