CPF verses Private Insurance,.. in SG verses MY

[Deleted member 80916]

Good Day, to the Financial Experts,.

Upon hitting 55 this year,, CPF in-excess of sgd 171k, can e cashed out.

This excess-of-171k, if remains in CPF, earns 2.5% pa, cumulative.

What other options (with higher returns, guaranteed) can this excess be parked into ?

Annuity Returns <-Is this option returns, at 2.5% estimated ?

Whole Life Policies bought since Younger,..., <- Surrender Values at 2% returns so-far, I guess,... to keep servicing / convert to paid-up / wait till older-to-get-higher returns ?

Endowments ? <- % returns basis 5 year tenure ?


Are such instruments paying out higher returns in %%% in Msia, compared to SG ? Because of Retirement Days are spent, more in Msia

Thanking Good Advice in Advance, Have a Nice Day

 

[Manager]

if you are looking for guaranteed returns, then there is currently none better than CPF.
you could get up to 5% per year if you leave the excess with CPF and you can withdraw it too plus the "excess"you withdraw later is not taxable"..

Retirement plans from insurance companies ( esp those from tokyo marine) were paying out pretty good returns 10 years ago, but that is no longer the case.
Infact NTUC just announce they will cut the return by 0.25 per cent, so you are basically looking at about 2 percent ( non guaranteed) returns from most retirement plans now.

forget about investment in malaysia if you are a sinkie.. it is just not worth the risk for a foreigner.
their law changes everytime and anytime even with when BN was in charge.

Good Day, to the Financial Experts,.

Upon hitting 55 this year,, CPF in-excess of sgd 171k, can e cashed out.

This excess-of-171k, if remains in CPF, earns 2.5% pa, cumulative.

What other options (with higher returns, guaranteed) can this excess be parked into ?

Annuity Returns <-Is this option returns, at 2.5% estimated ?

Whole Life Policies bought since Younger,..., <- Surrender Values at 2% returns so-far, I guess,... to keep servicing / convert to paid-up / wait till older-to-get-higher returns ?

Endowments ? <- % returns basis 5 year tenure ?


Are such instruments paying out higher returns in %%% in Msia, compared to SG ? Because of Retirement Days are spent, more in Msia

Thanking Good Advice in Advance, Have a Nice Day

 

[johnny333]

Timing is important in investing $. I started my investment career years ago investing in the Spore, Malaysian & US market.

Unfortunately since Trump passed the cut in corporate taxes, American companies have plenty of $ to do buy backs of their stocks. So the prices of US stocks is high. I think currently US stocks may be too high.

I have made my $$$,$$$,$$$ investing in US stocks : ) Years ago I would recommend that people do the same. If these people had listened to me, they would have made $$. Almost all the blue chip stocks I have owned have appreciated in value. However the amount of increase would of course depend on the company.

One of my biggest holdings is Apple. I have made tons of money from investing in this company because of stock splits, price appreciation of the stock price AND they now pay a quarterly dividend. Apple has indicated that they will be increasing the dividend every year year.

I also have Malaysian shares but because of the weak ringgit I simply use the dividends to re-invest in the Malaysian market. Maybe in a few years the ringgit will strengthen? Then I may take out some $.

I know many seniors citizens are putting money in fixed deposits because it is safe. However keep in mind that interest rates is still very low & in Spore inflation is very high. Having been screwed by the PAP I am very cynical of investing in Spore. That is why I have long given up investing in Spore. Plenty of stories of people losing $ from the poor regulation. The cost of having a Spore brokerage is also high. So if you only look at the local market I doubt you will make much $.

If you don't need the cash I recommend opening a US brokerage trading account with a company like ThinkorSwim. They have plenty of free seminars, self help documents, etc that will teach you how to invest. Or simply use the account to buy an ETFs on one of the many index funds available in the US.

 

[rushifa666]

Yes go american. 5% is for losers, cant even beat inflation plus gst. If you contjnue at this pathetic margin your money will only reduce over time as everythjng else goes up

 

[zhihau]

Timing is important in investing $.

welcome back!

 

[eatshitndie]

Timing is important in investing $. I started my investment career years ago investing in the Spore, Malaysian & US market.

Unfortunately since Trump passed the cut in corporate taxes, American companies have plenty of $ to do buy backs of their stocks. So the prices of US stocks is high. I think currently US stocks may be too high.

I have made my $$$,$$$,$$$ investing in US stocks : ) Years ago I would recommend that people do the same. If these people had listened to me, they would have made $$. Almost all the blue chip stocks I have owned have appreciated in value. However the amount of increase would of course depend on the company.

One of my biggest holdings is Apple. I have made tons of money from investing in this company because of stock splits, price appreciation of the stock price AND they now pay a quarterly dividend. Apple has indicated that they will be increasing the dividend every year year.

I also have Malaysian shares but because of the weak ringgit I simply use the dividends to re-invest in the Malaysian market. Maybe in a few years the ringgit will strengthen? Then I may take out some $.

I know many seniors citizens are putting money in fixed deposits because it is safe. However keep in mind that interest rates is still very low & in Spore inflation is very high. Having been screwed by the PAP I am very cynical of investing in Spore. That is why I have long given up investing in Spore. Plenty of stories of people losing $ from the poor regulation. The cost of having a Spore brokerage is also high. So if you only look at the local market I doubt you will make much $.

If you don't need the cash I recommend opening a US brokerage trading account with a company like ThinkorSwim. They have plenty of free seminars, self help documents, etc that will teach you how to invest. Or simply use the account to buy an ETFs on one of the many index funds available in the US.

agree. stay away from sg and ml markets. the u.s. market has produced millions of millionaires since the dow was 16.9k some time ago. from 16.9k to a high of 26.9k, that was quite a ride. if one has participated amply in selective s&p, dow and nasdaq stocks during this explosive period, he she will get rich. i'm able to retire because of this sustaining surge, and i have to start cashing out gradually this year. many of my sinkie friends who day-traded in u.s. stocks for the last 6.9 years are retired now as their portfolios have surged considerably. right now after 6.9 years the market is too expensive to play in. better to start cashing out and enjoy the wealth as age catches up.

 

[johnny333]

welcome back!

I've been doing other things. It can be really depressing reading about what is going on in Spore. So much negative news in spore. I've decided to spend less time in Spore & enjoy life outside the red dot. Spend some of the $ that I've got before it is too late.

 

[zhihau]

So much negative news in spore.

Always good to have you back home at the Alfresco Kopitiam

 

[johnny333]

agree. stay away from sg and ml markets. the u.s. market has produced millions of millionaires since the dow was 16.9k some time ago. from 16.9k to a high of 26.9k, that was quite a ride. if one has participated amply in selective s&p, dow and nasdaq stocks during this explosive period, he she will get rich. i'm able to retire because of this sustaining surge, and i have to start cashing out gradually this year. many of my sinkie friends who day-traded in u.s. stocks for the last 6.9 years are retired now as their portfolios have surged considerably. right now after 6.9 years the market is too expensive to play in. better to start cashing out and enjoy the wealth as age catches up.

I really don't understand why people bother with the Spore market? When I was still investing in Spore I faced problems like being forced to sell when some large company decided to acquire the company I had invested in. There is also the problem of poor regulation enforcement that disadvantage small investors. Just look at the problems with Noble, Hyflux, Lehman,... As a passive investor I also had to pay all kinds of brokerage fees.

I've been a poor millionaire for sometime. Been living off the dividends for years & years. With the market being so high now, I'm now on paper a multi-millionaire. Now that Apple is a trillion dollar company my shares are now worth $$$. With the changes in corporate US taxes, Apple is now able to pay higher dividend. Currently they are paying 73 cents per share. The nice thing about Apple shares is that the prices is being supported by Apple which does buy backs if the share prices fall. Also have people like Warren Buffet buying it's shares. So I'm not too worried about a market correction. This is not unique to Apple, according to Cramer(Mad Money) the reasons share prices are high is that companies have $ to do buybacks of their shares. So the market has fewer shares to go around.

There is so many ways to invest e.g. options, buying stocks, buying ETFs, index funds, ... etc. Why limit yourself to only CPF for just 2%+ ?
If someone has $ to invest there are plenty of blue chip US companies that provide dividends. These companies are I think safer than investing in Temasek & Ho Ching.

My local bank also pays a higher interest rates on USD$. So when I have the dividends sent to Spore, I keep it in USD. Only converting them to SGD when I need the funds.

The only disadvantage with dividends is that you will only get 70% of the dividends because in the US & Malaysia they will levy a 30% tax on all dividends.

 

[rushifa666]

Lotsa money to be made if you are sharp, elon musk and his foul mouth for example lol