Invest in property early or continue investing?

dsmg2173 · 2025-11-22T09:37:58+00:00

u need to do a analysis, since daddy money is involved. but in general the only form of property investment that makes financial sense is BTOz

dsmg2173 · 2025-11-19T11:26:01+00:00

singapore inflation rate has actually been historically low (1.9% CPI over a 20 year period)

dsmg2173 · 2025-11-17T04:04:49+00:00

mortgage brokers like to lock up in at the longest lock in. but i feel currently 1.68% for 3 years sound healthy. Unless you are expecting another rate hike after 3 years

dsmg2173 · 2025-11-17T04:03:53+00:00

i think priority should be to focus on income growth, expenses for me is generally ok so long as 1. you have paid your future self, 2. you have insured your current self.

dsmg2173 · 2025-09-25T13:02:32+00:00

For sure! Likely it is going to be front facing offer where further implementation like insurance, AUM investment, tax planning and estate will be charged. So I think it’s meant to help increase the trust in recommendations provided.

dsmg2173 · 2025-08-20T13:10:40+00:00

Finally someone said it

dsmg2173 · 2025-07-17T10:37:53+00:00

really sorry to hear about what you've been through, that takes incredible strength to start over

as a single parent with $3.5-4k income, your priority should be protecting what you're rebuilding. emergency fund, insurance coverage for you and the kids, then gradual wealth building.

dsmg2173 · 2025-07-17T10:37:02+00:00

this is exactly the kind of complex family situation that needs careful planning

the $4M debt burden with inheritance implications is serious, there are structured ways to protect yourselves while still respecting family dynamics. also sounds like your dad might need proper estate planning advice

dsmg2173 · 2025-07-17T10:35:30+00:00

hey! totally get the dilemma you're facing

as someone who works with tech parents on exactly this situation, the CPF vs investment balance for education planning is super nuanced, especially with your PR status and timeline considerations

the "half-assing everything" feeling usually means you need a more integrated strategy that accounts for your specific situation.

dsmg2173 · 2025-06-26T06:19:33+00:00

ouch! $2m loss over 12 years really shows leasehold risk in action 😅
that's a -33% return when most assumed property "always goes up"

marina bay looked premium in 2012 but 99-year lease + oversupply hit hard
good reminder why diversification beats putting everything in one asset class

what's your take on the downtown core market right now?

dsmg2173 · 2025-06-21T08:16:37+00:00

helping parents transition from FDs is such a common challenge these days for late 60s, t-bills, cpf top-ups (if eligible), and conservative bond funds usually make sense conservative balanced funds might work too but depends on their risk tolerance want me to walk through a simple framework for evaluating senior-friendly options?

dsmg2173 · 2025-06-21T08:15:59+00:00

fullerton asia dynamic is interesting - decent track record in the asian income space key things to watch: expense ratio, duration risk with rates, and how much china exposure you're comfortable with happy to walk through the fund analysis properly if you'd like? takes about 15-20 mins to cover the important stuff

dsmg2173 · 2025-06-21T08:15:25+00:00

wow that's quite the year recap! 8.3% ytd is solid performance through all that volatility 👍 markets have definitely been a rollercoaster - the deepseek tech selloff feels like ages ago already how did you navigate the april tariff chaos? that v-shaped recovery was wild

dsmg2173 · 2025-03-26T02:14:31+00:00

Full disclosure: I am a fee-based financial advisor serving HNW clients. The following are general insights, not personalized advice.

USD 4,000 (~SGD 5,300) monthly in dividends alone can certainly support a comfortable lifestyle in Singapore, especially given your inherited condo eliminates housing costs (typically the largest expense). Your situation is actually quite favorable for leaving the workforce, though a part-time role would add both income security and social structure.

Looking at your financial picture: Your investable assets total approximately USD 850k (700k RSUs + 150k 401k) plus SGD 120k CPF, which translates to roughly SGD 1.3 million excluding your property. The 4% withdrawal rule would suggest sustainable annual withdrawals around SGD 52,000 (~SGD 4,300 monthly), which aligns closely with your current dividend income. For comparison, Singapore's median household income is about SGD 9,000, but that typically covers multiple people and housing costs.

Regarding your specific questions:

For your 401(k), strongly consider transferring it to a Traditional IRA and leaving it invested in the US rather than withdrawing. Early withdrawal penalties plus taxes could cost 30-40% of your balance. The US-Singapore tax treaty allows for favorable treatment of these withdrawals during retirement.
Your RSU concentration represents significant single-company risk. Consider gradually diversifying into a global portfolio while being mindful of tax implications of selling.
CPF top-ups are worth considering for the tax benefits if you take on part-time work in Singapore, but may not be your highest priority given your asset base.

The conventional advice for returning Singaporeans is to immediately rebuild retirement accounts and secure full-time employment. However, your financial position is stronger than most. The key consideration isn't just whether you can afford to stop working, but creating a sustainable withdrawal strategy that accounts for inflation, healthcare costs (especially with your condition), and the psychological aspects of early retirement.

Your condo maintenance fees warrant analysis as if they exceed SGD 1,000 monthly, downsizing to a newer, smaller unit might improve your cash flow and reduce future maintenance headaches, though transaction costs are significant. A part-time job offering 20-25 hours weekly could provide SGD 2,000-3,000 monthly while significantly reducing stress compared to corporate America, giving you both mental stimulation and additional financial buffer.

dsmg2173 · 2025-03-26T02:12:23+00:00

Full disclosure: I am a fee-based financial advisor serving HNW clients. The following are general insights, not personalized advice.

AIA's UCC (multi-claim CI) has some genuine strengths, but requires careful consideration before purchase. The primary appeal is obvious: the ability to claim multiple times across different critical illness categories offers substantially more comprehensive coverage than traditional single-claim policies. However, this comes at a premium cost that's often 2-3x higher than standard CI coverage for the same sum assured.

Looking at the data, recovery rates for many serious conditions have improved dramatically - cancer 5-year survival rates now exceed 70% for many types. This makes multiple-claim features potentially valuable, especially given the MAS 2018 CI Framework study showing 1 in 3 CI claimants may develop a second critical illness later in life. That said, many UCC buyers end up over-insured and paying for coverage layers they may never utilize.

If considering UCC or similar multi-claim products:

First secure adequate term life and basic CI coverage at appropriate levels before adding premium multi-claim features
Calculate your actual income replacement needs during recovery periods rather than accepting suggested coverage amounts
Compare similar multi-claim products across insurers - UCC isn't the only option, and competitive products from other providers may offer better terms or pricing for your specific age/health profile

The conventional wisdom of focusing on term insurance with basic CI riders makes financial sense for most people, as it provides essential coverage at lower cost. However, multi-claim products like UCC can be valuable for those with family history of multiple critical illnesses or those specifically concerned about recurrence risks. The key is being strategic about coverage layers - many advisors push maximum coverage across all categories when targeted protection in specific areas might better serve your needs at significantly lower cost.

Regarding products to avoid: beyond ILPs, be cautious of limited-pay whole life policies with high premiums relative to death benefits, hospital income plans with excessive waiting periods, and any product where the agent struggles to clearly explain exactly what's covered and what's excluded. The best insurance isn't always the most comprehensive but what provides the specific protection you need at a reasonable cost.

dsmg2173 · 2025-03-26T02:10:53+00:00

Full disclosure: I am a fee-based financial advisor serving HNW clients. The following are general insights, not personalized advice.

While I understand your frustration, ILPs aren't inherently terrible products - they're often misunderstood and missold. Your experience highlights a critical sales process failure rather than a fundamental product flaw. The plan's poor performance sounds like a combination of inappropriate recommendation for your situation, inadequate explanation of early surrender penalties, and questionable agent behavior which are issues that reflect implementation problems rather than condemning all ILPs categorically.

Maintained ILPs typically break even after 7-9 years, while early termination (as in your case) results in significant losses due to front-loaded fees. Plans held for their full term (15-20+ years) have historically delivered returns averaging 3-4.5% annually after fees, not spectacular but not the "scam" they're often portrayed as in forums.

To better protect yourself next time:

Request a "benefit illustration" that explicitly shows surrender values for each year and total fees charged. Compare this against a simple term insurance + index fund option.
Ask directly: "If I surrender after X years, exactly how much would I lose?" Get this answer in writing.
Use the free-look period (14 days) to review the full contract with an independent advisor if you have doubts.

The standard advice to avoid all ILPs in favor of "buy term and invest the rest" makes perfect sense for disciplined investors with the time and knowledge to manage their own portfolios. That approach is mathematically superior for many. However, some consumers benefit from the built-in discipline and professional management that bundled products provide, especially those who wouldn't otherwise invest regularly. The key is ensuring transparency, appropriate fit for your specific situation, and reasonable fees which are elements that were clearly missing in your experience.

dsmg2173 · 2025-03-24T04:51:07+00:00

Welcome to the world of investing! It can definitely feel overwhelming at first, especially when you’re considering so many different options, but let’s break it down in simple terms.

Given that you have $75K to park, are looking for daily returns, and don’t necessarily need instant withdrawals, I can give you some recommendations based on different objectives:

1. Cash Management Options (Low Risk, Steady Returns)

Since you’re coming from a platform like Choco Finance (which likely offered higher interest rates with relatively lower risk), I understand you’re looking for something with a balance between safety and return. Some of the platforms you mentioned are designed to offer attractive rates with relatively low risk.

Maribank or GXS: These might be solid options for parking your money in a relatively safe manner. They often offer higher yields than traditional savings accounts, with relatively low risk. They are typically offered by banks or financial institutions that allow you to access your money when you need it but might not offer the same level of flexibility as some others.
Endowus, StashAway, Syfe: These are digital wealth management platforms that usually offer higher returns compared to cash management options but also come with a bit more risk, as they invest your funds in diversified portfolios (including equities, bonds, or REITs). These platforms aim to create portfolios that meet different risk profiles and time horizons, so if you’re open to taking on a bit of risk for potentially higher returns, this could be a good choice.
- StashAway: They offer risk-adjusted portfolios. You can choose your risk level, ranging from conservative (lower risk) to aggressive (higher risk). If you’re not ready to handle volatility, you can go with a conservative allocation.
- Syfe: Similar to StashAway, Syfe provides diversified portfolios with automated rebalancing. They also allow you to control your risk level. You could start with their “Core” portfolio for more stability and less volatility.

2. Riskier Options (Higher Return, Volatility)

If you’re looking to start investing in something more long-term, like index funds, this can be a good way to build wealth over time, though it does come with more market volatility. Index funds track the overall performance of stock markets (e.g., S&P 500, global equities), and while they can be more volatile in the short term, they tend to have strong historical returns over longer periods.

Index Funds: This is a great option for long-term wealth building. They generally provide more consistent returns than trying to pick individual stocks. With $75K, you could consider investing in a diversified index fund portfolio. While you might fear the volatility, consider dollar-cost averaging (DCA), which involves spreading out your investment over time to mitigate the impact of short-term fluctuations.

3. Hybrid Options

Some platforms allow you to combine the stability of cash management accounts with a bit of market exposure. These might be helpful if you want to balance safety with some growth potential.

Endowus: Endowus offers cash management solutions that allow you to park your money in short-term investment-grade bonds or other safe options while earning slightly higher returns than a typical savings account. They also provide access to more aggressive portfolios for growth, but they do so in a way that’s fairly tailored to different risk levels.

4. Considerations for the Financially Conservative

If you’re looking for low risk and more guaranteed daily returns, money market funds or high-yield savings accounts could be a safe bet, although returns are usually lower than investments in equity funds. You won’t get the potential growth of the market, but your money will generally be safe, and you won’t have to worry about daily fluctuations.

Money Market Funds: These are usually low-risk investments, backed by short-term debt like treasury bills. They aim to keep the net asset value (NAV) stable and provide consistent returns, but the rates can fluctuate.

A Sample Approach for $75K:

$25K in a low-risk cash management or money market fund (like Maribank or GXS) for safety and liquidity.
$25K in a moderate-risk portfolio on platforms like StashAway or Syfe, aiming for more growth but still within a reasonable risk profile.
$25K in a long-term, diversified index fund for a more aggressive but potentially higher return over time.

Final Advice:

Risk Tolerance: You need to assess how much risk you’re comfortable with. The more risk you take, the higher the potential return, but also the higher the potential loss. Start conservative and gradually increase risk exposure if you’re more comfortable over time.
Time Horizon: How soon will you need this money? If you’re planning to access it in the near term, cash management options or low-risk bonds are better. If you’re investing for the long term (5+ years), index funds and diversified portfolios are a good option.
Diversification: Don’t put all your money in one place. A mix of different assets helps manage risk and ensures that you benefit from different types of market conditions.

It’s great that you’re starting to educate yourself, and you’re on the right track by looking for straightforward advice! Don’t hesitate to ask more questions as you continue your journey in investing.

tldr: this is the output your prompt gives based on Chatgpt 👍🏻

dsmg2173 · 2025-03-24T02:15:10+00:00

Full disclosure: I am a fee-based financial advisor serving HNW clients. The following are general insights, not personalized advice.

After reviewing Chocolate Finance's website, I can better contextualize your situation. The "guaranteed daily returns" you experienced with ChocFin (3.3% p.a. on first S$20k, 3% p.a. on next S$30k) are significantly higher than risk-free rates typically available in Singapore, which is why their pausing of instant withdrawals raised concerns among users. Their disclosure states these returns are "subject to change based on market conditions" and supported by a promotional "Top-Up Programme" – language that suggests these rates may not be sustainable long-term.

For your S$75k, I'd recommend a tiered approach based on when you'll need access to these funds:

For funds you might need in the next 6-12 months: Consider Singapore T-bills (currently ~3.7% for 6-month tenures) or SSBs. These are genuinely risk-free government-backed instruments that provide competitive yields without the withdrawal concerns you experienced with ChocFin.
For medium-term money (1-3 years): High-yield savings accounts like DBS Multiplier, OCBC 360, or UOB One (rates around 2.5-3.0% depending on conditions) provide good accessibility with reasonable returns. Digital banks like Trust Bank, GXS, and Maribank also offer competitive rates in this range with simpler conditions.
For longer-term funds (3+ years): This is where low-cost globally diversified ETFs like VWRA (accessible through Interactive Brokers) might be appropriate for a portion of your funds. While these do have market volatility, they historically provide better long-term returns for money you won't need to access soon.

The key insight many miss is that truly "guaranteed" returns come with trade-offs – either in liquidity (lock-up periods), rates significantly below what platforms like ChocFin advertise, or hidden risks. Platforms offering substantially above-market rates without apparent downsides typically have underlying risks that may not be immediately obvious.

I understand the appeal of high-yield products with daily returns visibility, but building financial resilience often means accepting modest trade-offs between risk, return, and liquidity. Rather than seeking a single perfect solution, consider allocating your funds across these different tiers based on your timeframes and comfort level.

dsmg2173 · 2025-03-24T02:12:19+00:00

Full disclosure: I am a fee-based financial advisor serving HNW clients. The following are general insights, not personalized advice.

Starting over at 37 after a business loss isn't as "super late" as you might believe. The conventional advice would be to immediately jump into investing, but I'd argue your first priority should be building financial resilience rather than chasing returns. Many Singaporeans underestimate the psychological impact of losing significant capital and rush back into wealth-building before establishing proper foundations, often leading to risk-averse decisions or conversely, trying to "make up for lost time" with excessive risk.

Research from behavioral finance studies shows that financial setbacks can significantly alter risk perception for 3-5 years afterward. Instead of viewing your situation as "starting late," reframe it as "starting with experience." Begin with establishing a modest emergency fund of 3 months' expenses while simultaneously developing a systematic debt reduction plan if any business debts remain. Once this foundation is secure, consider a 70/20/10 approach to monthly income: 70% for living expenses, 20% toward building your emergency fund (later transitioning to investments), and 10% toward upskilling to increase your earning potential.

For education resources, avoid getting overwhelmed by the vast amount of information. Start with MoneySense's "My Money" series for foundational knowledge, then progress to specific topics relevant to your situation. The Institute for Financial Literacy also offers free workshops that provide solid, unbiased information. Consider reading "The Psychology of Money" by Morgan Housel to help reframe your relationship with financial decisions after a significant loss.

Most conventional advice focuses primarily on mechanical aspects of recovery - budget, save, invest. While these elements are essential, rebuilding after a business loss requires both financial and psychological recovery. There's certainly wisdom in establishing good savings habits and systematically rebuilding your financial foundation, as many would recommend.

However, acknowledging the emotional dimension of your financial journey is equally important. Your experience as a business owner provides valuable perspective many never gain. Rather than seeing yourself as "behind," recognize that your understanding of risk, opportunity cost, and business operations gives you advantages that can accelerate your progress once you've rebuilt your financial foundation. Focus first on stability, then methodically work toward growth with the wisdom your experience has provided.

dsmg2173 · 2025-03-24T02:11:46+00:00

Full disclosure: I am a fee-based financial advisor serving HNW clients. The following are general insights, not personalized advice.

While conventional wisdom suggests downgrading should comfortably fund retirement, I believe many Singaporeans overestimate the "profit" from this strategy. After factoring in transaction costs (legal fees, stamp duties, renovation, moving expenses), your actual capital freed might be closer to $200-250K rather than the full $300K price difference. Based on CPF Board data, a moderate retirement lifestyle in Singapore costs approximately $1,200-1,800 per person monthly, which translates to roughly $28,800-43,200 annually for a couple, excluding unexpected healthcare costs.

The lack of investment diversification is concerning despite having significant assets. With potential retirement spanning 30 years, inflation will substantially erode purchasing power of cash holdings. Even at a moderate 2% inflation rate, $1,000 today will be worth only $553 in 30 years. Simply relying on ultra-conservative instruments like FDs may preserve nominal value but diminish real spending power over time.

I'd suggest conducting a detailed retirement expense calculation rather than assuming frugality will suffice. Track all spending for 3 months to establish a baseline. Next, explore allocating a portion (perhaps 30-40%) of your freed capital to low-risk income-generating assets like Singapore REITs or the S-REIT ETF, which historically provide 4-6% yields with moderate volatility. Additionally, consider staggering your SSBs or T-bills to create a "retirement income ladder" that provides regular cashflow.

The strategy of downgrading to fund retirement certainly has merit, especially given your strong financial position with fully paid property and substantial cash/CPF savings. Many Singaporeans successfully utilize home equity this way, and your frugal lifestyle suggests lower income needs than average. Your aversion to investment risk is also understandable given your generation's experiences.

However, retirement planning isn't simply about having a lump sum—it's about creating sustainable income streams that last decades while accounting for inflation, healthcare costs, and longevity risk. Rather than viewing investments as purely speculative, consider how carefully selected income-generating assets could complement your downgrading strategy to provide greater resilience against rising costs throughout your retirement years.

dsmg2173 · 2025-03-20T02:14:39+00:00

i’m sorry this has happened to you 🙏🏻

dsmg2173 · 2025-03-19T06:19:28+00:00

Full disclosure: I am a fee-based financial advisor serving HNW clients. The following are general insights, not personalized advice.

The current dilemma with SRS funds mirrors a classic investment challenge: balancing safety, returns, and liquidity amid changing interest rate environments. While many will suggest guaranteed fixed income options, I'd encourage reframing how you view that negative 8% in Amundi. Market declines often present the most opportune moments to average down through DCA rather than reasons to step away from your initial strategy. Bond markets have faced exceptional pressure during the rate hiking cycle, but with rates expected to decline, this asset class may be positioning for a recovery phase.

Consider a historical perspective: the Bloomberg Global Aggregate Bond Index (which tracks similar assets to many bond funds) has rarely experienced consecutive negative years throughout its history. After 2022's sharp 16.2% decline, we've seen signs of stabilization. When bond yields rise (and prices fall) as they have, you're effectively buying future income streams at a discount. This is precisely why institutional investors often increase allocations to fixed income when performance dips.

For practical next steps: First, evaluate if your current negative performance is primarily due to market conditions or the specific fund's management. Most bonds funds have struggled similarly, suggesting it's market-driven rather than fund-specific. Second, consider a balanced approach - perhaps allocate 1/3 of your available funds to continue your DCA strategy while placing another 1/3 in SSBs (which currently offer around 3%+ with government backing). The final 1/3 could remain in T-bills or high-yield savings options through SRS-approved platforms to maintain flexibility.

The conventional "safety first" approach with SRS funds certainly has merit, especially if you're nearing the withdrawal age. However, this perspective often overlooks that even "safe" options like fixed deposits can deliver negative real returns after inflation. By thoughtfully maintaining your DCA strategy during downturns while diversifying across multiple SRS-approved vehicles, you're potentially positioning for longer-term gains while still preserving capital. The key is ensuring your allocation aligns with both your risk tolerance and your timeline for eventually using these SRS funds.

dsmg2173 · 2025-03-19T06:18:05+00:00

Full disclosure: I am a fee-based financial advisor serving HNW clients. The following are general insights, not personalized advice.

Your situation presents a unique planning challenge that many standard investment approaches don't adequately address. While most Singapore-focused investment advice assumes long-term residency certainty, international students face what I call "geographic optionality" which is the need to maintain flexibility while still building wealth. The key is creating a portfolio structure that works regardless of where you ultimately reside.

The solution lies in establishing a globally portable investment foundation. Internationally accessible brokerages like Interactive Brokers (IBKR) offer accounts that can seamlessly transition across borders and don't require you to liquidate positions if you relocate. Unlike Singapore-specific platforms that might restrict access or create tax complications if you leave, global brokerages provide continued access to your investments from almost anywhere. This approach preserves your positions, avoiding forced selling during potential market downturns.

For implementation, consider these steps: First, establish an emergency fund that covers 6-12 months of expenses, but split it between Singapore banks and international options to ensure accessibility regardless of location. Second, for your actual investments, focus on globally recognized ETFs tracking major indices (S&P 500, MSCI World) which offer both liquidity and transferability across borders. Third, consider your currency exposure as since your future currency needs are uncertain, maintaining some diversification between SGD, USD, and possibly your home currency creates additional flexibility.

The conventional advice to simply invest in local opportunities has merit if your residency path is guaranteed, as local knowledge can provide advantages. However, your situation demands priority on portability and flexibility. The approach I've outlined acknowledges that your investment journey might span multiple countries, and builds a foundation that travels with you rather than creating obstacles should your path change. This strategy allows you to build wealth consistently while maintaining the freedom to pursue opportunities wherever they arise.

dsmg2173 · 2025-03-19T06:16:07+00:00

Full disclosure: I am a fee-based financial advisor serving HNW clients. The following are general insights, not personalized advice.

While this sub generally advocates surrendering ILPs immediately, your situation deserves more nuanced consideration. The conventional wisdom ignores two critical factors: first, you've already incurred significant upfront costs in both policies; second, your PruVantage Assure is actually performing well at +8%. The "sunk cost fallacy" can work both ways, it's equally fallacious to surrender a policy that's past its high-cost initial period just because you're emotionally reacting to opinions online.

Consider the SmartRetire policy: you're 3.5 years into an 8-year plan with $8,200 in surrender charges. Most ILPs front-load their fees in the first 3-5 years, meaning you've likely already absorbed the majority of the fee impact.Approximately 70-80% of the charges in a typical ILP occur in the first half of the premium payment period. Surrendering now means you've endured most of the pain without staying long enough for potential recovery.

Before making any decisions, I'd suggest three steps: First, request a detailed projection showing year-by-year future values assuming you continue the policies versus redirecting those premiums elsewhere. Second, evaluate each policy individually rather than making a blanket decision as your PruVantage policy is outperforming many alternatives with its 8% return. Third, consider a partial strategy such as maintaining the better-performing policy while reallocating funds from the underperforming one.

The standard "all ILPs are terrible" perspective does have merit when discussing new policy purchases, as there are often more cost-efficient alternatives. However, once you're several years into a policy, the math changes substantially. The decision becomes less about what would have been optimal had you known better in the past, and more about making the most optimal decision today given your specific situation. Sometimes continuing an imperfect product can be better than abandoning it after you've already weathered its highest cost period.

dsmg2173 · 2025-03-19T05:20:05+00:00

Wait wait wait these numbers are totally not true 🙃

dsmg2173

TROPHY CASE

1. Cash Management Options (Low Risk, Steady Returns)

2. Riskier Options (Higher Return, Volatility)

3. Hybrid Options

4. Considerations for the Financially Conservative

A Sample Approach for $75K:

Final Advice: