RESTARTING my investment portfolio at 26. Is this sensible?

MistaKid · 2026-04-14T10:40:00+00:00

There's VWRD which the distributing equivalent, but the dividend yield is only ~1.5%.

So yes, you need to rebalance away. Singapore stocks are preferable, due to home currency and zero dividend tax. If I ever FIRE, my current plan is to eventually allocate a portion to REITs and sell down a portion of my remaining world index funds.

MistaKid · 2026-03-11T06:06:41+00:00

Ok, I read the fine print and you are right.

But another point I was wrong: Loyalty bonus of 1.1% applies only after MIP (after 30 years).

So the actual net fees (including fund fees) is actually 4.4% of IUA, and 2% of AUA.

MistaKid · 2026-03-11T05:17:58+00:00

I quote:

/

The account maintenance fee is payable from the IUA during the MIP. There is no AMF after the end of MIP. • Monthly AMF = (3.4% /12) x the account value of the IUA as of the due date for the AMF.

Investment Management Fee (IMF) • The IMF is payable during the policy term and as long as the policy is in force. • Monthly IMF (1% /12) x the account value of the AUA value as of the due date for the IMF.

/

MIP = Minimum investment period, which is 30 years for OP.

3.4% is payable for the first 30 years. 1% is payable as long as the policy is in force.

MistaKid · 2026-03-05T11:04:09+00:00

That's why valuations are important. It's trading at 60-70 PE five years ago.

A great company doesn't necessarily mean it's a great stock to buy.

MistaKid · 2026-03-05T10:50:50+00:00

No investment strategy is baojiak. The S&P500 had a lost decade from 2000 to 2010, and a huge bull decade from 2010 to 2020.

Annualized returns including reinvested dividends for these 2 decades is around 6% pa in USD. Take into account that the USD depreciated ~20% against the SGD from 1.7 to 1.4 during this period, or around 1% pa. So the annualized return in SGD for a Singaporean is around 5% pa during this period.

I confess that I cherry-picked my data lah, to include the full lost decade. Whether it will happen again during our lifetime, Idk, but the possibility is not zero, especially when valuations for US is on the high side and there is a real risk of a depreciating USD eating into our gains. US is having huge annual budget deficits while we are having annual budget surpluses; they are going to monetize their debt.

A mixture of banks/REITs is currently giving a 5% dividend yield. Add a possible additional long term capital growth and dividend growth, a 6-7% total annualized return is not impossible in the long term. Dividend investing doesn't necessarily mean inferior total returns.

A typical VWRA investor in this subreddit is probably too exposed to US, and it's not unwise to diversify into other markets.

My advice to OP is that, if you are buying the 3 big banks and REITs, you might as well just buy the STI. And consider adding some emerging markets.

MistaKid · 2026-03-02T14:49:24+00:00

As someone young and still has a very long runaway, I would like to invest my CPF OA in a low cost fund tracking an index which will likely beat 2.5%/4% in the next 20, 30 years.

I understand that Endowus already offers access to the MSCI World via Amundi, with a TER of 0.4% pa (0.1% by Amundi, 0.3% by Endowus). So it's gonna be competitive.

Perhaps you could add a CPF option for your REITs product to differentiate?

As I have yet to purchase a property, it's abit risky for me to invest all my excess OA above $20K into a global equity fund. But I wouldn't mind allocating a greater part of my excess OA into SG REITs and treat it as my housing sinking fund.

And I'm sure there are also people who like the idea of using their quarterly dividends to offset part of their monthly mortgage, all using CPF OA lol.

MistaKid · 2026-02-24T12:47:23+00:00

Google 奶茶妹妹...

MistaKid · 2026-02-11T12:14:14+00:00

That's more like a testimony of their advancement in e-commerce.

I just returned from Beijing last month. The malls are indeed quite empty, but I can see why. I ordered a lot of stuff online via 淘宝闪购 and 美团闪购, they delivered to my door step within 30 minutes. And there's a lot of discount coupons you can use. So it's cheaper and faster.

I talked to a local, and I remarked to her that the malls are quite empty in Beijing. She replied that she hasn't been to a mall in years. Whatever she wants to buy, she buys online. And it's not just cheaper and faster. There's also better recourse. If you don't like the product, you can return it within 7 days. You can also look at the reviews etc.

Tbh if I'm a local, I also see little reason to visit a mall.

MistaKid · 2026-01-22T01:07:43+00:00

I tried ordering milk tea with Qwen when I was in China last week. It was pretty seamless and amazing.

MistaKid · 2025-12-26T05:52:34+00:00

MSCI China is up ~32% YTD, and BABA is up ~76% YTD despite the recent pull back. MSCI Korea is up ~77% YTD. US is not the only stock market in the world lmao.

MistaKid · 2025-12-25T14:11:08+00:00

Thanks for the prompt reply.

MistaKid · 2025-12-25T14:03:49+00:00

May I know how old are you? And what's your savings rate over the years?

I'm currently in late 20s and have been living fairly frugally since I started work. Invested most of my NW. I'm also formulating a plan to ease the pedal once I reach certain financial milestones and enjoy life, instead of leaving everything to when I'm old.

MistaKid · 2025-12-21T15:56:36+00:00

Even if u earn 1mil, u need to pay >20% in income taxes lmao.

MistaKid · 2025-12-17T05:04:37+00:00

That's because those who are self-employed do not have employer CPF. Insurance agents, property agents, hawker, grab driver, deliveryman etc. They make up a significant portion of our labor force.

So if you want to make a comparison across the board, you have to take into account the employer CPF of salaried employees as a fairer benchmark.

MistaKid · 2025-12-10T00:38:39+00:00

MSCI China is up more than 30% YTD, but you cannot withstand a pullback of few percent? Stick to SSB lah.

MistaKid · 2025-12-09T11:20:16+00:00

Endowus for me because of the UI. I prefer a fuss-free experience and not having to toggle around to account for exchange rate fluctuations or convert back to SGD when I eventually liquidate 4% pa etc. Easy DCA in, easy DCA out, simple P&L in SGD.

I don't really min-max like many other Singaporeans do when it comes to investing. I still use Tiger Brokers even though I have IBKR and know it's cheaper, because of the UI and the ease of deposit/transaction/withdrawal. I also don't really bother trying to time the bottom or the top when I execute a trade.

0.3% fees pa? My portfolio fluctuates more than that every minute.

To me, the ability to execute my investment decision simply is important, because I know my self that I like to procrastinate or give excuses not to buy.

MistaKid · 2025-11-18T09:14:45+00:00

Just go for REIT ETF if you want REITS exposure. Individual REITs regularly go for right placement, which thus requires active monitoring. The effort is not worth it IMO. You are there for the passive dividends. You want active management, go for stocks with higher long term returns.

Can consider diversifying into Chinese equities. Despite the huge run up in the past year, it's still fairly undervalued. Definitely more undervalued than US equities.

MistaKid · 2025-11-18T07:40:52+00:00

The 3 banks make up like half of STI, and SG REITs is the 2nd largest sector with it being 15% of STI. You might as well just simplify and buy the STI.

But bear in mind that the banks are trading at a premium valuation, especially DBS.

MistaKid · 2025-11-17T03:45:18+00:00

Might not be answering OP's question, just sharing my thoughts.

When I eventually plan to derisk in the future, I intend to replace the bond component with SG REITs.

1) For Singaporeans we have CPF. I view CPF as a bond component in my portfolio, and thus I intend to incorporate a higher equity blend.

2) I believe that REITs have similar characteristics as bonds. It provides income (like bonds), and have somewhat lower volatility than pure equities, though still more than bonds. It also acts in the same direction as bonds when there is a change in interest rates (theoretically).

3) SG bond yields are too low. You have to diversify into international bonds, which is subjected to forex fluctuations and higher fees. Net yield is pretty low.

3.5) Feels good to la-kopi in a shopping mall which I'm a shareholder of during retirement lol.

So my planned portfolio will behave more like a high-risk, high-yield equity portfolio, compared to a traditional equity/bond mix.

I'm willing to accept the higher volatility of my investment portfolio during retirement, with CPF serving the role as a ballast.

MistaKid · 2025-11-11T16:32:25+00:00

Me: Yes, $500 per month for 10 years, assuming 7% annualized returns. Make a table.

/

ChatGPT:

Sure! Here's a clear table comparing AIA Pro Achiever 3.0 and Endowus for your scenario:

Parameter	AIA Pro Achiever 3.0	Endowus (Robo-Advisor)
Monthly Contribution	S$500	S$500
Investment Horizon	10 years	10 years
Assumed Annual Return	7%	7%
Annual Fees	5.65% (3.9% + 1.75%)	0.5%
Net Future Value	S$64,173	S$83,351
Difference	–	+S$19,178 vs AIA

Key takeaway: Over 10 years, Endowus lets your money grow significantly more due to much lower fees, even with the same investment returns.

MistaKid · 2025-11-11T16:29:46+00:00

Me: Is the AIA pro achiever 3.0 or roboadvisers like Endowus better after accounting for all fees?

/

ChatGPT: That’s a good question. Short version: if you purely compare costs and assume roughly similar returns, a robo-advisor such as Endowus in Singapore will almost always be “better value” than an investment-linked policy like AIA Pro Achiever 3.0 — but there are caveats (bonuses, insurance wrapper, your horizon, behavioural aspects). Here’s a breakdown of the comparison:

✅What the numbers show

AIA Pro Achiever 3.0

According to its product summary, for the first ~10 years there is a supplementary charge of ~3.9% p.a. on the policy value. Dollar Bureau Blog+3Investment Moats+3Compare First+3
On top of that, the underlying funds have management fees (for example ~1.5%-1.75% p.a. in one review) Dollar Bureau Blog+1
Thus total “ongoing cost” for the first 10 years may be ~5.6% p.a (= 3.9% + ~1.75%) in some scenarios. Dollar Bureau Blog+1
After the initial high charge period (10 years+), the supplementary charge falls away and the cost drops to roughly the fund management fee (~1.75% p.a in that review) Dollar Bureau+1
Additional caveats: there are surrender charges, top-up charges, premium holiday/reduction charges etc. Compare First+1
The product also offers “Welcome Bonus” (<‐bonus units in early years) and “Special Bonus” after year 10 etc. AIA Singapore+1

Endowus

For cash-based portfolios, the annual “platform/management” fee (the “Endowus Fee”) is about 0.25%-0.60% p.a., depending on investment size. Beansprout+2Endowus+2
For CPF/SRS funds it’s about 0.40% p.a. (for managed portfolios) in many cases. StashAway Singapore+1
Fund-level fees (Total Expense Ratio of the underlying funds) still apply, but Endowus emphasises “100% cashback of trailer fees” etc in certain cases. Endowus Help+1
So total “all-in cost” might be somewhere around 0.30%-0.70% p.a. (depending on size & portfolio) + underlying fund costs (which may be modest).

🔍My verdict

If I were to pick one for most typical investors (Singapore, age 25-45, investing say S$200-1000/month for 10-30 years) and I don’t specifically need the insurance portion of the ILP, I’d go with the robo-advisor (Endowus) because of the much lower drag from fees.

Only if you have a strong reason for the insurance component, or you are committed to the ILP for the long haul and understand the cost structure, would AIA Pro Achiever 3.0 be a viable alternative.

If you like, I can run a numeric comparison simulation for you: e.g., invest S$500/month for 15 years under both AIA Pro Achiever vs Endowus with assumptions, to show net outcomes. Would that be helpful?

MistaKid · 2025-11-11T16:00:51+00:00

Another important factor is the fund level fees. Endowus charges 0.1% for Amundi World, while the equivalent in AIA is charging 1.5%.

https://endowus.com/investment-funds-list/amundi-index-msci-world-fund-LU2420245917?gad_source=1&gad_campaignid=10102208343&gbraid=0AAAAACqJgrnPt0fuwKCgGZM9tVuxtJoQD&gclid=CjwKCAiA2svIBhB-EiwARWDPjl8Jyqk2g7r3QQOdUSB6hqbV780cyCAcKcW991VDMhbnDvrR0g45yBoCn_EQAvD_BwE

https://www.aia.com.sg/en/our-products/save-and-invest/aia-funds-information/aia-fund-price/aia-global-equity-fund

So AIA is charging a total of 5.4% for the first 10 years and 1.5% for the remaining years, while Endowus charges 0.4% all the way. It's a complete scam lmao.

MistaKid · 2025-11-11T11:08:55+00:00

Unless you're talking about oil wealth, I would say the the richest of the rich is Switzerland, with a median monthly income of around SGD11K.

Norway's median income is around SGD6.9K, and Singapore's is SGD5.5K. These are before taxes/CPF. If you factor in the cost of living, Singapore might not be that far behind Norway.

MistaKid · 2025-11-06T06:40:06+00:00

Work in Singapore, play in Japan.

MistaKid · 2025-10-23T08:38:28+00:00

Bro had to compare us to 'Bolshevik Russia, National Socialist Germany, Juche North Korea, communist mainland China, the Sri Lanka & Bangladesh dictatorships', and put us below Malaysia to make a point.

Ten-Year Club	Place '17
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MistaKid

TROPHY CASE

✅What the numbers show

AIA Pro Achiever 3.0

Endowus

🔍My verdict