*Official* Shiny Things club - Part 2

[tangent314]

Not sure what the limit is. He can either reserve a few more posts, or just link to more detailed posts downthread.

 

[hwckhs]

Great ideas. Reserving a few more posts will be the most elegant method, if ST decides to go ahead with an FAQ.

 

[RuiQi_91]

Hello, I am a newbie so I hope you don't mind the questions. I just found out about this POSB invest saver promotion between Feb to April. https://www.posb.com.sg/personal/promotion/invest-saver#

Does that mean that I will get back the transaction fees of 0.82% for these months? I have looked through the terms and conditions and believe that it applies to me if I do not terminate. Is there a better way to check? Call the bank?

Also, why does my ETF show a 1% fee? Should it not be 0.82%? https://imgur.com/a/hiYEmw7

Last question. I got a letter from the bank when I started the RSP a few days ago. The info on the ETFs mentioned, however, that the transaction will only occur on the 15th of every month. Nothing has happened, right?

 

[pylpoh]

They will cashback to you later on; read the terms and conditions..... It's 0.82% confirm. 1% indicative. Your first trade will be next month 16, 15 is a Sunday. Promo still July, so that's 5months of free trades. Theres posb invest saver thread, maybe it's betrer to check from there.

Hello, I am a newbie so I hope you don't mind the questions. I just found out about this POSB invest saver promotion between Feb to April. https://www.posb.com.sg/personal/promotion/invest-saver#

Does that mean that I will get back the transaction fees of 0.82% for these months? I have looked through the terms and conditions and believe that it applies to me if I do not terminate. Is there a better way to check? Call the bank?

Also, why does my ETF show a 1% fee? Should it not be 0.82%? https://imgur.com/a/hiYEmw7

Last question. I got a letter from the bank when I started the RSP a few days ago. The info on the ETFs mentioned, however, that the transaction will only occur on the 15th of every month. Nothing has happened, right?

 

[WeiJie2301]

Hello everyone, I'm 23 years old and new to investing. Have around 15-20k to invest for the long term. What are your thoughts on me putting all my savings into IWDA? Is this too risky? I have already put aside whatever emergency fund I need so this 15-20k is what I plan to invest. I am thinking of buying lump sum after the price stops dropping to be safe. Thank you so much!

 

[pylpoh]

If I'm 23 I will probaby put a big percentage in. There's also a few other factors to consider. What platform you are buying through for example. If you use IB, which means you are subjected to 10usd fees a month, so in this case you should set a side some money so that you can buy every month without wasting away the fees; at least 1400sgd.If you are using SC, you pay the fees one time; i assume you are still in school, so maybe that's a better option. Another factor is your risk appetite, if you thought it's safe and got invested, if the next few weeks dropped another 10%, how badly would it affect you. Personally for you, I think it's better to start as recommended by the ts, just go with (110 or 100% - your age = equity, the rest will be bonds). Equity divide 50 50 on iwda and g3b or es3. If you still not so sure maybe can have 60 equities and 40bonds instead.

Hello everyone, I'm 23 years old and new to investing. Have around 15-20k to invest for the long term. What are your thoughts on me putting all my savings into IWDA? Is this too risky? I have already put aside whatever emergency fund I need so this 15-20k is what I plan to invest. I am thinking of buying lump sum after the price stops dropping to be safe. Thank you so much!

 

[adgjl321]

Best way to purchase Gold on SCB?

 

[_death_god]

Hi guys, its been a pleasure reading all the post from you guys and all the tips (50% SG Equity/50% Global Equity and 110-age) being shared here by ST.

I have a question. Currently I am 28 years old (ratio would be around 20%/80%) and have a pruwealth2 endownment savings plan 500/mth pay till i am 33 years old(pay for 5 years). The XIRR of pruwealth 2 is around 4%. I was thinking of treating the pruwealth 2 as bond and start to invest in equity.

I am looking into mid-long term investment. Lets say i have roughly 300/mth to start invest and about 20k cash in hand, how should i do about it?

300/mth on ES3?
150/mth ES3 and 200/mth IWDA?

Or since i have my pruwealth 2 as a safe instrument, should i go for full 300/mth on global equity like IWDA?
Or should i just alternate ES3 and IWDA every month?

 

[flowerpalms]

Rebalancing twice a year, in May and Nov. Not now, dont panic sell

What to buy and sell depends on your target %. Sell X shares of the fund if its % allocation is more and buy Y shares of the fund which has the most shortfall. I don't know what your portfolio amount is but over here you need to punch in the numbers with a calculator.

Basically it is just
May and Nov - rebalancing
Other months - monthly dca to the fund that deviates thr most from the target %

This is to ensure that your portfolio sticks as close as the 110-age rule as possible. Pretty much explained in the book, absorb it

We should rebalance our portfolio in times like this right?, Instead of waiting still the end of the year. Sell some bonds and buy more equities?

 

[iceblendedchoc]

Hi guys, its been a pleasure reading all the post from you guys and all the tips (50% SG Equity/50% Global Equity and 110-age) being shared here by ST.

I have a question. Currently I am 28 years old (ratio would be around 20%/80%) and have a pruwealth2 endownment savings plan 500/mth pay till i am 33 years old(pay for 5 years). The XIRR of pruwealth 2 is around 4%. I was thinking of treating the pruwealth 2 as bond and start to invest in equity.

I am looking into mid-long term investment. Lets say i have roughly 300/mth to start invest and about 20k cash in hand, how should i do about it?

300/mth on ES3?
150/mth ES3 and 200/mth IWDA?

Or since i have my pruwealth 2 as a safe instrument, should i go for full 300/mth on global equity like IWDA?
Or should i just alternate ES3 and IWDA every month?

Guaranteed 4%? Let me know if it is.

 

[streetfighter]

Problem is some people are recommending things & saying they are "cannot violate principles" without explaining why, so can't understand & learn why those recommendations are made & learn not to follow blindly when recomm is blind.

Let me share a secret with you: there is no such thing as a fundamental principle you can't violate in investing. There are always exceptions or special circumstances. That's why you need to understand why ppl recommend certain things, rather than blindly follow

 

[streetfighter]

Stock market dropping like crazy! This week DJIA like drop >10%? Should i wait for crash before buying?

 

[cassowary18]

Best way to purchase Gold on SCB?

IAU (ishares gold trust) or GLD (SPDR gold shares) on NYSE. IAU has a slightly lower expense ratio but GLD has lower tracking error.

 

[makav31i]

IAU (ishares gold trust) or GLD (SPDR gold shares) on NYSE. IAU has a slightly lower expense ratio but GLD has lower tracking error.

I don't know why you suggest IAU or GLD when the expense ratio of GLDM is 0.18%, IAU at 0.25% and GLD at 0.4%...

 

[_death_god]

Guaranteed 4%? Let me know if it is.

My apologies, I should have indicate it as non-guaranteed 4%. But I would still prefer to treat it as the safest instrument in the portfolio which I would say is similar to the bond rates.

And also, I might be wrong here but I don’t think investing in equity does not guarantee me x returns as well. Hehe correct me if I’m wrong cos I’m still learning more about equity!

 

[crystalnox]

My apologies, I should have indicate it as non-guaranteed 4%. But I would still prefer to treat it as the safest instrument in the portfolio which I would say is similar to the bond rates.

And also, I might be wrong here but I don’t think investing in equity does not guarantee me x returns as well. Hehe correct me if I’m wrong cos I’m still learning more about equity!

You’re right, equity has no guarantees on returns too, but what they can guarantee is far lower fees using index ETFs. And chances are your policy is based off similar underlying equity funds that you can buy for much lower costs. eg. $10 brokerage +0.2% annual fee vs 1-2% management fees + 1-2% fund fees in annually from insurance firms.

 

[BBCWatcher]

I don't know why you suggest IAU or GLD when the expense ratio of GLDM is 0.18%, IAU at 0.25% and GLD at 0.4%...

All three of these funds are U.S. estate taxable, if that matters.

I don't think you should trade in gold or in any other commodity. However, if you insist, and if you are a non-U.S. person, how about SGLN, domiciled in Ireland and listed/traded on the London Stock Exchange? SGLN's total expense ratio is 0.19%.

 

[cassowary18]

I don't know why you suggest IAU or GLD when the expense ratio of GLDM is 0.18%, IAU at 0.25% and GLD at 0.4%...

Good point.

All three of these funds are U.S. estate taxable, if that matters.

I don't think you should trade in gold or in any other commodity. However, if you insist, and if you are a non-U.S. person, how about SGLN, domiciled in Ireland and listed/traded on the London Stock Exchange? SGLN's total expense ratio is 0.19%.

That's a fair point too. I don't invest in gold, but if I did I wouldn't be worried about buying on NYSE because (1) gold doesn't pay dividends so no dividend withholding tax (2) it's going to be a relatively small part of my portfolio anyway so estate tax wouldn't be a huge concern. SGLN is a good suggestion though.

 

[psyfy]

My personal recommendation would to concentrate fully on bringing your VWRA up to US$100k AUM as soon as possible to get rid of the IBKR minimum commission, before considering bonds and STI ETF again.

PIMCO funds gets discussed from time to time. On one hand, it has had excellent past performance. On the other hand, the current weighted average YTM is pretty darn low compared to past performance so one can be skeptical about future performances. LQDE seems to be outperforming these funds (perhaps due to the much lower fees), but doesn't come hedged.

I like your idea on concentrating fully on IBKR to bring it up to $100k. Makes sense.

I have seen the YTM terms being bandied about. Do you mind giving a high level overview on what that means for bonds please?

 

[jack-320]

Hi experts

How to deal with paper loss?

Even though you have done your research and still share/ ETF price still decreases

Especially during this virus crisis, but it is temporary and share price will rise

provided the company / ETF is sustainable and sound

I am investing for the first time after reading shiny thing’s books