Asked 2w ago
As per headline. Doesn't need to be actually actioned but just with hindsight was bad. Maybe seperate into two classes: advice from layman and advice from professional FAs and the like.
"Investing is only for the smarter people"
Here is what I want to encourage everyone else:
To be an investor, you need to understand numbers... but you don't have to be an accountant to be an investor.
Commit a high level of your salary to a Long term savings plan for retirement.
That would literally cripple your spare cash flow.
Top Contributor (Nov)
Buy term and invest the rest without due consideration for the person's background, situation, and future.
See all 7 comments
"Invest into high dividend yielding companies and hold long term"
Thankfully I never subscribe to stock picking having worked in listed companies and understanding that retail investors would never truly understand the risk they are taking.
In the past people said telcos have a strong moat, SPH/Hyflux is government backed, so these are counters to hold long tem. Business environment changes and these are really difficult even for people in the industry to anticipate. I rather hold on to diversified funds and get on with life than to stock pick.
"Trust me, I'm an investment professional."
Result: -1% return after 10 years
"Value Investing for the long term doesn't work for modern finance"
People do think investing is only for the professionals, the people from the 'streets'.
Here's my input: Investing as a retail investor is possible, some work just needs to be done.
By an insurance agent "friend", ETF is high fees and i should DCA into an ILP instead.
"guaranteed you to make 20% ROI per month". From JJPTR
"Don't buy now, so expensive, wait for correction".
and xx years later.. still waiting....
Expensive can get more expensive, cheap can get cheaper!! Go for valuation!
"Buy stock for long term doesn't work anymore"
"You pay more for the fund's manager's abilities."
On hindsight, since 90% of fund managers don't outperform the market, why did I believe it
“Water is national security, Hyflux will be bailed out by SWFs”.
Advice from layman: Invest when you have the right amount to invest.
Advice from banks/insurance providers: You should invest in this insurance linked product, you will get very high returns, higher than what all other products offer.
Agents asking me to buy ILPs - the single worst product among all the offerings by insurance companies.
Top Contributor (Nov)
Back when I didn't know any better, got advice from an FA to buy into this 101 plan and its "opportunity seeking fund"
Opportunity my ass. A 4% return would yield me an IRR of 0.8% p.a. on that policy. Oh how foolish I was back then.
Never mix insurance with investments. My clients understand my stand on this very well.
Worst investment advice:
Scene: Chinese New Year
Auntie you hardly talk to talks about the latest stock tip she got, and convinces the other aunties that the stock will 'sure make money one'
I didn't buy it - but just tracked it.
Stock was Hyflux.
Thank goodness I chose to ignore that advice.
Guy A: "Buy this stocks because I heard it is going to rise soon"
Guy B: "What is the financial or fundamental basis?"
Guy A: "Whats that?"