Help again

[Beefslice]

It's me again , the 19 YO trying to do smth with my finance. Yesterday night I shot shinythings a pm ,regarding the 2 low cost STI ETf . What I asked was that because I still have no fixed income yet ,should I do a hundred or two every month if I can afford it ? And does the POSB invest saver acc have a minimum investment sum ? My final question will be that, if I follow closely to the 110-age rule , I would be 91%in STI and 9%in bonds ,does that sound ok? The final final question will be about the dividend , from my homework ,I think it's given out twice yearly, what should I do with the money if it's not needed ? And for rebalancing the stocks every year to the 110-age rule, how do I go about it ? Thanks alot
P.s. shiny asked me to share it here for the benefits of others like me trying to do smth

 

[chuanz]

It's me again , the 19 YO trying to do smth with my finance. Yesterday night I shot shinythings a pm ,regarding the 2 low cost STI ETf . What I asked was that because I still have no fixed income yet ,should I do a hundred or two every month if I can afford it ? And does the POSB invest saver acc have a minimum investment sum ? My final question will be that, if I follow closely to the 110-age rule , I would be 91%in STI and 9%in bonds ,does that sound ok? The final final question will be about the dividend , from my homework ,I think it's given out twice yearly, what should I do with the money if it's not needed ? And for rebalancing the stocks every year to the 110-age rule, how do I go about it ? Thanks alot
P.s. shiny asked me to share it here for the benefits of others like me trying to do smth

1) you should post in Shiny Thing's thread to begin with
2) if you STILL insist on starting a new thread, please put a better title than "help again". This isn't EDMW.

 

[Beefslice]

1) you should post in Shiny Thing's thread to begin with
2) if you STILL insist on starting a new thread, please put a better title than "help again". This isn't EDMW.

Well u do know im new to here, I do not know the rules but does it matter ? As long as I can get my idea across , what's wrong. If I did break any rules, mods pls delete my thread ,will move it to shiny things thread

 

[Jumpman23]

It's me again , the 19 YO trying to do smth with my finance. Yesterday night I shot shinythings a pm ,regarding the 2 low cost STI ETf . What I asked was that because I still have no fixed income yet ,should I do a hundred or two every month if I can afford it ? And does the POSB invest saver acc have a minimum investment sum ? My final question will be that, if I follow closely to the 110-age rule , I would be 91%in STI and 9%in bonds ,does that sound ok? The final final question will be about the dividend , from my homework ,I think it's given out twice yearly, what should I do with the money if it's not needed ? And for rebalancing the stocks every year to the 110-age rule, how do I go about it ? Thanks alot
P.s. shiny asked me to share it here for the benefits of others like me trying to do smth

Yes you can start with 91% ES3 and 9% A35. As for investment amount, just allocate as much as you can. 200 or 300 with POSB invest saver is fine. For dividends, you should consider reinvesting them back to ES3/A35 as part of the rebalance. Keep at it and you will reap the rewards in time to come!
Anyway good job starting your investment journey so early in life. Wish I have your wisdom when I was 19!

 

[Beefslice]

Yes you can start with 91% ES3 and 9% A35. As for investment amount, just allocate as much as you can. 200 or 300 with POSB invest saver is fine. For dividends, you should consider reinvesting them back to ES3/A35 as part of the rebalance. Keep at it and you will reap the rewards in time to come!
Anyway good job starting your investment journey so early in life. Wish I have your wisdom when I was 19!

Thanks for the input man , another question I have would be is 50 per month a good starting point? I'm spending way too much for my own good....
Edit ,just saw minimum is 100 . So would be 100 monthly
Edit2, I read that the posb invest savings account does not have transaction charges (I may be wrong ) for A35 and ES3.but from the website,there is a 1% charge ??

 

[Slowdown]

There is a 1% charge for posb invest saver at point of purchase. No charge for selling at the moment. For example you invest 100 each month. Each month they will first deduct 1% (which is 1 dollar) from your contribution. Meaning you have 99 dollars left to buy the units. Assuming on that day the unit price is 2.90. You will be able to buy 34 unit. It is not possible to buy faction unit, just whole unit. The total purchase value would be 98.60 dollars. 40cents will be refunded to your bank account a couple of days later.

Lets assume two months later you wanted to sell 50 units because you needed the money. At that point in time the unit price is 2.85sgd. You will get back 142.50sgd into your bank account. No charge for selling at the moment. They may revise their policy in the future but currently no charge for selling.

You cannot dictate the price you want to sell or buy. You put in the request and they will transact it a few days later. Whatever price at that point will be your transacted price.

 

[Beefslice]

There is a 1% charge for posb invest saver at point of purchase. No charge for selling at the moment. For example you invest 100 each month. Each month they will first deduct 1% (which is 1 dollar) from your contribution. Meaning you have 99 dollars left to buy the units. Assuming on that day the unit price is 2.90. You will be able to buy 34 unit. It is not possible to buy faction unit, just whole unit. The total purchase value would be 98.60 dollars. 40cents will be refunded to your bank account a couple of days later.

Lets assume two months later you wanted to sell 50 units because you needed the money. At that point in time the unit price is 2.85sgd. You will get back 142.50sgd into your bank account. No charge for selling at the moment. They may revise their policy in the future but currently no charge for selling.

You cannot dictate the price you want to sell or buy. You put in the request and they will transact it a few days later. Whatever price at that point will be your transacted price.

Thanks for the input , how do I specify 91% and 9%bond distribution? Do I have to do my own math and specify for ES3 I want 9$worth and 91% worth for A35? In this case will i be charged twice and does the minimum 100$ kick in for both , as in I need 200$ instead now? Thanks and pardon my stupid questions

 

[Eternit]

Guys a quick question, if use POSB Invest Saver can only choose Nikko AM which is G3B right? So can't buy ES3?

I just setup so saw this issue

Sent from Xiaomi using GAGT

 

[xersion]

Guys a quick question, if use POSB Invest Saver can only choose Nikko AM which is G3B right? So can't buy ES3?

I just setup so saw this issue

Sent from Xiaomi using GAGT

You r right

Sent from OPPO X9079 using GAGT

 

[Optionstrader]

Both of them are sti instrumentals right

Sent from Asus ASUS_Z00AD using GAGT

 

[Jumpman23]

Thanks for the input , how do I specify 91% and 9%bond distribution? Do I have to do my own math and specify for ES3 I want 9$worth and 91% worth for A35? In this case will i be charged twice and does the minimum 100$ kick in for both , as in I need 200$ instead now? Thanks and pardon my stupid questions

Don't worry too much about having exact 91%/9% split, start with $100 ES3 and $100 A35 for now and review it perhaps 6 mths or a year later, by then you can temp suspend A35 and focus fire on ES3 until you achieve the desired distribution.

 

[Beefslice]

Don't worry too much about having exact 91%/9% split, start with $100 ES3 and $100 A35 for now and review it perhaps 6 mths or a year later, by then you can temp suspend A35 and focus fire on ES3 until you achieve the desired distribution.

Understood. Does the invest saver acc require monthly commitment or can I stop anytime I wan and let what I have existing to grow?

 

[Eternit]

Don't worry too much about having exact 91%/9% split, start with $100 ES3 and $100 A35 for now and review it perhaps 6 mths or a year later, by then you can temp suspend A35 and focus fire on ES3 until you achieve the desired distribution.

I think POSB invest saver only can buy G3B and A35, can't buy ES3, as mentioned above.

 

[Jumpman23]

Understood. Does the invest saver acc require monthly commitment or can I stop anytime I wan and let what I have existing to grow?

Can stop/suspend/cash out anytime. Btw yup wrong info earlier, POSB invest saver only has G3B, not ES3. But they are pretty similar.

 

[No use for a Name]

Which brokerage offer es3?
Wanna do it before I enlist.

 

[chester121]

Which brokerage offer es3?
Wanna do it before I enlist.

For a brokerage that's about on par with invest saver on transaction charges and offer ES3, should be MBKE MIP. However, there are clearing fees for redeeming counters in MBKE compared to POSB(for now).

PS. I got my own question: Since I'll most likely be holding STI ETF for long term hence I can overlook the selling fees from MBKE, is it better choice to go MBKE as it allows me to transfer to CDP?

 

[Initiatives]

For a brokerage that's about on par with invest saver on transaction charges and offer ES3, should be MBKE MIP. However, there are clearing fees for redeeming counters in MBKE compared to POSB(for now).

PS. I got my own question: Since I'll most likely be holding STI ETF for long term hence I can overlook the selling fees from MBKE, is it better choice to go MBKE as it allows me to transfer to CDP?

For me I use MBKE as I already have some ES3 in Scb. So it is cleaner that way. Better than holding both G3B and ES3

 

[chester121]

For me I use MBKE as I already have some ES3 in Scb. So it is cleaner that way. Better than holding both G3B and ES3

Thanks for the reply. I'm starting my DCA plan soon that's why I still have the option of either G3B or ES3. In the future if I increase my monthly amount for the RSP or decide to DIY, it'll be cleaner to hold just one counter.

Quite inflexible that I must redeem all my G3B as I cannot transfer them to CDP. Of course, there's the option to continue keeping in POSB custodian acct.