I have a low risk appetite, and just started investing on ETFs. With extra income this month, what else should I invest in?

With a low risk appetite, you should not allocate too much to STI ETF. It may seem that you are diversified but in actual fact 30 companies is not diversified. (From an ETF standpoint) You should allocate into bonds positions for low risk, stable returns but this depends on your horizon as well. If not, you are better off just going for Fixed Deposit/High yield bank accounts (OCBC 360, DBS Multiplier etc). Many people have a misconception that STI ETF is a safe investments but its not. It is an equity allocation and equities generally have higher volatility in the short term than any other asset. Current STI level may get lower as the recession have just started so if you can't stand a drop of 10%-20% or even a further 30% i suggest you stay away from equities. Just my two cents!

Hi Shawn, for last part of your qn on DBS Invest Saver, DBS will deduct on 15th monthly, add 3 business days to post to your investment account. The uninvested amount will b credited back to your designated DBS account after the 3 business days.

I believe by now u should have already saw your investment in your account. Else, u may want to contact DBS to find out.

Hi Shawn, in my opinion, all ETFs on DBS Invest Saver are on the low risk side. Other than STI ETF, you can also look into ABF Singapore Bond Index Fund and Nikko AM-StraitsTrading Asia ex Japan REIT ETF. However, the downside of those is that their return is relatively low.

I'd actually suggest you create an account with FSMOne and use their regular savings plan (same as DBS Invest Saver, whereby you invest $x every month). FSMOne RSP have more varieties for you to choose from, and I'd personally recommend iShares Core S&P500 (IVV), Vanguard FTSE Emerging Markets (VWO), and Fidelity MSCI InfoTech (FTSE).

Another option for you in POEMS Share Builder Plan (same, they're regular savings plan like DBS Invest Saver and FSMOne RSP). Here, you can buy REITs for dividends income (since you'd prefer low risk) such as Capital Land Mall Trust, Mapletree Commercial Trust, DBS and more.

Robo-advisor such as StashAway, Syfe, MoneyOwl etc also provide you your own customized portfolio that cater to your preferred risk level.

All the best for your investment journey, stay safe, stay healthy, and stay invested!

Like the others have said, I would recommend looking into overseas ETFs, since investing in the global markets long term (20-30 yrs) will almost always guarantee positive returns. For example, the S&P 500 ETFs made up of the 500 top companies in US is a portfolio that has generated historical returns of 10%.

You may look into investing in the bigger global market ETFs. However, be aware of how they charge transaction fees and stuff as it may eat into your returns!