Roboadvisor: Stashaway vs Syfe

[imbecilelight]

I am looking at Syfe100 to pump in all my extra monies / leftover every month, because I ownself invest stock quite noob.
Would like to know from the other users here what should I take note of or research into first? I planning to put like $1k or $2k /mth, not sure if this is advisable.

If you are looking into diversification, it's good to start a small position by investing using Syfe Equity 100 to give it a try.

Personally, I do DCA a small amount into Syfe Equity 100 every 10 days. DCA without additional fee is one of the features that attracted me since my invested sum is not a lot.

In the longer run, if you can afford to constantly invest $1-2k every month (or even more) and are not really good at stock picking, it may make more sense to buy index fund (such as one that tracks S&P 500) on your own than DCA into robo-advisors' portfolios.

Why?
1. Lower costs as compared to robo-advisors' management fee (hence lead to higher compounding gains in the long run)
2. Good returns (can be subjective, especially if you are good at stock picking)

 

[Okenba]

I am looking at Syfe100 to pump in all my extra monies / leftover every month, because I ownself invest stock quite noob.
Would like to know from the other users here what should I take note of or research into first? I planning to put like $1k or $2k /mth, not sure if this is advisable.

The problem I have with most roboadvisors is that they change their allocation from time to time. I think Syfe's eqty100 does so twice a year. So it's no longer passive investing. Many robos are just high tech mutual funds.

In that case, the question to ask is not "do they have good returns" (past performance is no indication of future results), or "do I like their allocation" (it changes every six months, there is no guarantee you will like it six months later).

Instead, the key question is "do I trust Syfe's investment team"? Personally, I think I would rather trust a team that has more history and background. Like Dimensional Fund Advisors that you can get with Endowus.

The one exception is REITs+. The plan for REITs+ is clear. They follow a reits index. When I buy REITs+, I am not buying based on my belief that Syfe's investment team will do well, but on the understanding that I will be happy with the average returns that the REITs market will provide.

 

[dappermen]

https://www.stashaway.sg/r/economy-...tional-Branded-20210716-GlobalReoptimisationA

It’s been well over a year since the markets bottomed out due to COVID-related economic activity in March 2020. Throughout 2020, we saw central banks lower interest rates and pump cash into the economy in an attempt to keep the economies afloat as global supply chains were disrupted and unemployment skyrocketed. And now, we’re seeing signs of a promising recovery. Based on these economic signals, we’re reoptimising your portfolios to capture growth opportunities globally, and to protect your portfolios from rising inflation in the US.​

Why we reoptimise portfolios​ When we enter a new economic regime, our system will signal to update target asset allocations. And now that we are seeing clear signals of inflationary growth in the US and disinflationary growth in non-US economies, our system has signalled to update portfolios accordingly. We call the changed target asset allocation “reoptimisation”.​

What we’re doing to prepare your portfolios for the new economic conditions​ US-based assets in your portfolio will be optimised for an inflationary growth environment-- an environment with positive inflationary momentum and positive growth momentum. Non-US-based assets in your portfolio will be optimised for a disinflationary growth environment-- an environment with slowing inflationary momentum and positive growth momentum.

This is the 4th time we’ve reoptimised portfolios since we launched our portfolios in July 2017​ While many fund managers determine asset allocation based on market activity, we change the asset allocation when economic conditions require it. Since we launched in July 2017, we have reoptimised our clients portfolios 3 times: In December 2017, August 2019, and May 2020. This has resulted in cumulative returns, as of 30 June 2021, between 14.03% for our lowest-risk portfolio to 53.55% for our highest-risk portfolio, and annualised returns of 3.38% for our lowest risk portfolio (SRI 6.5%) and 16.10% for our highest risk portfolio (SRI 36%), in SGD terms. StashAway's gross returns by portfolio (SGD terms)​ ​

 

[Okenba]

For comparison's sake.

From July 2017 - 30 June 2021:
VOO (S&P 500): 77% cumulative return.
IWDA (Dev Mkts): 63% cumulative return.

 

[zenify.me]

SA's new optimization is out. Still long on KWEB and finally less gold.

 

[1BadAssLobster]

If you are looking into diversification, it's good to start a small position by investing using Syfe Equity 100 to give it a try.

Personally, I do DCA a small amount into Syfe Equity 100 every 10 days. DCA without additional fee is one of the features that attracted me since my invested sum is not a lot.

In the longer run, if you can afford to constantly invest $1-2k every month (or even more) and are not really good at stock picking, it may make more sense to buy index fund (such as one that tracks S&P 500) on your own than DCA into robo-advisors' portfolios.

Why?
1. Lower costs as compared to robo-advisors' management fee (hence lead to higher compounding gains in the long run)
2. Good returns (can be subjective, especially if you are good at stock picking)

Thanks for the pointers.
I shall go find out how to buy index fund.

 

[1BadAssLobster]

The problem I have with most roboadvisors is that they change their allocation from time to time. I think Syfe's eqty100 does so twice a year. So it's no longer passive investing. Many robos are just high tech mutual funds.

In that case, the question to ask is not "do they have good returns" (past performance is no indication of future results), or "do I like their allocation" (it changes every six months, there is no guarantee you will like it six months later).

Instead, the key question is "do I trust Syfe's investment team"? Personally, I think I would rather trust a team that has more history and background. Like Dimensional Fund Advisors that you can get with Endowus.

The one exception is REITs+. The plan for REITs+ is clear. They follow a reits index. When I buy REITs+, I am not buying based on my belief that Syfe's investment team will do well, but on the understanding that I will be happy with the average returns that the REITs market will provide.

Thanks!
Is it easy to start with REITs+? As in information to read up on.

 

[edwinksl]

8.50% AGG for 36% SRI? Interesting.

 

[imbecilelight]

My 6 months journey in SA SRI 36% ended with very pathetic returns. Though I understand the importance of long term investment, but I can't find a reason to convince me to continue with SA. Furthermore, the fee is higher than Syfe too.

Those who started investing with SA months after the market has recovered from the market crash in March 2020 probably won't see such high returns at all. Just like my case.

Surprised to see that the reoptimisation SRI 36% portfolio still has 20% invested in KWEB and has added in 10% for iShares MSCI Australia ETF (EWA).

 

[icheb]

My returns so far on 18% risk index after 2 years of saving.
They are doing re-optimisation now due to changing global economic outlook.

Curious as to why they chose to buy Australia EWA as part of International Equities. US Reits VNQ for Real Estate and Energy XLE. Are they expecting an uptick in energy prices and earnings in the coming year? They just dumped most US Equities like Small Cap IJR, Healthcare XLV and Consumer Discretionary XLY. Overall, less emphasis on US Equities. I think its probably due to inflation leading to volatility that is now outside my risk appetite?

 

[believe88]

about 6months den break even. So far not convinced

 

[zenify.me]

about 6months den break even. So far not convinced

I am convinced you bought in when KWEB was near its peak and didn't DCA.

 

[IcYFl4mEz]

So questions for the pros, is the new opt for SA good news or bad news?

 

[s0crates]

So questions for the pros, is the new opt for SA good news or bad news?

If we know we probably have a market view and are more active traders than passive investors haha.

I find their justification a bit thin and analysis very big and broad-based. Cannot see the link between the economic regime and how they choose to change the allocation.

End of the day I only put a small amount with SA and have since withdrawn it. I don't understand I don't invest. There are more passive roboadvisors out there like Endowus, moneyowl and even Autowealth (won't recommend them though).

 

[GameTheory]

So questions for the pros, is the new opt for SA good news or bad news?

If we know we probably have a market view and are more active traders than passive investors haha.

I find their justification a bit thin and analysis very big and broad-based. Cannot see the link between the economic regime and how they choose to change the allocation.

End of the day I only put a small amount with SA and have since withdrawn it. I don't understand I don't invest. There are more passive roboadvisors out there like Endowus, moneyowl and even Autowealth (won't recommend them though).

I agree... I am getting more and more skeptical of the SA approach/methodology they used.

 

[Mr. Wood]

I don't understand I don't invest.

+1 for dis

v impt in whtever investment is understanding the choices made. even if simply choose indexing, must at least know wht is the ETF invested in.

 

[dappermen]

I am convinced you bought in when KWEB was near its peak and didn't DCA.

mine was bought yrs ago = stil u hve to suffer mths to break evn, it has nothg to do w When it s bought....

WE Look @ consistency . n its performance , nt just the Actual return figures

 

[condovshdb]

For comparison's sake.

From July 2017 - 30 June 2021:
VOO (S&P 500): 77% cumulative return.
IWDA (Dev Mkts): 63% cumulative return.

ouch

they really ought to buck up

 

[Okenba]

For comparison's sake.

From July 2017 - 30 June 2021:
VOO (S&P 500): 77% cumulative return.
IWDA (Dev Mkts): 63% cumulative return.

Some may wonder why I didn't include VWRA. Mainly because it doesn't go back to 2017.
But I just remembered we can still use ISAC. So here you go.

From July 2017 - 30 June 2021:
VOO (S&P 500): 77% cumulative returns.
IWDA (Developed Mkts): 63% cumulative returns.
ISAC (Global: ie. DevMkts + EM): 65% cumulative returns.

 

[dappermen]

to me Syfe Core is too diversified!
pt 3 - do u nd a youtuber to teach u ? many keep asssuming More is diversifyg!