During my leave these few weeks, I have sorted out some financial/personal matters and is in the midst of sorting out some others as well.
Well, I'm not really into new year resolutions as I believe resolutions can be made anytime. But since a new year will begin very soon, I may as well take this opportunity to lay down some critical rules/guidelines for myself.
1) Deligently track my income & expenses on a monthly basis
I do track these currently to a certain extent but fail to follow up to complete the tracking & thus couldn't really review the effectiveness of my budgeting & savings.
2) Deligently track my investments (in cash, CPFIS & SRS)
Similarly, I'll need to follow through in this area, focusing on the realised/unrealised returns. This will then enable me to monitor whether I'm on target to build up my retirement funds.
3) Deligently track the dividends received from my investments
Dividends received will be channeled to a separate savings account. (But this is only applicable for cash investments since dividends received in CPFIS & SRS investments will be automatically returned to the respective account with the agent bank.)
This will allow me to monitor my overall dividend yield. At the same time, these received dividends will be accumulated in order to reinvest into stocks.
4) Continue to build up my passive income
One of the ways is via dividend stocks.
Currently, I'm targeting to collect an average of $1000/month via dividends after I retire.
Looking at an average dividend yield of 6%/annum, the amount of capital required will be $200,000.
Initially, I plan to achieve this by age 40. But thinking further, the focus on growing the savings should also not be neglected. If the opportunity comes along, I should liquidate a proportion of my dividend stocks during any downturn to lock in the capital gain & repurchase them at a lower price subsequently to increase the dividend yield. Again, easier said than done but it could be done.
With this in mind, I aim to stabilise the $1000/month in passive income via dividends by age 50 when these dividend stocks will not be liquidated anymore. Instead, it will just be a source of passive income and eventually be a legacy for my children.
5) Review & streamline my insurance coverage
This is already in progress and can be considered to be 75% completed (tagged to current stage of life).
I'm sourcing for disability income protection which my FP is assisting in.
At the same time I'm reviewing on the possibility of surrendering my wholelife policy and use term plan for coverage instead. If I can channel the $200 saved per month (after paying for the term plan) on investments, an average return of 6%/annum will enable me to self-insure, of the same coverage of at least $100,000, by age 58.
6) More efficient usage of credit cards
I'm doing up a summary of the scenarios that I'll be using the different credit cards so that I can gain the most points/rebates.
7) Plan route & timing in advance to save on petrol/ERP/carpark
The savings can be substantial especially for ERP!
8) Exercise more often
Health is wealth!
Thus, I shall run at least once/week & also cycle at least once/week.
9) Send my bike for routine servicing on time
I've the tendency to delay the servicing, giving the excuse of busy at work and too lazy to wake up early on Saturdays. But this is not healthy for the vehicle and might lead to the owner having to fork out more subsequently.
10) Sell off unwanted items via internet
I've some IT & general household items cluttering around at home. Most of these items should be able to fetch a token sum.
Oki, the above will be quite a handful (& brainful) to follow & practise deligently!
I shall do a mid-year review again in June 2011!
Thursday, December 30, 2010
Tuesday, December 28, 2010
SRS Contribution for Year 2010
I had further contributed another $6000 to my SRS Account this afternoon.
This brings my total contribution for the year 2010 to $7500, including the $1500 which I contributed 2 months ago for the acceptance of the rights issue/application of excess rights of Mapletree Logistics Trust.
Along with this, I had achieved my target of an average contribution of $5000/annum to SRS since 2007.
I'm looking at a good entry price for another counter with these available funds in my SRS account, possibly M1/Suntec Reit/First Reit/Singpost for dividend yield or Breadtalk/Capitaland for capital growth.
On a side note, the tax savings from my SRS contributions in 2010 (for YA2011) amount to $637.50.
More details of SRS can be found at Ministry of Finance website.
This brings my total contribution for the year 2010 to $7500, including the $1500 which I contributed 2 months ago for the acceptance of the rights issue/application of excess rights of Mapletree Logistics Trust.
Along with this, I had achieved my target of an average contribution of $5000/annum to SRS since 2007.
I'm looking at a good entry price for another counter with these available funds in my SRS account, possibly M1/Suntec Reit/First Reit/Singpost for dividend yield or Breadtalk/Capitaland for capital growth.
On a side note, the tax savings from my SRS contributions in 2010 (for YA2011) amount to $637.50.
More details of SRS can be found at Ministry of Finance website.
Monday, December 27, 2010
Inflation Rate in Singapore
It was recently reported in the news that inflation rate in Singapore hit 3.8% in November; the highest since Jan 2009.
The MAS uses the currency instead of interest rates to manage inflation, which it forecasts will average between 2.5% and 3.5% this year.
From 1962 until 2010, the average inflation rate in Singapore was 2.73%.
To illustrate how inflation rate will erode our savings:
$100,000 after 25years @ 2% Inflation Rate => $60,346
$100,000 after 25years @ 2.5% Inflation Rate => $53,103
$100,000 after 25years @ 3% Inflation Rate => $46,697
$100,000 after 25years @ 3.5% Inflation Rate => $41,038
$100,000 after 25years @ 4% Inflation Rate =>$36,040
$100,000 after 30years @ 2% Inflation Rate =>$54,548
$100,000 after 30years @ 2.5% Inflation Rate => $46,788
$100,000 after 30years @ 3% Inflation Rate => $40,101
$100,000 after 30years @ 3.5% Inflation Rate => $34,342
$100,000 after 30years @ 4% Inflation Rate => $29,386
$100,000 after 35years @ 2% Inflation Rate => $49,307
$100,000 after 35years @ 2.5% Inflation Rate => $41,225
$100,000 after 35years @ 3% Inflation Rate => $34,436
$100,000 after 35years @ 3.5% Inflation Rate => $28,738
$100,000 after 35years @ 4% Inflation Rate => $23,960
A minimum inflation rate of 2% is used as this is the same that financial planner/adviser will adopt.
I presume that those interested to kickstart financial planning will be those from 25 to 35years old. Thus, a period of 25, 30 & 35 years is used to calculate the future value, i.e. when one's age ranges from 50 to 65years old.
For example, if I'm 30years old now , my present $100,000 will be "worth" only $54,548 when I'm 60years old, with inflation rate being 2%. The future value will drop about 50%!
More importantly, this means that during our financial planning (which could encompass retirement funds, insurance coverage, children's education funds etc), we will need to consciously take into considerations the effect of inflation.
The MAS uses the currency instead of interest rates to manage inflation, which it forecasts will average between 2.5% and 3.5% this year.
From 1962 until 2010, the average inflation rate in Singapore was 2.73%.
To illustrate how inflation rate will erode our savings:
$100,000 after 25years @ 2% Inflation Rate => $60,346
$100,000 after 25years @ 2.5% Inflation Rate => $53,103
$100,000 after 25years @ 3% Inflation Rate => $46,697
$100,000 after 25years @ 3.5% Inflation Rate => $41,038
$100,000 after 25years @ 4% Inflation Rate =>$36,040
$100,000 after 30years @ 2% Inflation Rate =>$54,548
$100,000 after 30years @ 2.5% Inflation Rate => $46,788
$100,000 after 30years @ 3% Inflation Rate => $40,101
$100,000 after 30years @ 3.5% Inflation Rate => $34,342
$100,000 after 30years @ 4% Inflation Rate => $29,386
$100,000 after 35years @ 2% Inflation Rate => $49,307
$100,000 after 35years @ 2.5% Inflation Rate => $41,225
$100,000 after 35years @ 3% Inflation Rate => $34,436
$100,000 after 35years @ 3.5% Inflation Rate => $28,738
$100,000 after 35years @ 4% Inflation Rate => $23,960
A minimum inflation rate of 2% is used as this is the same that financial planner/adviser will adopt.
I presume that those interested to kickstart financial planning will be those from 25 to 35years old. Thus, a period of 25, 30 & 35 years is used to calculate the future value, i.e. when one's age ranges from 50 to 65years old.
For example, if I'm 30years old now , my present $100,000 will be "worth" only $54,548 when I'm 60years old, with inflation rate being 2%. The future value will drop about 50%!
More importantly, this means that during our financial planning (which could encompass retirement funds, insurance coverage, children's education funds etc), we will need to consciously take into considerations the effect of inflation.
Friday, December 24, 2010
SRS (Supplementary Retirement Scheme)
SRS is one of my 3 main modes for savings and increasing my retirement funds as described here.
Important features of SRS:
- Amount contributed yearly to SRS will be eligible for tax relief.
- Maximum annual contribution is S$11475.
- Funds in SRS account could be used for Fixed Deposit, Single Premium insurance products (such as endowment, annuity), bonds, unit trusts and stocks (except for direct property purchase).
- Investment proceeds are returned to the SRS account.
- Funds in SRS could only be withdrawn upon reaching the statutory retirement age prevailing at the time of one's first contribution. Premature withdrawal will incur 5% penalty fees (unless on death, medical grounds or bankruptcy).
- Only 50% of the withdrawals from SRS are taxable at retirement. Amount withdrawn in a year will be considered as part of income for that year and thus, the income tax rates will depend on the total taxable income for that year. For premature withdrawals, 100% of the amount withdrawn will be taxable (50% for withdrawals on death, medical grounds or bankruptcy).
- Withdrawals on or after, the statutory retirement age prevailing at the time of one's first contribution, could be spread over a maximum of 10 years. This could further reduce the taxes to be paid.
All these seemed attractive to me as I could save on current taxes and yet can invest the contributions too. Thus, I targetted to contribute S$5000 annually to SRS since year 2007.
I purchased stocks using the available funds in my SRS account since 2008 and have satisfactory returns in the past 3 years. More details will be in my year end review of my SRS funds.
Last day of contribution to SRS will be 31 Dec to be eligible for tax relief for YA2011.
More details at Ministry of Finance website.
Important features of SRS:
- Amount contributed yearly to SRS will be eligible for tax relief.
- Maximum annual contribution is S$11475.
- Funds in SRS account could be used for Fixed Deposit, Single Premium insurance products (such as endowment, annuity), bonds, unit trusts and stocks (except for direct property purchase).
- Investment proceeds are returned to the SRS account.
- Funds in SRS could only be withdrawn upon reaching the statutory retirement age prevailing at the time of one's first contribution. Premature withdrawal will incur 5% penalty fees (unless on death, medical grounds or bankruptcy).
- Only 50% of the withdrawals from SRS are taxable at retirement. Amount withdrawn in a year will be considered as part of income for that year and thus, the income tax rates will depend on the total taxable income for that year. For premature withdrawals, 100% of the amount withdrawn will be taxable (50% for withdrawals on death, medical grounds or bankruptcy).
- Withdrawals on or after, the statutory retirement age prevailing at the time of one's first contribution, could be spread over a maximum of 10 years. This could further reduce the taxes to be paid.
All these seemed attractive to me as I could save on current taxes and yet can invest the contributions too. Thus, I targetted to contribute S$5000 annually to SRS since year 2007.
I purchased stocks using the available funds in my SRS account since 2008 and have satisfactory returns in the past 3 years. More details will be in my year end review of my SRS funds.
Last day of contribution to SRS will be 31 Dec to be eligible for tax relief for YA2011.
More details at Ministry of Finance website.
Thursday, December 23, 2010
PSBP (Phillip Share Builders Plan)
I mentioned that I make regular monthly purchases of stocks via the PSBP (Phillip Share Builders Plan).
Before this, I used to do RSP (Regular Savings Plan) of $600 monthly via FSM (Fundsupermart) into Asia Pacific Ex Japan Unit Trusts. The charges incurred back then were typically:
- One time sales charge of 1.5 to 2% for lump sum purchase of equity Unit Trusts (no charge for selling)
- Fees of 1 to 1.5% for monthly RSP of equity Unit Trusts
I'm not really into UT (Unit Trusts) but it can offer diversification (in terms of geographical & sector) as well as DCA (Dollar Cost Averaging) via monthly RSPs.
However, as I got to read about the PSBP available from POEMS, I did some research & facts finding.
Concept & Critical Information
- Same concept of monthly RSP (minimum of $100/month)
- 19 share counters available (18 STI Component stocks and STI ETF)
- Monthly fees depend on investment amount & number of selected counters
- Client is entitled to dividend, if any, issued by parent company
- Purchased units are in custody of Phillip Securities (if one transfers to his own CDP account after sometime, costs incurred will be $10.70 per counter by CDP & $10.70 per counter by Phillip Securities)
Fees
Some calculations for varying investment amount & number of selected counters:
Investment Amount $300, 1/2 Counters, 2.14% Fees
Investment Amount $300, 3 Counters, 3.57% Fees
Investment Amount $500, 1/2 Counters, 1.28% Fees
Investment Amount $500, 3 Counters, 2.14% Fees
Investment Amount $700, 1/2 Counters, 0.92% Fees
Investment Amount $700, 3 Counters, 1.53% Fees
Investment Amount $1000, 1/2 Counters, 0.64% Fees
Investment Amount $1000, 3 Counters, 1.07% Fees
Investment Amount $1100, 1/2 Counters, 0.97% Fees
Investment Amount $1100, 3 Counters, 0.97% Fees
Note:
a. Turning point is when investment amount is above $1000 or more than 2 counters are purchased
b. For investment amount more than $1000, the fees will be the same for any number of counters purchased
For investment amounts less than $500 (1 or 2 counters), the fees are even more than UT.
Thus, to lower the fees to a level that it will not be more than UT, one will have to consider the amount he can afford monthly for the RSP as well as the number of counters to be purchased.
Counters Available
The counters are all STI Component stocks are thus, the risk is controlled in this sense. And the bonus is that the STI ETF is in the list as well which is essentially an ETF (Exchange Traded Fund) that tracks the STI (Straits Time Index). Essentially, the STI ETF is similar to the concept of UT. At the moment, I cannot find any platform that enables one to RSP into STI ETF directly (I might be ignorant here so if anyone know of any, pls let me know!).
Own Investment
I decided that I will terminate my UT's RSP and sign up for a PSBP account:
- Monthly Investment Amount of $700
I can afford to add $100 to the $600 that I had already committed to UT's RSP. This will also lower the fees to less than 1% (0.92%).
- 2 Counters ($400 on SGX & $300 on STI ETF)
STI ETF is definitely one of my selection due to the reasons above!
As for the second one, it was a difficult choice as there are quite a few that I'm interested in. Eventually, I chose SGX mainly because that it's the "mother of all shares in Singapore" and it will take a while for me to save up to even buy 1 lot given its price of $7 to $8 back then (may as well DCA for it).
I invested via PSBP for about 1.5year so far and are earning some profits. I'll further share about this during my year end portfolio update.
My Opinion
This is a good alternative beside Unit Trusts & ILP for those looking into saving/investing an amount monthly or looking for ways to make disciplined savings.
More information @POEMS
Before this, I used to do RSP (Regular Savings Plan) of $600 monthly via FSM (Fundsupermart) into Asia Pacific Ex Japan Unit Trusts. The charges incurred back then were typically:
- One time sales charge of 1.5 to 2% for lump sum purchase of equity Unit Trusts (no charge for selling)
- Fees of 1 to 1.5% for monthly RSP of equity Unit Trusts
I'm not really into UT (Unit Trusts) but it can offer diversification (in terms of geographical & sector) as well as DCA (Dollar Cost Averaging) via monthly RSPs.
However, as I got to read about the PSBP available from POEMS, I did some research & facts finding.
Concept & Critical Information
- Same concept of monthly RSP (minimum of $100/month)
- 19 share counters available (18 STI Component stocks and STI ETF)
- Monthly fees depend on investment amount & number of selected counters
- Client is entitled to dividend, if any, issued by parent company
- Purchased units are in custody of Phillip Securities (if one transfers to his own CDP account after sometime, costs incurred will be $10.70 per counter by CDP & $10.70 per counter by Phillip Securities)
Fees
Some calculations for varying investment amount & number of selected counters:
Investment Amount $300, 1/2 Counters, 2.14% Fees
Investment Amount $300, 3 Counters, 3.57% Fees
Investment Amount $500, 1/2 Counters, 1.28% Fees
Investment Amount $500, 3 Counters, 2.14% Fees
Investment Amount $700, 1/2 Counters, 0.92% Fees
Investment Amount $700, 3 Counters, 1.53% Fees
Investment Amount $1000, 1/2 Counters, 0.64% Fees
Investment Amount $1000, 3 Counters, 1.07% Fees
Investment Amount $1100, 1/2 Counters, 0.97% Fees
Investment Amount $1100, 3 Counters, 0.97% Fees
Note:
a. Turning point is when investment amount is above $1000 or more than 2 counters are purchased
b. For investment amount more than $1000, the fees will be the same for any number of counters purchased
For investment amounts less than $500 (1 or 2 counters), the fees are even more than UT.
Thus, to lower the fees to a level that it will not be more than UT, one will have to consider the amount he can afford monthly for the RSP as well as the number of counters to be purchased.
Counters Available
The counters are all STI Component stocks are thus, the risk is controlled in this sense. And the bonus is that the STI ETF is in the list as well which is essentially an ETF (Exchange Traded Fund) that tracks the STI (Straits Time Index). Essentially, the STI ETF is similar to the concept of UT. At the moment, I cannot find any platform that enables one to RSP into STI ETF directly (I might be ignorant here so if anyone know of any, pls let me know!).
Own Investment
I decided that I will terminate my UT's RSP and sign up for a PSBP account:
- Monthly Investment Amount of $700
I can afford to add $100 to the $600 that I had already committed to UT's RSP. This will also lower the fees to less than 1% (0.92%).
- 2 Counters ($400 on SGX & $300 on STI ETF)
STI ETF is definitely one of my selection due to the reasons above!
As for the second one, it was a difficult choice as there are quite a few that I'm interested in. Eventually, I chose SGX mainly because that it's the "mother of all shares in Singapore" and it will take a while for me to save up to even buy 1 lot given its price of $7 to $8 back then (may as well DCA for it).
I invested via PSBP for about 1.5year so far and are earning some profits. I'll further share about this during my year end portfolio update.
My Opinion
This is a good alternative beside Unit Trusts & ILP for those looking into saving/investing an amount monthly or looking for ways to make disciplined savings.
More information @POEMS
Purchase of Postage Stamps/Labels
I usually purchase postable labels from SAM Machines as it's so convenient (I can even weigh my letters/cards for the correct value of the postage) and practically "queueless".
Yesterday, after volunteering at a Christmas charity event, I further leveraged on my motorbike day parking coupon since I was on leave and parked at a HDB MSCP near Hougang Mall while on my way back home.
After settling a few banking matters, I went to Singpost intending to buy some postage stamps from the counters. The queue was at least 20pax long but luckily Counter 1 is for collecting/sending of parcels & purchase of postage stamps and there was only a couple there! I requested to buy 10 standard (26cents) postage stamps and I paid only $2.40 as compared to the $2.60 value!
Nothing great about this with reference to the absolute value but hey, at least it's some savings (7.69%). The % is comparable to credit card discounts at petrol kiosks, some restaurants of 5% and dividend yield of numerous stocks! For SMEs or small businesses that do not have prepaid envelopes and yet utilise postage stamps extensively, this might have more substantial savings for them.
Yesterday, after volunteering at a Christmas charity event, I further leveraged on my motorbike day parking coupon since I was on leave and parked at a HDB MSCP near Hougang Mall while on my way back home.
After settling a few banking matters, I went to Singpost intending to buy some postage stamps from the counters. The queue was at least 20pax long but luckily Counter 1 is for collecting/sending of parcels & purchase of postage stamps and there was only a couple there! I requested to buy 10 standard (26cents) postage stamps and I paid only $2.40 as compared to the $2.60 value!
Nothing great about this with reference to the absolute value but hey, at least it's some savings (7.69%). The % is comparable to credit card discounts at petrol kiosks, some restaurants of 5% and dividend yield of numerous stocks! For SMEs or small businesses that do not have prepaid envelopes and yet utilise postage stamps extensively, this might have more substantial savings for them.
Back after a long break
I'm back in this blog after almost 1 year... been crazy with busy workload till May 2010.. and since May, I was posted to another unit and that might have made things worse for a few months till Nov as I had to juggle between a few projects that I held on from my previous portfolio.
Things have more or less been stabilised after Nov though.
I'll start to blog weekly again! But with a wider focus now on financial planning as a whole, thus including insurance planning, personal budgeting etc.
Things have more or less been stabilised after Nov though.
I'll start to blog weekly again! But with a wider focus now on financial planning as a whole, thus including insurance planning, personal budgeting etc.
Sunday, January 24, 2010
Singpost - Announcement of Results for 3rd Quarter & 9months ending 30 Dec 09 (29 Jan 2010)
Singpost will be announcing its results (for 3rd Quarter & 9months ending 30 Dec 09) on Fri, 29 Jan 2010, after the trading hours.
Time for Singpost's dividends again :)
Time for Singpost's dividends again :)
Outlook for Mon, 25 Jan 2010
Dow Jones had been down 200+ points each day for the past 2 days after US's news on the measures on banks.
STI has been down for past few days too. I'll adopt a nimble & fast in/fast out strategy in the next few weeks for my short term holdings and take profit/cut loss asap.
STI has been down for past few days too. I'll adopt a nimble & fast in/fast out strategy in the next few weeks for my short term holdings and take profit/cut loss asap.
DBS Vickers Online Trading Account
My trading account was activated and I received the passwords' mailers etc 1 week ago.
The platform/interface looks quite impressive to me. Will be slowly transitting my cash trading to this account as the "cash upfront feature" offers only 0.18% or $18 minimum commission fees.
The platform/interface looks quite impressive to me. Will be slowly transitting my cash trading to this account as the "cash upfront feature" offers only 0.18% or $18 minimum commission fees.
Genting Singapore
Bought 2,000 shares of Genting in 2007 and after the rights issue in 2008, bought another 10,000 shares.
Current holdings including subscription to the rights: 13,200 shares.
Looks that this counter is following the analyst reports from banks.
Already missed twice to take profit when the price hit $1.25 to $1.30 region; in fact, I actually queued to sell @$1.30 early this week but didn't quite monitor it so missed it. Will be monitoring it more closely from now onwards.
Current holdings including subscription to the rights: 13,200 shares.
Looks that this counter is following the analyst reports from banks.
Already missed twice to take profit when the price hit $1.25 to $1.30 region; in fact, I actually queued to sell @$1.30 early this week but didn't quite monitor it so missed it. Will be monitoring it more closely from now onwards.
Trades for the week 11 Jan - 15 Jan 2010
Bought:
Stamford Land - 6,000 shares @ $0.43667 (11 Jan 2010) (combination of 1,000 share @ $0.42 & 5,000 shares @ $0.44) - SRS
Uni-Asia Finance - 5000 shares @ $0.54 (12 Jan 2010)
Sold:
Allgreen Properties - 8,000 shares @ $1.30 (14 Jan 2010) - CPFOAIS
Stamford Land
According to Watchlist I, my target price is $0.42. Actually placed my order for 6,000 shares @ $0.42, but initially the order was only partially filled for 1,000 shares @ $0.42 (which was a day-low for 11 Jan 2010) and subsequently the price shot up to $0.45 on the same day. I was hesitating on whether to change my price for queuing for the remaining 5,000 shares so that the commission fee will not be wasted. Eventually, I so decided to queue for the remaining 5000 shares @ $0.44 which was eventually filled. I hate this when only 1,000 shares are fulfilled when I place an order of more and having to make the decision of buying more on the same day or leaving as it is.
- Will be holding this for Long term capital gain in my SRS investment portfolio
Uni-Asia Finance
- Looking at short term trading
Allgreen Properties
- Bought @$1.23, sold @$1.30 - Profit of $480.25 after commission fees (CPFOAIS)
2010 Realised Profit to date: $480.25 (CPFOAIS)
2010 Dividends received to date: Nil
Stamford Land - 6,000 shares @ $0.43667 (11 Jan 2010) (combination of 1,000 share @ $0.42 & 5,000 shares @ $0.44) - SRS
Uni-Asia Finance - 5000 shares @ $0.54 (12 Jan 2010)
Sold:
Allgreen Properties - 8,000 shares @ $1.30 (14 Jan 2010) - CPFOAIS
Stamford Land
According to Watchlist I, my target price is $0.42. Actually placed my order for 6,000 shares @ $0.42, but initially the order was only partially filled for 1,000 shares @ $0.42 (which was a day-low for 11 Jan 2010) and subsequently the price shot up to $0.45 on the same day. I was hesitating on whether to change my price for queuing for the remaining 5,000 shares so that the commission fee will not be wasted. Eventually, I so decided to queue for the remaining 5000 shares @ $0.44 which was eventually filled. I hate this when only 1,000 shares are fulfilled when I place an order of more and having to make the decision of buying more on the same day or leaving as it is.
- Will be holding this for Long term capital gain in my SRS investment portfolio
Uni-Asia Finance
- Looking at short term trading
Allgreen Properties
- Bought @$1.23, sold @$1.30 - Profit of $480.25 after commission fees (CPFOAIS)
2010 Realised Profit to date: $480.25 (CPFOAIS)
2010 Dividends received to date: Nil
Sunday, January 17, 2010
CDP - Central Depository (Pte) Limited
A Direct Securities Account will need to be opened with CDP if one wishes to invest in the stock market in the Singapore Exchange. This account will track your entire shareholdings portfolio in the Singapore Exchange. Only 1 such account is required regardless of the number of brokerage agents/houses you use.
When you sign-up for your very first trading account, that brokerage house will actually ask you to complete the forms for CDP account opening as well as for linking the trading account to the newly opened CDP account. Subsequently, when you open any other trading account, the only CDP forms you will have to complete is for linkage of the new trading account to your existing CDP account.
You can also sign-up for internet access for your CDP account so that you can access your monthly statement via the internet (for both previous & current months).
More details & online sign-up: CDP Internet Access
More information @CDP Website
When you sign-up for your very first trading account, that brokerage house will actually ask you to complete the forms for CDP account opening as well as for linking the trading account to the newly opened CDP account. Subsequently, when you open any other trading account, the only CDP forms you will have to complete is for linkage of the new trading account to your existing CDP account.
You can also sign-up for internet access for your CDP account so that you can access your monthly statement via the internet (for both previous & current months).
More details & online sign-up: CDP Internet Access
More information @CDP Website
Taking stock of the Dividends received - Updates
Updates to the earlier post: Taking stock of the Dividends received
I just received the annual statement from CDP for year 2009 detailing all the trades, rights subscribed etc, including the dividends received (the statement is more than 10pages!!).
With this help of this statement, I will be able to track and calculate the details of dividends received (i.e. date, amount, date, counter etc) in year 2009.
Thus, there's a change of plan - I will calculate the total dividends received in year 2009 and deposit the total amount into my designated Fairprice Plus Saving Account by end Mar 10.
The tracking of my dividends will thus be from 2009 onwards.
I just received the annual statement from CDP for year 2009 detailing all the trades, rights subscribed etc, including the dividends received (the statement is more than 10pages!!).
With this help of this statement, I will be able to track and calculate the details of dividends received (i.e. date, amount, date, counter etc) in year 2009.
Thus, there's a change of plan - I will calculate the total dividends received in year 2009 and deposit the total amount into my designated Fairprice Plus Saving Account by end Mar 10.
The tracking of my dividends will thus be from 2009 onwards.
Saturday, January 16, 2010
Singpost
Went to Singpost Building on Wed evening to mail a parcel containing my old Seagate 160Gb Harddisk that I need to send to Seagate distributor for repair since it's still under warranty.
This reminded me to blog about Singpost as a listed company in Singapore Exchange.
Singpost - Last done $1.02
Dividend - Since FY2006/07, Singpost has been distributing a quarterly dividend for a total of 6.25cents for each FY
Dividend Yield - 6.13% pa (based on last done price of $1.02)
I have been holding 5lots of Singpost since 15 Aug 2008 at a purchase price of $1.01 (dividend yield of 6.19% pa based on my purchase price). I were attracted by this counter mainly due to its nice dividend yield and I firmly believe that its business and operations will still continue to grow.
Past share price performance:
- Mostly trading at least or above $1.20 from Jun to Oct 07 before the financial meltdown
- During the recent financial crisis
-> Low on 29 Oct 08 when it traded at day-low of $0.61 and closed at $0.63.
-> Low on 05 Mar 09 when it traded at day-low of $0.74 and closed at $0.75.
- After briefly touching day-high of $1.00 on 11 Dec 09, it had hovered around $0.96 to $0.99 till the 1st trading day after the Christmas holidays, 28 Dec 09, when it traded at a close range of $0.99 to $1.00 and finally broke the barrier to close at $1.00 exactly on this day. After this, the price never looked back and has been trading at a range of $1.00 to $1.03. At this pricing, the dividend yield is still pretty decent (at least 6%).
The growth of Singpost is not as great as many others out there but the dividend yield is pretty decent and it's also a defensive play. It currently monopolises our local posting/mailing scene and also owns the Singapore Post Centre building at Eunos (just opposite Paya Lebar MRT Station) which also presents a great potential to unlock the building's value.
Action:
I will still continue to hold on to my 5lots of Singpost in my "long term holding for dividend gain" portfolio and will even load more during the next major market correction/crisis. This forms part of my conservative segment in my portfolio.
More information and updates @Singpost Investor Relations
This reminded me to blog about Singpost as a listed company in Singapore Exchange.
Singpost - Last done $1.02
Dividend - Since FY2006/07, Singpost has been distributing a quarterly dividend for a total of 6.25cents for each FY
Dividend Yield - 6.13% pa (based on last done price of $1.02)
I have been holding 5lots of Singpost since 15 Aug 2008 at a purchase price of $1.01 (dividend yield of 6.19% pa based on my purchase price). I were attracted by this counter mainly due to its nice dividend yield and I firmly believe that its business and operations will still continue to grow.
Past share price performance:
- Mostly trading at least or above $1.20 from Jun to Oct 07 before the financial meltdown
- During the recent financial crisis
-> Low on 29 Oct 08 when it traded at day-low of $0.61 and closed at $0.63.
-> Low on 05 Mar 09 when it traded at day-low of $0.74 and closed at $0.75.
- After briefly touching day-high of $1.00 on 11 Dec 09, it had hovered around $0.96 to $0.99 till the 1st trading day after the Christmas holidays, 28 Dec 09, when it traded at a close range of $0.99 to $1.00 and finally broke the barrier to close at $1.00 exactly on this day. After this, the price never looked back and has been trading at a range of $1.00 to $1.03. At this pricing, the dividend yield is still pretty decent (at least 6%).
The growth of Singpost is not as great as many others out there but the dividend yield is pretty decent and it's also a defensive play. It currently monopolises our local posting/mailing scene and also owns the Singapore Post Centre building at Eunos (just opposite Paya Lebar MRT Station) which also presents a great potential to unlock the building's value.
Action:
I will still continue to hold on to my 5lots of Singpost in my "long term holding for dividend gain" portfolio and will even load more during the next major market correction/crisis. This forms part of my conservative segment in my portfolio.
More information and updates @Singpost Investor Relations
Tuesday, January 12, 2010
Watchlist I - Updates
Updates to the earlier post: Watchlist I
12 Jan 10
- Ausgroup: Closed at $0.685 (Day high of $0.73 & day low of $0.675), dropped $0.045 (6.164%)
- Singtel: Closed at $2.97 (Day high of $3.03 & day low of $2.97), dropped $0.05 (1.655%)
Both appeared in Top 20 Volume list.
It's getting interesting as both have retraced today after hitting recent highs during the past few weeks. Will see how they perform the next 2 days.
12 Jan 10
- Ausgroup: Closed at $0.685 (Day high of $0.73 & day low of $0.675), dropped $0.045 (6.164%)
- Singtel: Closed at $2.97 (Day high of $3.03 & day low of $2.97), dropped $0.05 (1.655%)
Both appeared in Top 20 Volume list.
It's getting interesting as both have retraced today after hitting recent highs during the past few weeks. Will see how they perform the next 2 days.
Sunday, January 10, 2010
Taking stock of the Dividends received
I have been receiving dividend payouts regularly, quarterly & half-yearly, from my dividend counters (mainly from Singpost, Starhub, Hyflux WaterTrust, First REIT).
As these dividends are deposited into my POSB Saving Account (as maintained with CDP), I usually take these amounts as my cash flow and did not really take note of them.
As my long term plan is to re-invest the dividends received once the amount reach a sufficient level, I'll begin to deposit the dividends received from Jan 2010 onwards to a dedicated Savings Account. This will consolidate the dividends as well as take stock of the amount.
I'm designating my Fairprice Plus Saving Account for this purpose due to the following:
- Higher interest rate than POSB & UOB (0.30% pa for the first $50,000)
- My savings account of POSB, UOB and Citibank are also used for funds transfer, GIRO, credit card bills payment, online trading etc
- Proximity of OCBC ATM & Cash Deposit Machines @Hougang Point which is just across the main road from my HDB block (Fairprice Plus Saving Account is a tie-up between NTUC Fairprice & OCBC and thus one can access the Fairprice Plus Saving Account via OCBC ATM/Cash Deposit Machines)
WIth this consolidation, I hope that I can easily monitor the dividends received and re-invest them at a suitable timing.
As these dividends are deposited into my POSB Saving Account (as maintained with CDP), I usually take these amounts as my cash flow and did not really take note of them.
As my long term plan is to re-invest the dividends received once the amount reach a sufficient level, I'll begin to deposit the dividends received from Jan 2010 onwards to a dedicated Savings Account. This will consolidate the dividends as well as take stock of the amount.
I'm designating my Fairprice Plus Saving Account for this purpose due to the following:
- Higher interest rate than POSB & UOB (0.30% pa for the first $50,000)
- My savings account of POSB, UOB and Citibank are also used for funds transfer, GIRO, credit card bills payment, online trading etc
- Proximity of OCBC ATM & Cash Deposit Machines @Hougang Point which is just across the main road from my HDB block (Fairprice Plus Saving Account is a tie-up between NTUC Fairprice & OCBC and thus one can access the Fairprice Plus Saving Account via OCBC ATM/Cash Deposit Machines)
WIth this consolidation, I hope that I can easily monitor the dividends received and re-invest them at a suitable timing.
Watchlist I
A couple of those under my watchlist. Will grab some for long term holding if it hits my target price or below.
Ausgroup - $0.65, (Long term holding for Capital gain)
Last done $0.71
Provider of a range of products and services through fabrication, construction and integrated services to natural resource development companies.
Assists its clients to build, maintain and upgrade oil and gas production facilities, both onshore and offshore, surface and subsea and mineral resource materials handling and process facilities. Operates mainly in Australia and South East Asia.
Singtel - $2.91, (Long term holding for Capital gain & Dividend gain in CPFOAIS and/or SRS)
Last done $3.05, Yield of 4.10% (based on last done price of $3.05)
Well known Singapore Telco service provider; with overseas exposure
Parkway Life REIT - $1.22, (Long term holding for Capital gain & Dividend gain in CPFOAIS and/or SRS)
Last done $1.35, Yield of 5.67% (based on last done price of $1.35), Gearing of 23.2%
Asia's largest healthcare REIT; Investment Portfolio of 3 Hospitals & Medical Centres, 17 Nursing Homes, 1 pharmaceutical product distributing and manufacturing facility.
Owns the largest portfolio of strategically located private hospitals in Singapore, comprising Mount Elizabeth, Gleneagles Hospital and East Shore Hospital. In addition, it has 18 assets located in Japan, namely a pharmaceutical products distributing and manufacturing facility in Chiba prefecture and 17 high-quality nursing homes located in Chiba, Hyogo, Kanagawa, Osaka, Saitama, Fukuoka, Okayama and Tokyo.
Stamford Land - $0.42, (Long term holding for Capital gain)
Last done $0.43
Largest owner-cum-operator of luxury hotels in Australia. Focused approach in luxury brand positioning has proved to be highly successful in Australia and New Zealand for both our hotel and property development businesses.
My personal rationale for choosing the above 4 counters:
Ausgroup - Operations involve mineral resources, oil & gas production which are critical resources in the increasingly depleting natural resources climate
Singtel - Component of these indices: Straits Times Index, MSCI Singapore Country, MSCI Asia Pacific Telecommunications, MSCI Asia Pacific ex-Japan & S&P/ASX 200. In fact, Singtel is the biggest (12.95%) constituent of the STI (other top 2 are DBS [10.34%] & OCBC [8.75%]). It also has overseas exposure & investment with most of us being familiar with the Singtel (Optus) arm in Australia. Dividend yield is 4.30% based on personal target price of $2.91.
Parkway Life REIT - Parkway Life REIT is 1 of the only 2 REITs purely into Healthcare sector listed in Singapore Exchange. (I'm already vested in the other REIT counter; First REIT which has been giving me good Capital gain as well as Dividend gain). Sector of healthcare is going to be generally uptrend global wide. And in Singapore, it will be more so due to the aging population in Singapore as well as Singapore attempting to position itself as healthcare hub. The portfolio in Japan also serves as a diversified overseas assets.
Dividend yield is 6.27% based on personal target price of $1.22.
Stamford Land - Personally, I'm keen in its hotel and property development businesses based in Australia and New Zealand. I feel that popular tourism & investment in these 2 countries will reap this counter benefits.
It has recently announced the successful securing of a A$100m re-financing of facilities which will most probably boosts investors' confidence. This counter also has been lagging behind the stock market's surge in the recent few months.
Action:
Been starting to queue for Stamford Land @$0.42 starting from Friday, 08 Jan 10.
Ausgroup - $0.65, (Long term holding for Capital gain)
Last done $0.71
Provider of a range of products and services through fabrication, construction and integrated services to natural resource development companies.
Assists its clients to build, maintain and upgrade oil and gas production facilities, both onshore and offshore, surface and subsea and mineral resource materials handling and process facilities. Operates mainly in Australia and South East Asia.
Singtel - $2.91, (Long term holding for Capital gain & Dividend gain in CPFOAIS and/or SRS)
Last done $3.05, Yield of 4.10% (based on last done price of $3.05)
Well known Singapore Telco service provider; with overseas exposure
Parkway Life REIT - $1.22, (Long term holding for Capital gain & Dividend gain in CPFOAIS and/or SRS)
Last done $1.35, Yield of 5.67% (based on last done price of $1.35), Gearing of 23.2%
Asia's largest healthcare REIT; Investment Portfolio of 3 Hospitals & Medical Centres, 17 Nursing Homes, 1 pharmaceutical product distributing and manufacturing facility.
Owns the largest portfolio of strategically located private hospitals in Singapore, comprising Mount Elizabeth, Gleneagles Hospital and East Shore Hospital. In addition, it has 18 assets located in Japan, namely a pharmaceutical products distributing and manufacturing facility in Chiba prefecture and 17 high-quality nursing homes located in Chiba, Hyogo, Kanagawa, Osaka, Saitama, Fukuoka, Okayama and Tokyo.
Stamford Land - $0.42, (Long term holding for Capital gain)
Last done $0.43
Largest owner-cum-operator of luxury hotels in Australia. Focused approach in luxury brand positioning has proved to be highly successful in Australia and New Zealand for both our hotel and property development businesses.
My personal rationale for choosing the above 4 counters:
Ausgroup - Operations involve mineral resources, oil & gas production which are critical resources in the increasingly depleting natural resources climate
Singtel - Component of these indices: Straits Times Index, MSCI Singapore Country, MSCI Asia Pacific Telecommunications, MSCI Asia Pacific ex-Japan & S&P/ASX 200. In fact, Singtel is the biggest (12.95%) constituent of the STI (other top 2 are DBS [10.34%] & OCBC [8.75%]). It also has overseas exposure & investment with most of us being familiar with the Singtel (Optus) arm in Australia. Dividend yield is 4.30% based on personal target price of $2.91.
Parkway Life REIT - Parkway Life REIT is 1 of the only 2 REITs purely into Healthcare sector listed in Singapore Exchange. (I'm already vested in the other REIT counter; First REIT which has been giving me good Capital gain as well as Dividend gain). Sector of healthcare is going to be generally uptrend global wide. And in Singapore, it will be more so due to the aging population in Singapore as well as Singapore attempting to position itself as healthcare hub. The portfolio in Japan also serves as a diversified overseas assets.
Dividend yield is 6.27% based on personal target price of $1.22.
Stamford Land - Personally, I'm keen in its hotel and property development businesses based in Australia and New Zealand. I feel that popular tourism & investment in these 2 countries will reap this counter benefits.
It has recently announced the successful securing of a A$100m re-financing of facilities which will most probably boosts investors' confidence. This counter also has been lagging behind the stock market's surge in the recent few months.
Action:
Been starting to queue for Stamford Land @$0.42 starting from Friday, 08 Jan 10.
Trades for the week 04 Jan - 08 Jan 2010
Bought:
CDL Hospitality Trust (REIT) - 5000 shares @ $1.79 (08 Jan 2010)
Frasers Commercial Trust (REIT) - 20,000 shares @ $0.15 (08 Jan 2010)
CDL Hospitality Trusts
Yield of 4.52% (based on purchase price of $1.79), Gearing of 20.2%
- Looking to contra within next week
Frasers Commercial Trust
Yield of 5.33% (based on purchase price of $0.15), Gearing of 38.9%
- Looking at short term trading as it has not been rising much after most of the REITs have had their share of rising. Just missed Parkway Life REIT's surge from $1.20/.22 to $1.38 this week although I have been monitoring this for a few months and place it as one of the buys for this week, so too bad just missed it by a few days.
2010 Realised Profit to date: Nil
2010 Dividends received to date: Nil
CDL Hospitality Trust (REIT) - 5000 shares @ $1.79 (08 Jan 2010)
Frasers Commercial Trust (REIT) - 20,000 shares @ $0.15 (08 Jan 2010)
CDL Hospitality Trusts
Yield of 4.52% (based on purchase price of $1.79), Gearing of 20.2%
- Looking to contra within next week
Frasers Commercial Trust
Yield of 5.33% (based on purchase price of $0.15), Gearing of 38.9%
- Looking at short term trading as it has not been rising much after most of the REITs have had their share of rising. Just missed Parkway Life REIT's surge from $1.20/.22 to $1.38 this week although I have been monitoring this for a few months and place it as one of the buys for this week, so too bad just missed it by a few days.
2010 Realised Profit to date: Nil
2010 Dividends received to date: Nil
My Own Financial Investment Strategy II
More details after this post "My Own Financial Investment Strategy".
a) Cash
Mixture of long term holdings (for both Capital Growth & regular Dividend Gain), short term holdings (for Capital Growth) and Contra trades
- My main source of cash comes from my monthly salary and annual bonus etc and of course the capital & dividend gain from my stocks. Besides making purchases of stocks via the Singapore Exchange, I also make regular monthly purchases via the PSBP (Phillip Share Builders Plan) =>more details about the PSBP in another post soon.
- Another diversification I made in the recent few months is via Land Banking by Walton. An ex-colleague left his job to join Walton and introduced me to this concept. I'm pretty convinced by it and thus decided to invest in 1 unit which costs USD10,000 (the particular project which I'm invested in has a target timeframe of about 2 to 4 years). One of the major cons of Land Banking is that these are not regulated by MAS (Monetary Authority of Singapore) or any other authority in Singapore yet. But so what if stocks/listed firms are regulated? Some still delist at a much lower price than their IPO price or much lower than the high price at which many bought during the boom; most recent example being Chartered Semi-Conductor. Thus, I treat my investment into Land Banking as a form of diversification in terms of geographical as well as sector aspects.
- I'm aiming to achieve a minimum of 10% pa (per annum) via dividend and/or capital gain.
b) SRS (Supplementary Retirement Scheme)
Mixture of long term holdings (for both Capital Growth & regular Dividend Gain), short term holdings (for Capital Growth)
- I target to deposit an average of $5,000 into my SRS account per annum.
Since the cash in the SRS account couldn't be withdrawn till retirement age(unless one is willing to pay the penalty fees or on medical grounds etc), I will be investing the deposits in this account on stocks rather than earning the little interest by the bank.
- I'm aiming to achieve a minimum of 10% pa (per annum) via dividend and/or capital gain.
- Most of my friends/colleagues/financial planner to whom I mentioned that I making regular annual contributions to my SRS account are quite surprised that I started to do so from age of 28. I'll touch more upon the details of SRS and why I chose to start it off much earlier than most.
c) CPFOAIS (CPF Ordinary Account Investment Scheme)
Mixture of long term holdings (for both Capital Growth & regular Dividend Gain), short term holdings (for Capital Growth)
- Since the CPF OA funds (beside those used for housing payments) will be locked in the CPF OA till retirement age or till the CPF Minimum Sum is reached, I'm using the spare CPF OA funds to purchase mainly Dividend counters, aiming to achieve a minimum of 8% pa (per annum) via dividend and/or capital gain.
My timeframe for short term holdings ranges from 1 week to 6 months and timeframe for long term holdings will be more than 6 months. At this moment, personally I'll not bring in the "medium term" tagging yet as I feel that if I can and choose to ride out the ups & downs of any counter (i.e. not selling for profit taking or cut-loss), most probably I'll continue to hold on to that counter for quite sometime.
a) Cash
Mixture of long term holdings (for both Capital Growth & regular Dividend Gain), short term holdings (for Capital Growth) and Contra trades
- My main source of cash comes from my monthly salary and annual bonus etc and of course the capital & dividend gain from my stocks. Besides making purchases of stocks via the Singapore Exchange, I also make regular monthly purchases via the PSBP (Phillip Share Builders Plan) =>more details about the PSBP in another post soon.
- Another diversification I made in the recent few months is via Land Banking by Walton. An ex-colleague left his job to join Walton and introduced me to this concept. I'm pretty convinced by it and thus decided to invest in 1 unit which costs USD10,000 (the particular project which I'm invested in has a target timeframe of about 2 to 4 years). One of the major cons of Land Banking is that these are not regulated by MAS (Monetary Authority of Singapore) or any other authority in Singapore yet. But so what if stocks/listed firms are regulated? Some still delist at a much lower price than their IPO price or much lower than the high price at which many bought during the boom; most recent example being Chartered Semi-Conductor. Thus, I treat my investment into Land Banking as a form of diversification in terms of geographical as well as sector aspects.
- I'm aiming to achieve a minimum of 10% pa (per annum) via dividend and/or capital gain.
b) SRS (Supplementary Retirement Scheme)
Mixture of long term holdings (for both Capital Growth & regular Dividend Gain), short term holdings (for Capital Growth)
- I target to deposit an average of $5,000 into my SRS account per annum.
Since the cash in the SRS account couldn't be withdrawn till retirement age(unless one is willing to pay the penalty fees or on medical grounds etc), I will be investing the deposits in this account on stocks rather than earning the little interest by the bank.
- I'm aiming to achieve a minimum of 10% pa (per annum) via dividend and/or capital gain.
- Most of my friends/colleagues/financial planner to whom I mentioned that I making regular annual contributions to my SRS account are quite surprised that I started to do so from age of 28. I'll touch more upon the details of SRS and why I chose to start it off much earlier than most.
c) CPFOAIS (CPF Ordinary Account Investment Scheme)
Mixture of long term holdings (for both Capital Growth & regular Dividend Gain), short term holdings (for Capital Growth)
- Since the CPF OA funds (beside those used for housing payments) will be locked in the CPF OA till retirement age or till the CPF Minimum Sum is reached, I'm using the spare CPF OA funds to purchase mainly Dividend counters, aiming to achieve a minimum of 8% pa (per annum) via dividend and/or capital gain.
My timeframe for short term holdings ranges from 1 week to 6 months and timeframe for long term holdings will be more than 6 months. At this moment, personally I'll not bring in the "medium term" tagging yet as I feel that if I can and choose to ride out the ups & downs of any counter (i.e. not selling for profit taking or cut-loss), most probably I'll continue to hold on to that counter for quite sometime.
Saturday, January 9, 2010
Brokerage House
The 2 brokerage that I use for my stocks purchase/sale are POEMS & CIMB.
Commission for Singapore Exchange:
1st 50k S$, online trading, non-advisory -
POEMS: 0.28%, minimum $25
CIMB: 0.275%, minimum $25
I have the Citibank Online Trading Account since Dec 09 but haven't used it for any trading yet. Mainly, I use it for SMS alert for those counters under my watchlist - I can preset the lower & upper limit for any counter and the system will send the alert via SMS and/or email once the counter reach this limit. I indeed received the SMS alerts for those counters that reached their respective preset limit. Since this service is free, I'll be testing for a few more weeks to see how "realtime" the alert is.
Recently, I applied for the DBS Vickers Online Trading Account just last week and waiting for the account to be activated & linked to CDP. The perks of this trading account is that for the "cash upfront mode" (i.e. if one links it to his/her DBS/POSB savings account and transfer sufficient cash to the trading account before buying each counter)the commission fees (for purchase) will only be 0.18% (S$18 minimum) for Singapore market. However, since the cash will need to be transferred prior to the trade and thus paid "upfront", Contra is not allowed using this mode. I will definitely use this account to purchase the counters that I'm not intending to Contra to lower the commission fees.
Commission for Singapore Exchange:
1st 50k S$, online trading, non-advisory -
POEMS: 0.28%, minimum $25
CIMB: 0.275%, minimum $25
I have the Citibank Online Trading Account since Dec 09 but haven't used it for any trading yet. Mainly, I use it for SMS alert for those counters under my watchlist - I can preset the lower & upper limit for any counter and the system will send the alert via SMS and/or email once the counter reach this limit. I indeed received the SMS alerts for those counters that reached their respective preset limit. Since this service is free, I'll be testing for a few more weeks to see how "realtime" the alert is.
Recently, I applied for the DBS Vickers Online Trading Account just last week and waiting for the account to be activated & linked to CDP. The perks of this trading account is that for the "cash upfront mode" (i.e. if one links it to his/her DBS/POSB savings account and transfer sufficient cash to the trading account before buying each counter)the commission fees (for purchase) will only be 0.18% (S$18 minimum) for Singapore market. However, since the cash will need to be transferred prior to the trade and thus paid "upfront", Contra is not allowed using this mode. I will definitely use this account to purchase the counters that I'm not intending to Contra to lower the commission fees.
My Own Financial Investment Strategy
Currently, I will categorise my financial investment into 3 main "pots".
a) Cash
b) SRS (Supplementary Retirement Scheme)
c) CPFOAIS (CPF Ordinary Account Investment Scheme)
As of January 2010, my 3 "pots" are invested into the following:
a) Cash - Equities & Land Banking
b) SRS - Equities
c) CPFOAIS - Equities
Thus, for now, the above 3 "pots" and investment avenues will form the base for my financial route.
a) Cash
b) SRS (Supplementary Retirement Scheme)
c) CPFOAIS (CPF Ordinary Account Investment Scheme)
As of January 2010, my 3 "pots" are invested into the following:
a) Cash - Equities & Land Banking
b) SRS - Equities
c) CPFOAIS - Equities
Thus, for now, the above 3 "pots" and investment avenues will form the base for my financial route.
Start of my financial blogging
Have been deliberating to start off at some place to record down my route of financial advancement. So here's it, serving to share my financial investment, saving & budgeting aspects.
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