Official Shiny Things thread—Part III

[BBCWatcher]

Thanks, but if I buy them on US stock exchanges, do I get withholding taxed for the distributions?

Maybe. The last time I looked at this question it depended on the fund manager. Also, U.S. bond funds are U.S. estate taxable.

 

[candy crush]

nt really, ra might hv chance to be zero. it depends on how long they hv been receiving cpf life payout. if you top up, they will get higher monthly income

what is the downside of putting all the money in parent account?

can we choose to put in MA instead of RA?

 

[BBCWatcher]

what is the downside of putting all the money in parent account?

If you care about your parent, probably there’s none.

can we choose to put in MA instead of RA?

You may, within both the CPF Annual Limit and the recipient’s Basic Healthcare Sum.

 

[thefang]

Bought and finished reading Shiny Things book in a day. Definitely a good investment.
My current portfolio consists of 100% local equities and bonds. Considering liquidating 30-40% of them to channel to IWDA. Need some gurus' advice on the following 2 questions though:

1) Is this a good time to liquidate my existing holdings since prices have gone down by about 10%?

2) I understand that IB have better exchange rates than SCB, but charges a monthly fee for accounts with less than USD100k. My investment in IWDA would probably be close to 30k. Using SCB, the exchange rate diff would be enough to pay for at least a year's worth of monthly fee. I don't foresee myself holding USD100k worth of global stocks anytime soon. But if I accumulate my holdings in SCB, I'll not be able to transfer them to IB even if I were to hit USD100k one day in the distant future, right? Hence I'm undecided over which broker to use

 

[JetStorm]

Bought and finished reading Shiny Things book in a day. Definitely a good investment.
My current portfolio consists of 100% local equities and bonds. Considering liquidating 30-40% of them to channel to IWDA. Need some gurus' advice on the following 2 questions though:

1) Is this a good time to liquidate my existing holdings since prices have gone down by about 10%?

2) I understand that IB have better exchange rates than SCB, but charges a monthly fee for accounts with less than USD100k. My investment in IWDA would probably be close to 30k. Using SCB, the exchange rate diff would be enough to pay for at least a year's worth of monthly fee. I don't foresee myself holding USD100k worth of global stocks anytime soon. But if I accumulate my holdings in SCB, I'll not be able to transfer them to IB even if I were to hit USD100k one day in the distant future, right? Hence I'm undecided over which broker to use �

If u are in it for long term, just stop buying local and buy foreign. Eventually ur foreign will catch up to ur desired ratio and u can do ur rebalancing then.

Sent from Xiaomi REDMI NOTE 8 PRO using GAGT

 

[Gambler.]

@ST - I've been using DCA in FSM for my UTs for a couple of years now. FSM recently has this new option of having RSP for ETFs.

And with my personal preference to consolidate all my holdings in FSM, would you recommend substituting IWDA with VT? That's the closest available global equity ETF counter in FSM.

ES3, G3B and MBH are available still.

Ta!

 

[Magickiller9]

It’s so amusing.

People already know that ST’s general advice is to just look long term, DCA into the 3-fund portfolio.
Yet there are still people asking him for individual stock picks, short term trading.

What sort of advice are you all really trying to get from him?

What 4D number should I buy? Or where can I get a time machine?

 

[dullthings]

How do I know if I am *allowed* to buy ES3 G3B MBH on Interactive Brokers? I know we *aren’t allowed* to buy, but I just (finally) did a search in the mobile app and realised that these three ETFs do appear and the buy button is there...

 

[megdang]

How do I know if I am *allowed* to buy ES3 G3B MBH on Interactive Brokers? I just (finally) did a search in the mobile app and realised that these three ETFs do appear.

You may try to make a real buy order and see whether it got executed successfully

 

[crystalnox]

How do I know if I am *allowed* to buy ES3 G3B MBH on Interactive Brokers? I know we *aren’t allowed* to buy, but I just (finally) did a search in the mobile app and realised that these three ETFs do appear and the buy button is there...

Just try buying, it will give you a not allowed prompt.

 

[dullthings]

Ok thanks, indeed I can’t execute the trade. Sorry for noob question.

Just try buying, it will give you a not allowed prompt.

 

[thefang]

If u are in it for long term, just stop buying local and buy foreign. Eventually ur foreign will catch up to ur desired ratio and u can do ur rebalancing then.

Sent from Xiaomi REDMI NOTE 8 PRO using GAGT

Thank you. I think this is a good idea and it resolves my second question as well. If I channel my monthly investment to IWDA then it makes sense to just open an IBKR account.

One more question though. Any way to make the monthly investment to IWDA work on autopilot?

Posted from PCWX using Mi A1

 

[BBCWatcher]

Any way to make the monthly investment to IWDA work on autopilot?

Partially. You can set up a monthly recurring deposit instruction with Interactive Brokers then instruct your bank to transfer a certain number of dollars every month.

 

[queerquirks]

saxo or scb is better for ireland domiciled etfs?


looking to invest 2k quarterly into IWDA and VUSD. will there be an overlap for this 2 stocks?

 

[limster]

saxo or scb is better for ireland domiciled etfs?


looking to invest 2k quarterly into IWDA and VUSD. will there be an overlap for this 2 stocks?

if you are asking which one has the cheapest comms for the amount you are buying... isn't that just a maths question that you can calculate yourself?

 

[queerquirks]

if you are asking which one has the cheapest comms for the amount you are buying... isn't that just a maths question that you can calculate yourself?

haha yeaa cause saw financialhorse comparison of the brokerages but realize it may be for stocks only?
so etfs should stick with scb ah

 

[_death_god]

When does it pay out? I don’t like endowment plans (they’re basically like really expensive bond funds), but it may be cheaper to hang onto it then tear it up.



You’re young, so you can afford to put more into equities than into bonds - but you should still have some allocation to bonds (MBH) and to Singapore equities (ES3). Having a diversified portfolio is a good habit to start early, and you’re doing the right thing.

Thank you for your reply ST! My endowment pays out when I am 48 years old, 20 years from now. After which, I got the option to let it accumulate or do withdrawal. But i will be keeping it until I am 60 years old then I do yearly partial withdraw. - I plan to treat my endowment as a bond as it will be lower risk (don’t know if I’m advisable for do so)

My focus now will be exposing myself to equities and my budget per month would be $300/mth. Should I go for full $300/mth in SG equities(ES3)or full $300/mth on us equities(IWda/vt) or alternate every month?

 

[BBCWatcher]

looking to invest 2k quarterly into IWDA and VUSD. will there be an overlap for this 2 stocks?

Everything contained in VUSD is already inside IWDA (or in VWRA for that matter). All you do when you buy both is the following:

1. You substantially increase your brokerage cost, especially if you buy via Standard Chartered or Saxo.

2. Just about 60% of IWDA's current value (as I write this) consists of the U.S. S&P 500 stocks, already. So all you're doing with VUSD is increasing that 59%-60% to some higher percentage.

If you want your stock holdings to consist of, say, 80% U.S. S&P 500 index stocks (which is actually 505 specific U.S. listed/traded stocks) and 20% stocks listed/traded in other developed economy stock markets, then you can do that, but why -- and is this worth jacking up your brokerage cost? I'd vote no.

 

[WeiJie2301]

hello does anyone know if there is any transaction cost for limit order even without purchase/sale? I am using saxo

 

[isaacsayshi]

Hi People,

i am currently invested in 20 years limited pay wholelife plan brought 3 years back to cover for death, tpd critical illness and early CI and still left with 17 more years to pay.

The annual premiums worked out to be about $3,200 per year and so far paid about $9,600. i am thinking should i cancel the plan and buy term instead? used the savings to buy more IWDA or just stick to the wholelife plan and channel my other current savings into IWDA.

What do you think?