As soon as we settle into working life we start to look forward to retirement - that great day when we can leave work for the last time and be free to enjoy our golden years. For most people, this happens at the birthday after you reach the government retirement age. Some people are lucky enough to have the financial security they need for early retirement. In either case, some form of retirement planning will be required. Retirement planning basically involves finding out the age that you will retire at and working towards saving enough money so that you will be able to live comfortably without drawing a salary when retirement comes.
The Retirement Age Act
In Singapore, the Retirement Age Act determines the minimum age of retirement. A person can currently retire the day before their 62nd birthday. This may change in the future, and as the average population ages the retirement age is likely to increase like it has in other countries. In some parts of Europe the retirement age is as high as 67 currently.
Employment Contracts
The employer should give the employee advance notice of their retirement unless their employment contract explicitly specifies it. It is also unnecessary for the employer to give any retirement benefit unless it is in the contract.
Employers do not have to retire an employee once they reach retirement age. If both are happy, then they can continue to work for as long as the employee remains fit and able to perform their duties.
Wage Reductions
To help companies in Singapore continue to employee older people, it is legal for them to reduce the wages of employees over the age of 60. This can be a straight salary reduction, or a reduction in any other employee-related costs such as bonus, benefits and pension contributions.
This can lead to experienced people losing up to 10% of their salary as soon as they celebrate their sixtieth birthday. Luckily, employers cannot just base the reduction on age alone, but must take into account other reasonable factors. These can include the employee’s ability to perform their duties fully as they age.
It is important to remember that the 10% is a maximum reduction and can be taken off in one chunk or in several smaller deductions. This allows the employer to effect a gradual reduction to the employee’s salary over a period of time.
Working after Retirement Age of 62
The Singapore Retirement Act does not allow for compulsory retirement at the age of 62, and neither does it stop anyone continuing to work beyond that age if they want to. Anyone who wants to continue working should arrange it with their employer. Re-employment after age 62 is also probably going to be a norm in the future.
Other Exceptions
Some fixed-term employment contracts are immune from the Retirement Act. People on these contracts can continue to work as normal and then retire at the end of the contract. A notification exists to the Retirement Act that specifies which people are exempt.
Conclusion
Retirement usually marks the end of your "paid" working life, and for many people it is something to look forward to. Others love work and try to continue working for as long as they possibly can. Whatever your views, it is important to know the laws in your country concerning retirement so that you know what are the likely scenarios (e.g. pay cut) when it is your time to retire.
"How to retire in Singapore?" is perhaps a question that is often on people's minds. For some people, it might even involve drastic moves like moving to a cheaper country to retire (read: Retire in Philippines). Well, if you are interested, you can also read some of my thoughts about retirement and let me know what you think.
Land Banking Investment Risks
[Photo credits: Image by kwerfeldein]
Land banking is an investment scheme where someone buys a piece of land and sells it later for a profit. Sometimes they divide the land into a number of smaller plots and sell each one to generate a profit. The investor can hold the rights to the land for a short time and make a quick profit or hold the position for years before selling the land.
Often the plot is a piece of pristine land that is agricultural in nature, but it can also be former industrial land which might be contaminated. If the landowner is able to get building permission to develop or rezone the land, it will increase the value of the land, and they can make a profit by selling it to a building developer. Sometimes the land is completely undeveloped and it might be possible to use it for farming.
Advantages of Land Banking
One of the great advantages of land banking over other kinds of investment is this: the investor owns something that physically exists. This is different to stock and commodity traders who own a certificate, a piece of the business which is not really tangible to certain people or in other more complex finance instruments, they are just "numbers on a computer". Land banking thus often appeals to a different kind of investor who like the idea that their investment is actually a tangible asset.
Problems with Land Banking
I have written previously to beware about land banking, primarily because it is often an unregulated investment in many countries. In a previous poll that I did on this blog, respondents also felt that land banking was one of the more toxic investments around. Most people in Singapore are also probably aware of the case surrounding Profitable Plots which was involved in land banking.
Like any other form of investment, the price of land can go down as well as up. If the piece of land contains industrial contamination or can never get permission for development then it becomes effectively worthless.
Another problem with land banking is that a number of unscrupulous people have used it as a way to defraud people. They buy a plot of cheap land and then produce fake documents that make it look like it is worth more than it actually is and sell it on to unsuspecting investors. The rogue land bankers just vanish with the money leaving the investors with a worthless tract of land.
Locations of the Land
Land bankers can, in theory, invest in land anywhere in the world. However, some countries have laws that prevent non-nationals from owning land. If you are considering investing in land it is important to consult a lawyer who is an expert in the laws where you are buying the land. This will help to prevent any legal problems surprising you in the future.
Environmental Issues
In some areas of the world, virgin land is being taken and cleared to become agricultural land. This virgin land is often some way from existing agricultural land and infrastructure making it cheap to purchase. The investor can then hold the rights on the land until the infrastructure moves closer to it. At this point, they can rent it out to farmers or sell it for a profit. It might also be that the land is in an area suitable for mining and the investor buys the land in the hope to sell it to a mining company. In either case, the government could decide that the land lies within a protected area
Buyers Beware
Land banking is one way for people to invest and actually have the feeling of owning something tangible. It can be a great way to make money, but it is also a risky business. Anyone considering this should probably get legal advice first and only risk money that they can afford to lose.
What Should I Do With My Annual Bonus?
The Sunday newspaper carried an article on how people were intending to spend their annual bonuses. While most have or were planning to spend it on holidays, clothes and IT gadgets, others were thinking about saving or investing a part of it.
The article got me thinking on what I ought to do with my annual bonus. Currently, it is seating in the bank and I realised that it is not being put to good use. One idea that I have been toying with is to pay off my car loan which is still outstanding. The idea of being a little closer to being debt free is just so appealing right now. By paying off my car loan, I will just be left with my housing mortgage loan.
Another idea will be to invest that sum of money in a mixture of REITs as well as monthly dividend stocks like Gamco Global Gold & Natural Resources Trust (GGN). This will serve as a passive income flow for me.
For REITs, I am choosing between Suntec REIT, Sabana REIT and LMIR Trust.
Any ideas or suggestions from anyone?
The article got me thinking on what I ought to do with my annual bonus. Currently, it is seating in the bank and I realised that it is not being put to good use. One idea that I have been toying with is to pay off my car loan which is still outstanding. The idea of being a little closer to being debt free is just so appealing right now. By paying off my car loan, I will just be left with my housing mortgage loan.
Another idea will be to invest that sum of money in a mixture of REITs as well as monthly dividend stocks like Gamco Global Gold & Natural Resources Trust (GGN). This will serve as a passive income flow for me.
For REITs, I am choosing between Suntec REIT, Sabana REIT and LMIR Trust.
Any ideas or suggestions from anyone?
Investing in Silver
Since man first discovered silver, it has been an object of desire for both its value and its use as a form of money. This usually means that investing in silver gives a good long-term return to the investment. Not too long ago, I wrote about buying silver in Singapore, how I was buying more silver (for collection purposes) and also some of my broader investment thoughts for 2012. Of course, I warn readers not to take what I write as any form of personal finance advice.
The Silver Market
The market for silver is not as big as the gold market, but is still worth an estimated $15 billion annually. Traditionally, the price of silver tracks the price of gold. The ratio was set by United States law at 1:15 in 1792, but price increases in both metals meant that the gold/silver ratio rose to over 1:60 in 2009. The price of silver has continued to rise and reached record levels in 2011, with the average price reaching $41.20 for one troy ounce.
Like most commodities, silver trades on a market with traders buying and selling the metal to make a profit. The London silver bullion market is one of the main places where it trades. Another is iShares.
Silver in Banks
In some countries investors can walk into a bank and buy silver bullion over the counter. This can then be taken home and stored in a safe or kept in a safe deposit box in the bank. It is even possible to store your silver in allocated or unallocated storage with a bank or dealer to keep it safe.
Silver comes in a variety of bars, including:
* 1000 oz troy bars (31 kg)
* 100 oz troy bars (3.11 kg)
* 1 kg bars
* 10 oz try bars (311 g)
* 1 oz troy bars (31.1 g)
* Odd weight bars
The most popular bars are the 100 oz troy, with popular brands including Engelhard and Johnson Matthey. The branded bars are usually worth more than unbranded or odd weight bars.
Investing in Silver
Silver can be both a long-term and short-term investment. In the short-term, investors can trade silver for a profit in the same way as any other commodity by always aiming to buy low and sell high. Market fluctuations can give profits on each trade, but also losses meaning that this can be a risky investment as one needs to know how to time the market (something I admit I am totally not good at!)
Over the longer term, the price of silver has generally risen, with a sharp rise over the last few years. This is great news for anyone that owned silver before 2005, but not so good for anyone thinking of investing now. Of course the market price could continue to rise, but nobody knows for sure and it could fall back down to earlier levels.
Over the past few years, investing in silver has been a great way to make money. The price has increased by eight times in 11 years and doubled since last year, but that does not mean that it is guaranteed to continue that way so never risk any money that you cannot afford to lose.
You might also be interested in reading the recent article on Investing in Gold.
[Picture credits to digitalmoneyworld]
The Silver Market
The market for silver is not as big as the gold market, but is still worth an estimated $15 billion annually. Traditionally, the price of silver tracks the price of gold. The ratio was set by United States law at 1:15 in 1792, but price increases in both metals meant that the gold/silver ratio rose to over 1:60 in 2009. The price of silver has continued to rise and reached record levels in 2011, with the average price reaching $41.20 for one troy ounce.
Like most commodities, silver trades on a market with traders buying and selling the metal to make a profit. The London silver bullion market is one of the main places where it trades. Another is iShares.
Silver in Banks
In some countries investors can walk into a bank and buy silver bullion over the counter. This can then be taken home and stored in a safe or kept in a safe deposit box in the bank. It is even possible to store your silver in allocated or unallocated storage with a bank or dealer to keep it safe.
Silver comes in a variety of bars, including:
* 1000 oz troy bars (31 kg)
* 100 oz troy bars (3.11 kg)
* 1 kg bars
* 10 oz try bars (311 g)
* 1 oz troy bars (31.1 g)
* Odd weight bars
The most popular bars are the 100 oz troy, with popular brands including Engelhard and Johnson Matthey. The branded bars are usually worth more than unbranded or odd weight bars.
Investing in Silver
Silver can be both a long-term and short-term investment. In the short-term, investors can trade silver for a profit in the same way as any other commodity by always aiming to buy low and sell high. Market fluctuations can give profits on each trade, but also losses meaning that this can be a risky investment as one needs to know how to time the market (something I admit I am totally not good at!)
Over the longer term, the price of silver has generally risen, with a sharp rise over the last few years. This is great news for anyone that owned silver before 2005, but not so good for anyone thinking of investing now. Of course the market price could continue to rise, but nobody knows for sure and it could fall back down to earlier levels.
Over the past few years, investing in silver has been a great way to make money. The price has increased by eight times in 11 years and doubled since last year, but that does not mean that it is guaranteed to continue that way so never risk any money that you cannot afford to lose.
You might also be interested in reading the recent article on Investing in Gold.
Investing In Gold
Gold is one of the most valuable and desirable substances known to man. For many years it has been a status symbol as well as a form of currency since the days before money. It is also the most popular material for making jewellery, with roughly half of all gold being used in this way.
Gold Price
For many years, the price of gold was a relative standard for currencies around the world. This started to change in the 1970s when the value of the US dollar stopped being linked to the price of gold and finished in 2000 when the Swiss Franc was the last currency to remove the link.
Like all commodities, it is possible to treat gold as a short-term and long-term investment. Over hours, days or weeks, the fluctuation in the price of gold on an exchange allows traders to buy and sell for hopefully a profit. With luck or skill, a gold trader can buy some gold at a low price, sell it at a higher price and buy more when the price drops. Repeating the process allows an investor to make a lot of money, but if it goes wrong they could make a loss on each trade.
Historically, the price of gold has risen at a steady rate making it a great safe investment. In fact, during the recent financial crisis many people turned to gold as an alternative way of saving. This is a relatively safe way of investing in gold, but still leaves you with the problem of finding somewhere to keep it safe. Most experts recommend that gold is a rainy day investment, like an insurance policy that should be kept until you absolutely need to sell.
Gold Coins/ Bullion
Another way to invest in gold is gold bullion coins. These cost slightly more than the spot price of gold, but are easier to buy, trade and store than larger pieces. Typical sizes include 1/10oz, 1/4oz, 1/2oz and 1oz. The governments of the UK, USA, Canada, China and most other major world powers mint these coins, so they are very reputable.
Mining Stocks or Close Ended Funds
Apart from investing in physical gold itself, one can also invest in the mining companies that are involved in gold production. There are also certain funds that invest in various mining stocks. One of these close ended funds is Gamco Global Gold & Natural Resources Trust which pays out a monthly dividend. If you have been reading and following this blog, you probably know that I have loaded up on GGN just recently..
Storing Gold
Many major banks will store gold for customers, as will specialized gold exchanges and trading houses. You can even walk in to some banks and hand over your money in exchange for a gold ingot. Once you have carried this heavy bar home, you need somewhere secure to store it. If you do not have anywhere secure enough then most banks will have a vault that you can use for a fee.
Every major bank and most of the governments in the world store gold. Since the start of the economic woes in 2007, the world banks have become net buyers of gold which shows just how great an investment it really is.
This desire for gold and its scarcity and it being difficult to obtain means that it should continue to keep its value, but like anything the price of gold is not immune to market fluctuations and could even crash.
Gold Price
For many years, the price of gold was a relative standard for currencies around the world. This started to change in the 1970s when the value of the US dollar stopped being linked to the price of gold and finished in 2000 when the Swiss Franc was the last currency to remove the link.
Like all commodities, it is possible to treat gold as a short-term and long-term investment. Over hours, days or weeks, the fluctuation in the price of gold on an exchange allows traders to buy and sell for hopefully a profit. With luck or skill, a gold trader can buy some gold at a low price, sell it at a higher price and buy more when the price drops. Repeating the process allows an investor to make a lot of money, but if it goes wrong they could make a loss on each trade.
Historically, the price of gold has risen at a steady rate making it a great safe investment. In fact, during the recent financial crisis many people turned to gold as an alternative way of saving. This is a relatively safe way of investing in gold, but still leaves you with the problem of finding somewhere to keep it safe. Most experts recommend that gold is a rainy day investment, like an insurance policy that should be kept until you absolutely need to sell.
Gold Coins/ Bullion
Another way to invest in gold is gold bullion coins. These cost slightly more than the spot price of gold, but are easier to buy, trade and store than larger pieces. Typical sizes include 1/10oz, 1/4oz, 1/2oz and 1oz. The governments of the UK, USA, Canada, China and most other major world powers mint these coins, so they are very reputable.
Mining Stocks or Close Ended Funds
Apart from investing in physical gold itself, one can also invest in the mining companies that are involved in gold production. There are also certain funds that invest in various mining stocks. One of these close ended funds is Gamco Global Gold & Natural Resources Trust which pays out a monthly dividend. If you have been reading and following this blog, you probably know that I have loaded up on GGN just recently..
Storing Gold
Many major banks will store gold for customers, as will specialized gold exchanges and trading houses. You can even walk in to some banks and hand over your money in exchange for a gold ingot. Once you have carried this heavy bar home, you need somewhere secure to store it. If you do not have anywhere secure enough then most banks will have a vault that you can use for a fee.
Every major bank and most of the governments in the world store gold. Since the start of the economic woes in 2007, the world banks have become net buyers of gold which shows just how great an investment it really is.
This desire for gold and its scarcity and it being difficult to obtain means that it should continue to keep its value, but like anything the price of gold is not immune to market fluctuations and could even crash.
Retire in Philippines
7107 islands of heaven; that is what you’ll find if you go to the Philippines.
Expat’s from all over the world are taking their hard earned money to the beautiful island paradise of Philippines to enjoy an early retirement at a place where they can afford to live and be treated like Kings and Queens. Talk about retirement planning!
The long, golden sand beaches stretch for miles and miles around island after island. Cruising between them with your own boat for a week or two to explore a new hidden place in paradise along with your spouse, partner or entire family that you brought with you when you made what most likely will be the best decision of your life.
The South China Sea is home to the Philippines, a tropical paradise that can boast hot and humid weather 24 hours a day for 365 days of the year. Along with the amazing weather, the quality of life when you have a normal retirement payout every month is excellent. Before making this life changing decision there are several things you have to consider.
First of all, you have to think about where you’re going to live and how much you want to pay for it. The most expensive place in the Philippines by far is Manila. If you go to some of the regions outside or to remote islands you can find houses, apartments and bungalows for a lot less than in the large city of Manila. You can get accommodation from P10,000 per month all the way up to P50,000. 10,000 Philippine Pesos is around 220 USD.
The second biggest expense you’ll have is your utilities. That means water, electricity, phone etc. All of the things that will keep your house up and running and that will keep you nice and comfortable in your own little paradise. Your average cost for all your utilities will end up on average around P8,000.
Food and groceries is essential for anyone’s living and it is exactly the same in the Philippines. Now you can go down two roads, you either go for locally and nationally produced food or you go for imported food. Now the imported food will be at a higher cost, still, nowhere near the amounts you were paying at home. If you go for the local food you can save even more money. Budget about P30,000 for a single month if you’re not living by yourself.
Now we’re going to get to the luxuries that you can afford to have when you move to the Philippines if you have a decent budget. Two major ones are a personal driver and a maid. You can get a personal driver for between P3.000 and P5.000 a month, so under 100 USD! All you have to do is make sure you provide food during the day and a vehicle for them to drive in if they don’t have one. A maid is even cheaper than that. For about P2.000 every month you can have a maid doing all the work around the house that you never felt like doing or downright hated.
Taking all these things in to account, the Philippines is an amazing please to settle down after your hard years of working. Spend your money wisely and live the rest of your life being treated as a King or Queen.
Only in the Philippines.
[This article was written by a resident of the Phillipines.]
210,000 Pageviews and Counting
Well, they say the first 200,000 is the easiest part (or at least I made that up). But anyway, after a roller coaster ride through the year, I checked my stats recently to discover that this blog has garnered over 200,000 pageviews. It is 210,000 today and I can only say that it is exciting to know that people are coming back for more. At least, it is a sort of comfort, that somebody is actually reading what I am writing.
I will like to thank all readers for their continuous support. This is also to readers who hail from outside Singapore like the United States, Malaysia, Slovenia, Germany, United Kingdom, Australia, Russia, Japan, Phillipines, India, etc.. Perhaps you just stumbled upon this blog but I do hope that you find something useful that you can takeaway with you. Feel free to drop a comment and say "hi" too!
I will like to thank all readers for their continuous support. This is also to readers who hail from outside Singapore like the United States, Malaysia, Slovenia, Germany, United Kingdom, Australia, Russia, Japan, Phillipines, India, etc.. Perhaps you just stumbled upon this blog but I do hope that you find something useful that you can takeaway with you. Feel free to drop a comment and say "hi" too!
Bought more Gamco Global Gold, Natural Resources and Income Trust
After reflecting on some of my investment thoughts for 2012, I entered into another position to buy GGN which currently gives a monthly dividend of $0.14 per month. The fund's investment objective is to provide a high level of current income. Overall, I think I am pretty bullish on commodities and thought that this might make a good investment since it is a close-ended fund which invests primarily in the equity securities of gold and natural resource companies.
My entering into a position in this stock was also partially influenced by Bryan Perry (who wrote the book about 25% Cash Machine) was bullish on this stock. This purchase makes it my first stock purchase for the year 2012 and I thought I better log it down so that I do not lose track of my investments.
My entering into a position in this stock was also partially influenced by Bryan Perry (who wrote the book about 25% Cash Machine) was bullish on this stock. This purchase makes it my first stock purchase for the year 2012 and I thought I better log it down so that I do not lose track of my investments.
Poly Graduates Gross Monthly Pay Rises
According to the latest graduate employment survey conducted by the 5 polytechnics, the median gross monthly salary of poly graduates have gone up by 2.8 per cent or $50 compared to 2010 figures. That means poly graduates who completed their studies in 2011 and not liable for National Service could command a salary of S$1,850. Those with National Service earned a median gross monthly salary of S$2,100 compared to S$2,000.
The overall employment rate was also relatively high at 94.7% though it was down from 2010 figures of 95.4%
Poly graduates who commanded the higher salaries studied Health Science and Built Environment, and Engineering & Maritime.
If you look at the starting pay for university graduates, the difference in starting pay between a university graduate and poly graduate is probably greater than $600.
The overall employment rate was also relatively high at 94.7% though it was down from 2010 figures of 95.4%
Poly graduates who commanded the higher salaries studied Health Science and Built Environment, and Engineering & Maritime.
If you look at the starting pay for university graduates, the difference in starting pay between a university graduate and poly graduate is probably greater than $600.
Investment Thoughts for 2012
Today is the 10th day into 2012 and I realised that I have not thought out my investment plan, made any resolutions or done anything fruitful in the past 10 days! And there has been this constant nagging in my head that tells me that I ought to focus my attention on a few things and try not to spread out my efforts too thinly. So perhaps now is a good time to update on what are some of my thoughts for 2012. This includes some of my personal reflections and does not constitute any investment advice.
Passive Income - Monthly Dividend Stocks and Real Estate Investment Trusts (REITs)
High on my list is perhaps creating a passive flow of income for myself either through stocks that provide monthly dividends or REITs which either provide quarterly or half-yearly distributions. For monthly dividend stocks, one has to turn to the US market. One of the monthly dividend stocks that I have bought into is Gamco Global Gold (GGN). REITs on the other hand are easily available on the Singapore Stock Exchange or SGX. I am looking at diversifying my REITs holding as I am currently heavily invested in Ascott REIT.
Gold is Money and Nothing Else
For those of you who have been following me, you are perhaps aware that I have been looking towards silver both as a means to hedge against inflation as well as just for collecting purposes. Buying silver in Singapore is still limited to only a few shops but hopefully this certain industry/sector will slowly develop.
Investing in this Site
I have also decided that I ought to invest a bit more time and money on this site. This includes some facebook advertising as well as my plan to work on a eBook.
These are all still works in progress but I certainly hope that the perfectionist in me does not cause me to procrastinate or be paralysed such that I do nothing at the end of the year. It has been my longest desire to write a book and an eBook might just serve that purpose.
Passive Income - Monthly Dividend Stocks and Real Estate Investment Trusts (REITs)
High on my list is perhaps creating a passive flow of income for myself either through stocks that provide monthly dividends or REITs which either provide quarterly or half-yearly distributions. For monthly dividend stocks, one has to turn to the US market. One of the monthly dividend stocks that I have bought into is Gamco Global Gold (GGN). REITs on the other hand are easily available on the Singapore Stock Exchange or SGX. I am looking at diversifying my REITs holding as I am currently heavily invested in Ascott REIT.
Gold is Money and Nothing Else
For those of you who have been following me, you are perhaps aware that I have been looking towards silver both as a means to hedge against inflation as well as just for collecting purposes. Buying silver in Singapore is still limited to only a few shops but hopefully this certain industry/sector will slowly develop.
Investing in this Site
I have also decided that I ought to invest a bit more time and money on this site. This includes some facebook advertising as well as my plan to work on a eBook.
These are all still works in progress but I certainly hope that the perfectionist in me does not cause me to procrastinate or be paralysed such that I do nothing at the end of the year. It has been my longest desire to write a book and an eBook might just serve that purpose.
How Silver Coins Are Made
I thought this was a rather informative video on how silver coins are actually made. The video also shows how the die is made. Enjoy.
Poor People
Some time ago, I wrote about the poor people around us and also some reflection on helping the poor. This message struck me again even as I was out having dinner today.
After dinner, while I was walking around, I saw a middle-aged man staring intently into a rubbish bin. At first, I thought he was just rummaging through to look for empty cans which old people often collect to sell for money. But to my horror, I saw him staring at a plastic plate which had some food left over in it.
He then proceeded to eat the leftovers from the bin. I was quite shock and taken aback that I was actually witnessing such a scene in front of me. At the same time, I did not know what to make out of it as he was holding a cigarette in the other hand even as he was eating out of the bin.
Just a few seconds. But it left a lasting impression on me and will probably haunt me. I have always known that there are poor people but to witness such a sight is quite heart breaking. And that is to know that I frequently waste so much food myself while there are actually people who are hungry enough to eat out of the rubbish bin.
After dinner, while I was walking around, I saw a middle-aged man staring intently into a rubbish bin. At first, I thought he was just rummaging through to look for empty cans which old people often collect to sell for money. But to my horror, I saw him staring at a plastic plate which had some food left over in it.
He then proceeded to eat the leftovers from the bin. I was quite shock and taken aback that I was actually witnessing such a scene in front of me. At the same time, I did not know what to make out of it as he was holding a cigarette in the other hand even as he was eating out of the bin.
Just a few seconds. But it left a lasting impression on me and will probably haunt me. I have always known that there are poor people but to witness such a sight is quite heart breaking. And that is to know that I frequently waste so much food myself while there are actually people who are hungry enough to eat out of the rubbish bin.
How to Pronounce REIT
I realised to my horror that I have been pronouncing "REIT" (the acronym for real estate investment trust) or "REITs" wrongly. For the longest time, I have been pronouncing it such that it rhymes almost with "red" except with a slight "t" sound at the end.
After watching some videos online, I think the correct way pronunciation is actually something that rhymes with "sweet" or "beet".
Hopefully, I will be able to change the way I pronounce it from henceforth.
After watching some videos online, I think the correct way pronunciation is actually something that rhymes with "sweet" or "beet".
Hopefully, I will be able to change the way I pronounce it from henceforth.
Warren Buffet MBA Talk
Warren Buffet gives a talk. Worth watching. Leave a comment and tell me what you have learnt.
Thoughts of a Blogger
So I have been a "blogger" for a few years now. And I must say that my foray into blogging was purely incidental. And since the new year is here, I reflected on what I have been blogging about for the past few years and also how I would like to see things going forward.
The weirdest part about being a blogger is that people are actually viewing my thoughts. 200,000 over pageviews since I first started this blog. That is quite a feat considering that the first few months of my blog, I was only getting 1 to 2 visitors per week! So to know that there are actually so many people reading this makes me "frightened" at times. I hope that they do not take me too seriously even though my posts often sound serious =)
Another striking thing that occured to me is the amount of email that I have to deal with. I get lots of requests for link exchanges, personal finance queries, advertising queries, guest posts requests, etc. It doesn't help that I do not check my email that frequently. Not to forget all the spam that comes in. It means that sometimes, I do not have the time to respond to emails or reply to queries which sometimes get lost in the hundreds of email. So I apologise if I have missed out your email pertaining to some request. For link exchanges, please look at my stated policy under the FAQs. So do read them first before emailing me. Leaving a comment is a good way for me to remember to respond though I sometimes have little time to respond to comments too. A million apologies again.
I am also disgusted by the lack of quality in my writing. If you know how much time I actually spend on writing and vetting my own work, you will probably forgive me.
Well, the most funny thing is that even though this is a personal finance blog (well, sort of), the greatest number of hits are actually on my non-investment related posts like Best Breakfast Places in Singapore. It sometimes makes me wonder whether I should be blogging about something else instead.
For 2012, I hope that I will be able to set aside more time to engage with readers. To really have a conversation on this blog.; to build up each other's knowledge and financial know-how. And to share with one another the ups and downs of life. By now, I hope you have gotten a slight glimpse and insight into my thoughts.
The weirdest part about being a blogger is that people are actually viewing my thoughts. 200,000 over pageviews since I first started this blog. That is quite a feat considering that the first few months of my blog, I was only getting 1 to 2 visitors per week! So to know that there are actually so many people reading this makes me "frightened" at times. I hope that they do not take me too seriously even though my posts often sound serious =)
Another striking thing that occured to me is the amount of email that I have to deal with. I get lots of requests for link exchanges, personal finance queries, advertising queries, guest posts requests, etc. It doesn't help that I do not check my email that frequently. Not to forget all the spam that comes in. It means that sometimes, I do not have the time to respond to emails or reply to queries which sometimes get lost in the hundreds of email. So I apologise if I have missed out your email pertaining to some request. For link exchanges, please look at my stated policy under the FAQs. So do read them first before emailing me. Leaving a comment is a good way for me to remember to respond though I sometimes have little time to respond to comments too. A million apologies again.
I am also disgusted by the lack of quality in my writing. If you know how much time I actually spend on writing and vetting my own work, you will probably forgive me.
Well, the most funny thing is that even though this is a personal finance blog (well, sort of), the greatest number of hits are actually on my non-investment related posts like Best Breakfast Places in Singapore. It sometimes makes me wonder whether I should be blogging about something else instead.
For 2012, I hope that I will be able to set aside more time to engage with readers. To really have a conversation on this blog.; to build up each other's knowledge and financial know-how. And to share with one another the ups and downs of life. By now, I hope you have gotten a slight glimpse and insight into my thoughts.
Start of a New Year
So it is the start of a new year. And I haven't had much time to do any reflection on 2011. There are lots of things that I want to accomplish. At the same time, I know that there are just too many distractions in life. Will this year be significantly different from last year? Or will it be the same? Why don't you tell me what you think?
Bought More Silver
After writing about buying silver in Singapore, I am amazed that there are also some other people who are interested in buying silver whether it is for collection/hedging/investing purposes. Anyway, I also received some of the silver coins that I bought. Just bought a really small quantity as I am mainly just trying to collect the different type of silver coins.
The coins I bought are from Golden State Mint and each coin weights 1/4 troy oz.
Here is a scan of it =)
The coins I bought are from Golden State Mint and each coin weights 1/4 troy oz.
Here is a scan of it =)
Buy Silver in Singapore
Lately, I have been having some bizarre interest in collecting silver coins. It just feels cool to actually own silver knowing that this used to be used as currency across history. But as a pretty newbie to silver, I won't call my purchases as investing in silver just yet. Nevertheless, I have been reading up quite a fair bit about silver coins to know how much a troy ounce actually weighs. And it is interesting to find out a whole new domain of knowledge literally about investing in silver bullion coins, using it as a hedge against inflation, etc.
Well, the first thing to realise is that it is not too difficult to buy silver in Singapore. I am not talking about investing in silver through ETFs but really owning physical silver bars and coins. There are actually quite a few companies that sells silver bullion. Here are the few things that I have learnt about silver coins thus far:
1. Buy silver coins or bars that are widely recognised
Well, the first thing to realise is that it is not too difficult to buy silver in Singapore. I am not talking about investing in silver through ETFs but really owning physical silver bars and coins. There are actually quite a few companies that sells silver bullion. Here are the few things that I have learnt about silver coins thus far:
1. Buy silver coins or bars that are widely recognised
- This seems to be the advice that people are giving in various forums. Coins widely recognised include the American Silver Eagle and the Canadian Silver Maple Leaf. There are others like the Australian Silver Kookaburra from Perth Mint and also the Austrian Silver Vienna Philharmonic.
2. Silver Coins Trade Above Spot Price
- One can check the spot price for silver easily on kitco or some other website. However, silver coins often trade or are sold above the spot price of silver. Even on Ebay, they trade above the spot price.
- Silver price has been increasing slowly.
3. Places to Buy Silver in Singapore [Grabbed this off another forum]
- www.1silver1.com (Website is a bit slow so need to be patient)
- www.silverag.com.sg
- www.silverbullion.com.sg
- www.yashabullion.com
- www.goldprice.com.sg
- www.goldsilvercentral.com.sg
- www.royalsmithbullion.com
Many of these shops have a minimum order (e.g. 20 x 1 oz coins) or a minimum purchase of $2000. Some of them have minimum orders of 500 oz and based on today's price of silver, will literally cost you a 20 over grand (estimated $48++ for a 1 oz silver coin). So you really have to be serious about it before making a purchase. The first link actually allows customers to buy 1 oz silver bar as a minimum order. But it is a Scottsdale silver bar and I am not certain that it is as widely recognised as the other silver coins.
4. Buying off Ebay
If you prefer to buy loose pieces, you can always buy them off Ebay. However, prices are slightly higher when you do not buy in bulk. Many sellers also do not ship to Singapore.
Question:
Do you invest in silver or gold?
If yes, where do you buy them from?
How do you store them?
Monthly Dividend Stock - Gamco Global Gold Natural Resources (GGN)
Just bought 200 shares of Gamco Global Gold Natural Resources (GGN) on the US stock exchange. It is a stock that provides monthly dividends. Yes, not many people are aware that there are stock that actually pay out monthly dividends. The monthly dividends is around US$0.14 per month. Anyway, it is only a small investment and I will probably invest more if I have spare cash.
GGN was previously named Gabelli Global Gold Natural Resources before the recent name change to Gamco Global Gold Natural Resources.
GGN was previously named Gabelli Global Gold Natural Resources before the recent name change to Gamco Global Gold Natural Resources.
Cancelled Cable TV - Woohoo!!
I cancelled my Starhub Cable TV just a few days back and I must say that I have never felt so liberated! You see, I have not had the time to watch TV at all. At least, TV is on my lowest priority list and I only manage to squeeze in less than 2 or 3 hours of "incidental" TV viewing per month. I simply don't have the time for it. And yet, I have been paying over 30 dollars per month for cable subscription.
Finally found the time to go down to Starhub and cancelled my cable plan. I don't watch TV so I definitely do not need cable TV. It was as simple a decision as that. And just by that simple decision, I have saved myself around 30 dollars a month. This decision was definitely not motivated by saving money since I have been thinking about cancelling my subscription for the longest time but was just too lazy to do so.
I am glad that I have finally done so. I have just been procrastinating for too long. Just trying to cut out all the clutter in my life and focus on the real things that I enjoy doing.
My dear reader, what clutter can you removed from your life that you have been procrastinating for way too long?
Finally found the time to go down to Starhub and cancelled my cable plan. I don't watch TV so I definitely do not need cable TV. It was as simple a decision as that. And just by that simple decision, I have saved myself around 30 dollars a month. This decision was definitely not motivated by saving money since I have been thinking about cancelling my subscription for the longest time but was just too lazy to do so.
I am glad that I have finally done so. I have just been procrastinating for too long. Just trying to cut out all the clutter in my life and focus on the real things that I enjoy doing.
My dear reader, what clutter can you removed from your life that you have been procrastinating for way too long?
Dividends and Passive Income for Nov 2011
Have been too busy lately to write.. But thought I should just check in to say "hi" to readers. It has been a busy month both at work and at play for me.
Dividends and passive income for the month of Nov 2011 was around $300. Couldn't be bothered to do the conversion of USD to SGD but I figure it should be somewhere there. Managed to renew some ad space on my sites so that helped to boost the income a little.
I have also been thinking a bit more seriously about the charities that I ought to be giving to. Some days, I just feel like I have been blessed with so much and I really have not much need for so much money. After all, there is only so much one can eat, and spend money on. There is just a numbing effect to spending so much money. It doesn't give me great pleasure or happiness anymore. Well, in the past , retail therapy was something that I subscribed to. But nowadays, I lead a simple life and I am pretty content with simple food and a simple lifestyle.
Right now, I am just waiting for Christmas to come. Can't believe that it is now the end of the year. And another whole new year awaits me.
Wishing all readers an advance Blessed Christmas!
Dividends and passive income for the month of Nov 2011 was around $300. Couldn't be bothered to do the conversion of USD to SGD but I figure it should be somewhere there. Managed to renew some ad space on my sites so that helped to boost the income a little.
I have also been thinking a bit more seriously about the charities that I ought to be giving to. Some days, I just feel like I have been blessed with so much and I really have not much need for so much money. After all, there is only so much one can eat, and spend money on. There is just a numbing effect to spending so much money. It doesn't give me great pleasure or happiness anymore. Well, in the past , retail therapy was something that I subscribed to. But nowadays, I lead a simple life and I am pretty content with simple food and a simple lifestyle.
Right now, I am just waiting for Christmas to come. Can't believe that it is now the end of the year. And another whole new year awaits me.
Wishing all readers an advance Blessed Christmas!
Retirement and Life Expectancy
When one thinks about retirement, one cannot escape from the somewhat morbid discussion about life expectancy. If I can break it down into simple non-statistical terms, life expectancy basically means the number of years one can expect to live up till (usually calculated at a certain age). And of course, most of us will be aware that based on statistics, most females in most countries have longer life expectancy than males. And in most developed countries, the life expectancy for males and females probably is around or moving towards the age of 80.
When Do You Want to Die?
So when thinking about the retirement age or retirement planning in general, it is inevitable that the question about life expectancy will come up. Meet any financial planner or insurance agent and they will most probably bring up the issue of the "age that one is expected to die" . Well, it is a valid question as many of the assumptions that are made will be based on the assumption of when you think you are going to die (okay, that sounds so blunt but it is the truth).
The problem with putting a pinpoint estimate on when you think you are going to die based on the statistical life expectancy is that you might over or under estimate how long you might live. Life expectancy is calculated based on a statistical average. And we learn in school that average basically means that the average person is expected to be around there but at the same time, there can be large variances.
So these large variances means that you can either die way before the average life expectancy or you could actually live a whole lot longer than what you previously expected. When it comes to retirement planning, I guess most people often make the assumption that the average life expectancy is the year that they will DEFINITELY DIE. But that is wrong and it is perhaps wise to cater for a bit more extra just in case you are not the average person. What happens if you retire at age 65 and die at age 95 or 105? Will you have enough retirement savings to last you till then if your initial planning assumption used was that you are expected to live until only 80? Yes, I know that might be going a bit overboard to cater in for such large variances in retirement planning but wouldn't you want to err on the safe side if your current income allows you to set aside a little more for your retirement?
Of course, if you die much earlier before the retirement age, then this is not a problem that you will have to worry about. Sorry for being so morbid but that is the truth.
But the main idea is this: Life expectancy is just a statistical average. When using it as a planning assumption for retirement planning, do remember that it is just an assumption. Life might not turn out the way you assume it is going to be and you might die much earlier or live much longer compared to the average person.
When Do You Want to Die?
So when thinking about the retirement age or retirement planning in general, it is inevitable that the question about life expectancy will come up. Meet any financial planner or insurance agent and they will most probably bring up the issue of the "age that one is expected to die" . Well, it is a valid question as many of the assumptions that are made will be based on the assumption of when you think you are going to die (okay, that sounds so blunt but it is the truth).
The problem with putting a pinpoint estimate on when you think you are going to die based on the statistical life expectancy is that you might over or under estimate how long you might live. Life expectancy is calculated based on a statistical average. And we learn in school that average basically means that the average person is expected to be around there but at the same time, there can be large variances.
So these large variances means that you can either die way before the average life expectancy or you could actually live a whole lot longer than what you previously expected. When it comes to retirement planning, I guess most people often make the assumption that the average life expectancy is the year that they will DEFINITELY DIE. But that is wrong and it is perhaps wise to cater for a bit more extra just in case you are not the average person. What happens if you retire at age 65 and die at age 95 or 105? Will you have enough retirement savings to last you till then if your initial planning assumption used was that you are expected to live until only 80? Yes, I know that might be going a bit overboard to cater in for such large variances in retirement planning but wouldn't you want to err on the safe side if your current income allows you to set aside a little more for your retirement?
Of course, if you die much earlier before the retirement age, then this is not a problem that you will have to worry about. Sorry for being so morbid but that is the truth.
But the main idea is this: Life expectancy is just a statistical average. When using it as a planning assumption for retirement planning, do remember that it is just an assumption. Life might not turn out the way you assume it is going to be and you might die much earlier or live much longer compared to the average person.
The Mystery of REITs
I read with interest Mr Colin Tan's article in Today newspaper regarding REITs. It is titled: "A decade on, REITs remain a mystery"
Indeed, after ten years since real estate investment trusts (REITs) were listed on the Singapore Stock Exchange, it seems that many people (including me) still do not really understand much about this asset class and the investment opportunity/risk involved.
I started taking note of REITs sometime back due to the potential dividends that I could receive. It seemed like a choice investment instrument for me as I was really into income investing and was looking for ways to increase my passive income. My first investment was in First REITs. I subsequently divested it because it was too heavily focused on healthcare with its assets largely in Indonesia. But while REITs are usually positioned as defensive play, I can agree with Mr Colin Tan that for Singapore REITs, many of them are still on the acquisition trail and are trying hard to expand their portfolios.
What does this mean for investors? It simply means that once can expect money to be raised through rights issue. If one does not subscribe to the rights issue, your overall shareholdings as a % drop. Whether this translates to a drop in distribution is probably a study to be taken up by somebody more experienced. But I do agree that it seems that many of the REITs are linked to their parent companies and it might be questionable how the valuations are done (including of course the timing of the transaction).
The domestic market is also pretty small. And I guess there are certain economies of scale required before REITs should start expanding overseas. (Just think about the airfares that have to be paid for management to do the site visits, meetings, etc). Of course, REITs are also tied closely to the property market and rental market and one needs to keep in mind all these factors when investing in them. If one invests in REITs which has properties overseas, you are also exposed to other country risks that are involved.
Nevertheless, REITs still feature in my portfolio. I still intend to purchase more and diversify across the various REITs in order to diversify my risk accordingly.
Well, REITs is still a mystery to me in many ways and I am still slowly learning more about them day by day. In a sense, they look simple. But when one studies them further, you will come to realise that there are actually lots of complexities involved.
Indeed, after ten years since real estate investment trusts (REITs) were listed on the Singapore Stock Exchange, it seems that many people (including me) still do not really understand much about this asset class and the investment opportunity/risk involved.
I started taking note of REITs sometime back due to the potential dividends that I could receive. It seemed like a choice investment instrument for me as I was really into income investing and was looking for ways to increase my passive income. My first investment was in First REITs. I subsequently divested it because it was too heavily focused on healthcare with its assets largely in Indonesia. But while REITs are usually positioned as defensive play, I can agree with Mr Colin Tan that for Singapore REITs, many of them are still on the acquisition trail and are trying hard to expand their portfolios.
What does this mean for investors? It simply means that once can expect money to be raised through rights issue. If one does not subscribe to the rights issue, your overall shareholdings as a % drop. Whether this translates to a drop in distribution is probably a study to be taken up by somebody more experienced. But I do agree that it seems that many of the REITs are linked to their parent companies and it might be questionable how the valuations are done (including of course the timing of the transaction).
The domestic market is also pretty small. And I guess there are certain economies of scale required before REITs should start expanding overseas. (Just think about the airfares that have to be paid for management to do the site visits, meetings, etc). Of course, REITs are also tied closely to the property market and rental market and one needs to keep in mind all these factors when investing in them. If one invests in REITs which has properties overseas, you are also exposed to other country risks that are involved.
Nevertheless, REITs still feature in my portfolio. I still intend to purchase more and diversify across the various REITs in order to diversify my risk accordingly.
Well, REITs is still a mystery to me in many ways and I am still slowly learning more about them day by day. In a sense, they look simple. But when one studies them further, you will come to realise that there are actually lots of complexities involved.
Financial Freedom, Being Debt Free and Quitting My Job
Today, I asked myself 3 questions:
How long more do I need to achieve financial freedom?
When will I become debt free?
How long more must I work at my job?
After so many years of working, it seems that I am no where closer to my goal and dream of financial freedom (where my passive income will surpass my monthly expenditure). I did a quick calculation and estimate my passive income to be slightly around $2800 per year. That is much less than what I thought I would have achieved 3-4 years ago when I first started out on this journey. It seems that I will still be taking a long time to reach my true goal of financial freedom. Over the years, my monthly expenditure has also crept up slightly. This can only mean one thing: I NEED TO WORK HARDER AT MY GOAL!
Being debt free of course is one of the things that I look forward to. It simply means having more disposable income to play around with. Of course, if you manage to borrow cheaply, it does not make sense to pay back the loans if you can get a higher rate of return compared to the interest you are paying on your debts. However, I don't know...perhaps it is just psychological. But being debt free is something that I hope to achieve. Well, at least I mean clearing my bad debts (e.g. car loan). Good debt is still welcomed.
Well, the last question that I asked myself is really related to the first 2 questions. When I can quit my job is probably the day I am certain that I have attained financial freedom. It is not that I hate my work or anything. It is just that I feel I can be doing so much more with my life and time then having only remnants of my time to give to my family and friends.
I want to work for the rest of my life. But I don't want to have to work for a living (a.k.a having a job).
Time to get down to business.
Bought Ascott REIT
Bought another 3 lots of Ascott REITs (@$1.065) after I realised that I have not been investing in the stock market a lot. Thought that it will be good to add to my current portfolio considering the amount of spare cash sitting in the bank that is not earning much interest anyway. That brings my total exposure to Ascott REITs to 15 lots. Have been enjoying the dividends over the past few years and hopefully, the dividends that come in will not fail to disappoint me.
August was good in terms of dividends received but September has been pretty quiet. Other than a Adsense cheque that I received, have not received much passive income. Can definitely do better for the future.
August was good in terms of dividends received but September has been pretty quiet. Other than a Adsense cheque that I received, have not received much passive income. Can definitely do better for the future.
Retirement Plans
Have been thinking what I intend to do when I get older - like at age 65. I really cannot see myself not working and just sitting around at home doing nothing. As Singapore ages, I guess there will be more and more elderly folks around. When I am 65 (if I live that long), I will be surrounded by lots of old people.
Well, I don't really plan to retire. And I hope that I can stay employed for as long as possible. At least that will keep me active. But the matter of fact is that it will probably be difficult to work at the same pace that I am working now. So I will probably be doing WORK, but it might not necessarily be PAID WORK. It could be volunteer work or something else. I don't know.
Recently, the thought of opening a postage stamp shop just keeps creeping into my mind. Maybe I should just pursue my hobby and try to make a living out of it. That will be some cool retirement plan indeed. But it is difficult as the capital involved seems to be quite huge. And I will probably want to hoard all the stamps rather than sell them. Something for me to think about and work towards over the next 30 years perhaps.
Well, I don't really plan to retire. And I hope that I can stay employed for as long as possible. At least that will keep me active. But the matter of fact is that it will probably be difficult to work at the same pace that I am working now. So I will probably be doing WORK, but it might not necessarily be PAID WORK. It could be volunteer work or something else. I don't know.
Recently, the thought of opening a postage stamp shop just keeps creeping into my mind. Maybe I should just pursue my hobby and try to make a living out of it. That will be some cool retirement plan indeed. But it is difficult as the capital involved seems to be quite huge. And I will probably want to hoard all the stamps rather than sell them. Something for me to think about and work towards over the next 30 years perhaps.
Singapore Millionaires - Lots More by 2016
According to Credit Suisse's Global Wealth Report, Singapore is ranked no.5 in the top 10 countries with the highest average wealth per adult in 2011. The figure amounts to USD$284,692 per adult. Australia is in 2nd place with USD$396,745. Switzerland is ranked 1st with average wealth of USD$540,010.
Based on the data, it also seems that by 2016, around 408,000 Singaporeans will be millionaires. That is quite a significant number of millionaires in tiny Singapore.
Most Singaporeans who read this are probably thinking: "How is possible that it is so easy for so many Singaporeans to be millionaires?" Well, the exact same thoughts are actually running through my head. Just doing a basic calculation of my annual pay package (inclusive of bonuses) and I figure that I need a minimum of 14-15 years just to make a million dollars. This is of course based on the assumption that my pay stagnates and does not increase at all. Another assumption made is that I also save all my salary and do not spend a single cent.
With such a simplistic calculation, it will take me till I am almost close to 50 years old to actually earn a grand total of one million dollars. And this is in Singapore dollars not US dollars.
Looks like I won't be making it in the 2016 list. Perhaps 2025?
Weekend is Ending, Great Things to Do, and Back to Office
The weekend is ending. Another restful 2 days is over and I am off to a brand new start to the week. It is almost the end of the year and I am still amazed at how little I have accomplished over the year 2011. It has not been a great year in terms of accomplishments but it has been fantastic nonetheless. After watching Steve Jobs 2005 Speech at Stanford Commencement, I try to look myself in the mirror each day and ask myself the same question: "If this is the last day of my life, will I want to be doing what I am going to do today?".
I have been doing that the past couple of days and I realised that the answer is a vague NO. It isn't a strong NO-NO. But neither is it a resolute YES.
I have been doing that the past couple of days and I realised that the answer is a vague NO. It isn't a strong NO-NO. But neither is it a resolute YES.
On another totally unrelated topic, I have been thinking of great things to do in Singapore. This is whether be it in terms of killing time, new places to eat, etc. I know there are lots of things to do in Singapore but I just find my weekends kind of dull.
So the weekend ends. And I will be back to work tomorrow. But an exciting idea has just popped into my head and I can feel the adrenaline rushing back into my blood. It was just a simple thought on what I should be doing with my life, and how I ought to really follow my passion and my dreams. And something just struck me that I know I ought to be doing but haven't really been doing much. I am so excited about this new idea and hopefully it will bear some "fruit" in due time.
Have a great week ahead!
Chris Rene X Factor Audition - Young Homie
This was Chris Rene's audition on X Factor. The title of this song is Young Homie and was written by Chris himself. Truly different from the other singers and worth watching if you like the rap, R&B, hip-hop kind of music. I love his other song from his album Sould Out that is titled "Forever".
Things to do in Singapore - Free Entry into Asian Civilisation Museum (15 and 16 Oct 2011)
There are not many things to do in Singapore except eating, shopping and really just walking around. This weekend (15 to 16 Oct 2011), the Asian Civilisation Museum is having an open house - meaning its free entry for all. So it is a pretty good deal as the exhibition on the Terracota Warriors are on. It is a good chance to visit the museum if you have not done so.
The Asian Civilisation Museum is located just opposite Fullerton Hotel right beside Victoria Concert Hall (which is now undergoing renovation). Not too sure whether parking is currently available there but I parked my car at UOB Plaza which was basically $3.50 per entry. Took a short walk across the bridge and I was inside the museum.
The exhibits are all located at the 2nd floor and it was quite crowded. Not surprising really since it was free admission to all. I have always found ancient antiques/artefacts pretty cool so it is worth the visit if you like to see such stuff too. Of course, took a short stroll down the Singapore River too
Best Breakfast Places in Singapore (Part 2)
I wrote about the best breakfast places in Singapore some time back in Oct 2010. And I always promised myself and some readers that I would expand on the list as it was really an extremely brief post with little details.
Now that it is Oct 2011, I decided that it was time to stop procrastinating and to deliver on my promise to share some of the best breakfast places (at least in my opinion) in Singapore. Well, I am sure everyone has their little corner or own quiet space in Singapore where they truly enjoy eating their breakfasts. But here I go to share my list:
Jones the Grocer @ Dempsey ($$$)
Well, this definitely had to come up in my list. I am really a local food kind of guy so it shows how much I actually like to eat breakfast here. I don't really fancy the food much. The scrambled eggs are good. The best thing I guess is the ambience of this place. Wonderful if you are sitting inside on a hot Saturday morning with its high ceilings. Of course, it is also fun to people watch. Their coffee and mocha is oh so good.....
Ghim Moh Market Thosai ($)
There are lots to eat at Ghim Moh Market which is tuck away in Ghim Moh (of course). Plenty of choices but the Thosai there is good. If I am really hungry, I will go for the chee kui there too which isn't that bad.
Clementi Mall Crystal Jade ($$$)
Clementi Mall is new. But the dim sum served at the Crystal Jade is quite amazing. I like their chee cheong fun which has like sesame sauce and the usual sweet sauce. Really yummy!
Coronation Plaza, My Cosy Corner, Laksa ($)
A totally non-pretentious place that is tucked away in a little corner at Coronation Plaza which is like a really old shopping centre. Their laksa is rich and tasty (not too sure that is how you would describe it). I quite like they kueh pie ti and popiah too. There are limited seats though but usually we don't get any problems with finding the seats.
Holland Village Provence Cafe ($$)
Nice little cafe with fresh bread and coffee. Not much on the breakfast menu except bread, bread and more bread. So if you are not a bread person, you won't enjoy this place much. But it is nice once in a while to sit here, drink coffee and do some people watching. Also count the number of luxury cars that illegal park along the road. If you want something more local, can always go to the market there for their economic beehoon or the Ya Kun that is located near the Bee Cheng Hiang.
Toast Box @ Great World City ($)
I love my coffee. But when it comes to Toast Box, I don't mind their Iced Teh C (which is basically like iced milk tea for those of you who don't originate from Singapore). I love their nasi lemak even though I know it is nothing special. Their half boiled eggs also see larger than the ones that are served in normal coffee shops. Slurp!!
Tiong Bahru Market ($)
This market is famous by itself. After the renovations, I sort of lost track on where all the good stalls went to. But just follow the queues and you will never go wrong.
Casuarina Curry Restaurant Prata ($)
Air-conditioned coffeshop serving prata that doesn't taste too bad. Service is prompt and fast. Place is pretty clean too which is rare for a roti-prata shop. They did a total makeover a couple of years back and business is always good on the weekends.
Olio Dome @ Dempsey ($$)
Another nice place to hang out. If Jones the Grocer is too crowded, just cross the road and head over to this place. Coffee isn't too far off and their breakfast menu is also quite decent. Of course, it isn't as good as Jones the Grocer but if you want a reasonably good breakfast and there is a long queue at Jones, then this place is for you. Of course, you can hop over to PS Cafe which is much more expensive but which I thought wasn't really worth the money.
Hong Kah Market (near Hong Kah West CC) Carrot Cake ($)
Remember the Bukit Timah Market carrot cake that was cooked like in square shape pieces? Heard that this stall was opened by the son of the original owner. I have tasted the original Bukit Timah carrot cake and I dare say that this one isn't that far off. In fact, there are days when I think this one tastes even better!
Casa Verde @ Botanical Gardens ($$)
They sell a mix of western food as well as local dishes. These are usually better with the sets which comes with juice and coffee. A bit expensive though. One also must not mind the crowd unless you go early. There are many pet dogs around too so if you don't like dogs, this is not the place for you.
Okay, I have shared quite a few places already. But I still have a few secret places stored in my pocket that I will perhaps share during the next installment of Best Breakfast Places in Singapore. Hopefully, that posting will come out before Oct 2013. Do share with me your favorite breakfast places too! I would love to hear of new places to go too!
Chris Rene Forever Lyrics
I heard this song from Chris Rene titled Forever which I feel is absolutely wonderful and amazing. Chris Rene is a contestant in the current US X Factor TV show. This song Forever is from his album Sould Out.
Lyrics
Lyrics
(Synthesizer and bass plays)
I said it’s all about you and you reply with the vice-versa
In the beginning I was, like this might hurt you
Love is a strong thing, it can make you wanna die or make your heart sing
Nothing compares to the joy you bring in me (bring in me)
You could make a, a cripple man walk and a blind man seeIt’s all about you and me
I said it’s all about you and you reply with the vice-versa
In the beginning I was, like this might hurt you
Love is a strong thing, it can make you wanna die or make your heart sing
Nothing compares to the joy you bring in me (bring in me)
You could make a, a cripple man walk and a blind man seeIt’s all about you and me
I was blind to see that you were in love with me
Girls flirtin’ with me but you still stuck with me
And didn’t give a f*** with me,
If I needed it, you would give your blood to me
And this means you’ll be mine till the end of time
We gonna ride, gonna shine, in this life of mine
Took me awhile to figure it out
But you’re the reason why I live my life no doubt
Chorus
And you’re the only one who makes me feel this way
I ain’t got no time to waste
Where I need to be is beside you
I spent so many years trying to find you, baby
(Woo, you baby, hey yea, hey yea, hey yea yea)
How you feel baby now that we’re having one
Yeah they telling me our life’s just begun
I look forward to this new life as a daddy that can handle his son
We ‘bout to have all kinds of fun
You’re a mother now (uh)
Who would’ve thought you would ever be a mother wow
It’s kinda crazy how things turned around
We went from living on the streets and being homeless downtown
Girls flirtin’ with me but you still stuck with me
And didn’t give a f*** with me,
If I needed it, you would give your blood to me
And this means you’ll be mine till the end of time
We gonna ride, gonna shine, in this life of mine
Took me awhile to figure it out
But you’re the reason why I live my life no doubt
Chorus
And you’re the only one who makes me feel this way
I ain’t got no time to waste
Where I need to be is beside you
I spent so many years trying to find you, baby
(Woo, you baby, hey yea, hey yea, hey yea yea)
How you feel baby now that we’re having one
Yeah they telling me our life’s just begun
I look forward to this new life as a daddy that can handle his son
We ‘bout to have all kinds of fun
You’re a mother now (uh)
Who would’ve thought you would ever be a mother wow
It’s kinda crazy how things turned around
We went from living on the streets and being homeless downtown
And now we’re standing on our own too feet (yeah)
Hail Mary, come with me
My father’s up in heaven watching over me
Thanks for staying close to me
And in my heart I know that’s where we’re supposed to be
With a third heartbeat and live so complete (eh)
And we can start a family yeah
And we can start our family yeah, we can start our family yeah
And you’re the only one who makes me feel this way
I ain’t got no time to waste
Where I need to be is beside you
I spent so many years trying to find you, baby
(Woo, you baby, hey yea, hey yea, hey yea yea)
Hail Mary, come with me
My father’s up in heaven watching over me
Thanks for staying close to me
And in my heart I know that’s where we’re supposed to be
With a third heartbeat and live so complete (eh)
And we can start a family yeah
And we can start our family yeah, we can start our family yeah
And you’re the only one who makes me feel this way
I ain’t got no time to waste
Where I need to be is beside you
I spent so many years trying to find you, baby
(Woo, you baby, hey yea, hey yea, hey yea yea)
First Steps to Success as a Property Investor
Successful property investment requires a good knowledge
base. It’s important to get a good basic grounding in all the practices of
property investment, from selecting properties to management and financing. These
are the real bread and butter elements of property investment. It’s
extremely important to learn each aspect and understand the issues in each part
of the process. This is a type of business where learning by experience can be
very costly.
You will need some professional assistance with property
investment, including legal support and professional investment advice,
particularly if you’re buying high value properties. There’s a large range of
issues involved in any purchase or sale of property, and this advice can both
save and make you a fortune, quite literally.
The property investment market has a nasty habit of boom and
bust cycles which need to be well managed to ensure profitability and good
returns on investment. Losses can hit hard, particularly if you’re borrowing to
invest, or you have an investment that needs capital commitment to be
profitable in a falling or stagnant market. A good working knowledge of the
right market strategies and tactics will give you an advantage in any sort of
property market or investment situation.
Stage
1- Basic elements of property investment education
Before you make any investment moves, it’s well worth
attending some of the professional property investment seminars. These seminars
are particularly useful for investors in need of fundamental information
regarding markets, risk management and investment strategies. Property markets
can be quite volatile, and some local markets may be flat while others are
booming. These are primary principles in property investment, and it’s
critically important to develop a clear vision of the issues in your own
property market.
Stage
2- Finding the right property investment advisory services
The best property investment companies offer a range of
services which include:
·
Resources
for property research- These include market reports, news and
other up to date information which can provide valuable insights into your
property investment options.
·
Property
investment strategy advice and programs- The most successful property
investors have a clear market strategy which sees them through boom and bust
markets. Defensive and aggressive investment strategies have their benefits,
and learning these strategies is a
·
Consultation
services- These services can be absolutely invaluable, providing full
spectrum support for investors, whatever their needs. (Please note that in the early stages of investment, this consultative
process is also very valuable as “advanced training”, because your advisors
will be able to walk you through the issues and explain them for you and
provide good options for each investment.)
Stage
3- Your own investment team, on standby
At the end of your education phase, you’ll find that you
have excellent knowledge of your investment options, as well as a team of
professional experts on hand whenever you need them. The most successful
property investors in the world have professional teams to support their every
move, and the best property
investments are never accidental.
Talk to a professional property investment advisor, and
check out their services. You’ll never look back.
[The above is a guest post]
Poll Results: Starting Pay When You First Started Work
I polled my readers on this blog on what was their starting pay when they first started work. This poll was really started after I wrote the article on Starting Pay for Graduates. Anyway, here are the results of the poll:
57% of respondents reported a starting salary of less than S$2000 when they first started work. 27% of respondents reported a starting salary of between S$2000 and S$3000. The remaining 16% reported a starting salary of more than S$3000 when they first started work.
So how do you measure up?
Citigroup CEO thinks Another Financial Crisis Unlikely
Vikram Pandit, CEO of Citigroup thinks that the chances of another financial crisis hitting the global economy is unlikely, mainly due to world banking system that has been overhauled since the last global financial crisis in 2008.
He remains confident that the "Europeans will figure it out" and that there is no need to worry about a financial crisis. This seems to be a far cry from the doom and gloom that has been over the markets for the past few months.
He remains bullish about Asia as he thinks that the Asian growth story will continue to be robust, even if it is impacted by any global economic slowdown. It is quite surprising that Citigroup's CEO is so optimistic about the trends going forward.
Alpine Total Dynamic and Alpine Global Dynamic
Sold off my stake in Alpine Total Dynamic and Alpine Global Dynamic soon after buying it because I realised that the dividend payout had been dropping over the years. In addition, the dividend capture strategy that they are supposedly using does not sound robust enough for my liking. Anyway, I bought the stock just before the slight rally in the markets so I was able to lock in some gains.
It looks like my search for another monthly dividend stock will have to continue.
It looks like my search for another monthly dividend stock will have to continue.
Posts to Read
Dear reader,
You might have just stumbled upon this blog and I thank you for taking time to go through it. I hope you find lots of interesting articles even as you navigate around this blog. I thought that I might as well just highlight a few articles which I have grouped according to topics to make it so much easier for you to navigate: I must be frank that reading through some of these posts, I have entirely forgotten that I actually wrote them. It almost feels like it was a different person writing some of these articles then.
Personal Thoughts and Reflections
Salary and Personal Finance
You might have just stumbled upon this blog and I thank you for taking time to go through it. I hope you find lots of interesting articles even as you navigate around this blog. I thought that I might as well just highlight a few articles which I have grouped according to topics to make it so much easier for you to navigate: I must be frank that reading through some of these posts, I have entirely forgotten that I actually wrote them. It almost feels like it was a different person writing some of these articles then.
Personal Thoughts and Reflections
- A Brutally Honest Post
- Lessons from Silas Marner
- Which is Your Best Income Source
- Conversation with a Millionaire
- Don't Run the Rat Race
Salary and Personal Finance
- Salary Discussion
- Starting Pay for Singapore Graduates
- Are You Ready to Manage Your Cashflow?
- Are You Ready to Take Charge of Your Healthcare Costs?
- 1001 Frugal Things to Do
- How Much to Get Married (Part 1) (Part 2)
Other Posts of Interests
How to Earn Extra Cash & The Hidden Difficulties
I read with interest a certain article on AsiaOne that gave ten ways on how one could earn extra cash. The article was well written but I wasn't too sure how helpful it was to people who actually read it. I mean what was listed down was really ten ways to earn extra cash but I guess the difference really lies in how difficult it is to make extra cash (especially if one holds a full-time job) and also what I would term as the "work-reward" ratio (i.e. how much work you have to put in versus the magnitude of the earnings/reward).
For example, babysitting was listed down as one of the ways to earn extra cash. Sure, this advice applies well to stay-at-home mums but even if $1000 is paid out for you to babysit a child for all weekdays throughout a month, is it a worthwhile effort? Likewise, Adsense was listed down as one of the ways but seriously, how long does it take for a newbie to earn $1000 through Adsense?
Why it is probably easier to babysit
These are difficult questions and will probably require difficult answers. But looking at it, I can safely tell you that it will be easier for most people to earn $1000/month doing babysitting compared to earning $1000/year from Adsense. And the context is really important. And the reason for this apparent difficulty or disparity lies in a really simple answer that probably plagues many of Singapore's local businesses too: Singapore is too small.
Imagine an American blogger. With a total resident population in the United States of 300 over million people and a high internet penetration rate, it is fairly easy for this American blogger to reach out to his target group of audience (i.e. customers) in America. Even if he was only able to capture % of the audience per day, that will amount to 3 million readers per day already. The same Singaporean blogger has no such luck. If he managed to reach out to 1% of the residents per day, it only amounts to 50,000 readers. Of course, the 1% target is really arbitary but it shows that for the same amount of effort, the Singapore blogger (with his/her Singaporean content only interesting to the locals) is placed at a severe disadvantage.
The Solution?
Well, the solution actually seems pretty straightfoward. Go global! Blog about things that the global audience can identify with and relate to. But this is challenging and extremely difficult. Unless you know what the global audience wants to read, you will probably find it extremely difficult to build up a site that will be visited by visitors. This is not to mention the language barrier, culture barrier, and other impediments that you face. And one can safely say that most people who try to eke out a living on the internet will rarely succeed. But that being said, it is not entirely impossible. There are good Singaporean bloggers who are making a living through their blogs.
How to Earn Extra Cash Passively
So I will give my own version of what I think is one good way to earn extra cash passively without much effort on your part. . Well, surprisingly, I have found out that passive income is sometimes much easier to earn than active income (e.g. blogging). I have earned a lot more from dividends paid out from stocks/shares I own compared to any other area. Of course, this pre-supposes that one has sufficient capital to invest in stocks that pay out a good yield. But this method has worked for me and has brought me fairly stable returns without me having to do a single thing. Talk about earning extra cash without putting in much effort!
Of course, not all is rosy and one must expect that there could be a possibility of the dividends being cut or the share price dropping. Nonetheless, dividends probably ranks pretty high up in my list of "How to Earn Extra Cash".
For example, babysitting was listed down as one of the ways to earn extra cash. Sure, this advice applies well to stay-at-home mums but even if $1000 is paid out for you to babysit a child for all weekdays throughout a month, is it a worthwhile effort? Likewise, Adsense was listed down as one of the ways but seriously, how long does it take for a newbie to earn $1000 through Adsense?
Why it is probably easier to babysit
These are difficult questions and will probably require difficult answers. But looking at it, I can safely tell you that it will be easier for most people to earn $1000/month doing babysitting compared to earning $1000/year from Adsense. And the context is really important. And the reason for this apparent difficulty or disparity lies in a really simple answer that probably plagues many of Singapore's local businesses too: Singapore is too small.
Imagine an American blogger. With a total resident population in the United States of 300 over million people and a high internet penetration rate, it is fairly easy for this American blogger to reach out to his target group of audience (i.e. customers) in America. Even if he was only able to capture % of the audience per day, that will amount to 3 million readers per day already. The same Singaporean blogger has no such luck. If he managed to reach out to 1% of the residents per day, it only amounts to 50,000 readers. Of course, the 1% target is really arbitary but it shows that for the same amount of effort, the Singapore blogger (with his/her Singaporean content only interesting to the locals) is placed at a severe disadvantage.
The Solution?
Well, the solution actually seems pretty straightfoward. Go global! Blog about things that the global audience can identify with and relate to. But this is challenging and extremely difficult. Unless you know what the global audience wants to read, you will probably find it extremely difficult to build up a site that will be visited by visitors. This is not to mention the language barrier, culture barrier, and other impediments that you face. And one can safely say that most people who try to eke out a living on the internet will rarely succeed. But that being said, it is not entirely impossible. There are good Singaporean bloggers who are making a living through their blogs.
How to Earn Extra Cash Passively
So I will give my own version of what I think is one good way to earn extra cash passively without much effort on your part. . Well, surprisingly, I have found out that passive income is sometimes much easier to earn than active income (e.g. blogging). I have earned a lot more from dividends paid out from stocks/shares I own compared to any other area. Of course, this pre-supposes that one has sufficient capital to invest in stocks that pay out a good yield. But this method has worked for me and has brought me fairly stable returns without me having to do a single thing. Talk about earning extra cash without putting in much effort!
Of course, not all is rosy and one must expect that there could be a possibility of the dividends being cut or the share price dropping. Nonetheless, dividends probably ranks pretty high up in my list of "How to Earn Extra Cash".
Are You Ready to Take Charge of Your Healthcare Costs?
I wrote about CPF's "Are You Ready" campaign recently and also did a quick check in my previous posting about "Are You Ready to Manage Your Cashflow". Anyway, there is a contest also ongoing on the Are You Ready site and there are MacBook Airs and shopping vouchers to be won just by sharing your stories. So do visit the site here and share your stories.
Anyway, thought I will do a continuation of what I did in the previous post and check my own readiness in terms of taking charge of my healthcare costs. I went through the list of questions in the checklist and here are my answers (as honest as can be):
I Make/Receive Monthly Medisave Contributions
Yes. My CPF contributions go towards the Medisave Account. Thus far, my Medisave account has only been used to pay a certain part of the hospital bills when my first child was born. I guess this question is really aimed at those who are self-employed and who ought to make contributions to their medisave account.
I Am Aware of the Importance of Medisave, Medishield and Eldershield
Wow, this is a pretty tricky question. I guess I generally know these 3 terms mean thought I must admit that there might be some inaccuracy in my understanding. But here it goes:
Medisave - An account held under CPF that can be used to pay off hospital bills (if certain criteria are met).
Medishield - A basic hospitalisation insurance plan.
Eldershield - A severe disability insurance scheme. Especially useful if you require long term care in the future. It provides a monthly cash payout and is available when you are of age 40.
And the importance of them all, I think I can say I know the importance of them all even though I am too young to be covered under Eldershield now.
I am Insured by Medishield and/or an Integrated Shield Plan
Yes, I upgraded my coverage to an Integrated Shield Plan offered by Aviva. I have covered my entire family with it.
I Exercise At Least 3 Times A Week
Errrr.........Okay, no. I hardly exercise at all these days. Have been making too many excuses not to exercise and this is a timely reminder that I should really be exercising more. Maybe for a start, I will try to exercise once a week?
I Keep A Balanced and Healthy Diet
Well, generally, I would like to think that I eat rather healthily. At least I do not have any health problems. But I certainly think I could eat healthier (i.e. more vegetables, more fruits and less meat). I am certain that I have room for improvement in this department. Interestingly, somebody once did a guest post on this blog regarding the linkage between financial health and obesity so you might want to check out the article.
Conclusion
So done. I have checked off the checklist and I think that while I am financially prepared to take charge of my healthcare costs, there is definitely room for improvement in terms of keeping myself healthy (by exercising) as well as eating right. A good and timely reminder indeed.
Anyway, thought I will do a continuation of what I did in the previous post and check my own readiness in terms of taking charge of my healthcare costs. I went through the list of questions in the checklist and here are my answers (as honest as can be):
I Make/Receive Monthly Medisave Contributions
Yes. My CPF contributions go towards the Medisave Account. Thus far, my Medisave account has only been used to pay a certain part of the hospital bills when my first child was born. I guess this question is really aimed at those who are self-employed and who ought to make contributions to their medisave account.
I Am Aware of the Importance of Medisave, Medishield and Eldershield
Wow, this is a pretty tricky question. I guess I generally know these 3 terms mean thought I must admit that there might be some inaccuracy in my understanding. But here it goes:
Medisave - An account held under CPF that can be used to pay off hospital bills (if certain criteria are met).
Medishield - A basic hospitalisation insurance plan.
Eldershield - A severe disability insurance scheme. Especially useful if you require long term care in the future. It provides a monthly cash payout and is available when you are of age 40.
And the importance of them all, I think I can say I know the importance of them all even though I am too young to be covered under Eldershield now.
I am Insured by Medishield and/or an Integrated Shield Plan
Yes, I upgraded my coverage to an Integrated Shield Plan offered by Aviva. I have covered my entire family with it.
I Exercise At Least 3 Times A Week
Errrr.........Okay, no. I hardly exercise at all these days. Have been making too many excuses not to exercise and this is a timely reminder that I should really be exercising more. Maybe for a start, I will try to exercise once a week?
I Keep A Balanced and Healthy Diet
Well, generally, I would like to think that I eat rather healthily. At least I do not have any health problems. But I certainly think I could eat healthier (i.e. more vegetables, more fruits and less meat). I am certain that I have room for improvement in this department. Interestingly, somebody once did a guest post on this blog regarding the linkage between financial health and obesity so you might want to check out the article.
Conclusion
So done. I have checked off the checklist and I think that while I am financially prepared to take charge of my healthcare costs, there is definitely room for improvement in terms of keeping myself healthy (by exercising) as well as eating right. A good and timely reminder indeed.
Are You Ready to Manage Your Cashflow?
Well, the IMSavvy site has recently launched an "Are You Ready" activity/movement/campaign. And I was really glad that such a topic was actually chosen as it is a timely reminder for people to make sure that they are READY in terms of their personal finance. It basically covers the 4 topics of:
Just thought that I would share some thoughts about my own personal experience regarding the first topic of managing my cashflow. Based on the checklist provided at the IMSavvy site (http://www.cpf.gov.sg/imsavvy/ayr_list.asp?catid=1), there were a few questions and I hope to answer these questions as honestly as I can. So here I go:
I Spend Less Than What I Earn Monthly
Yes, I do spend less than what I earn monthly most of the time. The only times that I ever spent more than I earn was when I was either going on a holiday or spending on my wedding preparations/home renovations. Otherwise, as a whole, I would like to think that for a typical month, I make a pretty conscious effort to spend less than what I earn monthly. This discipline I guess was instilled in me since young - you never want to spend your pocket money before the week is over. So likewise, when you are working, your monthly cash outflows should not exceed your monthly cash inflows unless for very good reasons (e.g. once-off big ticket items).
I Save At Least 10% of My Income
Generally, I would like to think that this is a YES for me too. It really depends what is the definition of saving. My definition of saving is basically income that is not spent on consumption. So saving to me includes putting money in the bank, putting it in a regular savings plan or investing in stocks. Well, some people will include their CPF contributions as part of their savings (and that isn't entirely wrong). So different people probably have very different ideas about what actually constitutes savings. For me, I do save >10% of my income over and above my CPF contributions.
Again, I must qualify that there are some months when I am a little less disciplined and splurge a little. But with a regular savings plan that I have set up through an ILP bought years ago, more than 10% of my income does go into saving (at least based on my own definition).
I Have At Least 6 Months Worth of My Income as Emergency Funds
A big YES to this question too! This was really something that I put off in the past and it was advice that I did not heed which I regret. During then, I was young and rash. I decided that the bank was paying me too little interest and decided to invest the majority of my money in stocks. I had less than 6 months worth of my income in emergency funds even though I originally had set aside that sum of money. Then came the time when I had to pay for some big ticket items and I was left with little choice but to liquidate some of my investments at a loss. So if this is not good enough warning for you, please do set aside 6 months of your income as emergency funds first before you even start investing. The last thing you want to do is to be liquidating your investments at a loss when a certain crisis (e.g. job loss) hits you.
I Pay My Credit Card Bills and Other Debt Obligations, in Full and On Time Each Month
Generally yes. All my debt obligations are paid through GIRO so I do not lapse on it. I do pay my credit card bills in full at the end of each month though not always on time. This is simply because I forget to pay them or miss the due date as the credit card bill was lost in my stack of letters. I usually call up the bank to waive the late charges since it is basically an oversight. I must have done that more than 5 times but they have always been more than willing to waive it.
I Have Adequate Financial Protection
Well, this is perhaps the toughest question to answer. And my answer to this is probably a "MAYBE". I know that I ought to be insured to certain levels (e.g. 10 times my annual pay for death coverage). But all these are really rule of thumb calculations. My protection level is slightly below those levels. I would like to think that I am adequately insured with coverage for death, TPD, critical illness, hospitalisation and personal accident.
This is perhaps a good time for me to dust off the dust on my insurance plans and see whether it is time to review the insurance coverage for myself as well as my family members.
So how did you fare in answering these questions? Any action you need to take if you have answered a "No" to any of the questions above? Are you ready to manage your cashflow?
• Managing Your Cash Flow
• Buying A House Within Your Means
• Taking Charge of Your Healthcare Costs
• Securing Your Retirement
Just thought that I would share some thoughts about my own personal experience regarding the first topic of managing my cashflow. Based on the checklist provided at the IMSavvy site (http://www.cpf.gov.sg/imsavvy/ayr_list.asp?catid=1), there were a few questions and I hope to answer these questions as honestly as I can. So here I go:
I Spend Less Than What I Earn Monthly
Yes, I do spend less than what I earn monthly most of the time. The only times that I ever spent more than I earn was when I was either going on a holiday or spending on my wedding preparations/home renovations. Otherwise, as a whole, I would like to think that for a typical month, I make a pretty conscious effort to spend less than what I earn monthly. This discipline I guess was instilled in me since young - you never want to spend your pocket money before the week is over. So likewise, when you are working, your monthly cash outflows should not exceed your monthly cash inflows unless for very good reasons (e.g. once-off big ticket items).
I Save At Least 10% of My Income
Generally, I would like to think that this is a YES for me too. It really depends what is the definition of saving. My definition of saving is basically income that is not spent on consumption. So saving to me includes putting money in the bank, putting it in a regular savings plan or investing in stocks. Well, some people will include their CPF contributions as part of their savings (and that isn't entirely wrong). So different people probably have very different ideas about what actually constitutes savings. For me, I do save >10% of my income over and above my CPF contributions.
Again, I must qualify that there are some months when I am a little less disciplined and splurge a little. But with a regular savings plan that I have set up through an ILP bought years ago, more than 10% of my income does go into saving (at least based on my own definition).
I Have At Least 6 Months Worth of My Income as Emergency Funds
A big YES to this question too! This was really something that I put off in the past and it was advice that I did not heed which I regret. During then, I was young and rash. I decided that the bank was paying me too little interest and decided to invest the majority of my money in stocks. I had less than 6 months worth of my income in emergency funds even though I originally had set aside that sum of money. Then came the time when I had to pay for some big ticket items and I was left with little choice but to liquidate some of my investments at a loss. So if this is not good enough warning for you, please do set aside 6 months of your income as emergency funds first before you even start investing. The last thing you want to do is to be liquidating your investments at a loss when a certain crisis (e.g. job loss) hits you.
I Pay My Credit Card Bills and Other Debt Obligations, in Full and On Time Each Month
Generally yes. All my debt obligations are paid through GIRO so I do not lapse on it. I do pay my credit card bills in full at the end of each month though not always on time. This is simply because I forget to pay them or miss the due date as the credit card bill was lost in my stack of letters. I usually call up the bank to waive the late charges since it is basically an oversight. I must have done that more than 5 times but they have always been more than willing to waive it.
I Have Adequate Financial Protection
Well, this is perhaps the toughest question to answer. And my answer to this is probably a "MAYBE". I know that I ought to be insured to certain levels (e.g. 10 times my annual pay for death coverage). But all these are really rule of thumb calculations. My protection level is slightly below those levels. I would like to think that I am adequately insured with coverage for death, TPD, critical illness, hospitalisation and personal accident.
This is perhaps a good time for me to dust off the dust on my insurance plans and see whether it is time to review the insurance coverage for myself as well as my family members.
So how did you fare in answering these questions? Any action you need to take if you have answered a "No" to any of the questions above? Are you ready to manage your cashflow?
Another Hoax Email
It is amazing that I have literally thousands of email to clear in my email account. But what never fails to interest me are the number of hoax and scam emails that I receive. One that I received today is attached below for your reference:
Hi,
My name is Mrs. Mutsakorn Chauvinist, the wife of the former deputy Prime minister and finance Minister Suchart Chauvinist who died of cancer. Due to the death of my husband as you can read from the Bangkok post news website to this linkhttp://www.bangkokpost.com/
Regards,
Mrs. Mutsakorn Chauvinist,
Bangkok, Thailand.
My name is Mrs. Mutsakorn Chauvinist, the wife of the former deputy Prime minister and finance Minister Suchart Chauvinist who died of cancer. Due to the death of my husband as you can read from the Bangkok post news website to this linkhttp://www.bangkokpost.com/
Regards,
Mrs. Mutsakorn Chauvinist,
Bangkok, Thailand.
Starting Pay for Singapore Graduates
Well the news about the starting pay for fresh graduates is out. Based on a July 2011 survey by Hay Group, fresh graduates can expect to command a higher starting pay compared to their 2010 cohort.
I also remember reading the Straits Times recently and was surprised to realise that there are NTU 2011 fresh grads out there that are earning $20K per month. I don't know what line they are in but $20K for a fresh grad sure sounds like a high figure to most people. I am assuming that they are probably in sales or perhaps working in some investment bank. It is good to know that local grads actually stand a chance of earning such a high salary. One would think that such high salaries were only possible if you study in a good university overseas.
Engineering jobs command the highest starting pay at S$2,745 per month for degree holders. This was followed by S$2,738 and S$2,728 for jobs in the legal profession and production respectively. The average starting pay for other jobs was around S$2,500. In 2010, the "hot" jobs were pretty similar and could be found in legal, engineering as well as R&D. The average starting pay for diploma holders was close to S$1,800.
And in a separate survey by JobsCentral, National University of Singapore (NUS) was the government employer of choice, beating Singapore Tourism Board to the top spot. STB had held the top spot for the past 3 years. The ratings were as follows:
1. NUS
2. DSTA
3. EDB
4. STB
5. A*STAR
For private companies, Apple retained the top spot. The survey results were based on 3000 over respondents from NUS, NTU and SMU.
When queried about the expected starting salary, most respondents actually picked a range of S$2,500 to S$3000. 33% expected a starting salary above $3,500 and 21.9% expected a starting salary of above $3,500.
I also remember reading the Straits Times recently and was surprised to realise that there are NTU 2011 fresh grads out there that are earning $20K per month. I don't know what line they are in but $20K for a fresh grad sure sounds like a high figure to most people. I am assuming that they are probably in sales or perhaps working in some investment bank. It is good to know that local grads actually stand a chance of earning such a high salary. One would think that such high salaries were only possible if you study in a good university overseas.
Just the other day, I also wrote about Singapore's 40 Richest. Apparently, the richest people in Singapore have increased their networth again over the past one year as reported by Forbes Asia. I was trying to find out the common points they had and realised that property is perhaps it.
Have started my own little survey regarding starting pay. Feel free to take part in the survey. All submissions will remain anonymous.
Manchester United IPO in Singapore
I know this is old news but apparently, Manchester United has gotten approval from the Singapore Stock Exchange to be listed. This was after news that SGX managed to grab this IPO when it was originally headed for the Hong Kong Stock Exchange (?).
Apparently, the Manchester United fan base in the region is one reason why the stock is being listed here. But I truly wonder how much that will really translate into actual fans investing into the club. They are fans alright. They might stay up to watch Manchester United play. They might buy Manchester United jerseys. Some might even travel all the way to Old Trafford to catch a game. But will they really invest in Manchester United as part of their investments?
Passion about a football and support for a club however might not necessarily translate into a investment decision / action. While investors like Peter Lim once tried to buy Liverpool, I wonder whether the interest for Man Utd IPO will really exist among the retail investor. Sure. There is a certain novelty factor of owning part of the club that you love. But will true Man Utd fans really invest in their club?
This I really wonder..
Wells Fargo & Company
The stock market has been really volatile the past couple of weeks. Have been trying to follow the news about the potential QE3 which most people are expecting though Bernake wasn't really clear in his speech that there was going to be a QE3. But with the unemployment rate still hovering around 9%, it is pretty certain that there are possibly rough times ahead for the market. But then again, the market is really forward looking so I could be wrong about that too.
Nevertheless, it seems that the market is really going down south right now and most people are taking a really bearish attitude. Warren Buffet has however added Wells Fargo and Company (WFC) to his portfolio over the past 1-2 months. Thought that it was a pretty interesting that Warren Buffet still seems to have quite a lot of confidence in the US economy considering that he has also pumped in billions of dollars into Bank of America (BAC). But of course, his investment in BAC is not available to the normal retail investors and he will most probably be paid off quite nicely at the end of the day.
If WFC continues to drop, I might just be tempted to take a little stake in it since one of the investment gurus of our time is quite heavily invested in it. WFC was last trading tat $24.20 and I might consider entering if the price drops some more.
Mood: Defensive; Bearish
Added Alpine Global Dynamic Fund to Portfolio
During the recent market crash, I managed to buy into Alpine Global Dynamic Fund (AGD listed on the NYSE) for a price of US$5.64. This is one of those monthly dividend stocks and the dividends for the next few months is at US$0.06 per share. Not a bad yield considering my purchase price. This should add to my passive income stream quite a fair bit over the next few months.
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