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Old 23-07-2013, 11:32 PM   #46
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There is an alternative way for you to invest in STI at even cheaper cost than POSB Invest Saver:

DBS/POSB is offering unit trust regular saving plan (RSP) at 0% sales charge for the first $500 per month per fund. However Nikko AM Singapore STI ETF is not under the subscription list, so the closest one to subscribe is Nikko AM MyHome Fund - HomeGrowth, it's 80% in Nikko AM Singapore STI ETF and 20% in ABF Singapore Bond Index Fund.

http://www.dbs.com.sg/Resources/pers...homegrowth.pdf

Comparing two funds annual management fee, 0.5% vs 0.2%, still better than paying 1% sales charge.

How to do it:

Firstly, subscribe an minimal initial amount of $1000, the net sales charge is 1.5%
Secondly, setup the regular saving plan (RSP) to invest up to $500 per month into the fund, it will be 0% sales charge.

Everything can be completed via ibanking including future redemption, there is no redemption charges for DBS/POSB unit trust investments.

Although this promotion is subjectd to renewal once a year, DBS/POSB has been renewing it for the past 4 years as what I can recall.

If you don't like the 20% bond allocation, another alternative is Nikko AMSingapore Dividend Equity Fund, the fund has outperformed its benchmark STI Index consistently and paying monthly dividend at 5 to 7%p.a.

http://www.dbs.com.sg/Resources/pers..._sg_div_eq.pdf
interesting method, but note that the 0% sales charge promotion for rsp will end on 31 dec 2013
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Old 23-07-2013, 11:39 PM   #47
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I came up with my contribution > Why you should build wealth passively with POSB Invest-Saver

I think if i were to say objectively, active unit trust in singapore do better.

If you are cost concious you will find that the expense ratio is very low for this ETF.

The sales charge is higher than SCB but what i will consider this is that this is a necessary evil for many.

My colleague was telling me. This is a godsend. It is so difficult to get his lazy wife to sign up a trading account and to get her to monthly buy an ETF.

This although is more expensive, does it AUTOMATICALLY. In life you need to design your processes around procastinations and cognitive disorders.

This is one product.

For a lot of people, having this dear product can be much better than putting it in other costlier assets that give obscure results.
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Old 24-07-2013, 12:50 AM   #48
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I came up with my contribution > Why you should build wealth passively with POSB Invest-Saver

I think if i were to say objectively, active unit trust in singapore do better.

If you are cost concious you will find that the expense ratio is very low for this ETF.

The sales charge is higher than SCB but what i will consider this is that this is a necessary evil for many.

My colleague was telling me. This is a godsend. It is so difficult to get his lazy wife to sign up a trading account and to get her to monthly buy an ETF.

This although is more expensive, does it AUTOMATICALLY. In life you need to design your processes around procastinations and cognitive disorders.

This is one product.

For a lot of people, having this dear product can be much better than putting it in other costlier assets that give obscure results.
I read your blog post with interest and wonder about that friend of yours who uses $1k every mth to buy STI ETF. I'm puzzled cos I thought u need abt $3k+ to buy 1 lot of STI ETF, given a price at say, $3.30+? How did he manage to buy with only $1k a mth?
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Old 24-07-2013, 04:53 AM   #49
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I read your blog post with interest and wonder about that friend of yours who uses $1k every mth to buy STI ETF. I'm puzzled cos I thought u need abt $3k+ to buy 1 lot of STI ETF, given a price at say, $3.30+? How did he manage to buy with only $1k a mth?
Nikko Am sti etf 1 lot is 100 shares if not wrong ..and posb saver invest on this counter .
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Old 24-07-2013, 07:58 AM   #50
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Any idea if buying thru invest-saver, the divds paid will be reinvested into the funds direct automatically? or credited to the savings account?
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Old 24-07-2013, 08:17 AM   #51
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Nikko Am sti etf 1 lot is 100 shares if not wrong ..and posb saver invest on this counter .
I see. So the other STI ETF I see on sgx i.e. STI ETF (ES3.SI) is 1000 per lot. That is the only difference between this and the Nikko AM STI ETF? Thinking of asking my mommy to invest ... but duno should just buy direct from SGX or do it thru POSB ...hmmm
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Old 24-07-2013, 10:31 AM   #52
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the cheapest is to buy 1 lot Nikko AM Singapore STI ETF using SCB online trading as 1 lot cost $300++

SCB online trading comission is 0.2%
Hi..,
can share step by step how to use scb online trading to buy Nikko AM Singapore STI ETF?

If i just walk-in to scb, then tell i want buy Nikko AM Singapore STI ETF, is the charge higher? can share how much higher?

I read some post in hardwarezone, to open trading account at scb need previous trading experience + (maybe) deposit $2k, etc. Anyone can share if above information correct?

hope with more step by step guide(like lusunshine did) more beginner investment like me know how to start the investment
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Old 24-07-2013, 11:57 AM   #53
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Hi..,
can share step by step how to use scb online trading to buy Nikko AM Singapore STI ETF?

If i just walk-in to scb, then tell i want buy Nikko AM Singapore STI ETF, is the charge higher? can share how much higher?

I read some post in hardwarezone, to open trading account at scb need previous trading experience + (maybe) deposit $2k, etc. Anyone can share if above information correct?

hope with more step by step guide(like lusunshine did) more beginner investment like me know how to start the investment
Fees are lower for a reason, definitely much more hassle, and tougher barriers to entry cause need prerequisites.


But alot of things are DIY
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Old 24-07-2013, 05:51 PM   #54
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I see. So the other STI ETF I see on sgx i.e. STI ETF (ES3.SI) is 1000 per lot. That is the only difference between this and the Nikko AM STI ETF? Thinking of asking my mommy to invest ... but duno should just buy direct from SGX or do it thru POSB ...hmmm
Yup..Nikko AM Asia Limited - Fund Profile
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Old 24-07-2013, 10:16 PM   #55
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For information:

POSB Invest Saver Launch Promotion - $0 Sales Charge

* Promotion is valid till 31 August 2013 for the first S$500. Sales charge of 1% is applicable to the investment amount in excess of the first S$500 and on the subsequent deductions after the promotion ends. Terms & Conditions apply. We reserve the right to amend the terms and conditions of this offer without notice.

You will get the first two months investment FOC if investing now
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Old 24-07-2013, 10:19 PM   #56
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interesting method, but note that the 0% sales charge promotion for rsp will end on 31 dec 2013
Hope they will extend another year as per what they did for the past 4 years. Anyway if not, you can terminate RSP anytime without any charges or penalties.
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Old 24-07-2013, 10:27 PM   #57
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I came up with my contribution > Why you should build wealth passively with POSB Invest-Saver

I think if i were to say objectively, active unit trust in singapore do better.

If you are cost concious you will find that the expense ratio is very low for this ETF.

The sales charge is higher than SCB but what i will consider this is that this is a necessary evil for many.

My colleague was telling me. This is a godsend. It is so difficult to get his lazy wife to sign up a trading account and to get her to monthly buy an ETF.

This although is more expensive, does it AUTOMATICALLY. In life you need to design your processes around procastinations and cognitive disorders.

This is one product.

For a lot of people, having this dear product can be much better than putting it in other costlier assets that give obscure results.
Agree, that's why personally I chose Nikko AM Singapore Dividend Equity instead of Nikko AM STI ETF.

I don't mind to pay a bit higher for the potential out-performance as well as convenience and easy-access.
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Old 24-07-2013, 10:38 PM   #58
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For information:

POSB Invest Saver Launch Promotion - $0 Sales Charge

* Promotion is valid till 31 August 2013 for the first S$500. Sales charge of 1% is applicable to the investment amount in excess of the first S$500 and on the subsequent deductions after the promotion ends. Terms & Conditions apply. We reserve the right to amend the terms and conditions of this offer without notice.

You will get the first two months investment FOC if investing now
Meaning to say, from the 3rd mth onwards, it will be 1% of the investment amt? Since its RSP, then every mth 1%?
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Old 24-07-2013, 10:43 PM   #59
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Meaning to say, from the 3rd mth onwards, it will be 1% of the investment amt? Since its RSP, then every mth 1%?
You're right man!
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Old 24-07-2013, 11:10 PM   #60
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Agree, that's why personally I chose Nikko AM Singapore Dividend Equity instead of Nikko AM STI ETF.

I don't mind to pay a bit higher for the potential out-performance as well as convenience and easy-access.
So, u bought the dividend equity direct from Nikko AM? how much is the minimum amount u need to invest every month?
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