Putting retirement savings in equities pays off in long run

[ginfreely]

problem is most sg companies are either penny shares or a few dollars at most....a few hundred million market cap to a few billion,the three big banks maybe twenty or thirty billion thats it,but the good thing is most sg blue chips tend to be pretty solid,dependable businesses and reliable income and their business models are pretty predictable.lots of nice gems to be found in sg markets,they dont promise anything spectacular but u can expect steady reliable income,like vicom,vehicle inspection company in singapore,or this croesus retail reit,small 500 million dollar company,solid balance sheet,NAV close to share price,nice dividend output,well hedged business,owns a few shopping malls in japan,they seems to know what they are doing in japan.i just want to generate some nice steady income,my other sg holdings currently are ocbc and singtel and m1.

Is this the vanguard index fund you talking about? You bought this? Using which broker? Can auto buy monthly? Thanks

Vanguard 500 Index Fund (MUTF:VFINX)

 

[MovieStar]

I have more than 10 shares in my portfolio
Include. Keppel. Uoi. Semb Corp. Ocbc. Dbs. Sgx. Singtel. HL finance. Comfort delgro. Smrt.
Thai beverage . ST engineering etc

 

[ginfreely]

"To put some numbers on it, take a look at Vanguard 500 Index Fund (MUTF:VFINX) — the S&P 500-tracking fund that gives investors access to Apple Inc. (NASDAQ:AAPL), Exxon Mobil Corporation (NYSE:XOM) and the rest of the gang. VFINX gained 13.5% in 2014, hitting 57 new highs along the way. Now it’s sitting back at all-time highs"

https://www.google.com/url?sa=t&sou...hvMImDyLUd-cKVdrg&sig2=cDTmgOI_HgrKe6L-rYOHsg

 

[winnipegjets]

I have more than 10 shares in my portfolio
Include. Keppel. Uoi. Semb Corp. Ocbc. Dbs. Sgx. Singtel. HL finance. Comfort delgro. Smrt.
Thai beverage . ST engineering etc

I buy only etf of asia ...don't trust the individual counters. Asian markets are like casinos.

 

[winnipegjets]

america's housing market has been in the dumps for nearly 10 years.all their millions and millions of dreams of the american dreams shattered forever by the great bubble of 2005 to 2007.

http://time.com/money/4206137/home-prices-still-below-old-peak/

Last time the property bubble was only US, the next time, it will be a global crash. And the PAP won't be able to guarantee the return to the CPF when that happens.

 

[winnipegjets]

Which five etfs do you recommend for $100 monthly investment for next 20 years?

VOO or SPY for US market. $1200 is not alot to invest.

Five etfs to cover the world - one for europe, one for emerging markets, one for bonds, one for US and one for apac. You are all set.
You need to do some legwork to find the etf. Google is your friend. No financial adviser or wealth manager will encourage to buy etf because they don't earn any commission.

 

[winnipegjets]

If you want to invest like Buffet ...

http://www.cnbc.com/2016/03/09/how-to-build-your-own-warren-buffett-portfolio.html?slide=1

 

[ginfreely]

VOO or SPY for US market. $1200 is not alot to invest.

Five etfs to cover the world - one for europe, one for emerging markets, one for bonds, one for US and one for apac. You are all set.
You need to do some legwork to find the etf. Google is your friend. No financial adviser or wealth manager will encourage to buy etf because they don't earn any commission.

Yes recently I realised my ILP policy charged me monthly about $50 for insurance charges, leaving only $100 for investment. Read this thread and thinking of terminating it and invest myself. Since you already have done the legwork, can share your five etfs portfolio? Will be nice to know and more people buy should be merrier. Don't worry, no responsibility at all since free advice. Thanks.

 

[winnipegjets]

Yes recently I realised my ILP policy charged me monthly about $50 for insurance charges, leaving only $100 for investment. Read this thread and thinking of terminating it and invest myself. Since you already have done the legwork, can share your five etfs portfolio? Will be nice to know and more people buy should be merrier. Don't worry, no responsibility at all since free advice. Thanks.

Bonds - BLV and BSV
US - VOO
Europe - VGK
Emerging mkt - VWO
Asiapac - VPL

 

[krafty]

problem is most sg companies are either penny shares or a few dollars at most....a few hundred million market cap to a few billion,the three big banks maybe twenty or thirty billion thats it,but the good thing is most sg blue chips tend to be pretty solid,dependable businesses and reliable income and their business models are pretty predictable.lots of nice gems to be found in sg markets,they dont promise anything spectacular but u can expect steady reliable income,like vicom,vehicle inspection company in singapore,or this croesus retail reit,small 500 million dollar company,solid balance sheet,NAV close to share price,nice dividend output,well hedged business,owns a few shopping malls in japan,they seems to know what they are doing in japan.i just want to generate some nice steady income,my other sg holdings currently are ocbc and singtel and m1.

no wonder you say singtel beri good! now apparently, there is price war among the telcos. where got future when everyone is lowering their prices.

i hope m1 emerge as they have been dormant for too long. singtel better go kaput, ptui!:oIo:

i have been anticipating this scenario to come just as predicted. telco is a sunset industry.

 

[garlic]

ETF is no good for recurring purchases especially as brokerages charge per transaction, for example you buy $100, and get charged $25 for each purchase, per fund per month. If you buy 5 etfs, then u really are just making brokerages rich. Buying ETFs really is more suited for lump sum purchases. Just my 2c.

 

[ginfreely]

ETF is no good for recurring purchases especially as brokerages charge per transaction, for example you buy $100, and get charged $25 for each purchase, per fund per month. If you buy 5 etfs, then u really are just making brokerages rich. Buying ETFs really is more suited for lump sum purchases. Just my 2c.

Good to know that, thanks! Looks like cannot buy etf monthly then. Just Google, seem that those vanguard etf shared by winniepeg do have unit trust option. Anyone know how to buy or have bought vanguard unit trust before?

 

[ginfreely]

Bonds - BLV and BSV
US - VOO
Europe - VGK
Emerging mkt - VWO
Asiapac - VPL

Interesting. These etfs do have equivalent mutual fund option like BLV is VBLTX. Can share which broker do you use? Safe? Thanks.

https://advisors.vanguard.com/VGApp/iip/site/advisor/investments/productoverview?fundId=0927
Vanguard share class options
Mutual fund classes
Share class Investor
Ticker VBLTX
Expense ratio as of 04/28/2015 0.20%
Minimum $3,000
Inception date 03/01/1994
Share class Institutional
Ticker VBLLX
Expense ratio as of 04/28/2015 0.07%
Minimum $5,000,000
Inception date 02/02/2006
Share class Institutional Plus
Ticker VBLIX
Expense ratio as of 04/28/2015 0.05%
Minimum $100,000,000
Inception date 10/06/2011
ETF classes
Share class ETF
Ticker BLV
Expense ratio as of 04/28/2015 0.10%
Minimum None
Inception date 04/03/2007
About share classes
Vanguard offers multiple share classes (depending on the fund). A fund's objective, management, and underlying investments are identical in each class. The expense ratios distinguish the share classes and reflect the differing costs of each share class.

Admiral™ Shares

A share class with lower expense ratios than those for Investor Shares and no minimum investment requirements.

Investor Shares

Traditional shares for individual investors that typically feature low minimum initial investments.

Institutional Shares

Shares for companies and organizations with account balances of $5 million or more.

ETF Shares

Exchange-traded shares of certain Vanguard index mutual funds. ETF Shares combine the benefits of indexing (low costs and broad market diversification) with the trading and pricing flexibility of individual stocks.

 

[ginfreely]

no wonder you say singtel beri good! now apparently, there is price war among the telcos. where got future when everyone is lowering their prices.

i hope m1 emerge as they have been dormant for too long. singtel better go kaput, ptui!:oIo:

i have been anticipating this scenario to come just as predicted. telco is a sunset industry.

Do you know how profitable is Singtel? How to bankrupt?

"The company has one of the highest Net Income Margins on the Singapore market. At 21%, it is higher than the average margin of 18% for Singapore’s 30 largest companies in the Straits Times Index (SGX: ^STI). It means that SingTel generated $21 of bottom-line profit for every $100 of top-line sales. Additionally, SingTel’s margin has been consistently high, which might suggest that the company has strong pricing power despite intense competition in the telecom sector."

https://www.google.com/url?sa=t&sou...BMV9W_tzQDMpc1uew&sig2=cEhgpKJYqOG3eE5ysQGhZQ

 

[JohnTan]

Do you know how profitable is Singtel? How to bankrupt?

"The company has one of the highest Net Income Margins on the Singapore market. At 21%, it is higher than the average margin of 18% for Singapore’s 30 largest companies in the Straits Times Index (SGX: ^STI). It means that SingTel generated $21 of bottom-line profit for every $100 of top-line sales. Additionally, SingTel’s margin has been consistently high, which might suggest that the company has strong pricing power despite intense competition in the telecom sector."

https://www.google.com/url?sa=t&sou...BMV9W_tzQDMpc1uew&sig2=cEhgpKJYqOG3eE5ysQGhZQ

You should invest in Singapore's REITs. I am a long-time investor in REITs like First REITs and Cambridge Industrial Trusts. Both trusts have performed well since the financial crisis of '08.

 

[ginfreely]

You should invest in Singapore's REITs. I am a long-time investor in REITs like First REITs and Cambridge Industrial Trusts. Both trusts have performed well since the financial crisis of '08.

Good idea. Previously i have never considered reits as I already invested in physical property. But if I invest reits I will buy capitaland mall trust or ascendas reit, they seem bigger brand names than the two you mentioned. Why you don't buy capitaland or ascendas instead?

http://www.sgmoneymatters.com/singapore-reit-early-retirement-income/

 

[JohnTan]

Good idea. Previously i have never considered reits as I already invested in physical property. But if I invest reits I will buy capitaland mall trust or ascendas reit, they seem bigger brand names than the two you mentioned. Why you don't buy capitaland or ascendas instead?

http://www.sgmoneymatters.com/singapore-reit-early-retirement-income/

REITs are a good way to invest in property as most of their assets are in property. It is rare to find property tank 20-50% in a year, but it does happen to REITs or any other counter in the stock market when the market is very pessimistic.

I bought into industrial and hospital REITs are I found them more stable as compared to shopping malls. I notice that there is a huge increase in number of malls but it is not matched by a corresponding increase in population in Singapore. If we want more shopping malls, we need more sinkies and foreigners who can spend.

I am satisfied with these two REITs. So, not investing in other REITs for now. Croesus REITs looks promising. I have confidence in Japan despite its aging population. The countryside is aging and dying, but metropolitan Japan is still young and vibrant. Young people usually make a beeline for the big city.

 

[ginfreely]

REITs are a good way to invest in property as most of their assets are in property. It is rare to find property tank 20-50% in a year, but it does happen to REITs or any other counter in the stock market when the market is very pessimistic.

I bought into industrial and hospital REITs are I found them more stable as compared to shopping malls. I notice that there is a huge increase in number of malls but it is not matched by a corresponding increase in population in Singapore. If we want more shopping malls, we need more sinkies and foreigners who can spend.

I am satisfied with these two REITs. So, not investing in other REITs for now. Croesus REITs looks promising. I have confidence in Japan despite its aging population. The countryside is aging and dying, but metropolitan Japan is still young and vibrant. Young people usually make a beeline for the big city.

According to this link, Ascendas is more industrial, with retail (shopping mall?).

https://www.google.com/url?sa=t&sou...gghMAE&usg=AFQjCNH_yoW1p7LrZ-xgTRWWjmVkQ6vSnw

 

[JohnTan]

According to this link, Ascendas is more industrial, with retail (shopping mall?).

https://www.google.com/url?sa=t&sou...gghMAE&usg=AFQjCNH_yoW1p7LrZ-xgTRWWjmVkQ6vSnw

Thank you for the info. Will monitor A-REITs.

Not buying for now. The buying season was earlier this year, when there was huge pessimism and lots of stocks to be picked up. I bought more OCBC and Sembcorp Industries, blue chips with strong PAP connections. They should survive and thrive.

Now looking at the telcos and wondering how the 4th telco would change things. So far, it's good for customers with cheaper prices on data plans.

 

[ginfreely]

Thank you for the info. Will monitor A-REITs.

Not buying for now. The buying season was earlier this year, when there was huge pessimism and lots of stocks to be picked up. I bought more OCBC and Sembcorp Industries, blue chips with strong PAP connections. They should survive and thrive.

Now looking at the telcos and wondering how the 4th telco would change things. So far, it's good for customers with cheaper prices on data plans.

Is now a good time to start buying vanguard index fund?