HWZ Forums

Login Register FAQ Mark Forums Read

Pruwealth

Reply
 
LinkBack Thread Tools
Old 20-05-2018, 06:53 PM   #1
Arch-Supremacy Member
 
tortoise18's Avatar
 
Join Date: Apr 2005
Posts: 21,429
Pruwealth

Just signed up 10 yr, $6k/yr.
Guaranteed return i see it is about $61-62k.
Is there a better plan out there?
tortoise18 is offline   Reply With Quote
Old 20-05-2018, 07:01 PM   #2
Arch-Supremacy Member
 
Join Date: Mar 2008
Posts: 11,107
Just signed up 10 yr, $6k/yr.
Guaranteed return i see it is about $61-62k.
Is there a better plan out there?
SSB will definitely give a higher guaranteed return...
makav31i is offline   Reply With Quote
Old 20-05-2018, 07:02 PM   #3
Supremacy Member
 
spiritGate's Avatar
 
Join Date: Oct 2007
Posts: 7,994
Quite Low, you only earn 1k to 2k for 10 years.
spiritGate is offline   Reply With Quote
Old 20-05-2018, 07:11 PM   #4
Supremacy Member
 
Join Date: May 2017
Posts: 5,044
Unless the non-guaranteed component gives you 0% every single year, you will almost certainly be able to get much better returns than what naysayers out there are saying.

To put things into perspective, for an insurance company to give you 0% non-guaranteed returns for 10 years straight would imply that their funds are making 0% for 10 years straight. It is possible, but extremely unlikely.

If you know how to invest, e.g. buy stocks, ETFs, then it is quite likely that you beat the non-guaranteed rate provided by the company.
JuniorLion is offline   Reply With Quote
Old 20-05-2018, 07:25 PM   #5
Arch-Supremacy Member
 
tortoise18's Avatar
 
Join Date: Apr 2005
Posts: 21,429
I did consider SSB. 1 lump sum of $10k, about 2% return?
tortoise18 is offline   Reply With Quote
Old 20-05-2018, 07:41 PM   #6
Arch-Supremacy Member
 
Join Date: Mar 2008
Posts: 11,107
Unless the non-guaranteed component gives you 0% every single year, you will almost certainly be able to get much better returns than what naysayers out there are saying.

To put things into perspective, for an insurance company to give you 0% non-guaranteed returns for 10 years straight would imply that their funds are making 0% for 10 years straight. It is possible, but extremely unlikely.

If you know how to invest, e.g. buy stocks, ETFs, then it is quite likely that you beat the non-guaranteed rate provided by the company.
SSB give an average 2.43% returns per year guaranteed by the Singapore Government...

Non-Guaranteed as the term implies is not guaranteed so you can huat big or did not earn anything at all...So what is confirmed is the guaranteed portion...If you put in $60k for 10 years and guaranteed to earn $1-2k, I can put $10k into SSB now and collect $2,462 worth of interest which is divided over the next 10 years twice a year...
makav31i is offline   Reply With Quote
Old 20-05-2018, 07:43 PM   #7
Arch-Supremacy Member
 
Join Date: Mar 2008
Posts: 11,107
I did consider SSB. 1 lump sum of $10k, about 2% return?
Here is the calculator for you to calculate...

http://www.sgs.gov.sg/savingsbonds/Y...alculator.aspx
makav31i is offline   Reply With Quote
Old 20-05-2018, 07:46 PM   #8
Supremacy Member
 
Join Date: May 2017
Posts: 5,044
SSB give an average 2.43% returns per year guaranteed by the Singapore Government...

Non-Guaranteed as the term implies is not guaranteed so you can huat big or did not earn anything at all...So what is confirmed is the guaranteed portion...If you put in $60k for 10 years and guaranteed to earn $1-2k, I can put $10k into SSB now and collect $2,462 worth of interest which is divided over the next 10 years twice a year...
Glad you're happy with SSB.
JuniorLion is offline   Reply With Quote
Old 20-05-2018, 08:38 PM   #9
Arch-Supremacy Member
 
tortoise18's Avatar
 
Join Date: Apr 2005
Posts: 21,429
Hmm. So i should terminate pruwealth and go into ssb
tortoise18 is offline   Reply With Quote
Old 20-05-2018, 08:56 PM   #10
Moderator
 
tangent314's Avatar
 
Join Date: Jul 2002
Posts: 3,845
Most likely you will do better by setting up POSB Invest Saver, and set up $500 per month RSP, which is the exact same amount you are putting in now. Split the $500 between G3B and A35. If you like the "principle protected" or "guaranteed return" buzzword, you can put $400 or $500 into A35 but everyone will tell you here that it is way too conservative. $300 or $400 into G3B should be good.
tangent314 is offline   Reply With Quote
Old 20-05-2018, 10:34 PM   #11
Arch-Supremacy Member
 
Join Date: Mar 2008
Posts: 11,107
Most likely you will do better by setting up POSB Invest Saver, and set up $500 per month RSP, which is the exact same amount you are putting in now. Split the $500 between G3B and A35. If you like the "principle protected" or "guaranteed return" buzzword, you can put $400 or $500 into A35 but everyone will tell you here that it is way too conservative. $300 or $400 into G3B should be good.
You do know that A35 is not "principle protected" or "guaranteed return" or even Capital Guaranteed...SSB is guaranteed by the Singapore Government...$502 can be put into SSB each month...
makav31i is offline   Reply With Quote
Reply
Important Forum Advisory Note
This forum is moderated by volunteer moderators who will react only to members' feedback on posts. Moderators are not employees or representatives of HWZ. Forum members and moderators are responsible for their own posts.

Please refer to our Terms of Service for more information.


Thread Tools

Posting Rules

Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are On