Advice on Investing

[Perisher]

Hi mr hozhijie.
21 years old , serving ns with networth 10k+++
a lot of us with $0 saving during Ns.. Envy sio

Once you get a job and is prudent with $, $10k can be accumulated within a year or less.

 

[hozhijie]

Hi mr hozhijie.
21 years old , serving ns with networth 10k+++
a lot of us with $0 saving during Ns.. Envy sio

I started saving when I was in Poly, and also worked after i graduated. Thus having some savings right now. You can definitely do it too.

 

[hozhijie]

It means if your age is 30, you should have an allocation of 80% stock, 20% bonds. I'm gonna qoute this from a book. "The investor's manifesto"

Had you own some bond, that will be a different story. The rule of your age in bonds allow you to avoid entering into such situation when you are retiring.

Now I get that! Thank you so much!

 

[Shiny Things]

If I were to cancel the ILP, what kind of insurance can I actually take up? I would like to still get myself protected.

* Hospital cover, to pay your hospital bills if you break your leg or something;
* Term life insurance to age 65 if you've got a family, or people dependent on you.

Can I know what does the 110 minus my age represents?

"110 minus your age" is the proportion of your investments that should be in stocks (or stock ETFs); the rest should be in bonds (or bond ETFs). So like The Accountant said: if you're 30 years old, then 110-30=80 percent of your investments should be in stocks, and the remaining 20% should be in bonds.

The idea behind this is that as you get older, your investments should become more conservative - you want nice, stable bonds, rather than volatile equities, so that you don't lose your retirement pot if the market has a downturn just before you retire. Conversely, when you're young, you can afford to take equity risk - even if there's a huge 2008-style equity market collapse, young people can afford to stay in the market and ride it out.

 

[bjornng]

The SSB isn't a bad investment, but the A35 ETF is better - it's slightly higher-yielding without much more risk.

Hello guys, sorry to hijack, but I would like to know more about this A35 ETF that Shiny Things talked about

I am also still reading up on investments and all, but am gonna go open my StandChart brokerage account tomorrow. My first intended investment is the STI ETF.

Basically, my mom and I got a DBS joint account that has ~$20k in it, and my mom is thinking of putting in the savings bond, and I'm gonna ask her to lend me some of it for my passive investment 'startup', haha. The rest I would probably ask her to put somewhere else, probably the SSB (she was considering it too) because the interest rate from DBS is too low.

I would like to know more about the A35 ETF - what is the difference from the SSB?

Thanks all!

 

[247165]

Hello guys, sorry to hijack, but I would like to know more about this A35 ETF that Shiny Things talked about

I am also still reading up on investments and all, but am gonna go open my StandChart brokerage account tomorrow. My first intended investment is the STI ETF.

Basically, my mom and I got a DBS joint account that has ~$20k in it, and my mom is thinking of putting in the savings bond, and I'm gonna ask her to lend me some of it for my passive investment 'startup', haha. The rest I would probably ask her to put somewhere else, probably the SSB (she was considering it too) because the interest rate from DBS is too low.

I would like to know more about the A35 ETF - what is the difference from the SSB?

Thanks all!

I know i shouldn't be the one saying this because i rarely post anything ('ve been lurking around reeaalllll hard) but there are several threads/posts about the differences. Just gotta use the search function...

 

[Bedokian]

Can I know what does the 110 minus my age represents?

I think you have gotten the answer from Shiny Things.

ST and a few others here are index investors, i.e. such investors do not go for individual companies, they just buy up the market representative of equities and bonds (in local speak, the STI ETF, the ABF Bond ETF and maybe the global market index), using the "110 minus your age" as the ratio, and this ratio is maintained yearly or half-yearly.

Index investing is OK, as I am an advocate of it, especially so if you want to have an exposure to certain regions/sectors but not knowing which counter to go for. If you still want to cherry pick, you can incorporate some index investing concepts as well.