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Investments

Versus what ETFs? If you're comparing First State Bridge or Schroder Asian Growth fund, you'll have to find an Asia Equity Index and then an ETF to compare it against. An example would be the db x-trackers MSCI Pacific Ex Japan Index UCITS ETF (J0Q) that tracks the MSCI AC Asia Pacific Ex Japan TRN Index. The 10yr annualised on this index is 6.45% while the 10yr annualised on SAG is 9.8%. Also the ETF would perform lower than the index because you still have to pay the ETF fee. The 9.8% declared from SAG is after the fund management fee. Plus, the fee for this ETF is at 0.65% p.a which isn't as cheap as the single digit basis point ETFs tracking the large cap US markets. I'd much rather pay a little bit more for a fund manager to navigate the markets of an entire region especially when it isn't as efficient as the US market. Fund managers can still do considerably better than the index they track.

OCBC Mortgage Insurance

NTUC Income Mortgage Term

AIA Mortgage Reducing Term Assurance

Tokio Marine TM Mortgage Protection

Hi Anon, you could ask an independent financial advisor like myself for a comparison from multiple insurers for mortgage insurance. If you'd like to keep your confidentiality, you could drop me an email at [email protected] with your date of birth, gender, smoking status, sum assured, policy term, and whether you'd like to get a joint-life or single life policy. I'll be able to let you know what are the cheapest options available. :)

Online Brokerages

Stocks Discussion

Stocks

The withholding tax is on the dividends only and not on your holdings on AAPL stock. So for example they declare 1 dollar dividend per share, you will get 70 cents in dividend due to withholding. Personally it doesn't make sense to sell the stock before the stock record date so as not to be hit by withholding tax. You will have to do it 4 times a year for 8 transactions in total (4 X buy/sell) as dividends are given quarterly. Not only this but you won't be entitled to the dividend as well. Don't think people will do as what you described, sorry to say.

Property

Try to ensure that you maintain the first $20000 in your OA, as the extra 1% interest will be credited to your SA to help fund your retirement. Don't sacrifice your retirement just to own a bigger flat. In a pinch, having $20000 buffer in OA will help you to pay the loan should you go through a period of unemployment.

Insurance

Given your age, I would opt for 20 or 15 years at most. The most important thing is to ensure that you finish paying premiums during your working life. The difference between 25 and 20 is not usually too much, although the difference between 15 and 20 might be steeper. Between 15 and 10, the difference might be too steep. Also, if you took option 1, it may be that you are not having too much for investing now, but your $4100 commitment will end in 10 years, freeing up more budget for investing. So you will likely need to strike a balance. Not forgetting that as you continue to work, you salary will increase and you will be able to have more funds to invest. It is all about striking a balance. Lastly, do ensure you get a quote across multiple insurers in order to ensure you are getting your coverage at an optimal cost. You might want to consult an IFA like myself for this.

Savings

Lifestyle

Get a good savings account like Standard Chartered Jumpstart for 18 years old to 26 years old. Gives 2% interest up to 20k with no other requirements or criteria other than the age. https://www.sc.com/sg/save/savings-accounts/jumpstart/ Its ok to spend some money to enjoy your youth but dont go crazy. You must balance between enjoying the present and planning the future.

Investments

Stocks Discussion

Bank Account

Most robo advisors are pretty diversified already. You dont actually need to diversify even more with different robo advisors. Just find 1 or 2 robo advisors that you suits the most and that is good enough.

Lifestyle

Savings

Aik Kai
Aik Kai
Top Contributor

Top Contributor (Aug)

Level 5. Genius
Updated 1d ago
I would tell my 21-year-old self to stop delaying and went ahead to read about investment stuff and put money in. I delayed for a few years even though I am interested in personal finance and investments since my teenage years. That time, I guess I was too cautious and coward. So I would tell my 21-year-old self to stop delaying, be brave and take that first step early.

CPF

They will credit it at the end of the year in December. You can check your CPF statement. For mine, it was contributed on 31st December 2018 And Nicholas is correct. They are compounded Monthly (the lowest balance of the month) and credited at the end of the year.

Investments

I echo the sentiments of the other answers here and will recommend you seperate insurance from investments. You can do better investing directly or via an advisor without being subjected to the myraid of terms and conditions that come with a policy contract.
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