Portfolio allocation

[pytha6ora$]

Seeking advise from the experienced peers here.

Aim : to have some sort of passive income to supplement future living expenses. Lessen the burden to keep saving up for rainy days.

Background : Currently have a $200k stock portfolio (40% ES3, 30% various reits, 8% Banks, 12% transport+HKtech+JardineCC+misc)

Question : I may have a 200k cash proceeds from sale of house which I am thinking to put into CPF SA account for 4% interest and remaining in robo-advisor related investments.

I have set aside 300k cash to use for property purposes (to have a roof for my family)

Is this considered a bad decision to have 200k throw into SA account?

I'm keen to learn. Thank you.

 

[reddevil0728]

Seeking advise from the experienced peers here.

Aim : to have some sort of passive income to supplement future living expenses. Lessen the burden to keep saving up for rainy days.

Background : Currently have a $200k stock portfolio (40% ES3, 30% various reits, 8% Banks, 12% transport+HKtech+JardineCC+misc)

Question : I may have a 200k cash proceeds from sale of house which I am thinking to put into CPF SA account for 4% interest and remaining in robo-advisor related investments.

I have set aside 300k cash to use for property purposes (to have a roof for my family)

Is this considered a bad decision to have 200k throw into SA account?

I'm keen to learn. Thank you.

u can only top up ur SA up till FRS... you can put so much inside?

 

[pytha6ora$]

Should be max 186k

 

[reddevil0728]

Should be max 186k

so you will have a lot more leftover cash that can't be put into SA.

unless you planning to do VC?

 

[pytha6ora$]

Yes, I am thinking of voluntary contribute cash into SA.

 

[reddevil0728]

They said its con ppl fund

if you want to make such allegation, you better backup your claim rather than stir sh!t

 

[reddevil0728]

Yes, I am thinking of voluntary contribute cash into SA.

you are constrained by your current balance vis-a-vis FRS for direct SA top-up. and for VC you are constrained by a CPF Annual Limit.

so i think the concern should be less of whether it is a good idea. but what you are going to do with the leftover that you can contribute this year.

 

[W1n7f1r3]

if you want to make such allegation, you better backup your claim rather than stir sh!t

Hearsay jokes from kopitiam uncles...

 

[reddevil0728]

Hearsay jokes from kopitiam uncles...

and you are perpetuating it?

 

[Prof. Utonium]

SEP or employee?

Seems like you are already decided on the move but seeking affirmation. In that case why not top up in stages on yearly basis to maximize the tax reduction?

My CPF (bond) to equities is 1:3 and I already find it too low on equities side. Yours would be 1:1 but seems like you are risk averse (family man or approaching retirement), thus understandable. Personally, I would transfer more of OA (if you have) to maximize the CPF potential before using cash (TU+VC).

 

[pytha6ora$]

SEP or employee?

Seems like you are already decided on the move but seeking affirmation. In that case why not top up in stages on yearly basis to maximize the tax reduction?

My CPF (bond) to equities is 1:3 and I already find it too low on equities side. Yours would be 1:1 but seems like you are risk averse (family man or approaching retirement), thus understandable. Personally, I would transfer more of OA (if you have) to maximize the CPF potential before using cash (TU+VC).

SEP. I have medisave. But bare minimum OA and SA

 

[Kojo0403]

probably can allocate part of it into US equities or China equities ETF for long term capital growth.

But if income is your main priority- probably a good idea to allocate some into China Bond ETF (around 3% yield) or Asia bond ETFs (3% to 6% yield) listed on SGX since you already have exposure to reits and sg dividend stocks.

http://www.csopasset.com/sg/en/products/sg-wgbi/etf.php
https://www.nikkoam.com.sg/etf/china-bond-etf
https://www.blackrock.com/sg/en/products/251722/ishares-barclays-usd-asia-high-yield-bond-index-etf
https://www.blackrock.com/sg/en/products/251825/ishares-jp-morgan-usd-asia-credit-bond-index-etf

 

[iduncheckmail]

depend on how old you are.
if young, then putting in CPF is bad move. unless you dont know how to invest.

 

[wutawa]

Seeking advise from the experienced peers here.

Aim : to have some sort of passive income to supplement future living expenses. Lessen the burden to keep saving up for rainy days.

Background : Currently have a $200k stock portfolio (40% ES3, 30% various reits, 8% Banks, 12% transport+HKtech+JardineCC+misc)

Question : I may have a 200k cash proceeds from sale of house which I am thinking to put into CPF SA account for 4% interest and remaining in robo-advisor related investments.

I have set aside 300k cash to use for property purposes (to have a roof for my family)

Is this considered a bad decision to have 200k throw into SA account?

I'm keen to learn. Thank you.

nice portfolio with clear aim. do u know how much div u get each year from your stocks? do note tat sa is an irreversible process. i.e. cant be used as umbrella during rain

 

[pytha6ora$]

depend on how old you are.
if young, then putting in CPF is bad move. unless you dont know how to invest.

34. Not young not old. I'm seeing cpf 4% SA like a type of bonds. What other options are better?

 

[reddevil0728]

34. Not young not old. I'm seeing cpf 4% SA like a type of bonds. What other options are better?

Is about whether you willing to invest.

world etf is a good one to look at

 

[hwmook]

Seeking advise from the experienced peers here.

Aim : to have some sort of passive income to supplement future living expenses. Lessen the burden to keep saving up for rainy days.

Background : Currently have a $200k stock portfolio (40% ES3, 30% various reits, 8% Banks, 12% transport+HKtech+JardineCC+misc)

Question : I may have a 200k cash proceeds from sale of house which I am thinking to put into CPF SA account for 4% interest and remaining in robo-advisor related investments.

I have set aside 300k cash to use for property purposes (to have a roof for my family)

Is this considered a bad decision to have 200k throw into SA account?

I'm keen to learn. Thank you.

Not a good idea. You can top up to SA for tax relief every year so why would you want to put in a lump sum to SA? You are relatively young at 34 thus it make no sense to do so. Just top up 7k to SA, top up medisave if you haven't done so. The rest just invest in ETF and top up every year to SA until FRS.

 

[Okenba]

Seeking advise from the experienced peers here.

Aim : to have some sort of passive income to supplement future living expenses. Lessen the burden to keep saving up for rainy days.

Background : Currently have a $200k stock portfolio (40% ES3, 30% various reits, 8% Banks, 12% transport+HKtech+JardineCC+misc)

Question : I may have a 200k cash proceeds from sale of house which I am thinking to put into CPF SA account for 4% interest and remaining in robo-advisor related investments.

I have set aside 300k cash to use for property purposes (to have a roof for my family)

Is this considered a bad decision to have 200k throw into SA account?

I'm keen to learn. Thank you.

Consider a basket of global stocks for your stock portfolio. As it is, it would seem that you are overweight on Singapore. Your Stocks are mostly SG stocks, your job is in SG, your CPF (if you do contribute) is also tied to SG and the interest rate can change.

 

[pytha6ora$]

I would consider looking and building up into some world etf, maybe like the endowus sp500 etc?, now that I have a local portfolio.

 

[Kojo0403]

if you already know specific market you want exposure to, might as well buy the ETF directly.
no point paying endowus another layer of fees that eat into your long term return