Endowus Cash Smart

[888888888888]

do you think is worth transferring money out stashA to this? that one's institutional grade. united sgd is short duration bond.

 

[zoneguard]

what about 50/50 into fullerton and UOB AM United SGD Fund via fsmone?

Not through FSMOne.
https://secure.fundsupermart.com/fsm/new-to-fsm/pricing-structure

Platform Fee (per quarter)

Fixed Income Funds
0.05%

 

[hwmook]

its an investment, so of course there is a possibility of losing money in this account.



what about 50/50 into fullerton and UOB AM United SGD Fund via fsmone?

Its cheaper to use endowus for buying United SGD fund. If you want to do the same 50/50 then use endowus.

 

[FinalDestiny...]

I decided to try replicating the funds used in Cash Smart via Dollardex, a no-fees platform to see if it can be lower than what Endowus offers.

Dollardex does not offer LionGlobal Enhanced Liquidity fund, but offers LionGlobal SGD Money Market Fund instead. I am not certain if there are suitable alternatives to LionGlobal Enhanced Liquidity fund, but for simplicity let's treat LionGlobal SGD Money Market Fund as the alternative.

Replicating Endowus Core

Fullerton SGD Cash - TER: 0.25%
LionGlobal SGD Money Market Fund - TER: 0.25%
0.25 + 0.25 = 0.50% cost

More expensive vs Endowus Cash Smart Core TER of 0.23%.

Replicating Endowus Enhanced

LionGlobal SGD Money Market Fund - TER: 0.25%
UOB AM United SGD - TER: 0.25%
0.25 + 0.25 = 0.50% cost

More expensive vs Endowus Cash Smart Enhanced TER of 0.35%.

Do let me know if I have made any mistakes in the calculations

 

[crazye_star]

Any existing Endowus user maintaining less than $10k?

Although the FAQ mentioned "The initial minimum investment amount is $10,000 and the minimum account size to be maintained is S$10,000."

But some FAQs suggest maintenance need not be $10k:-
"Under no circumstances will you be locked into an account with Endowus for any period of time. You can close an account or withdraw part of your assets at any time."

"The minimum initial investment on the Endowus platform is S$10,000. A single transaction has a minimum of S$100. There is no minimum balance that must be maintained in Cash Smart."

"You can redeem your entire portfolio anytime. If you request to redeem 80% or more of your investment value, we will also execute a full redemption of your portfolio."

Yes, I started with 2k (1k SRS + 1k Cash) then added 1k cash monthly. I'll hit my 10k this month, so far no complains from them.

 

[Han Shot First]

I decided to try replicating the funds used in Cash Smart via Dollardex, a no-fees platform to see if it can be lower than what Endowus offers.

So did you actually implement your own version of "Cash Smart" via Dollardex?

 

[FinalDestiny...]

So did you actually implement your own version of "Cash Smart" via Dollardex?

Nope, as it is more expensive in terms of cost?

 

[zoneguard]

Nope, as it is more expensive in terms of cost?

I have Fullerton SGD Cash Fund at Dollardex, reproduced the expense ratio on page 76 of its prospectus:

Expense and Turnover Ratios (Financial Year Ended 31 March 2019)

The expense ratio of each Class of Units in FSCF is:
Class A 0.15%

 

[FinalDestiny...]

I have Fullerton SGD Cash Fund at Dollardex, reproduced the expense ratio on page 76 of its prospectus:

Ah, thanks for correcting me. So Dollardex only charges the 0.15% expense ratio, and not the 0.25% which consists of expense ratio (0.15%) + management fee (0.1%)..

 

[sylves]

Ah, thanks for correcting me. So Dollardex only charges the 0.15% expense ratio, and not the 0.25% which consists of expense ratio (0.15%) + management fee (0.1%)..

So is it really better to go thru dollardex and create own cashsmart?

 

[s0crates]

Total expense ratio is 0.15%, including management fees.

Dollardex doesn't earn anything directly from the clients, but they take trailer fees from the fund managers.

Trailer fees amount differ across different platforms I believe. Tiagong from my friend working in a fund selection team with a local bank that they try to nego for better trailer fees from the fund managers because they bring in higher AUM. Maybe fundsupermart or dollardex get more money from fund managers than what endowus can rebate? Idk.

Either way I believe endowus is not any cheaper for the Fullerton exposure net of all rebates and charges, but is cheaper for LGI enhanced liquidity and United SGD exposure. Meaning to say cash smart portfolios are cheaper with Endowus than DIY. Somemore can start with $100 denominations.

Only platform comparable is stashaway simple I feel.

Ah, thanks for correcting me. So Dollardex only charges the 0.15% expense ratio, and not the 0.25% which consists of expense ratio (0.15%) + management fee (0.1%)..

 

[zoneguard]

Either way I believe endowus is not any cheaper for the Fullerton exposure net of all rebates and charges, but is cheaper for LGI enhanced liquidity and United SGD exposure. Meaning to say cash smart portfolios are cheaper with Endowus than DIY. Somemore can start with $100 denominations.

The trade-off for LGI Enhanced and United SGD is higher volatility for the better returns and hence they combine with Fullerton's offering to lower the volatility. I will leave prospective investors to make their own conclusions whether this trade-off is worthwhile. I personally stick with Fullerton SGD Cash Fund.

 

[Han Shot First]

Either way I believe endowus is not any cheaper for the Fullerton exposure net of all rebates and charges, but is cheaper for LGI enhanced liquidity and United SGD exposure. Meaning to say cash smart portfolios are cheaper with Endowus than DIY. Somemore can start with $100 denominations.

Does Endowus Cash Smart Core provide better net returns than Fullerton SGD Cash Fund although Cash Smart Core has more expensive net expense ratio (i.e. minus trailer fee rebate plus Endowus Access Fee)?

So it would still be better than DIY 100% Fullerton SGD Cash Fund on other platforms?

 

[s0crates]

Cash smart core is riskier than Fullerton cash fund.

The returns doesnt come from nowhere. Same for enhanced as well.

Does Endowus Cash Smart Core provide better net returns than Fullerton SGD Cash Fund although Cash Smart Core has more expensive net expense ratio (i.e. minus trailer fee rebate plus Endowus Access Fee)?

So it would still be better than DIY 100% Fullerton SGD Cash Fund on other platforms?

 

[Han Shot First]

Cash smart core is riskier than Fullerton cash fund.

The returns doesnt come from nowhere. Same for enhanced as well.

So you prefer holding Fullerton SGD Cash Fund and not Cash Smart Core (because of the lower risk)?

Fullerton SGD Cash Fund has 89.4% in its top 5 holdings. Is that risky or not? Seems to have large concentration risk.

 

[zoneguard]

Fullerton SGD Cash Fund has 89.4% in its top 5 holdings. Is that risky or not? Seems to have large concentration risk.

The counter-parties for these top 5 holdings are all banks.
If you are not comfortable with that, don't invest in this fund.

 

[reddevil0728]

So you prefer holding Fullerton SGD Cash Fund and not Cash Smart Core (because of the lower risk)?

Fullerton SGD Cash Fund has 89.4% in its top 5 holdings. Is that risky or not? Seems to have large concentration risk.

Then you better put your money in a normal bank or in a tin can.

 

[s0crates]

If it's all very safe then even if concentrated it's still safe.

Like you can hold 100% temasek 30 days bills, is that safe or risky? Safe right? Versus a diversified 100% endowus bond portfolio

So you prefer holding Fullerton SGD Cash Fund and not Cash Smart Core (because of the lower risk)?

Fullerton SGD Cash Fund has 89.4% in its top 5 holdings. Is that risky or not? Seems to have large concentration risk.

 

[cannot.remember]

I've got about $200k from HSBC that I will have to switch out. Would this be a good option to park the money for a few months as compared to a savings account?

 

[reddevil0728]

I've got about $200k from HSBC that I will have to switch out. Would this be a good option to park the money for a few months as compared to a savings account?

Exhaust other options first like singlife, dash easyearn then maybe this?

The time taken to deposit and withdraw is about a weekish for this