5k for investing + 100 monthly

[agony2]

Hi all, I am a 25 year old with only 5k for investing. I also save 100 every month for investing. I do not want to put my money in fixed deposit (low returns...) but I do not know what other products is suitable for me.

Also, would buying some investment linked insurance or life insurance be good in getting the returns for the 100 per month?

I know this is small money but any suggestions?

 

[koxinga]

Hi all, I am a 25 year old with only 5k for investing. I also save 100 every month for investing. I do not want to put my money in fixed deposit (low returns...) but I do not know what other products is suitable for me.

Also, would buying some investment linked insurance or life insurance be good in getting the returns for the 100 per month?

I know this is small money but any suggestions?

If you have $5000 dollars to invest and hope to get $100 dollars a month, that is a 24% return on investment. To be honest and I do not want to give you a wet blanket, that is very unrealistic.

If you just want to beat the rates in a FD or a normal savings account, there are a number of stocks with dividend yields above 3% which would generate $150 per year for a 5k investment.

 

[agony2]

If you have $5000 dollars to invest and hope to get $100 dollars a month, that is a 24% return on investment. To be honest and I do not want to give you a wet blanket, that is very unrealistic.

If you just want to beat the rates in a FD or a normal savings account, there are a number of stocks with dividend yields above 3% which would generate $150 per year for a 5k investment.

No, I mean I have also set aside 100 per month that I would like to use for investment apart from the 5 k I current have. But so far everything I check seems to require bigger amount?

 

[Motherliquor.P]

Hi all, I am a 25 year old with only 5k for investing. I also save 100 every month for investing. I do not want to put my money in fixed deposit (low returns...) but I do not know what other products is suitable for me.

Also, would buying some investment linked insurance or life insurance be good in getting the returns for the 100 per month?

I know this is small money but any suggestions?

I had a bad experience with an investment linked products. $1500 premium per annum, 11 years. And right now I have only realised my current balance is only $13500. The agent didn't even inform me that it has been making a loss. Others might have different experience though. I'm just sharing mine
Note: my parents bought this product for me when I was a kid

 

[Dividends Warrior]

Hi all, I am a 25 year old with only 5k for investing. I also save 100 every month for investing. I do not want to put my money in fixed deposit (low returns...) but I do not know what other products is suitable for me.

Also, would buying some investment linked insurance or life insurance be good in getting the returns for the 100 per month?

I know this is small money but any suggestions?

Never mix investment with insurance.

Investment is investment.

Insurance is insurance.

My advise. Invest in REITs. With $5000, you can buy:

- 3 lots of Mapletree Industrial Trust (6.6% yield)
or
- 4 lots of First REIT (5.2% yield)
or
- 5 lots of Starhill Global REIT (5% yield)

The next step is equally important. Save up that $100 per month. If u can, try to save even more. When the market corrects, you can average down.

That is how I am getting my passive income.

Good luck!!!

 

[jgyy1990]

or maybe can balance between reits and stocks?

 

[makav31i]

I think $100/month can go into POEMS Share Builder Plan but the administrative fees will be a killer...

 

[Epps_Sg]

If you have lower risk appetite, can consider putting the cash into a no sales charge bond fund (click here). The $100 can be manually invested into the bond fund every month, i think, without sales charge. I will be vested in this fund soon.

You can open an additional POSB/DBS MySavings Account via iBanking to auto force transfer your $100 into this account, so you have some discipline to set aside this cash every month.

 

[terence89]

Hi agony, I have sent you a pm for your reference. Thanks

Hi all, I am a 25 year old with only 5k for investing. I also save 100 every month for investing. I do not want to put my money in fixed deposit (low returns...) but I do not know what other products is suitable for me.

Also, would buying some investment linked insurance or life insurance be good in getting the returns for the 100 per month?

I know this is small money but any suggestions?

 

[hwmook]

No, I mean I have also set aside 100 per month that I would like to use for investment apart from the 5 k I current have. But so far everything I check seems to require bigger amount?

You can set up a regular savings plan with fundsupermart to invest in bond funds. The returns are definitely better than FD....

 

[iCuteCube]

I register poems for Unit Trust.

Best performing unit is First State Dividend Advantage , sitting on a 13.63% gain, after 1year i think, cant remember. The rest profit about 2-3%. MMF profit about 0.4%.

All are P.A.

Actually, prefer to save up a bit more, invest in stocks have better returns

 

[LightBuzz]

Never mix investment with insurance.

Investment is investment.

Insurance is insurance.

My advise. Invest in REITs. With $5000, you can buy:

- 3 lots of Mapletree Industrial Trust (6.6% yield)
or
- 4 lots of First REIT (5.2% yield)
or
- 5 lots of Starhill Global REIT (5% yield)

The next step is equally important. Save up that $100 per month. If u can, try to save even more. When the market corrects, you can average down.

That is how I am getting my passive income.

Good luck!!!

i am interested in REIT, can i know how it works?

 

[Dividends Warrior]

i am interested in REIT, can i know how it works?

REIT stands for Real Estate Investment Trust.

Real Estate Investment Trust is a corporation or trust that uses the pooled capital of many investors to purchase and manage income property (equity REIT). REITs are traded on major exchanges just like stocks. They are also granted special tax considerations. REITs offer several benefits over actually owning properties. First, they are highly liquid, unlike traditional real estate. Second, REITs enable investments in non-residential properties as well, such as hotels, malls, and other commercial or industrial properties.

For example, Frasers CentrePoint Trust owns:
- Causeway Point
- Northpoint
- Bedok Point
- YewTee Point
- Anchorpoint

The REIT manager collect rental from the shops and distribute the cash to the shareholders every quarter.

 

[callalily]

I have cut loss of Prulink policy about 4 years ago. Signed up during its launch year.

 

[beerope]

Hi all, I am a 25 year old with only 5k for investing. I also save 100 every month for investing. I do not want to put my money in fixed deposit (low returns...) but I do not know what other products is suitable for me.

Also, would buying some investment linked insurance or life insurance be good in getting the returns for the 100 per month?

I know this is small money but any suggestions?

I would suggest you to invest in US market, specifically options. It is much more volatile than sg stocks and would therefore give a higher returns given your small amount to begin. Personally I make use of the volatility on my side, I buy and sell options based on Implied volatility as they are much more predictable than stock prices. I started off almost the same as you but I just got $3k and now it has grown to a considerable amount in a few months. Remember to do a lot of reading and paper trading before you enter trading options.

 

[Nurse.Vijay]

REIT stands for Real Estate Investment Trust.

Real Estate Investment Trust is a corporation or trust that uses the pooled capital of many investors to purchase and manage income property (equity REIT). REITs are traded on major exchanges just like stocks. They are also granted special tax considerations. REITs offer several benefits over actually owning properties. First, they are highly liquid, unlike traditional real estate. Second, REITs enable investments in non-residential properties as well, such as hotels, malls, and other commercial or industrial properties.

For example, Frasers CentrePoint Trust owns:
- Causeway Point
- Northpoint
- Bedok Point
- YewTee Point
- Anchorpoint

The REIT manager collect rental from the shops and distribute the cash to the shareholders every quarter.

interesting. where can i read up more about reits? like where/how to buy, what accounts are needed etc. i only have a poems acc.

 

[kEvinErd]

I would suggest you to invest in US market, specifically options. It is much more volatile than sg stocks and would therefore give a higher returns given your small amount to begin. Personally I make use of the volatility on my side, I buy and sell options based on Implied volatility as they are much more predictable than stock prices. I started off almost the same as you but I just got $3k and now it has grown to a considerable amount in a few months. Remember to do a lot of reading and paper trading before you enter trading options.

How do you trade US options in Sg..?

 

[beerope]

How do you trade US options in Sg..?

Optionsxpress, interactive broker, think or swim, e*trade

 

[kEvinErd]

Optionsxpress, interactive broker, think or swim, e*trade

Which do you recommend and why...? Haven't really heard of all these before..

 

[hwmook]

Which do you recommend and why...? Haven't really heard of all these before..

These are overseas brokerage, some are quite big leh and you never hear before? You need to do more research man. Overseas brokerage have low commission fees in general and provide a lot of information/data for free or low price.