Singapore Saving Bonds (SSB)
Asked on 25 Jun 2019
I was considering, for example, SSB investment in blocks of $500 or putting it in a high interest rate account..
Personally I would not be comfortable to invest it in high risk products as it is technically a gift to them and I wouldn’t want to lose any of it :p
I do as my parents did. Keep it for them and put into the joint bank accounts. Use these to teach them the concept of income and expense budgeting.
My parents used to keep in in posb savings account which only gives 0.05% interest :(
for me, i would put it in a high savings account or invest in etfs.
Not a parent but my parents put these monies for me in a bank.
SSB seems like a good option, money is guaranteed and always wise to grow your money. Especially with the increasing exposure of personal finance lately.
Not a parent but yes I'm planning to invest it for their future so that have a headstart in life.
Ways to do so: Sometimes there are some endowment plans with high interests, capital guaranteed but need to lock up for say 3 to 5 years. Good start.
Robo-advisors: Abit higher risk but since your child has a long investment outlook, your risk will be minimal, should consider putting some money in here too for faster growth
I just park in the bank. It's my kids money and if I were to lose them during investing, I don't know how to explain to them when they grow up. They are literally my shareholders and I am accountable for them in the future.