SRS Portfolio

[hwmook]

Hello, am looking to invest in the INFINITY GLOBAL STOCK INDEX SGD fund

But I noticed the fees are quite exorbitant
initial charge: Currently Up to 2% Maximum 5%
Management fee: Currently 0.475% p.a. Maximum 2% p.a
Expense ratio: 0.81%

Is it better to just invest in ES3?

Don't invest in rubbish just for the sake of lower fees.

Use the correct platform to buy then no initial fees aka sales charge. FSM, Dollerdex, POEMS.

 

[beefjerky]

Don't invest in rubbish just for the sake of lower fees.

Use the correct platform to buy then no initial fees aka sales charge. FSM, Dollerdex, POEMS.

Hey I have poems. So for poems it's just the expense ratio + management fee?

 

[s0crates]

You can do it through endowus what. Dimensional funds super diversified with SGD hedged PIMCO bonds if you want to.

Can do RSP with smaller denominations as well.

Hey I have poems. So for poems it's just the expense ratio + management fee?

 

[Newthen]

I suppose so too as I am also use but mine is Phillip FAME

 

[hwmook]

Hey I have poems. So for poems it's just the expense ratio + management fee?

Expense ratio include management fees so you only need to care about the expense ratio. That's the fees you are paying.

 

[tangent314]

Hello, am looking to invest in the INFINITY GLOBAL STOCK INDEX SGD fund

But I noticed the fees are quite exorbitant
initial charge: Currently Up to 2% Maximum 5%
Management fee: Currently 0.475% p.a. Maximum 2% p.a
Expense ratio: 0.81%

Is it better to just invest in ES3?

Ideally you should use invest your SRS in STI ETF and use cash to invest in global equities.

However, if you MUST invest 100% into global equities with your SRS then yes, this fund is the best option. It's slightly cheaper overall than even the next best alternative (dimension via endowus). If you purchase through POEMS or DollarDex, then the initial charge is 0. Annual management fee is included into the expense ratio.

 

[assiak71]

Can consider endowus

Syfe srs is pending

 

[beefjerky]

thanks all for the reply

 

[w1rbelw1nd]

Hello, am looking to invest in the INFINITY GLOBAL STOCK INDEX SGD fund

But I noticed the fees are quite exorbitant
initial charge: Currently Up to 2% Maximum 5%
Management fee: Currently 0.475% p.a. Maximum 2% p.a
Expense ratio: 0.81%

Is it better to just invest in ES3?

Just be mindful that infinity global is just invested in developed markets. In other words it is like the IWDA passive investors like to talk about. For VWRA exposure I dont think you have it, you need to get a truly globally diversified fund for that.

 

[tkdboi]

Ideally you should use invest your SRS in STI ETF and use cash to invest in global equities.

However, if you MUST invest 100% into global equities with your SRS then yes, this fund is the best option. It's slightly cheaper overall than even the next best alternative (dimension via endowus). If you purchase through POEMS or DollarDex, then the initial charge is 0. Annual management fee is included into the expense ratio.

that's what I am doing bro haha..

Posted from PCWX using SM-F900F

 

[kucheech]

how to do FD using SRS with DBS?

 

[O_Zon8]

Using SRS to invest equities - Can I link my SRS account to more than 1 broker and trade with either of them from time to time? Or must I stick to one brokerage only? Thanks for guidance in advance!

 

[chiokcc]

Using SRS to invest equities - Can I link my SRS account to more than 1 broker and trade with either of them from time to time? Or must I stick to one brokerage only? Thanks for guidance in advance!

Yes, as long as you ask your broker/s to link your SRS acct to your trading acct.

While buying/selling, remember to select "SRS", instead of "cash" if your intention is to use SRS.

Additional trading charges may apply, best to check what fees may apply. Usually not a big sum.

 

[sgflyer]

Hi,
Any local cost effective broker recommendations to invest my SRS funds in STI ETF? Please advise. Thanks

 

[tangent314]

The brokers that support SRS are all priced around the same, 0.25-0.28% min $25-28. Just go with whichever one most convenient for you to sign up for, e.g. if you always use DBS you can use Vickers

 

[kurtgoh]

hi,

have some questions pertaining to the SRS account.

my colleagues and myself are debating if we should look into the SRS tax relief.

a scenario:
Joe earns around 70-100k per annual, after all the possible reliefs, he still need to pay 1k for his income tax.

If joe was to deposit 2-3k per year, since SRS allows relief and can also be used for investment.

will he able to see a decrease in his yearly income tax?

none of us actually had a SRS account..

 

[nekoarc]

a scenario:
Joe earns around 70-100k per annual, after all the possible reliefs, he still need to pay 1k for his income tax.

If joe was to deposit 2-3k per year, since SRS allows relief and can also be used for investment.

will he able to see a decrease in his yearly income tax?

none of us actually had a SRS account..

I'll answer this part first, but there's much more to SRS than you'd think.

I'm assuming that 70-100k is the textbook definition of SG gross income, which includes employee CPF contributions, since u didn't specify.

The cap on personal income relief is 80k. Since Joe earns 70-100k and pays 1k tax, his relief is at most 53k, so he can further reduce his taxable income by at least 27k.

If Joe still pays 1k income tax after deductions, 450 of that tax will be in the 7% tax bracket. So he can reduce this 7% tax by 450/0.07 = 6428-ish before it hits the lower bucket.

So if he puts 2-3k per year, he will lower his income tax by that amount multiplied by 7%, i.e. 140-210.

But don't forget that SRS is taxable when you withdraw it. That's why they use the nest egg analogy to describe it 'hatching'.


TLDR: his tax will drop by 140-210

 

[nekoarc]

none of us actually had a SRS account..

One thing to note:
https://www.iras.gov.sg/irashome/In...etirement-Scheme--SRS-/Tax-on-SRS-withdrawal/

Withdrawals are penalty-free only if they take place on or after the statutory retirement age (currently at 62) that was prevailing at the time of your first SRS contribution. If you have already opened an SRS account and made your first contribution, any subsequent change in the statutory retirement age (e.g. up to age 65) will not affect you (i.e. you can still begin your first penalty-free SRS withdrawal when you reach age 62).

Opening an SRS account will give you an additional tool to invest in. And if the retirement age changes before you've opened your account, you lose out on a few years earlier that you can hatch this egg.

SRS used to have opening promos where they gave $, so might want to wait for that, tho.

 

[kurtgoh]

I'll answer this part first, but there's much more to SRS than you'd think.

I'm assuming that 70-100k is the textbook definition of SG gross income, which includes employee CPF contributions, since u didn't specify.

The cap on personal income relief is 80k. Since Joe earns 70-100k and pays 1k tax, his relief is at most 53k, so he can further reduce his taxable income by at least 27k.

If Joe still pays 1k income tax after deductions, 450 of that tax will be in the 7% tax bracket. So he can reduce this 7% tax by 450/0.07 = 6428-ish before it hits the lower bucket.

So if he puts 2-3k per year, he will lower his income tax by that amount multiplied by 7%, i.e. 140-210.

But don't forget that SRS is taxable when you withdraw it. That's why they use the nest egg analogy to describe it 'hatching'.


TLDR: his tax will drop by 140-210

i got you, thank you for sharing this.

 

[compro_1975]

can srs be used to buy shares?