*Official* Shiny Things club - Part 2

[dullthings]

I tried both AW and StashAway. Realised gains of about 3.8-4.5% gains on the overall sum invested, after fees, after regularly investing Feb-July this year. Based on lower risk portfolios. I think this is pretty decent?

Also tried MBKE Feb-May until they suddenly stopped DCA. Really nasty experience with them

Hey Shiny and fellow advisors! Can I just check if anyone tried those roboadvisors like Stashaway and what you guys think about it??

Sent from Stamford Bridge using GAGT

 

[Han Shot First]

If one is not able to DCA into IWDA (for whatever reason), what do you think of DCA into Infinity Global Stock Index Fund SGD Class unit trust instead? The ETF and unit trust (via its parent Vanguard® Global Stock Index Fund) track MSCI World Index.

 

[assiak71]

Whats the latest 3 fund portfolio by shiny?

Vwra
Es3
Mbh
?

 

[Geeezz]

Hi all,

On the bonds portion, I was wondering if an annuities make sense too? Was introduced by Bank RM on this PruLifetime Income Premier II

Single Premium:
Invest: $100k
Leverage: $150k

Annual Distribution (based on par fund 4.5% performance):
From year 2: 1.5%
From year 5: 3.0%
From year 20: 4.0%
Of which, 1.5% is guaranteed from year 2.

After leverage cost, I am looking at 3% (guaranteed) to 6% (+ non-guaranteed) net returns.

Would this make more sense than MBH?


At leveraged basis, it will earn me minimum 1.5% pa. guaranteed.

Thanks in advance for your time to read and share your view.

no, lifetime income products are fr legacy planning, only ur beneficiaries will benefit. the annual return is non guaranteed, the guaranteed portion is too little to worth the lock in period

 

[swan02]

My eyes were hurting looking at its fees.

If one is not able to DCA into IWDA (for whatever reason), what do you think of DCA into Infinity Global Stock Index Fund SGD Class unit trust instead? The ETF and unit trust (via its parent Vanguard® Global Stock Index Fund) track MSCI World Index.

 

[Maeda_Toshiie]

You can't make this sh*t up. WeWTF

https://www.businessinsider.sg/nyu-professor-calls-wework-wewtf-and-slams-bankers-2019-8/?r=US&IR=T

 

[ftpofmpo]

makes faang undervalued

 

[morsematten]

Hey Shiny,

Thanks for your kind reply.

My reason behind doing a 66%/33% split between the 2 funds is because I am able to take a higher risk in return for the potential higher returns. However as I age, I will re-balance this portfolio to have a more 50%/50% split, with my cash in high savings interest account & CPF acting as the bond component.

Also, I understand POSB IS has does not have any selling commission & the buying fee is leveled at 0.81%, so the cost of buying in bi-monthly vs. monthly DCA will be the same. I was thinking of a simpler method of buying into G3B and I feel the auto DCA through POSB IS is a simple solution, and having it roll on its own will reduce temptations to time the market.

I also understand that IBKR's commission is charged at US$10/month if I don't maintain US$100k in assets with them, so if I only buy in S$1000 worth of IWDA every month, won't the cost stay the same on an annual basis as buying in bi-monthly? (considering I have to pay US$10/m regardless of my trading activity on the IBKR account).

Specifically for IBKR, I just created an account and am looking to start buying into IWDA soon. So all I have to do is transfer SGD into the account, use the IBKR's rate to convert into USD & buy into IWDA? Am I able to set a SI with my bank to deposit a fixed amount of cash every month into IBKR?

Also, will the balance in the account (after purchase) earn any interest? I also noted a scheme by IBRK where the platform can "lend" other investors my shares. Is this something advisable to push for a higher earnings?

 

[Trader11]

Is it still a working method to dca given Trump siao lang tweets?

 

[jacky5297]

The DCA method works when you stop trying to time the market...

Is it still a working method to dca given Trump siao lang tweets?

 

[highsulphur]

Is it still a working method to dca given Trump siao lang tweets?

Dca works especially because of Trump's tweets

 

[ydnar1]

Hey Shiny Thing, Maeda_Toshiie, and Geeezz

Appreciate your comments on my post. I will know how to act on this accordingly.

I appreciate the interest rate risk, which is something I feel that the risk is low for the next few years. Definitely, there is a mismatch between annuities and loan timeline.

Let's say banks are dishing out cheap loans right now to me, what would you recommend to do? What type of bank products would be best to capture the benefit of cheap loan with a decent timeline?

Dual Currency and Structured Notes are pretty crappy. I think I had sufficient life and medical insurance coverage.

 

[cfleee]

Specifically for IBKR, I just created an account and am looking to start buying into IWDA soon. So all I have to do is transfer SGD into the account, use the IBKR's rate to convert into USD & buy into IWDA? Am I able to set a SI with my bank to deposit a fixed amount of cash every month into IBKR?

You should be able to set up a standing instruction for the FAST transfer, and then match it with a recurring deposit transaction at IBKR. You might want to set up the IBKR recurrence to be a few days before the FAST transfer is scheduled, so that it's already in place even if the transfer happens early due to a weekend/public holiday.

Also, will the balance in the account (after purchase) earn any interest?

Not really on small cash balances. They pay 0% on first USD 10k and first SGD 15k cash balance.

 

[small-onion]

Hello everyone, have been investing based on ST's advice since sep 2015! 4th year soon!

I have the first and second edition of his book. Understand the 3rd edition is out.

I have been reading the thread. I have two questions:

1) Is it fine if I stick to SCB and not switch to IBKR. I do not have $100k worth of IWDA. Should we only use IBKR if we have $100k worth of shares in IBKR?

2) I see that A35 is not actively mentioned but instead changed to ... MBH? Is it fine for me to stick to A35?

Shall I get the 3rd edition now for updated information?

Thanks again Shiny and everyone! Been a nice investment journey so far.

 

[Investnewbie82]

For accumulating ETFs like IWDA and VWRA, the common advice is it's better than the distributing counterparts as it auto reinvests the dividends. Are we assured the full amount will be reinvested? As in it is equal to if we reinvest the dividends from vwrd ourselves? Is there any checks and balances for the process?

 

[flowerpalms]

There is not really an updated edition as the latest book still uses MBKE MIP when its been discontinued and new investers turn to POSB IS. Thus, i also suggest ST to review the book and tailor it towards using POSB IS to replace MBKE MIP.

Since there is no more MBKE MIP, ST suggested the best alternative is POSB IS instead of SCB for all assets. And fyi POSB IS do not offer ES3 and MBH but G3B and A35. There is no MBH for POSB IS, unlike MBKE MIP.

Hello everyone, have been investing based on ST's advice since sep 2015! 4th year soon!

I have the first and second edition of his book. Understand the 3rd edition is out.

I have been reading the thread. I have two questions:

1) Is it fine if I stick to SCB and not switch to IBKR. I do not have $100k worth of IWDA. Should we only use IBKR if we have $100k worth of shares in IBKR?

2) I see that A35 is not actively mentioned but instead changed to ... MBH? Is it fine for me to stick to A35?

Shall I get the 3rd edition now for updated information?

Thanks again Shiny and everyone! Been a nice investment journey so far.

 

[swan02]

Please anyone, need guidance

1. What recommended ETFs for investment purely into China shares that is low cost ?

I could only find etfs from Lyxor such as

a. LCCN and CSIL

Any criticisms of these. I'm reading about replication and swaps hence cheaper cost ? any issues with these

Prefer broad based, non concentrated

2. What about cheapest ETF for HK stock market ?

Thanks

 

[confusedsuitguy]

Hi Shiny/BBC,

If a foreigner is in the tax bracket that warrants SRS, but does not yet know if they would like to retire in Singapore, would you still recommend that they invest in their local bond/ETF allocation through OCBC+SRS? Or would you recommend Stanchart?

Thanks!

 

[BBCWatcher]

For accumulating ETFs like IWDA and VWRA, the common advice is it's better than the distributing counterparts as it auto reinvests the dividends. Are we assured the full amount will be reinvested?

Yes, the full amount net of dividend taxes, such as the 15% Irish treaty rate on U.S. listed shares.

As in it is equal to if we reinvest the dividends from vwrd ourselves? Is there any checks and balances for the process?

Better, actually, because the reinvestments are automatic, with no time out of the market, and incur no brokerage charges. The fund manager’s total expenses already include all fund management costs, including dividend reinvesting.

Yes, there are checks. You can review the fund managers’ audited annual reports, and there are regulators involved. These are also the world’s very largest fund managers we’re talking about here, with literally trillions under management. Much, much bigger than Temasek, for example.

 

[cfleee]

There are often questions about using SCB vs IBKR, and what if buying monthly/bimonthly/quarterly... I tried to model the costs of the commonly discussed options in a spreadsheet -- no idea if it will make sense or be useful to anyone else, but here it is:

https://docs.google.com/spreadsheets/d/1BqIhbYNJF7VJbtj6PS08Csbyx1s4vs_03Kvh0pPRUCI/edit?usp=sharing

I'm sure someone will point out if there are any glaring errors

I did find it a bit surprising that while it makes sense to use IBKR over SC if you're intending to buy $700/mth of IWDA on monthly basis, SC is still cheaper up to $1800/mth on quarterly basis. I'm not sure how to weigh the value of clocking in more time-in-market, to decide between investing monthly over bimonthly or quarterly.

(You'll have to make a copy for yourself to plug in your favourite scenario. Click on File -> Make a copy.)