For someone who has yet to purchase a house and has plans to use CPF for it, is it still wise to invest parts of the OA with the robo-investors? - Seedly
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Asked on 04 May 2020

For someone who has yet to purchase a house and has plans to use CPF for it, is it still wise to invest parts of the OA with the robo-investors?


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Shengshi Chiam, CFA
Shengshi Chiam, CFA, Personal Finance Lead at Endowus
Level 7. Grand Master
Answered on 04 May 2020

Hi Anon,

Just to share, Endowus is the first and only digital platform that allows CPF investments. On top of our risk profilling and portfolio management services, we also give our clients a globally diversified portfolio at the lowest cost possible.

You got to do your sums if you want to invest parts of your OA.

Things you need to consider:

  1. Are you purchasing a BTO flat?

  2. Are you intending to take a housing loan?

  3. What is the value of the property you are buying

These 3 factors will affect your CPF outflows, which in turn affects how much you should invest your CPF with.

One more tip - you may want to keep some "mortgage emergency fund" for your mortgage payment in case that you are in the midst of job change. ​​​


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Hey there!

You might want to measure your time horizon with regards to how many years you are willing to be invested and when will you need the funds for your house! If you are gonna be using it soon, you might want to keep it aside then since we do not know when will the market will recover. Take note also that prices of property are quite volatile, it might spike up post-COVID so making sure your OA is sufficient will be crucial. The interest on your OA is guaranteed but investment returns are not.

Financial planning is an integral part of life. You can reach me at this platform to find out more.​​​


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Firstly, we need to create a well-defined goal. In detail, this means that we need to know:

  1. Timeline to purchase your house

  2. Cost of House

  3. Type of Loan

After we have set the parameters, we have a clearer idea on the funds available at our disposal. For example, if you intend to buy a house in 3 months time, then investment may not be the best option to consider.

On the other hand, if you intend to buy a house in 10 years time, then we may consider investing after conducting a comprehensive financial review. In addition to the funds available in your account, we will want to include your ongoing contributions.

After we have done a comprehensive calculation, we will have a better direction on whether you should invest, and how you should do it.

I share quality content on estate planning and financial planning here.


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Budgeting your home before committing investments using your CPF-OA would be useful.

The above calculator will help in determining your CPF-OA loan amount if you only intend to fund your home purchase using CPF-OA.


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