How to tie over Year 2020??

[SBC]

Hi All,

What are the sources of your fund to tie over this period?

Will you consider to surrender your old insurance policy, as well?
What will you consider?
Policy > 10 years?

Regards

 

[_dXter]

Have two years worth of savings for living expenses, that's how long I can go.

 

[purpleberry]

What is a good way to get started in stock/bonds investing?

 

[OngHuatHuat]

I think you should surrender some whole life policies that are already in the profit, use them to build a 6-7 digit warchest/emergency funds

 

[assiak71]

Is ts working? Isnt having a job the answer.

 

[OngHuatHuat]

Is ts working? Isnt having a job the answer.

TS having a few whole life policies worth at least 6 digit each.



Think he is doing some crisis control? Anyway, if TS get affected badly, I believe 99.9% of the population will be in worse situation

 

[lingalong]

I think you should surrender some whole life policies that are already in the profit, use them to build a 6-7 digit warchest/emergency funds

Good idea. Altho it takes really big balls to deploy funds in a red market, especially when the funds were accumulated over so many years..

 

[SBC]

I am still working.

Total cash value of my policies summed up to 300k by year end.

Close to 3 years before the earliest one gets matured.

 

[Value.Matrix]

I am still working.

Total cash value of my policies summed up to 300k by year end.

Close to 3 years before the earliest one gets matured.

I would say never surrender your policies unless you expect to get 8% p.a returns

(unless its past 20 years so IRR is lower at 4% to 5% Non gauranteed and you no longer need that coverage). Would be good to do a policy loan (6% loan) and repay 2 years later.

Unless you really dun want then i buy over the policies.

 

[touchring1]

I am still working.

Total cash value of my policies summed up to 300k by year end.

Close to 3 years before the earliest one gets matured.

zero debt?

 

[SBC]

No debt. Only debt is housing mortgage.

Close to 800k.

 

[SBC]

Any sound idea?

 

[highsulphur]

Any sound idea?

Spend less. What else can one do if don't have emergency savings already? Too late already

 

[BBCWatcher]

What are the sources of your fund to tie over this period?

I am still working.

No debt. Only debt is housing mortgage.
Close to 800k.

Isn’t that like saying you’re not pregnant, except for the twins you’ve been carrying for 8 months so far?

You have no high cost debt, but you certainly have debt!

Any sound idea?

Spend less. What else can one do if don't have emergency savings already? Too late already

Highsulphur is the winner! Except it’s not too late since SBC is still working. So spend less and save more, in prudent low-cost vehicles, if you feel you need more reserve. Unfortunately this microeconomic decision, which is now being replicated in many households, will cause Singapore’s macroeconomy to suffer. But that’s not your problem.

You also want to review your other emergency preparations beyond possible job loss. For example, are you sufficiently protected against loss of income due to disability and an inability to work? (DII, my favorite insurance topic. And some DII policies tolerate joblessness for a certain period of time, but you need to be working when you sign up.)

 

[highsulphur]

Isn*********t that like saying you*********re not pregnant, except for the twins you*********ve been carrying for 8 months so far?


You have nohigh cost debt, but you certainly have debt!

Highsulphur is the winner! Except it*********s not too late since SBC is still working. So spend less and save more, in prudent low-cost vehicles, if you feel you need more reserve. Unfortunately this microeconomic decision, which is now being replicated in many households, will cause Singapore*********s macroeconomy to suffer. But that*********s not your problem.


You also want to review your other emergency preparations beyond possible job loss. For example, are you sufficiently protected against loss of income due to disability and an inability to work? (DII, my favorite insurance topic. And some DII policies tolerate joblessness for a certain period of time, but you need to be working when you sign up.)

The part the no debt but have mortgage also puzzled me.

DII - the premiums must have gone up by now to reflect the economic uncertainty

I must say what's interesting to note is that job security for each industry is affected differently for each crisis. Eg banks are (at the moment) at less risk than sectors like transport, retail and tourism which is opposite during the GFC. Only you can have a clear assessment on how secure your job and industry is.

 

[highsulphur]

For me i never consider insurance policy as a emergency reserve. The penalty for early termination is too much. Have been too conservative last two years so have ample savings. Now deciding how much to average down my investments using those savings

 

[BBCWatcher]

DII - the premiums must have gone up by now to reflect the economic uncertainty

I doubt it. Why would that be?

I must say what's interesting to note is that job security for each industry is affected differently for each crisis. Eg banks are (at the moment) at less risk than sectors like transport, retail and tourism which is opposite during the GFC. Only you can have a clear assessment on how secure your job and industry is.

Further, it depends which transport and retail sectors you look at. The freight sectors (air cargo, railroads, trucking, ocean shipping, postal services) are likely to hold up pretty well. They have less competition from cargo riding below passengers, online sales are booming, and fuel costs are lower. However, there's a slowdown in manufacturing, so their industrial business is slower. Overall, though, pretty good. Grocers, pharmacies, online retailers, convenience stores, and delivery restaurants (e.g. Domino's) are doing quite well.

There's no shortage of demand for doctors, nurses, paramedics, orderlies, and many other healthcare workers. Public safety workers like police officers, firefighters, and social service agents are busy, too.

Technology, media, and education are broadly in pretty good shape, with some portions (such as online education) doing particularly well and others (such as live theater) challenged.

For me i never consider insurance policy as a emergency reserve. The penalty for early termination is too much.

Agreed. Insurance salespeople sometimes sell them that way, but that's another reason they're terrible.

Have been too conservative last two years so have ample savings. Now deciding how much to average down my investments using those savings

I'm just cruising along, for what it's worth. The only significant change I made recently was to increase my monthly savings/investment flow amount due to the happy problem of too much cash piling up. But that's something I would have done anyway.