tag:blogger.com,1999:blog-74382846625702827212024-03-12T16:01:50.386-07:00Ken'ichi Wealth ManagementThe Singapore Investor Who Stretch Out His Hand.
riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.comBlogger71125tag:blogger.com,1999:blog-7438284662570282721.post-42093697734579284362018-08-10T04:54:00.000-07:002018-08-10T04:54:09.139-07:00Retirement Planning: CPF Projection with Your Current Situation<div class="separator" style="clear: both; text-align: center;">
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<span style="color: #222222; font-family: arial, tahoma, helvetica, freesans, sans-serif;"><span style="background-color: white; font-size: 13.2px;">This Blog Post will focus on CPF Projection by age 55 years old from a person current age.<br /><br /></span></span><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgKgO10MpTut7hVfgsoQVoven2qmdldAKBz-PbUYWeg-2EJrcnmFOxbhVSvxsIPRGm7gwIYFuNKd6Vx8l8mmV2_dXNpGhFjXkk9r4A-VvvXcOOS9qxzXsijpEC9MGghpNZ6aN5pkUiPIvw/s1600/cpfimage.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="225" data-original-width="225" height="320" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgKgO10MpTut7hVfgsoQVoven2qmdldAKBz-PbUYWeg-2EJrcnmFOxbhVSvxsIPRGm7gwIYFuNKd6Vx8l8mmV2_dXNpGhFjXkk9r4A-VvvXcOOS9qxzXsijpEC9MGghpNZ6aN5pkUiPIvw/s320/cpfimage.png" width="320" /></a><span style="color: #222222; font-family: arial, tahoma, helvetica, freesans, sans-serif;"><span style="background-color: white; font-size: 13.2px;"><br /></span></span><br />This is to help get some idea on the amount that a person could draw out in lump sum<br /><br />or<br /><br />Keep in CPF account less Retirement Amount (RA) compares to drawing out and just leaving in the bank with lower interest rate.<br /><br />No other alternative for better ROI will be mention in this article.<br /><br /><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgabrI9q7RjnRnvK1UA2ozUaSyyY8T_3-nL-ZdR6kAh43TSB9VNfydU2Y-rOEhyphenhyphenXhoGW7oZb9IPfVclqnGjk7AC9Rdt9vQRYyzHYBD7My8TA-1fqDiGEd1QEypeXOGjwTcu0VgvqqRt8Vs/s1600/CPF-3-accounts.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="425" data-original-width="779" height="174" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgabrI9q7RjnRnvK1UA2ozUaSyyY8T_3-nL-ZdR6kAh43TSB9VNfydU2Y-rOEhyphenhyphenXhoGW7oZb9IPfVclqnGjk7AC9Rdt9vQRYyzHYBD7My8TA-1fqDiGEd1QEypeXOGjwTcu0VgvqqRt8Vs/s320/CPF-3-accounts.jpg" width="320" /></a><br /><br /><br />In this post, we will ignore the Medisave Account (MA) account in the total computation or overflow in interest.<br /><br />The total amount a person can withdraw at age 55 does not include MA <br />but Ordinary Account (OA) + Special Account (SA) less Retirement Account (RA).<br /><br />Taking myself as an example,<br /><br />
Account Balances (as at 10 Aug 2018)<br />
Ordinary Account (OA) $62,588.07<br />
Special Account (SA) $180,739.00<br /><br />and knowing that<br /><br />
CPF interest rate is<br />
1. calculated monthly<br />
2. credited Anually<br />
3. compounded Anually<br />
4. interest earned eat into the CPF Annual Limit (AL) for that year. <br />(AL include the employment contribution you get monthly)<br /><br />We can use a compounding calculator to project how much we will have by age 55.<br /><br />We will ignore the Future Full Retirement Sum for now for simplicity since everyone might reach age 55 in different years.<br /><br />
For my case,<br />
<br />
1. If I never increase in income,<br />
2. Interest rate remain the same,<br />
3. Annual Limit (AL) remain the same which is $37,740/-,<br />
4. Ignoring MA interest overflow, if any.<br />
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by age 55 my total OA+SA (without hitting AL) = $714 382<br />
by age 55 my total OA+SA (with AL utilised) = $1 249 242<br />
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One thing to note is, AL usually means you contribute to yourself without tax rebate incentives.<br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj_pU6g4jYOGDF7ZQUjwI5PDOQ6OHZ_6GUwe3zUxsT43yZiHlOZfSVT-O7YSC6Cd6lRCat6CcZKYoI506Ll5vUgudDeNbgSh5PtpkNViJJTn4cSrnfc39Kp5CGtJ5Jkj5dHu7tyT3AYYbQ/s1600/Calculation+1.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="300" data-original-width="300" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj_pU6g4jYOGDF7ZQUjwI5PDOQ6OHZ_6GUwe3zUxsT43yZiHlOZfSVT-O7YSC6Cd6lRCat6CcZKYoI506Ll5vUgudDeNbgSh5PtpkNViJJTn4cSrnfc39Kp5CGtJ5Jkj5dHu7tyT3AYYbQ/s1600/Calculation+1.jpg" /></a></div>
<br />How do I calculate on my own?<br /><br />
We can start by<br />a. logging into your own CPF account for the current balance.<br />
b. Add on the remaining to end of December using the monthly contribution from your Statement Record.<br /><br />Now comes the decision to Simplify or Conditioning the Result.<br /><br />To Simplify the Result, <br />we can calculate by per annum instead of per month contribution in each account. <br />eg $100 contribution x12month= $1200 for OA,<br /><br />i) Use a compounding calculator if you do not have an excel formula sheet.<br />ii) Compound to "n" years from your current age to age 55<br />iii) $20k from OA at 3.5% with 0 addition per annum in a compounding table or calculator<br />
iv) $40k from SA at 5% with 0 addition per annum in another compounding table or calculator<br />
v) balance OA + "annual" addition from pt (b) at 2.5% in another compounding table or calculator<br />
vi) balance SA + "annual" addition from pt (b) at 4% in another compounding table or calculator<br />
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Please refer to the image in using a compounding calculator.<br />You will need 4 tables or Calculator to Adds Up the Final Value.<br /><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj2d_AP4eZYCu7TU112fAPjHlc2vqZxsDHRZ-oMpV6XZ13OP1r3CjUdv11TwejZsqzg0uYmsKVo_dXDdBMoCJ9EVLQVmiKZLfsQ4Aco8Avpy1DHvuKiHekrTXbJ-ifAKvdt1LW9s9JahBo/s1600/cpfvalue.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="554" data-original-width="601" height="294" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj2d_AP4eZYCu7TU112fAPjHlc2vqZxsDHRZ-oMpV6XZ13OP1r3CjUdv11TwejZsqzg0uYmsKVo_dXDdBMoCJ9EVLQVmiKZLfsQ4Aco8Avpy1DHvuKiHekrTXbJ-ifAKvdt1LW9s9JahBo/s320/cpfvalue.png" width="320" /></a><br /><br /><br />This is the link for the compounding calculator so you can do it on the Smart Phone anytime.<br /><a href="https://financialmentor.com/calculator/compound-interest-calculator" target="_blank">https://financialmentor.com/calculator/compound-interest-calculator</a><br /><br />The projection with AL will require a break down of the AL amount $37,740/-, therefore you need the allocation calculator.<br /><br /><a href="https://www.cpf.gov.sg/eSvc/Web/Miscellaneous/ContributionAllocation/ContributionAllocationCalculator" target="_blank">https://www.cpf.gov.sg/eSvc/Web/Miscellaneous/ContributionAllocation/ContributionAllocationCalculator</a><br /><br />After the above, just focus on changing the figures for point (v) and point (vi).<br /><br />Lastly,<br /><br />
The calculation will not be accurate because the future is unpredictable but is good to get an idea of the end sum for pre - retirement planning.<br /><br />The money in your CPF is safe from creditor and/or bankruptcy situation.<br /><br />Hope this article will motivate those who have plans to use CPF Funds for Retirement if Possible.<br /><br />Another Good Deed Done!<br />
<br />riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com3tag:blogger.com,1999:blog-7438284662570282721.post-4441569283050285832018-07-22T02:00:00.001-07:002018-07-22T02:05:33.229-07:00Estate planning: Importance of CPF Nomination and how it can Link to a WILL<span style="background-color: white;"><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">This post is triggered by a Discussion with a Fellow Status Friend who have planned to Top Up his CPF Retirement Account (RA) to Enhanced Retirement Sum by Age 55.<br /><br />I will not go into Details for the above Plans. <br /><br />Rather, something more important which ANYONE could be caught by surprise if they <br /><br />1. failed to make a CPF Nomination or the Nominee also passed on<br /><br />2. choose to Nominate to a MINOR without a Trustee.</span></span></span><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhzvgsB-mKPuyN92OW2ouT-y651gyUNiTxmpoBMyayPk9yLtZCa2DncC23m1O9Fbnvhrvv-ZGvbVU6c2TZk2hJ6vVxgMOI-hU3f470ZBsnOi18RMnBe3qpEddMUfkJF1B5YJFgR08R1hEs/s1600/CPF-Nomination.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="300" data-original-width="300" height="400" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhzvgsB-mKPuyN92OW2ouT-y651gyUNiTxmpoBMyayPk9yLtZCa2DncC23m1O9Fbnvhrvv-ZGvbVU6c2TZk2hJ6vVxgMOI-hU3f470ZBsnOi18RMnBe3qpEddMUfkJF1B5YJFgR08R1hEs/s400/CPF-Nomination.png" width="400" /></a><br />
<span style="background-color: white;"><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /><br />What would happen if the deceased did not make a CPF Nomination?<br /><br /><b>Short Answer:</b> </span></span></span><br />
The CPF Board will send the CPF money to the Ministry of Law: Public Trustee's Office, as required by law.<br />
<br />
<b>Long Anwer:</b>The Next of Kin (NOK) or whom is eligible for the above,<br />
a) have to go through ApplicationS<br />
b) meeting the ConditionS<br />
c) "Wasting Money" to get hold of money belonging to the Family<br />
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The below link will provide full answer/the procedures for an Individual to be distributed to him/her, or Click on Point 2 for that link.<br />
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<u><a href="https://www.mlaw.gov.sg/content/pto/en/deceased-cpf-estate-monies/information-for-next-of-kin-cpf-monies.html" target="_blank">https://www.mlaw.gov.sg/content/pto/en/deceased-cpf-estate-monies/information-for-next-of-kin-cpf-monies.html </a></u><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi6jM_cRRUu9XaBnK6WhHeb59XsMn76YHMvvEE4GVVvUyYJ-OAXga-iXQFIqs7yjLBMjZxlHEAYGj6lyQuBwoFkKhgGST6U5w3PEej736FlioJUIbU_CP_au0w2bzzhBtB1dgBzDscK-FI/s1600/dunwaste.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="168" data-original-width="300" height="179" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi6jM_cRRUu9XaBnK6WhHeb59XsMn76YHMvvEE4GVVvUyYJ-OAXga-iXQFIqs7yjLBMjZxlHEAYGj6lyQuBwoFkKhgGST6U5w3PEej736FlioJUIbU_CP_au0w2bzzhBtB1dgBzDscK-FI/s320/dunwaste.jpg" width="320" /></a><u><br /></u><br />
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<span style="background-color: white; color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">The focus on this article is to highlight the COSTLY cost of not making a CPF Nomination.</span></h2>
Referring back to the ABOVE link,<br />
<br />
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgTchW9GdGmMxBIYIiTlDFOIC3WzQ8NLGgsdcVPuyhkYkMV0JfBkp96eJ7hCucojOVz3eGRlV3iSjNfInz3KzFXI43Jn_nTJOL8wjeQGX1HHEu7HvvWL5oNZurn1HgdoWNGbx_vpRrHg-Q/s1600/nmnla.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="484" data-original-width="427" height="320" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgTchW9GdGmMxBIYIiTlDFOIC3WzQ8NLGgsdcVPuyhkYkMV0JfBkp96eJ7hCucojOVz3eGRlV3iSjNfInz3KzFXI43Jn_nTJOL8wjeQGX1HHEu7HvvWL5oNZurn1HgdoWNGbx_vpRrHg-Q/s320/nmnla.png" width="282" /></a><br />
<br />
The Highlighted paragraph is saying the CPF Money will become part of the Nominee Estate! <br />
<br />
With a WILL all will be fine but if the same Nominee does not have a WILL the below charges will applies!<br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjzxW1FTunLYgwljrIZ8hYfeOUdKJmCEynC8glbF7vaago1LPmp0vnsJf9Ir7BRBosoGu7uFwDwINzvdjrpfXMaN9Q3L6tlVAlPpEdsR6CisPr0OAUDIcBiUlqJcbwkEVx4epI8Rv8QUXE/s1600/feePTEstate.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="419" data-original-width="457" height="293" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjzxW1FTunLYgwljrIZ8hYfeOUdKJmCEynC8glbF7vaago1LPmp0vnsJf9Ir7BRBosoGu7uFwDwINzvdjrpfXMaN9Q3L6tlVAlPpEdsR6CisPr0OAUDIcBiUlqJcbwkEVx4epI8Rv8QUXE/s320/feePTEstate.jpg" width="320" /></a><br />
<br />
Source:<a href="https://www.mlaw.gov.sg/content/pto/en/deceased-cpf-estate-monies/information-for-next-of-kin-estate-monies.html" target="_blank"> https://www.mlaw.gov.sg/content/pto/en/deceased-cpf-estate-monies/information-for-next-of-kin-estate-monies.html</a><br />
<br />
The above image will covers the wastage that cannot be avoided for point 1.<br />
<br />
Now for point 2, if the Nominee is a Minor.<br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi0F0IAyz-IKoowvM1JnIU16dzzXl2gXwMHJ6OJ264U5mzMDm4d9OB5pbHiq-SO2VQZ7i0VSWNt1Ap4mZN6S1DQofkRSvIB73fctzkQEK2nZzjuRB1ydda2P7qPjXYyeADw3K5mz6p99kU/s1600/minornominee.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="616" data-original-width="410" height="320" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi0F0IAyz-IKoowvM1JnIU16dzzXl2gXwMHJ6OJ264U5mzMDm4d9OB5pbHiq-SO2VQZ7i0VSWNt1Ap4mZN6S1DQofkRSvIB73fctzkQEK2nZzjuRB1ydda2P7qPjXYyeADw3K5mz6p99kU/s320/minornominee.png" width="212" /></a><br />
<br />
Source: <a href="https://www.mlaw.gov.sg/content/pto/en/deceased-cpf-estate-monies/information-for-next-of-kin-cpf-monies.html">https://www.mlaw.gov.sg/content/pto/en/deceased-cpf-estate-monies/information-for-next-of-kin-cpf-monies.html</a><br />
<br />
By Nominating to a Minor, the Public Trustee Office will charge the above fees for "Holding" and "Investing".<br />
<br />
If that is what the deceased wanted, then we should respect that but IF the deceased did not wanted the above, is always good to make sure the right decision is made for the nominee.<br />
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This blog post is not flaming any party or parties but helping to keep the public informed of the legit cost for not making a cpf nomination or/and a will.<br />
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Another Good Deed Done!riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com1tag:blogger.com,1999:blog-7438284662570282721.post-89775311592687198952018-06-30T07:37:00.001-07:002018-06-30T07:59:54.139-07:00Retirement Planning: Should you try Getting a "Passive Income" by Equity Loan<div class="separator" style="clear: both; text-align: center;">
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<span style="background-color: white; color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">This post is triggered from a discussion of Equity Loan which Property Guru will Teach you to Own Another Property without using the Cash in Your Bank.<br /><br />Is this too good to be True or there is more but not revealed?<br /><br /></span><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhpf4iYmZgQlUffuxLJwdmFwYzj3Gml7ZZMJ1X2fhaJjHp0FFKXV7lAop0RD4bueA4nDF5By4oEfK2zXx0eFe6KoA8nCzv95hApI56c73q95on0QohCD7x1zD2sjXNWhJAIO2QultyS38I/s1600/Equityloan.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="168" data-original-width="300" height="223" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhpf4iYmZgQlUffuxLJwdmFwYzj3Gml7ZZMJ1X2fhaJjHp0FFKXV7lAop0RD4bueA4nDF5By4oEfK2zXx0eFe6KoA8nCzv95hApI56c73q95on0QohCD7x1zD2sjXNWhJAIO2QultyS38I/s400/Equityloan.jpg" width="400" /></a><span style="background-color: white;"><br /><br /><br /><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">What is Home- Equity Loan? <br /><br />The article below will shed more light about what is Home-Equity Loan.</span></span><br /><br /><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><a href="https://propertynet.sg/cashing-out-property-home-equity-loan/">https://propertynet.sg/cashing-out-property-home-equity-loan/</a><br /></span></span></span><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjH-gpdR4qbuyCIuoSrP8E8xSXJFP9Yh00pxtg3wPf5YygN8-vUnkxqCRDI9bomTysBZskjdA0deMKfNsyqmfGNVNOjMilj9ey7oJd_aIZ76rbzFVwC9cagKRHVlBdV1PaMYXdXEl6wFWQ/s1600/tots.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="960" data-original-width="1600" height="240" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjH-gpdR4qbuyCIuoSrP8E8xSXJFP9Yh00pxtg3wPf5YygN8-vUnkxqCRDI9bomTysBZskjdA0deMKfNsyqmfGNVNOjMilj9ey7oJd_aIZ76rbzFVwC9cagKRHVlBdV1PaMYXdXEl6wFWQ/s400/tots.jpg" width="400" /></a><span style="background-color: white;"><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span></span><span class=" UFICommentActorAndBody"> <span data-ft="{"tn":"K"}"><span class="UFICommentBody _1n4g"><br /><br />Banks will still look at factors like borrower's age and income to give the loan.<br /><br />The
home equity loan itself will depend highly on the valuation of the
fully paid ppty or (term loan for not fully paid ppty) aka lesser cash
amount.<br /><br />Usually, people take this loan to buy a smaller property that can be <b>PAID UP FULLY</b> with the <b>LOAN TAKEN</b>.<br /><br />Even with all the above, the desire property must still be able to be rented out as an income generating asset.<br /><br />When the TWO property are private property, the monthly management fee and the annual property tax is what the couple must factor in.<br /><br />It
could be rosy only if at least one property is in demand and could call for
high rental yield because when management wanted to raise fee, you can't
avoid giving in.<br /><br />All in all, is still for people who
have high stable income and not for people who are just started up especially when it comes to a <b>TERM LOAN</b>.<br /><br />The reason why the rich get richer is because they take risk within their means. (Good to be rich)<br /><br />The
reason why the poor get poorer is because they wanna to use the same
above method to become rich taking higher risk from average or unstable
income.<br /><br />The above Is not impossible for the general public but is really about risk management.<br /><br />I will still advocate a (if possible BTO) HDB fully paid after 5 years Minimum Occupation Period (MOP) and then get a Private Property.<br /><br />Yes. Total Debt Servicing Ratio (TDSR) to get the loan and Additional Buyer Stamp Duty (ABSD) are in play but the private property price could
appreciate.<br /><br />AND if it doesn't, your risk are still lowered from poor
rental yield if ur HDB commands a good rental yield.<br /><br />In
terms of rental yield, due to lower expenses, HDB will command a better
rate. <br />Of course if the private property is highly popular amount wealthy expat
or company, the scenario will be different.<br /><br />This blog is just my personal opinion.<br /><br />Not
arguing that the Home Equity Loan or Term Equity is wrong but Life is
about risk management and there is a safer route most of the time even
if it means we pay more initially. </span></span></span><span style="background-color: white; color: #222222; font-family: "arial" , sans-serif; font-size: 16px;"><br /></span><br />
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgQSJyqjOBTcGs1VaY11q56CbUTr8yuwmd2eKvnUoKB9KlMO3xo0wn_n1YYBea9lNDKn5mwNDAcAJnbnQ4EwvxbqdCZ5wbsHoOL80_ZGhqJ6BWXnEw1TTIxjdRKZtqeGouKX3aMuWvIU7g/s1600/jalm.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="149" data-original-width="150" height="394" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgQSJyqjOBTcGs1VaY11q56CbUTr8yuwmd2eKvnUoKB9KlMO3xo0wn_n1YYBea9lNDKn5mwNDAcAJnbnQ4EwvxbqdCZ5wbsHoOL80_ZGhqJ6BWXnEw1TTIxjdRKZtqeGouKX3aMuWvIU7g/s400/jalm.jpg" width="400" /></a><br />
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IF Equity Loan is your decision, is GOOD to know<br />
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TDSR is lifted only for home equity loans with a Loan-to-Value (LTV) ratio of 50%.<br />
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I am sure the reading is interesting but every loan you take will expose you to more risk.<br />
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Please do your math wisely and don't follow blindly. <br />
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Another Good Deed Done!riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com2tag:blogger.com,1999:blog-7438284662570282721.post-87888689364074240092018-05-19T06:05:00.001-07:002018-05-19T06:05:23.868-07:00Wealth Preservation: Do you believe every $10k Counts in preserving your wealth? <div class="separator" style="clear: both; text-align: center;">
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<h4>
<span style="text-align: start;">This blog post is trigger by Questions like should I invest in ETF and fight inflation with my savings.<br /><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgkvTTCKLy8CdHLxcM7y3UGrAEhz4YVoBZ8QRjVBTRr7wJ-Nt5WBED2F-o05Ob-y5LtcHVgU2Qr9UvAguCKcGQtEvD35U3vYLpskntTUBS9lL1RzCoxOQ7xGrNqCAI02T6CWezLy3S5EtE/s1600/wp.jpg" imageanchor="1" style="font-weight: 400; margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="186" data-original-width="270" height="275" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgkvTTCKLy8CdHLxcM7y3UGrAEhz4YVoBZ8QRjVBTRr7wJ-Nt5WBED2F-o05Ob-y5LtcHVgU2Qr9UvAguCKcGQtEvD35U3vYLpskntTUBS9lL1RzCoxOQ7xGrNqCAI02T6CWezLy3S5EtE/s400/wp.jpg" width="400" /></a><br /><br /><span style="font-weight: normal;">To begin with, our objective must be very clear before we are able to reach our goals. </span><br /><br /><span style="font-weight: normal;">In the science of investment, every investment should have a </span><span style="font-weight: 400;">significant</span><span style="font-weight: normal;"> returns that made a differences in our life.<br /><br /></span><br />I am not saying investing in any ETF by using Dollar Cost Averaging (DCA) is wrong.<br /><br />We just need to know what is the goal for using the Art of DCA and will it make a differences in our life by then?<br /><br /><span style="font-weight: normal;">To be realistic, having a saving of $10k is achievable if we know what we are doing in our life.<br /><br />In fact, many have $10k in their bank saving account now.<br /><br /><br /></span><span style="font-weight: normal;">We should look at micro managing of our money and starting with $10k is a good amount that can make a </span></span>significant differences <span style="font-weight: normal;">in our life.<br /><br /></span></h4>
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgO4OQaAnfim9oDsJabI_q6W2R5gjuiHzV2eMj9Ioz-vzKatQgVzKwU3lXGhs9pKsyy5Ld7pEcW40zIkQXv-brW9cxnfc52_4eUT9JhgMaWQTvdLFbqsqOkNrm_iFshyphenhyphen1CgTlrTYzZmQIg/s1600/whatnow.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="184" data-original-width="274" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgO4OQaAnfim9oDsJabI_q6W2R5gjuiHzV2eMj9Ioz-vzKatQgVzKwU3lXGhs9pKsyy5Ld7pEcW40zIkQXv-brW9cxnfc52_4eUT9JhgMaWQTvdLFbqsqOkNrm_iFshyphenhyphen1CgTlrTYzZmQIg/s1600/whatnow.jpg" /></a></div>
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<span style="font-weight: normal;"><br /><br />Basically, the idea is to make $10k work harder for you and at the same time you can grow your wealth by career or business.</span><br /><br /><span style="font-weight: normal;">So how do we micro manage the $10k to our benefit?</span><br /><br /><span style="font-weight: normal;">Let's use our daily </span><span style="font-weight: 400;">necessities like our mobile phone charges.</span><span style="font-weight: normal;"> </span><br /><br /><span style="font-weight: normal;"> If the mobile bill is $50 per month.</span><br /><span style="font-weight: normal;"> That means the Annual bill is $50x12month = $600/-.</span><br /><span style="font-weight: normal;"> If a person have $10k saving and buy a 6% reits or safer products which is "sustainable" and "bought at the right value".</span><br /><span style="font-weight: normal;"> $10k x 6% = $600/-</span><br /><span style="font-weight: normal;"><br />The annual distribution per unit will help pay the phone bill which is one of the essential expense in life.<br /></span><br /><span style="font-weight: normal;">
With the above example, when one manage to cover their essential
expenses with $10k block, they will be able to achieve more in life without making huge mistake or risks that requires big
purchase that could trap the money or cause heavy losses.<br /><br /></span><br /><span style="font-weight: normal;"> Always keep your money management simple and you will see good result.<br /></span><br /><span style="font-weight: normal;">
Making it complex can brew good result too but the complexity might be
taxing for an individual when the macro market turns against you.<br /></span><br /><span style="font-weight: normal;"> Remember this, no one can control the market, we can only progress with it or bite the bullet with it.</span><span style="text-align: start;"><br /></span><span style="text-align: start;"><br /></span><span style="text-align: start;">Do you believe me?<br /><br />Another Good Deed Done!</span></h4>
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riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com2tag:blogger.com,1999:blog-7438284662570282721.post-86820531374379242552018-05-16T04:14:00.002-07:002018-05-16T18:29:43.238-07:00Retirement Planning: Is getting a Second HDB flat a Good Investment (by divorcing)?<div class="separator" style="clear: both; text-align: center;">
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<span style="background-color: white; color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">This post is triggered from Ms </span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">Leianne Tan</span></span><span style="background-color: white; color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;"> post on <br /><a href="https://mothership.sg/2018/05/married-couple-divorced-buy-hdb-flat-as-single/" target="_blank">"</a></span><span style="background-color: white;"><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><a href="https://mothership.sg/2018/05/married-couple-divorced-buy-hdb-flat-as-single/" target="_blank">Married couple in S’pore agree to divorce to buy another HDB flat to rent out"</a><br /></span></span></span><span style="background-color: white;"><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">This post will not be a fair comparison but it will give an idea whether a second hdb flat is sound for the above scenario.</span><br /><br /><span style="font-size: 13.2px;">There will be no in depth calculation and some fees are not included in this post for simplicity.</span></span></span><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgsBRVE460MPyKBgLOGT_fzqbr8OxtNMTu6kZqhDuzDlo-6KG07SPZKvsJ9FqtK04f6I7-YSoGg2xA8fU8l2-Q6_2dNVa50RGWikljfxgT_Q8a1sbnS5LxZCrLF5h3jlpVGyX3WoFk9Qng/s1600/hdb.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="500" data-original-width="800" height="250" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgsBRVE460MPyKBgLOGT_fzqbr8OxtNMTu6kZqhDuzDlo-6KG07SPZKvsJ9FqtK04f6I7-YSoGg2xA8fU8l2-Q6_2dNVa50RGWikljfxgT_Q8a1sbnS5LxZCrLF5h3jlpVGyX3WoFk9Qng/s400/hdb.jpg" width="400" /></a><br />
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Mr 54 years old (54yo), cannot withdraw his CPF money by next year because it does not meet the Minimum Sum, or Retirement Sum.<br />
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Ms wife, lets said 4 years younger, at 50yrs old (50y0), could not withdraw any CPF money in a few years’ time, since she also does not meet the minimum sum. We have to assume she is a housewife with no income for simplicity.<br />
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The divorced party, Mr 54yo, who has the child living with him, will be able to retain the 5 room flat.<br />
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If the loan taken is 25years and paid fully, we can assume the 5rm flat is purchased at 29yrs old.<br />
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The article mentioned Mr 54yo paid more then $800k with full or partial of his CPF (that is why the article seems like a click bait then a real case), he would have bought a resale flat instead of a BTO flat at round $650K and paid a total of $850k for all fees and interest included (estimated with a 80% loan with HDB interest rate of 2.6%).<br />
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In this case, we give the 5rm flat the benefit of the doubt that it was sold after 5yrs minimum occupation period (MOP) so by now, the lease of the HDB left is around 99yr-5yrMOP,-25yrs(loan) = 69yrs.<br />
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Question 1:<br />
Is it better for Mr 54yo to sell the HDB flat instead or renting it out?<br />
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Let's be logical here.<br />
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a)Would Mr 54yo wanna to sell at a loss or a value below $850k and use the proceed to buy a downgraded HDB flat?<br />
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b) Would any buyers wanna to buy a 69yrs old flat for $850k which lead to a estimated total amount of $930k paid within 25yrs and with a HDB loan of 2.6%. <br />
If not paid in full by the buyers.<br />
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My humble opinion is Mr 54yo really have no choice but to live with a 3.5% rental yield according to the monthly rental of $2500 (in the article) until the greater fools theory happens to him.<br />
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Question 2:<br />
Won't getting a second HDB flat means starting over with new debt and might lead to more losses?<br />
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The answer is Yes and No depending on what price of the HDB flat is purchased.<br />
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According to the past non mature estate for 3rm flat (assuming there is a child from above)<br />
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<a href="http://esales.hdb.gov.sg/hdbvsf/eampu12p.nsf/0/17NOVSBF_page_1918/$file/about0.html" target="_blank">http://esales.hdb.gov.sg/hdbvsf/eampu12p.nsf/0/17NOVSBF_page_1918/$file/about0.html</a><br />
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The price with grants can go as low as $76k for Sembawang 3rm flat.<br />
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The downside and upside is no loan is eligible for this lower amount. Cash is still King in some ways.<br />
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Assuming, Ms wife does have $90K in her CPF for all payment above, Mr 54yo annual rental income of $30k would break even the Sembwang flat cost in 3 years time.<br />
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After 3 years, they would have the rental yield as an extra/passive income for their retirement.<br />
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I drank a bit of wine so I will stop here.<br />
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Hope this post can clear some air and there is really no right or wrong answer to this.<br />
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As long as the decision made, does not do bad to anyone, then all is good.<br />
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Another Good Deed Done!<br />
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<br />riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com2tag:blogger.com,1999:blog-7438284662570282721.post-401981026961823992018-05-07T00:33:00.003-07:002018-05-07T00:43:07.336-07:00Career Discussion: Should I be An Insurance Agent?<div class="separator" style="clear: both; text-align: center;">
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<span style="background-color: white; color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">This post is triggered from the Question on "</span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">Should I be An Insurance Agent?"<br /><br /></span></span><br />
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjNp7-FOazjKkh42yeC0NWAN3alKcuLBKzt9uktPOh1g7dbt05gZJj50W6goCiJMwcz-rKHoH0KP8NMFfVbjojXkN4gLhg00tPD6HTIVeE-4U2a0-xh4_kjoA3nNJ326YpO642xhTjGKdE/s1600/lamp.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="960" data-original-width="960" height="400" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjNp7-FOazjKkh42yeC0NWAN3alKcuLBKzt9uktPOh1g7dbt05gZJj50W6goCiJMwcz-rKHoH0KP8NMFfVbjojXkN4gLhg00tPD6HTIVeE-4U2a0-xh4_kjoA3nNJ326YpO642xhTjGKdE/s400/lamp.jpg" width="400" /></a><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><br /><span style="font-size: 13.2px;">Before we go into this discussion I like to share how I know about Insurance and how it link to the above inspirational quote. </span><br /><br /><span style="font-size: 13.2px;">My best friend from Poly got his first job as an insurance agent and he introduce insurance policy to me as a protection to my parents and myself if I get into an accident or CI or goes heaven.</span><br /><br /><span style="font-size: 13.2px;">I do not have any insurance policy and I got my first, second and then third policy from him.</span><br /><br /><span style="font-size: 13.2px;">Are all the policies the cheapest and most down to earth policies?</span><br /><br /><span style="font-size: 13.2px;">The answer is no.</span><br /><br /><span style="font-size: 13.2px;">Is my best friend still an insurance agent?</span><br /><br /><span style="font-size: 13.2px;">The answer is no.</span><br /><br /><span style="font-size: 13.2px;">Is he still my best friend?</span><br /><br /><span style="font-size: 13.2px;">The answer is yes and we are still in contact. We even have an annual classmate gathering getting eating dinner and sing KTV. </span><br /><br /><span style="font-size: 13.2px;">Why didn't I blame my best friend and disown him for the money wasted on the policies?</span><br /><br /><span style="font-size: 13.2px;">The reasons are simple </span><br /><br /><span style="font-size: 13.2px;">a) All the policies I purchased are not cheap but they did serve as a protection to me.</span><br /><span style="font-size: 13.2px;">b) When he sells me the policies, he sold me with the best knowledge he had as a fresh poly graduate.</span><br /><span style="font-size: 13.2px;">c) He helps me to claims when I met with an uncertain situation and never mia from any phone call or smses. </span><br /><span style="font-size: 13.2px;">d) After he left insurance, i realised i have to pick up more in financial products and be independent.</span><br /><br /><span style="font-size: 13.2px;">After I took effort to learn about financial products, I manage to reconstruct my insurance policies that serve me better in my retirements plan. </span><br /><br />All this links back to the Inspirational quote above. </span><br />
<h3>
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;">"If you light a lamp for someone else, it will also brighten your path."</span></h3>
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;"><br /><br />If I choose not to buy any policies at all and the uncertain situation hits me, I will be badly damage. <br /><br />By buying at least the essential policies, to help my best friend and myself, I am protected in some ways.<br /><br />I am not saying we should anyhow buy any policies but rather we need to get protected by the essential policies like private integrated shield policies.<br /><br />If you ask me whether I prefer to pay more or less for the best protection, of cos I wanna the best deal but sometimes we have to learn the hard way.<br /><br />Blaming will not change the situation, rather is the willingness to learn and progress that will reverse the situation for the better and I get to keep my best friend!<br /><br />There is really no regret on my side but I hope no one have to go through any bad insurance experiences <br />because we trusted our friends.<br /><br /><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjJjXj3pJxXvporfeSE-jCc0mQC76sf3A_YpwdzkfznobJEEW9cpvwNWFCKBl3wVPBvAJQO4Yp9KnCW-JZbPEmq0AKk8GZcyU5CpUo0rI3wljsQYWIRAmFuyK3JauZaPLLXHEzB7aZBbv8/s1600/insuranceagent.jpg" imageanchor="1" style="font-family: "Times New Roman"; font-size: medium; margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="158" data-original-width="318" height="198" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjJjXj3pJxXvporfeSE-jCc0mQC76sf3A_YpwdzkfznobJEEW9cpvwNWFCKBl3wVPBvAJQO4Yp9KnCW-JZbPEmq0AKk8GZcyU5CpUo0rI3wljsQYWIRAmFuyK3JauZaPLLXHEzB7aZBbv8/s400/insuranceagent.jpg" width="400" /></a></span><br />
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<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">Back to the main post on : Should I be An Insurance Agent?</span></span><br />
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<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">I always advocate on learning at least a skill when I speak to people.</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">If we take away discussion about the best insurance products or bad ethics.</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">Being an insurance agent allows the individual to gain knowledge on</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">1. what are the best products for their family members or ourselves</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">2. Sales technique hopefully not abused.</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">3. How to claim hopefully without complications. (Some really try to fight the claims for their clients)</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">4. Financial planning if the individual find passion in this.</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">5. Spark out a retirement plan which the school does not teach.</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">The world just need to be a little kinder to see the goodness in every trade.</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">**Lastly, always compare and confirm with black and white before you commit to any product you can afford to fulfill the full term.**<br /><br />Another Good Deed Done!</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;"><br /></span>riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com1tag:blogger.com,1999:blog-7438284662570282721.post-9038003507285127152018-05-05T11:10:00.001-07:002018-05-06T00:03:16.108-07:00Retirement Planning: When Supplementary Retirement Scheme (SRS) becomes a downside<div class="separator" style="clear: both; text-align: center;">
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This post is triggered from SRS being a better fund for "Guarantee Return" Endowment Plan GE270 rather then cash on hand.</div>
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I will only focus on what are the possible downside and not the regular upside you can find online.<br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEirax9Dfj4ZHTTzeit1qwB1afEqnjEMmLH9ShzK8SeZnEiZyWk4NK2_zjJcQreKJDlKtqtq-gka9FCBZjEfZ4rpN4UiS1oj94ubI4B7BNvHF8QhOioFNR9CKBZYOJiTyT8mjKo7E3HDtL4/s1600/SRSret.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="431" data-original-width="620" height="276" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEirax9Dfj4ZHTTzeit1qwB1afEqnjEMmLH9ShzK8SeZnEiZyWk4NK2_zjJcQreKJDlKtqtq-gka9FCBZjEfZ4rpN4UiS1oj94ubI4B7BNvHF8QhOioFNR9CKBZYOJiTyT8mjKo7E3HDtL4/s400/SRSret.jpg" width="400" /></a><br />
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Now, why use SRS fund for a low risk low return with certainty (eg. GE270) rather then high risk high return equity?<br />
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Before we start discussing the downside of SRS, you can refer to the link below for an overview of SRS and the latest enhancement plus new contribution rate.<br />
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<a href="https://www.mof.gov.sg/MOF-For/Individuals/Supplementary-Retirement-Scheme-SRS">https://www.mof.gov.sg/MOF-For/Individuals/Supplementary-Retirement-Scheme-SRS</a><br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiUCwc_9Ta7IuOTBasEUbD7iKWpF8wPoN6dF-SkNZBtp_zTwi_vc3YyZYefC0YmIpyc3B5WXsZ9RaRO2PznMk1GR00FWLW7QWUOlntMVTHeHMVnw8hB6sPwHjjONpLqDQXbG2Cw-5RaHuo/s1600/downside.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="194" data-original-width="259" height="299" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiUCwc_9Ta7IuOTBasEUbD7iKWpF8wPoN6dF-SkNZBtp_zTwi_vc3YyZYefC0YmIpyc3B5WXsZ9RaRO2PznMk1GR00FWLW7QWUOlntMVTHeHMVnw8hB6sPwHjjONpLqDQXbG2Cw-5RaHuo/s400/downside.jpg" width="400" /></a><br />
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In retirement planning, we need some certainty or at least a target figure for x number of years to support our lifestyle if we choose not to work or our age does not allow us to work.<br />
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In the case of SRS, we need to know the amount stated in MOF that allow us to pay the least tax or no tax for the amount (currently at $400k), we can withdraw (currently within 10 years) when we reach the statutory retirement age (currently 62 years old).<br />
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From the above statement we can start listing down what are the possible down side of SRS Account.<br />
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1. The tax exemption amount (currently at $400k) might not increase with inflation rate. <br />
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That means if you manage to accumulate for example $1 million due to good investment returns you "might" just pay back the tax you saved for years from the tax you paid for each SRS withdrawal.<br />
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This is also why GE270 seems like a good deal as a low risk low return with certainty compare to 0.05% interest rate from the bank if the tax exemption amount does not increase. <br />
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The tax exemption rate is really the "KEY" for incentives from SRS fund.<br />
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You can go to the link below to check out the tax bracket and do your own calculation to avoid "paying more tax back" from the tax you saved.<br />
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<a href="https://www.iras.gov.sg/irashome/Individuals/Locals/Working-Out-Your-Taxes/Income-Tax-Rates/">https://www.iras.gov.sg/irashome/Individuals/Locals/Working-Out-Your-Taxes/Income-Tax-Rates/</a><br />
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2. If a party hit the maximum SRS contribution cap for the year and the investment have an opportunity to average down at a good price from the company rights issue, the party could not subscribe to the rights entitlement if <br />
<br />
a) the money in the SRS account is all used up<br />
b) the investment/stock is only purchased with SRS funds.<br />
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Again, the certainty from product like GE270 or in the future Singapore Saving Bonds (SSB) seems like a less complicated way to grow the money in SRS and controlled in growth not to pay back more tax then what was saved.<br />
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3. (edited) Your SRS funds is also part of your estate upon death. There will be a 50% of the withdrawal subject to income tax. If a party could not withdraw out in 10 years time or for an example passed away when the party managed to accumulated $800k,<br />
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First $400k exempted from Tax<br />Next $400k x 50% = $200k<br />
<br />
With no other income, the tax payable is $21,150.<br />
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You can refer to the link below for Tax on SRS withdrawal<br />
<a href="https://www.iras.gov.sg/irashome/Individuals/Locals/Working-Out-Your-Taxes/Special-tax-schemes/Supplementary-Retirement-Scheme--SRS-/Tax-on-SRS-withdrawal/">https://www.iras.gov.sg/irashome/Individuals/Locals/Working-Out-Your-Taxes/Special-tax-schemes/Supplementary-Retirement-Scheme--SRS-/Tax-on-SRS-withdrawal/</a><br />
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4. The last point I wanna to touch on might not happen unless<br />
<br />
a) the retirement age increased<br />
b) tax increased from a higher salary package for "full time employee" (currently is $1200 from 1 Jul 2018 which is still insignificant)<br />
<br />
The withdrawal amount plus your full employee income get you taxed more then you saved in your younger days.<br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjllbuB-phDP3UZKC79t51Ta_ue_SVrxc9RwRU-lPOv1Ed1Xq4GGjj851pFycxnKqiuiHvzMf2hCTsi_eGjs4aJKzhbkh6UGU8PASBqs-OpsUltpR2i1w3NGzWIxdqTj81EKpPpRN6lW4Y/s1600/whatnow.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="184" data-original-width="274" height="268" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjllbuB-phDP3UZKC79t51Ta_ue_SVrxc9RwRU-lPOv1Ed1Xq4GGjj851pFycxnKqiuiHvzMf2hCTsi_eGjs4aJKzhbkh6UGU8PASBqs-OpsUltpR2i1w3NGzWIxdqTj81EKpPpRN6lW4Y/s400/whatnow.jpg" width="400" /></a><br />
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The solution is Retirement Planning!<br />
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SRS Account should be "ONE OF THE" retirement vehicle that help you in the long run.<br />
Learn to catch up with the rules & regulations and allows it to help you save instead of pay.<br />
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SRS is not necessary for Everyone unless your high income earning is definite.<br />
<br />
A Dollar Saved is A Dollar Earned but don't do it blindly and become pound foolish penny wise.<br />
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I did not touch on Early Withdrawal because the moment you start your SRS journey you must already planned to keep the money untouched unless special circumstances occur.<br />
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This blog post is not to deter anyone to open an SRS account, rather is to provide information on the possible downside to avoid so the SRS account brings in a win win situation and not a someone sure win situation.<br />
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Another Good Deed Done!riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com3tag:blogger.com,1999:blog-7438284662570282721.post-76709088382950126312018-05-02T11:17:00.000-07:002018-05-02T13:27:19.802-07:00Wealth Preservation: GE270 vs CDP-SBJUN18<div class="separator" style="clear: both; text-align: center;">
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<br /><span style="text-align: start;">This blog post will not go into how much to qualify or how to go about the purchase.</span><span style="text-align: start;">This will just be my humble opinion of the 2 products GE270 and CDP-SBJUN18.</span></h4>
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgvJKxLk0Yp6_jz3yH1J7O4TrGwg3FJsYToJDtpuwUKpFbPp6VGvg-Cmo2zvsQH7uLKOrr2IkbtNSI6Rc1BukTXBN9TO1u7qBtHhspPwjQE_XmR-T5Bppl04yDpugvvtvV9CDUHxkqbI4E/s1600/ge207.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="562" data-original-width="799" height="225" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgvJKxLk0Yp6_jz3yH1J7O4TrGwg3FJsYToJDtpuwUKpFbPp6VGvg-Cmo2zvsQH7uLKOrr2IkbtNSI6Rc1BukTXBN9TO1u7qBtHhspPwjQE_XmR-T5Bppl04yDpugvvtvV9CDUHxkqbI4E/s320/ge207.png" width="320" /></a><br />
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Basically, the above picture speaks more than a thousand words.<br />
<br />
The illustration is for a $100k single premium which works well for a comparison to Singapore Saving Bond (SSB), CDP-SBJUN18 in your bank statement.<br />
<br />
GE270 is an endowment products that have "Death" and "Total & Permanent Disability" throughout the term.<br />
<br />
There wasn't information on the proceed amount but the usual total proceed is 105% for the premium paid. Please check with the official before you commit to any products.<br />
<br />
Basically, the important points to note are<br />
<br />
a) Option 1 gives a guarantee paid out.<br />
<br />
b) Option 2 give a "non guarantee paid out" which can be change without prior notice!<br />
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c) You will lose money if you need to redeem early.<br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhEon7pZhgQRawYRkD5OjHZ5RYkXJ6Gbs9lUKRkEyQUoFlnVnbfm7YWbPMPAEaFZ8Q2rWmm6car4TxDyCuq2r9Ajw1YyjehtkTizuhUxu91VU9WowCh5FO4lDIvr309XQTajBVq9IqLvjM/s1600/ssbjune2018.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="390" data-original-width="640" height="243" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhEon7pZhgQRawYRkD5OjHZ5RYkXJ6Gbs9lUKRkEyQUoFlnVnbfm7YWbPMPAEaFZ8Q2rWmm6car4TxDyCuq2r9Ajw1YyjehtkTizuhUxu91VU9WowCh5FO4lDIvr309XQTajBVq9IqLvjM/s400/ssbjune2018.png" width="400" /></a><br />
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Singapore Saving Bond (SSB), CDP-SBJUN18 have a cap of $100k for your CDP Account.<br />
<br />
This means even if you got $250k which is the cap for GE270, you can only use $100k at most.<br />
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Basically, the important points to note are<br />
<br />
a) You need to have a CDP account before you can apply. Are you in time for CDP-SBJUN18 opening a new account if needed?<br />
<br />
b) You need to apply through an ATM machine with a $2 transaction fee and you might not get the full amount you applied.<br />
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c) You can redeem early with no penalty in multiples of $500 up to the amount you have invested for each bond with a $2 fee per redeem and you get pro rated interest rate depending on the duration.<br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh4l-T6tpHmAH8_SdnK11kSKAXLX30dodutkFwW60PeEO3fQ_pO23pMP0vnnJ0wl-RyEaA3fiHkc9EYM3316tnsf4YmLyslqEE3ZD2p3-A7aScaHtDmsQWu8XOiK_YH57gu1GStGd5x1Bs/s1600/whatmeans.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="819" data-original-width="1024" height="318" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh4l-T6tpHmAH8_SdnK11kSKAXLX30dodutkFwW60PeEO3fQ_pO23pMP0vnnJ0wl-RyEaA3fiHkc9EYM3316tnsf4YmLyslqEE3ZD2p3-A7aScaHtDmsQWu8XOiK_YH57gu1GStGd5x1Bs/s400/whatmeans.jpg" width="400" /></a><br />
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Basically, this means if you do not know how to invest your money and wanted some certainty, Using $100k as an example, GE270 "Option 1" beats CDP-SBJUN18 by the below comparison if we hold for 5 years.<br />
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1) GE270 "Option 1" Guarantee Return for 5 years is <br />
<br />
Capital $100k<br />
Payout $13500<br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjIn__QhPsOfzOiQr-pFOv092RoGPhcPub26ZRM990jKh_MrUPC4wWtXwWdHyMboJEgOhOh5HOrA_C401T5ZjhqYzGY9s7TRc8uuipKnYlLTmKa5DHeHBHFOx0JSh2uRUqlTg7GoWrn3s8/s1600/redeemearly.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="380" data-original-width="868" height="140" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjIn__QhPsOfzOiQr-pFOv092RoGPhcPub26ZRM990jKh_MrUPC4wWtXwWdHyMboJEgOhOh5HOrA_C401T5ZjhqYzGY9s7TRc8uuipKnYlLTmKa5DHeHBHFOx0JSh2uRUqlTg7GoWrn3s8/s320/redeemearly.png" width="320" /></a><br />
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2) CDP-SBJUN18 Early Redemption Return for the 5th year is<br />
<br />
$100k capital redeem in full amount, <br />
which is taking back<br />
Capital $100k<br />
Payout $10,540 - $2 = $10,538 (edited)<br />
<br />
Multiples of $500 is from $500, $1000, $1500 to the full amount.<br />
<br />
Please note there is no $2 transaction fee if you hold to maturity.<br />
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So will I participate in the above 2 products?<br />
<br />
For me I won't.<br />
<br />
Another Good Deed Done!<br />
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<br />riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com27tag:blogger.com,1999:blog-7438284662570282721.post-33863590920057714972018-04-28T04:00:00.000-07:002018-04-28T04:00:01.551-07:00Estate planning: A Possible Distribution Plan<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgIBTCBNe2JE8yFYWozyvZNjcysJSpMaxLpHS7zOvuqiWKcZHkTHnOslhIqlCXkawvFonXcdA_pOOdCHgwvD9606GERVbzcfSy1cLWMswo2mjZfFyLV-TwyFxskDRKwyjzXsQd7u80X4CE/s1600/The-Effect-of-Distribution-Act-1958.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="450" data-original-width="1200" height="120" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgIBTCBNe2JE8yFYWozyvZNjcysJSpMaxLpHS7zOvuqiWKcZHkTHnOslhIqlCXkawvFonXcdA_pOOdCHgwvD9606GERVbzcfSy1cLWMswo2mjZfFyLV-TwyFxskDRKwyjzXsQd7u80X4CE/s320/The-Effect-of-Distribution-Act-1958.jpg" width="320" /></a></div>
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<br />
My old post.<br />
<br />
I was ask about what is a good way to distribute asset in a will.<br />
<br />
In my humble opinion, if Mr Sian have 5 loves one (parents must be included), non are minor,<br />
<br />
It is great to give them 10 year income in a lump sum but make it clear to them that the amount is for 10 years and is best to withdraw monthly.<br />
<br />
In my own planning, my siblings are included.<br />
<br />
For Example:<br />
<br />
Using current market rate for elderly, ( I assume they are at a certain age by the time Mr Sian passed away),<br />
<br />
It is good to have an estate value of $900k.<br />
<br />
Each person can get 20% of the estate which is $180k.<br />
<br />
Divide by 10 years will be $1500 per month.<br />
<br />
This will definitely make life easier for them.<br />
<br />
Inflation not explored in the above example.<br />
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Another Good Deed Done!riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com2tag:blogger.com,1999:blog-7438284662570282721.post-21868190492523659352018-04-26T09:26:00.000-07:002018-04-26T09:26:39.621-07:00Insurance Planning: How much is sufficient for Critical Illness (CI)<div class="separator" style="clear: both; text-align: center;">
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<span style="background-color: white; color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">This post is trigger by a Question on </span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">How much is sufficient for Critical Illness (CI)?</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjBQJkWpqNw3MlS-1CY6ShQKbWWs2v-rV8U0mHOcveTnJTAmw-vXyQwnh8wgR1ibacot2r8ioZTKtwMI8_gmSvVaKqDeTY1ARZ3Hu1hM-zVSMSsSIKltm1nRM3ieRydAlB1ZRCLpbYLJr4/s1600/st_20160814_ltsurvey14new_2519471.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="949" data-original-width="1600" height="189" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjBQJkWpqNw3MlS-1CY6ShQKbWWs2v-rV8U0mHOcveTnJTAmw-vXyQwnh8wgR1ibacot2r8ioZTKtwMI8_gmSvVaKqDeTY1ARZ3Hu1hM-zVSMSsSIKltm1nRM3ieRydAlB1ZRCLpbYLJr4/s320/st_20160814_ltsurvey14new_2519471.jpg" width="320" /></a><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;"><br /><br />This post will not touch on what are the CIs covered and what products are available.<br /><br />This post will focus on a scenario on a recovery patient from CI treatment and roughly how to calculate the "sufficient" amount of coverage.<br /><br />Based on a true situation from someone I know,<br /><br />Mr Sian went for a body check out and found out he have "a </span></span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">Critical Illness"</span><span style="color: #222222;"><span style="font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;"> and needs treatment for it.</span><br /><br /><span style="font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">The first 3 years are the critical mile stones for a cancer treatment and another 2 years for recovery and hopefully no recurrence for that period. </span></span><span style="font-family: "arial" , sans-serif;"><span style="background-color: white;"><b><br /></b></span></span></span><span style="color: #222222;"><span style="font-family: "arial" , sans-serif;"><span style="background-color: white;"><b><br /></b></span></span>Mr Sian Couldn't work due to the treatment side effects and that is where the CI policies come into the picture to claim for loss of income.<br /><br />Treatment fees are already insured by integrated shield plan. (unless the treatment is not done in Singapore)<br /><br />Mr Sian requires at least three years income </span><span style="color: #222222;">protection </span><span style="color: #222222;">and the period in getting a new job which is around another one year income protection.</span><br />
<br />
<span style="color: #222222;">So by rough estimate is 3yrs+1yr+1yr(additional) = 5yrs income protection, just in case the economic is gloom for job position.<br /></span><br />
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgpNh5yNcUmzEE5Byj2AGGOfhWHd2TPrGH32sgyvw5DPDclP_3VXGXonVChTWP2R2tpnHmjxfrhxmhKLqmTiv988JpzBidbOuCOPRgaYWphFuZn3Kv-AJWLvDWufXnUvsM1dYxOaCz5S6A/s1600/Calculation+1.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="300" data-original-width="300" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgpNh5yNcUmzEE5Byj2AGGOfhWHd2TPrGH32sgyvw5DPDclP_3VXGXonVChTWP2R2tpnHmjxfrhxmhKLqmTiv988JpzBidbOuCOPRgaYWphFuZn3Kv-AJWLvDWufXnUvsM1dYxOaCz5S6A/s1600/Calculation+1.jpg" /></a><br />
<br />
<span style="color: #222222;">The calculation is rather simple but what we have to take note is </span><br />
<br />
<span style="color: #222222;">1. Most CI coverage is accelerated benefit (AB) from the total death benefit. </span><br />
<br />
<span style="color: #222222;">That means the proceed will eat into your death benefits which you have planned to leave for your family. </span><br />
<br />
<span style="color: #222222;">Non-accelerated benefit (NB) are available as stand alone (more expensive) but whether a person needs an AB or NB will depends on each individual situation.</span><br />
<br />
<span style="color: #222222;">2. After you claim a CI proceed, there is a high chance you cannot get another CI protection unless you already have an additional CI protection that is not claimed.</span><br />
<br />
<span style="color: #222222;">3. There are now new products in the market that allows point 2 to be negated but I am not in position to suggest or recommend because I am not in the Insurance industry.</span><br />
<br />
<span style="color: #222222;">4. There might be other Cancer implication which hopefully does not happen.</span><br />
<br />
<span style="color: #222222;">Hope this post help readers gets an idea on a real CI situation rather then just the amount of money that is paid out.</span><br />
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<span style="color: #222222;">We have to plan beyond the payout sometimes.</span><br />
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<span style="color: #222222;">Another Good Deed Done!<br /></span><br />
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<span style="color: #222222; font-family: "arial" , sans-serif;"><span style="background-color: white; font-size: 18px;"><br /></span></span>
<span style="color: #222222;"><br /><br /><br /><br /><br /><br /><br /></span>riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com5tag:blogger.com,1999:blog-7438284662570282721.post-89798409903268319932018-04-26T07:10:00.000-07:002018-06-28T02:50:36.814-07:00Estate planning: Lasting Power of Attorney ( fee of $75 waived is EXTENDED to 31 Aug 2020)<div class="separator" style="clear: both; text-align: center;">
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<span style="background-color: white; color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">This post is trigger by a Question on at what age should a "will" be written.<br /><br />The "will" part have been covered in this blog but </span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">Lasting Power of Attorney (LPA) and Advance Medical Directive (AMD) which are useful is not.</span><br /><br /><span style="font-size: 13.2px;">** UPDATE: One thing to take note is a fee of $75 will be waived for LPA form 1 until (31/08/2018 which is this year) HAVE BEEN EXTENDED TO 31/08/2020 .**</span><br /><br /><span style="font-size: 13.2px;">Please refer to the link below for the updated news published on 28/06/2018.</span><br /><br /><span style="font-size: 13.2px;"><a href="https://www.straitstimes.com/singapore/application-fees-for-lasting-power-of-attorney-waived-for-2-more-years-till-end-august?utm_campaign=Echobox&utm_medium=Social&utm_source=Facebook&xtor=CS1-10#Echobox=1530161327" target="_blank">Application fees for Lasting Power of Attorney waived for 2 more years till end-August 2020</a></span><br /><br /><br /><span style="font-size: 13.2px;">Hope this write up can help readers save money before the waiver is over!</span></span><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhmYrxzGonXNXPvFos23M_c9cIGyG44ivPdhBblHsnqj0BTgsOKjBCNq38l-4fJiBQzaU-6CaBzt5-aidShtMDx3IPXdtj7WRheqHsVhtr9nPRc4t0yaOChJ1mOzs7S5nna-xkHryRSio8/s1600/LPA-Picture.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="423" data-original-width="634" height="213" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhmYrxzGonXNXPvFos23M_c9cIGyG44ivPdhBblHsnqj0BTgsOKjBCNq38l-4fJiBQzaU-6CaBzt5-aidShtMDx3IPXdtj7WRheqHsVhtr9nPRc4t0yaOChJ1mOzs7S5nna-xkHryRSio8/s320/LPA-Picture.jpg" width="320" /></a><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><br /><span style="font-size: 13.2px;">Before we touches more on LPA which have a Form 1 and a Form 2, is good to know what are the differences between LPA and AMD.</span><br /><br /><span style="font-size: 13.2px;">Quoted from <a href="https://law.com.sg/faq/advance-medical-directive-amd-similar-lasting-power-attorney-2">https://law.com.sg/faq/advance-medical-directive-amd-similar-lasting-power-attorney-2</a>/</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">A) In LPA Form 1, for Personal Welfare powers, there is a question on whether your Donee’s authority shall extend to giving or refusing consent to the carrying out or continuation of treatment, including the conduct of a clinical trial, by a person providing health care for me. These decisions are made by the appointed Donee.</span></span><br />
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<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">B) An Advance Medical Directive (AMD) is a legal document you sign in advance to inform your doctor that you do not want the use of any life-sustaining treatment to be used to prolong your life in the event you become terminally ill and unconscious and where death is imminent.</span></span><br />
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<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">The AMD can be made by any person, aged 21 years and above, and is not mentally disordered. The AMD form is a legal document which must be completed and signed in the presence of two witnesses before it is returned to the Registrar of AMDs. The patient’s doctor must be one of the two witnesses, while the other witness must be at least 21 years old. In addition, both witnesses must not have any vested interests in the patient’s death."<br /><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgBSwJ4gbaRwsKzHkPhR0wXMjvIubAnRrYiStTZ_GezjCi6fJwb7xPRDnDWxdDBAamlYM1tlryIL0T58fHWTQTkjwChyJiWLwwPOYUQSN6tEtvM1E16WzCwmSLoJm3k6b4ddtcICc4McaY/s1600/whatislpa.png" imageanchor="1" style="font-family: "Times New Roman"; font-size: medium; margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="438" data-original-width="1168" height="120" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgBSwJ4gbaRwsKzHkPhR0wXMjvIubAnRrYiStTZ_GezjCi6fJwb7xPRDnDWxdDBAamlYM1tlryIL0T58fHWTQTkjwChyJiWLwwPOYUQSN6tEtvM1E16WzCwmSLoJm3k6b4ddtcICc4McaY/s320/whatislpa.png" width="320" /></a></span></span><br />
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<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">The LPA is a legal document that allows a person to appoint an individual to make key decisions for him/her, should he/her lose his/her mental capacity and become unable to do so.</span></span><br />
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<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">Basically, the DONEE can access the bank account of the DONOR if is not a joint account or the joint account is not with the </span></span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">DONEE. <br /><br />In that way, the </span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">DONOR "savings" can be used for the welfare of the </span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">DONOR without a scenario that<br /><br />a) there is money from the </span></span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">DONOR but cannot be used because no one can access the money in the bank account<br />b) family members hope the </span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">DONOR pass away so the "Will" can take place and money can be accessed from the bank account. (Very sad if this happens!)</span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">For the above, LPA Form 1 should suffice.</span></span><br />
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<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">This is required when a person is</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">1. Single</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">2. Still Divorced</span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">3. Does not have a joint account with a care taker.</span></span><br />
<u>For Singapore Citizen</u><br />
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<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">The cost for LPA Form 1 is </span></span><br />
<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">a) $75 for Office of the Public Guardian (OPG) ** (waived until 31 Aug 2018</span></span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">) </span><br />
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<span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">b) </span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">LPA certificate issuer that can be (i) accredited medical</span></span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;"> practitioner, (ii) lawyer, and (iii) psychiatrist<br />The cheapest is </span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif;"><span style="font-size: 13.2px;">accredited medical</span></span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;"> practitioner which fee range from $25 to $50.<br /><br />There might be more cost depending on situation.</span><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjt3reDjrttMhUzpxgO0jZspTS4M2Pv-CCGevBxuVMt8O1t50vpGHRsG_c2DrsFWxnx4kr_YPjOAGKAfz8L42D_UyOuRoZp9W7EH-fiepL1dlV6_OQCUMlZpsXCNPJRaWGusYVvQKKYkkQ/s1600/lpa2.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="293" data-original-width="510" height="183" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjt3reDjrttMhUzpxgO0jZspTS4M2Pv-CCGevBxuVMt8O1t50vpGHRsG_c2DrsFWxnx4kr_YPjOAGKAfz8L42D_UyOuRoZp9W7EH-fiepL1dlV6_OQCUMlZpsXCNPJRaWGusYVvQKKYkkQ/s320/lpa2.png" width="320" /></a><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;"><br /></span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;"><br />LPA Form 2 is for </span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">DONOR who wish to grant </span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">DONEE/S Customised Powers and this will require a Lawyer</span><span style="font-size: 14px;">. </span><u>For Singapore Citizen</u><span style="font-size: 14px;"><br /></span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">The cost for LPA Form 2 </span><span style="font-size: 14px;">for </span><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;">Office of the Public Guardian (OPG) is $200.</span><br />
<span style="font-size: 14px;">I won't touch much on the cost for LPA Form 2 because the Lawyer's Fee could varies depending on the customization.<br /><br />For more information on fees not for Singapore Citizen, you can refer to the link below.</span><br />
<span style="font-size: 14px;"><a href="https://www.publicguardian.gov.sg/opg/Lists/Resources/Attachments/53/Search%20Fees%20Table.pdf">https://www.publicguardian.gov.sg/opg/Lists/Resources/Attachments/53/Search%20Fees%20Table.pdf</a><br /><br />Forms Download:<br /><span style="color: #222222; font-family: "arial" , "tahoma" , "helvetica" , "freesans" , sans-serif; font-size: 13.2px;"><a href="https://www.moh.gov.sg/content/moh_web/home/policies-and-issues/advance_medical_directiveamd.html" target="_blank">Advance Medical Directive (AMD)</a></span><br /><a href="https://www.publicguardian.gov.sg/opg/pages/Forms.aspx" target="_blank">LPA </a><br /><br />Another Good Deed Done!</span><br />
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<br />riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com8tag:blogger.com,1999:blog-7438284662570282721.post-3784543071207847072018-04-25T03:55:00.003-07:002018-04-25T03:58:21.941-07:00Estate planning: Making it easier for our parent to receive the insurance payout<div class="separator" style="clear: both; text-align: center;">
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This post is trigger by wanting to make sure parents have a peace of mind if a person have to leave the world for a better place and will be focusing on Insurance Nomination.<br /><br />This will also be more hassle free for the trustee if he/she is the spouse. <br />Not everyone (the trustee) is in a condition to execute a Will when he/she have to accept a love one is gone.<br /><br /><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhMiVOWxA3YOsZXUTPzk03U_S209SaEFgaUiNKCORRYcxsUScDpIXViSDXCBnYdgCfgBwj8SgxW3UiGDBSo20HkscPQwkalKhpN9WJxR5C_ECoz_x9MRR3Hg_RqOIR_J7ePJk2VovDLi-A/s1600/estate+planning.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="535" data-original-width="800" height="214" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhMiVOWxA3YOsZXUTPzk03U_S209SaEFgaUiNKCORRYcxsUScDpIXViSDXCBnYdgCfgBwj8SgxW3UiGDBSo20HkscPQwkalKhpN9WJxR5C_ECoz_x9MRR3Hg_RqOIR_J7ePJk2VovDLi-A/s320/estate+planning.jpg" width="320" /></a><br /><br />The plan is to allow the parents to receive the benefit/proceeds without a trustee.<br /><br />It could be done with <br /><br />a) the deceased death certificate <br />b) the parents/nominee's ID card at the Insurance company counter <br />(If an agent is not available, just in case, good to be prepare.)<br /><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjN_v5RsjeXB6ivN-jqVRbJPmYeeM9SIMO35Kv5nReb6OmSIr2LQPf_n1tGVEIBNJ_U014JIJMplTzmIK2pzJBTKEG5FnRfEXIGJ5UlrLf76yQYTIxEDRcougO-A9YibsVORGFzuA_j8ds/s1600/nominationform.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="300" data-original-width="400" height="240" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjN_v5RsjeXB6ivN-jqVRbJPmYeeM9SIMO35Kv5nReb6OmSIr2LQPf_n1tGVEIBNJ_U014JIJMplTzmIK2pzJBTKEG5FnRfEXIGJ5UlrLf76yQYTIxEDRcougO-A9YibsVORGFzuA_j8ds/s320/nominationform.jpg" width="320" /></a><br /><br />Before we continue, we need to know for insurance nomination there are<br />1) Trust Nomination<br />2) Revocable Nomination<br /><br />I like to keep things Simple so readers benefit from it so I won't go into a lot of details rather more on the pros and cons.<br /><br />1. Trust Nomination<br /><br />Pros<br />a) Only Spouse and/or children can be nominated (Sadly, parents are not allowed)<br />b) Will have no impact on this Nomination (pros in this case, straight forward to get the proceed)<br />c) The BEST reason is policy proceed is protected against claims from creditors in the event of bankruptcy!<br /><br />Cons <br />a) Basically, the insured (You) who pay for the policy does not retain control over the policy anymore.<br /><br />b) Very tough to change nomination unless all the nominees consent to it. <br />(That is if you change your mind to give it to a family member who needs the proceed more)<br /><br />c) Nominees get living benefits<br />(Living benefits are claims like injury claims the insured sustained and by right should get the proceeds instead of another party)<br /><br />d) Requires a Trustee<br /><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhGikAHVPl4sx1hs-ZbwHedq3DMDF4DTNnB02UiHP0yCNTGPi1QQtevgD30OYnP9W90XI5cIk1gPPdD3OoxNP4YKTuSkuvoAnuRPHUkZRMwxf6Op5YGrWlDjKRXS6Ch7HqAKqidVttc2JY/s1600/differences.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="255" data-original-width="197" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhGikAHVPl4sx1hs-ZbwHedq3DMDF4DTNnB02UiHP0yCNTGPi1QQtevgD30OYnP9W90XI5cIk1gPPdD3OoxNP4YKTuSkuvoAnuRPHUkZRMwxf6Op5YGrWlDjKRXS6Ch7HqAKqidVttc2JY/s1600/differences.jpg" /></a><br /><br />2. Revocable Nomination<br /><br />Pros<br />a) The insured (You) retain the control over the policy.<br />b) The insured (You) gets the living benefits.<br />c) Nominess only get the death benefits<br />d) The insured (You) can change the nominees at anytime the proper way.<br />
e) The insured (You) can nominate your Parents and hopefully not some mistress.<br />f) Will have no impact on this Nomination ONLY when this nomination is done after the Will and have informed the insurance company.<br />g) The BEST reason is trustee is not required and become hassle free for parents to get the proceed.<br /><br />Cons <br />a) The worst decision is to nominate to your mistress<br />b) The worst cons is the proceed is NOT protected against claims from creditors in the event of bankruptcy!<br /><br /><br /><br />Please note I am not in the Insurance Industry and I did not touch on the shares allocation or what happened if the nominees or trustee passed on before the insured. <br /><br />My advice is to get your facts right with the right officials before you proceed in submitting your nomination forms.<br /><br />Another Good Deed Done!<br />
<br />riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com2tag:blogger.com,1999:blog-7438284662570282721.post-33052610014281026502018-03-25T09:36:00.000-07:002018-03-25T09:36:15.359-07:00<br />
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<em>Some day I want to be a Taitai too!<br /><br /></em><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhLhoDp2yWW-X001uIPQ6tjMLuRkgr0Xc1J8fsu3sh_NhinJCcEqyjPBlytKqIGWrxv9SjBf8cP4i7KaDaSWLll_C2tT3CGUZQ5fw3OMd1hpRjIz-IhpjA81hLwr5wa4dpreiB9qGoJxJQ/s1600/HDB-Tai-Tai-3-pic.jpg" imageanchor="1" style="font-size: medium; font-weight: 400; margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="242" data-original-width="418" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhLhoDp2yWW-X001uIPQ6tjMLuRkgr0Xc1J8fsu3sh_NhinJCcEqyjPBlytKqIGWrxv9SjBf8cP4i7KaDaSWLll_C2tT3CGUZQ5fw3OMd1hpRjIz-IhpjA81hLwr5wa4dpreiB9qGoJxJQ/s1600/HDB-Tai-Tai-3-pic.jpg" /></a></h2>
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<em>Before we continue, I want to highlight it is not wrong to want to be a Taitai.</em></h2>
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<span style="font-size: large;"><em><span style="font-weight: normal;">Is a reward in life for people who have visions and focus!<br /></span></em></span><span style="font-size: large;"><em><span style="font-weight: normal;"><br /></span></em></span><span style="font-size: large;"><em><span style="font-weight: 400;">Success without purpose is life without meaning.<br /><br />There is nothing wrong to want to be a Taitai!<br /><br /></span></em></span></h3>
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg-d2r7LuVb94_S3hL-djJzr5tTS0HC0F4REP9xFsRHhIaD4J4UlPMpkOQnmZlSByZkOTEDfTBEz8fRz2K7cSlXcnilpAuM14MPQGBF9MPhG6nKYIDclQcz9hwZ7iAZ_QVwmdcs9j9oHA4/s1600/dream.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="177" data-original-width="284" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg-d2r7LuVb94_S3hL-djJzr5tTS0HC0F4REP9xFsRHhIaD4J4UlPMpkOQnmZlSByZkOTEDfTBEz8fRz2K7cSlXcnilpAuM14MPQGBF9MPhG6nKYIDclQcz9hwZ7iAZ_QVwmdcs9j9oHA4/s1600/dream.jpg" /></a></div>
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<span style="font-size: large;"><em><span style="font-weight: 400;"><br /></span></em></span></div>
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<em><span style="font-size: large;">A girl can dream right or is this fat hope?<br /></span></em></h3>
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<em style="font-weight: normal;">The short answer is definitely marrying a prince or into a rich family.</em><br />
<em><br /><span style="font-size: large;">So what is the long answer?</span><br /><span style="font-weight: normal;">1. The long answer is a girl can become Taitai by:</span><br /><br /><span style="font-weight: normal;">a) Starting her own business and become financial independent.</span><br /><br /><span style="font-weight: normal;">b) Helping her partner in his personal/family business and </span></em><em style="font-weight: normal;">become financial independent.<br /><br />c) Work and Save up till she </em><em><span style="font-weight: normal;">become financial independent</span><br /><br /><span style="font-size: large;">What a girl really have to avoid, is to live a Taitai lifestyle outside their means.</span></em><i><br /><br />在不需要的情况下,</i></h3>
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<i>其实最重要的是表现最真实的自己。</i></h3>
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<i>因为真正的自己才是最美的。<br /><br />To be Taitai a not, is definitely more meaningful when it is a reward.<br /><br />Lastly, hope all the female readers manage to find the short answer and become a successful Taitai.<br /><br /><br /></i></h3>
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<i>Time decides who you meet in life,</i></h3>
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<i>Your heart decides who you want in your life,</i></h3>
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<i>Your behaviour decides who stays in your life.</i></h3>
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riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com2tag:blogger.com,1999:blog-7438284662570282721.post-81571778998559639002015-08-26T01:56:00.002-07:002015-08-26T07:01:08.795-07:00How to Calculate Your Share Consolidation?<div class="separator" style="clear: both; text-align: center;">
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I was thinking about writing this blog for 2 days but I am really busy.<br />
<br />
As a financial blogger, I feel I should do my part in helping the public who does not have exposure with share consolidation.<br />
<br />
Wait! Am I a financial blogger?<br />
<br />
No matter what. Let's Begin.<br />
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Taking Yongnam as an example.<br />
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In order to see the price before the share consolidation on ChartNexus or Lim&Tan Station, you can go to setting and click on disable for "Stock Split".<br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhTdmFwu-Up5JkFC6C5BaPX4k4KFTZckaRrQsy7tmwaJeuSoYgJK9O0erRUObL2aSHFEzzXxp6LJ72egCDh_wjQLurr0f7BvVMq8zhriFLJlcpfz6UoWHJr5CnK9ps0OpiVbVtPQQLHTEM/s1600/record.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" height="141" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhTdmFwu-Up5JkFC6C5BaPX4k4KFTZckaRrQsy7tmwaJeuSoYgJK9O0erRUObL2aSHFEzzXxp6LJ72egCDh_wjQLurr0f7BvVMq8zhriFLJlcpfz6UoWHJr5CnK9ps0OpiVbVtPQQLHTEM/s320/record.png" width="320" /></a><br />
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Take note that your portfolio with your brokerage might not have your average buying price after consolidation because the stock code might change.<br />
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IMPORTANT:<br />
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YOUR CDP ACCOUNT WILL ONLY UPDATE 3 WORKING DAYS LATER OR MORE ON THE NEW CONSOLIDATED UNITS AND NOT THE NEW CONSOLIDATION PRICE!<br />
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In this case, you either refer to the average price in your excel sheet of trade journal or you have to contact your broker to check your Contract Note for that counter to do the necessary calculation.<br />
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Let's start with the Scenario now.<br />
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If you have purchased Yongnam at 0.245 at 100000 shares, the purchased value will be $24500 less brokerage fee.<br />
<div class="separator" style="clear: both; text-align: center;">
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During a Consolidation, your share values does not change but the entry price and number of shares will.<br />
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You can refer to this pdf on Yongnam consolidation<br />
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<a href="http://yongnam.listedcompany.com/newsroom/20150430_192043_Y02_AU95PG50WRRSOEYV.2.pdf" target="_blank">http://yongnam.listedcompany.com/newsroom/20150430_192043_Y02_AU95PG50WRRSOEYV.2.pdf</a><br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiR6LMFzsko9m0pnPyy0TiWC_2zKK3ywCZ7KOam_7v1t_GYXzId0ydPaCQalP8B7ZIeqqS6Om1WMq0Y_pBd6kx7D3Ypmlngp_JvIno8cYfA23odOkdRanBe0d_N8c69MOEpcC0TJJGCYik/s1600/record.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" height="162" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiR6LMFzsko9m0pnPyy0TiWC_2zKK3ywCZ7KOam_7v1t_GYXzId0ydPaCQalP8B7ZIeqqS6Om1WMq0Y_pBd6kx7D3Ypmlngp_JvIno8cYfA23odOkdRanBe0d_N8c69MOEpcC0TJJGCYik/s320/record.png" width="320" /></a><br />
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Yongnam is doing a share consolidation of 4 into 1.<br />
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In Yongnam case, shareholders are allowed to trade odd lot. The only way is through your broker and there is a demand and supply issue.<br />
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TAKE NOTE:<br />
1. Some consolidation will round off and you will lose shares because of the round off. (tio jiak!)<br />
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2. Some consolidation will allow you to buy odd lots to make it whole. Yes. Through broker again. They are your life line.<br />
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You can refer to the image below.<br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEghUQmuutywYIcWZO1AEgbPFKj2TmDWoFlJbL3zeERXHuFnAUiNkykwU2xdWXzdP74_TS5hRazoBkmBArYyX4dNb1_o2w91vLIIiNoXMEShq-jH8AeHZ4RQKj6Y8HIQZikbR6QyJrq5DuE/s1600/record.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" height="237" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEghUQmuutywYIcWZO1AEgbPFKj2TmDWoFlJbL3zeERXHuFnAUiNkykwU2xdWXzdP74_TS5hRazoBkmBArYyX4dNb1_o2w91vLIIiNoXMEShq-jH8AeHZ4RQKj6Y8HIQZikbR6QyJrq5DuE/s320/record.png" width="320" /></a><br />
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Let's start with the calculation now.<br />
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Remember your purchased price is at $0.245 at 100000 shares, the purchased value will be $24500 less brokerage fee.<br />
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A share consolidation of 4 into 1 calculation will be:<br />
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Shares: 100000/4 = 25000 shares (this will be reflected in ur cdp account evenutally)<br />
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Price: $24500/25000shares = $0.98 (this you have to update your cdp account yourself)<br />
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The new price and new number of share is important because after the consolidation to $0.58 on 20th May 2015, you are actual in red and if you SELL 100000 SHARES AT $0.58 YOU HAVE JUST NAKE SHORT AND MIGHT BE PENALISED WITH A FINE WITHOUT COVERING BACK ON THE SAME DAY.<br />
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You can text me on Facebook if you don't understand the statement above.<br />
<br />
Really need to rush to gym.<br />
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TAKE NOTE:<br />
Even when the CDP have not update the new number of consolidated shares, you are suppose to sell the correct consolidated number of shares DURING THE SHARE CONSOLIDATED PERIOD.<br />
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Invest and Trade Safely Everyone!<br />
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<br />riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com22tag:blogger.com,1999:blog-7438284662570282721.post-87437503388473264992015-07-01T01:00:00.001-07:002015-07-01T01:00:51.883-07:00A Policy Holder Concern about Exlcusion.<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgjVAHe0pHpSWYUNa3rFgWGFAPDMRNCpKDUHCzxnWbprUoAF2r51U3Hss8Vm9_559SzwJOR5-NX-Kuut1k20xV-VEQ9eGjdsaC0TOmdY5AgYOEKx3OQ70KmDarwguRRtzBBfXASt7dQW6s/s1600/record.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" height="249" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgjVAHe0pHpSWYUNa3rFgWGFAPDMRNCpKDUHCzxnWbprUoAF2r51U3Hss8Vm9_559SzwJOR5-NX-Kuut1k20xV-VEQ9eGjdsaC0TOmdY5AgYOEKx3OQ70KmDarwguRRtzBBfXASt7dQW6s/s320/record.png" width="320" /></a></div>
<br /><br />After reading the facebook post by <a href="https://www.facebook.com/raymond.ng.3538?fref=ts" target="_blank">Raymond Ng</a> below...<br /><br />">15 years ago, when I bought AIA insurance with critical illness coverage, AIA asked me to go to their appointed medical clinic to check up. Upon clean bill, AIA accept my application.<br />
<br />
Now, insurance pass the responsibility to consumers. If known illness not declare, it may end up not able to claim the insurance.<br />
<br />
Why not insurance take up the responsibility to have their doctor conduct check up first before accept the insurance application? If there is exclusion per medical check up, stated it in the agreement up front.<br />
<br />
In that way, both insurance company and consumer will have peace of mind."<br /><br /><a href="https://www.facebook.com/raymond.ng.3538/posts/1161242603902535?comment_id=1161445150548947&ref=notif&notif_t=like">https://www.facebook.com/raymond.ng.3538/posts/1161242603902535?comment_id=1161445150548947&ref=notif&notif_t=like</a><br />
<br />
I approached my professional friend <a href="https://www.facebook.com/christopher.tan.3597789?fref=ts" target="_blank">Christopher Tan</a> and had a discussion.<br /><br />It is true:<br /><br /><span style="background-color: whitesmoke; color: #222222; font-family: Arial, Tahoma, Helvetica, FreeSans, sans-serif; font-size: 15.3999996185303px; line-height: 21.5599994659424px;">Under the life or general insurance policy, there is usually a non-dispute clause. This clause states that the insurance company cannot dispute a claim on grounds of non-disclosure after a lapse of one or two years from the issue of the policy, "except in the case of fraud". Some claim officers argue that non-disclosure is fraudulent. They are mistaken. If challenged in court, they are likely to fail.<br /></span><br />
What you need to do before purchase of any policy is to declare as true as possible your current health status and the above non-dispute clause will be valid.<br /><br />Alternatively, you can now approach your insurance planner to check whether you have any exclusion status and/or whether the non-dispute clause is in your current policy.<br /><br />You can also do a comparison of the policies you need at<br /><br /><a href="https://www.facebook.com/diyinsurance.com.sg?fref=ts">https://www.facebook.com/diyinsurance.com.sg?fref=ts</a><br /><br />Last but not least,<br /><br />You can check out my old post on<br /><span style="background-color: white; color: #222222; font-family: Arial, Tahoma, Helvetica, FreeSans, sans-serif; font-size: 22px;"><br /><a href="http://kenichiwealthmanagement.blogspot.sg/2014/09/in-what-situation-our-claim-might-not.html" target="_blank">In What Situation our claim might not be valid?</a></span><br />
<br />
Insurance Yourself Safely Everyone!riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com0tag:blogger.com,1999:blog-7438284662570282721.post-82415159867707693532015-06-29T08:04:00.002-07:002015-06-29T08:04:39.590-07:00Big Boys Don't Cry BUT They usually make people cries.<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjzV6zRA-sm0eZT9JVnegO9F_ALxgoAgKFPYJAJH604N84li8o_6kEicvrgRaqAKVIACN6HF2MFIocczfhzpUznxV3JwIEXT3nJIymfiShzcFE1z8KgCdW1yFAgR_IvRwDFIngU5O3isjE/s1600/record.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjzV6zRA-sm0eZT9JVnegO9F_ALxgoAgKFPYJAJH604N84li8o_6kEicvrgRaqAKVIACN6HF2MFIocczfhzpUznxV3JwIEXT3nJIymfiShzcFE1z8KgCdW1yFAgR_IvRwDFIngU5O3isjE/s1600/record.png" /></a></div>
<br />
<h2>
<br />Big Boys Don't Cry BUT They usually make people cries.</h2>
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<h3 style="background-color: white; color: #141823; direction: ltr; font-family: helvetica, arial, sans-serif; line-height: 16px; position: relative; white-space: pre-wrap;">
<span style="font-size: small;"><span data-offset-key="btf43-0-0" data-reactid=".2.1:5.0.$right.0.0.0.0.1.0.0.1.0.0.$btf43.0:$btf43-0-0">Short term trade will depends on 3 group of people in the market.
</span><span data-offset-key="elgch-0-0" data-reactid=".2.1:5.0.$right.0.0.0.0.1.0.0.1.0.0.$elgch.0:$elgch-0-0">1. The BBs (Accumulate/Distribute)
</span><span data-offset-key="dnuce-0-0" data-reactid=".2.1:5.0.$right.0.0.0.0.1.0.0.1.0.0.$dnuce.0:$dnuce-0-0">2. The Traders (Long/short)
</span><span data-offset-key="4b0u8-0-0" data-reactid=".2.1:5.0.$right.0.0.0.0.1.0.0.1.0.0.$4b0u8.0:$4b0u8-0-0">3. The Investors (Buy and Hold "Most of the Time")
</span><span data-offset-key="4b0u8-0-0" data-reactid=".2.1:5.0.$right.0.0.0.0.1.0.0.1.0.0.$4b0u8.0:$4b0u8-0-0">Don't be the person who are made to cry.
</span><span data-offset-key="4b0u8-0-0" data-reactid=".2.1:5.0.$right.0.0.0.0.1.0.0.1.0.0.$4b0u8.0:$4b0u8-0-0">Trade and Invest Safely!</span></span></h3>
riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com1tag:blogger.com,1999:blog-7438284662570282721.post-80319372194962336572015-06-29T06:22:00.002-07:002015-06-29T06:28:00.578-07:00Let me share my views on TP or you can said Esc P (Escape Price) before I go run some errand.<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiCcLYkmPXXdHDTSQErqjoz3JreODvR-KF1CdLaD9uMCNoVdumF3rqtonNO6Rpf_ynGE6wWbKv6i10Z_Nk3JKztU7ToW0_6vzqELRvK9A3_88GF3izUjsXDfgTKSBZxtBrxfpIPEDj-glQ/s1600/record.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiCcLYkmPXXdHDTSQErqjoz3JreODvR-KF1CdLaD9uMCNoVdumF3rqtonNO6Rpf_ynGE6wWbKv6i10Z_Nk3JKztU7ToW0_6vzqELRvK9A3_88GF3izUjsXDfgTKSBZxtBrxfpIPEDj-glQ/s1600/record.png" /></a></div>
<br />
<br />
Let me share my views on TP or you can said Esc P (Escape Price) before I go run some errand.<br />
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THIS IS BASED ON TRADING.<br />
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TP is usually based on your open position/s or your projection of the counter.<br />
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1. You can choose to TP at the next historical resistance/simple moving average in the chart if you feel the trend is still down trend (in a buy position) . Do the reversal in a short position.<br />
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Most retailer will see historical support or resistance as a guage.<br />
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2. You can choose to take partial TP if your plans and position allow.<br />
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This is especially so when you see momentum but you are not sure you are right a not.<br />
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3. You can ride your full position or partial position when you did homework and know there is a reason for more buyer to bring up the price.<br />
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This is especially so when you have a good margin of safety by buying at support instead of buying into resistance.<br />
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4. After you open your position and you see poor momentum or closing price is lower then opening price, you have to be mentally prepare to use ESC Price to lower the loss.<br />
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This is especially so when you buy with hope and you already see pump and dump in action.<br />
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Escape Price can range from the last low of the previous price action or your trailing stop criteria.<br />
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Escape Price could be the matching price if you fail to close your position at the price you set for yourself.<br />
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Point 4 is also applicable to all the above 3 points as a follow up.<br />
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Last but not least, you can check out my earlier post on Stop Loss which is also applicable for all the above 4 points.<br />
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<a href="http://kenichiwealthmanagement.blogspot.sg/2015/06/let-me-share-alternate-view-in-stop.html" target="_blank">http://kenichiwealthmanagement.blogspot.sg/2015/06/let-me-share-alternate-view-in-stop.html</a><br />
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Trade and Invest Safely Everyone!riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com0tag:blogger.com,1999:blog-7438284662570282721.post-80928192432184335232015-06-29T06:16:00.000-07:002015-06-29T06:51:02.620-07:00Let me share an alternate view in Stop Loss before i go take a nap.<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj1vREXOKTWvKgEW1syDKKWcniUP1GG6N6-MkQ6WpF4UJXl6w6qg4qRz9RVme79Hv3UVsJz-wCtLl6S_idgCIiJpbP_TVByYX8VtRsLr9EEDRT0wULZOq8dhOKYFFiGT-WiHrisPwfpYCo/s1600/record.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj1vREXOKTWvKgEW1syDKKWcniUP1GG6N6-MkQ6WpF4UJXl6w6qg4qRz9RVme79Hv3UVsJz-wCtLl6S_idgCIiJpbP_TVByYX8VtRsLr9EEDRT0wULZOq8dhOKYFFiGT-WiHrisPwfpYCo/s1600/record.png" /></a></div>
<br />
Stop Loss so you can Bounce Back.<br />
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<div style="background-color: white; color: #141823; font-family: helvetica, arial, sans-serif; font-size: 14px; line-height: 19.3199996948242px; margin-bottom: 6px;">
Let me share an alternate view in Stop Loss before i go take a nap.</div>
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1. If the marco market is bearish,</div>
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2. The counter you hold does not seem to have interested party to buy.</div>
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3. The counter you hold have consistent selling.</div>
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Why wait for the stop loss to hit then cut?</div>
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If your stop loss is $800/- at 0.035 and the currently the Bid Price is 0.036 and the Ask Price is 0.037.</div>
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You can cut at 0.036 if you dun see people buying up at 0.037.</div>
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In the above example, you saved $200/- from cutting at $600 instead of the original $800 you intended to.</div>
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Alternatively, you can spend the $200/- on your family and know that the money do good the right way.</div>
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When you keep the loss small, is easier to earn back the money.</div>
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You can also bet that there will be a rebound after a shake up but if you already feel stress and start hoping, you know the result liao.</div>
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<span style="line-height: 19.3199996948242px;">Oh, i never mention short because it takes skill and timing and/or sometime scrips to short so i won't even suggest it here.</span></div>
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<br /></div>
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In fx, a short is a good alternative to hedge the position.</div>
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Position control of hedging might even bring winners on both long and short.<br />
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<div class="separator" style="clear: both; text-align: center;">
<br /></div>
<span style="line-height: 19.3199996948242px;">Trade and Invest Safely Everyone!<br /><br />The below shows an example of no buy up at 0.037 but a constant sell down to 0.036.<br /><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj2hPDyjukNwDG64u4xwEm9HG20190Mmhc-6XVysZGYblNmHzztVfOv0j2qU7rJzdSi_ethcGXAZCt3jbS-3jH-qoELG40O34GOaNb3U8nxeHU2xdfjWVuJdJer_IqFFoWP4B-jj5QjUj4/s1600/record.png" imageanchor="1" style="line-height: 19.3199996948242px; margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" height="320" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj2hPDyjukNwDG64u4xwEm9HG20190Mmhc-6XVysZGYblNmHzztVfOv0j2qU7rJzdSi_ethcGXAZCt3jbS-3jH-qoELG40O34GOaNb3U8nxeHU2xdfjWVuJdJer_IqFFoWP4B-jj5QjUj4/s320/record.png" width="132" /></a><br /></span></div>
riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com0tag:blogger.com,1999:blog-7438284662570282721.post-8824722605875902712015-06-18T05:34:00.000-07:002015-06-18T05:36:50.029-07:00The 1% Rule<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhZSy_mTktKVNpk-DN1vIlLTZO15PxclFjbA139mm2OjgbMzDxdtfXpAY-scajs0U1nobunI_7xLeuMSVWbj7X3l9Cg5spbtFNC5ZrkYEFAAdhu9_Spx5WvXQm6z2HtcBRhdfc3AY_R79k/s1600/record.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" height="179" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhZSy_mTktKVNpk-DN1vIlLTZO15PxclFjbA139mm2OjgbMzDxdtfXpAY-scajs0U1nobunI_7xLeuMSVWbj7X3l9Cg5spbtFNC5ZrkYEFAAdhu9_Spx5WvXQm6z2HtcBRhdfc3AY_R79k/s320/record.png" width="320" /></a></div>
<h2>
<b>The 1% Rule</b><br />
<div style="text-align: left;">
<span style="font-weight: normal;"><br /></span></div>
<span style="font-weight: normal;">Let's Go Straight to the point.<br /><br />If your Capital is $30 000 and you are applying the 1% rule.<br /><br />This means the amount of money you are willing to pay and not receive is $300. </span><br />
<span style="font-weight: normal;"><br /></span>
Excluding Buy and Sell:<br />Brokerage Fee, Clearing Fee, Access Fee and GST(7%) Fee.<br />
<br />
</h2>
<br />
<h2>
<br />
<span style="font-weight: normal;">Let's be more conservative in an open position in Trading.<br /><br />The below example excludes the above fee which indicate the amount paid will be more then $300.</span><br /><span style="font-weight: normal;">By text book theory, any Stop Loss is usually 2 pip below the lowest low.</span><br /><br /><span style="font-weight: normal;">With that, 1 pip will be $150 since the maximum you are willing to pay is $300.</span><br /><br /><span style="font-weight: normal;">If Stock A Entry Price is $1.00 and the Stop Loss is $0.98 which is $0.02/pips.</span><br /><br /><span style="font-weight: normal;">$300/$0.02 = 15 000 shares</span><br /><br /><span style="font-weight: normal;">In order to keep to the 1% rule of your capital you can only purchase 15 000 shares.</span><br /><br /><span style="font-weight: normal;">There are other ways of reading the above material to suit your own risk reward.</span><br /><br /><span style="font-weight: normal;">The important thing is to mange your risk well and mange your money well.<br /><br />Trade and Invest Safely Everyone.<br /></span></h2>
<br />riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com2tag:blogger.com,1999:blog-7438284662570282721.post-82428823214058449882015-06-17T02:38:00.000-07:002015-06-17T02:38:18.291-07:00Time to start my Golf Lesson. Nibble only.<div class="separator" style="clear: both; text-align: center;">
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Time to start my Golf Lesson.</div>
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Nibble only.<br /><br /><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhl4jQ3wsq7IK3us0PSj03rXdTFI2fPh-biYNpgd0j4gKBOGkuZzuGTs3uX5kHC6m3x_Udoc0h57urCBW8EqjstowVDHbjV2w5Qzoxb8RnkYHDQxtyrhhNdparZIrpTSzg09WHxmiXAmmQ/s1600/record.png" imageanchor="1" style="font-family: 'Times New Roman'; font-size: medium; line-height: normal; margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" height="4" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhl4jQ3wsq7IK3us0PSj03rXdTFI2fPh-biYNpgd0j4gKBOGkuZzuGTs3uX5kHC6m3x_Udoc0h57urCBW8EqjstowVDHbjV2w5Qzoxb8RnkYHDQxtyrhhNdparZIrpTSzg09WHxmiXAmmQ/s320/record.png" width="320" /></a><br /><br /><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjzkpEvn2VSgvhdI_37Y_QfTuduhFSHZTjmSIkeXhkGYHPrTQKMK3-TWBJ1KhyYXkUu8hMmnpxAxjMa7ta5Mc-xn27eGSDM5Yr2a_uLPKkq5yt_sbAUkJvmLVow5ZEq_pyIC5zyRQNtdCo/s1600/record.png" imageanchor="1" style="font-family: 'Times New Roman'; font-size: medium; line-height: normal; margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" height="141" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjzkpEvn2VSgvhdI_37Y_QfTuduhFSHZTjmSIkeXhkGYHPrTQKMK3-TWBJ1KhyYXkUu8hMmnpxAxjMa7ta5Mc-xn27eGSDM5Yr2a_uLPKkq5yt_sbAUkJvmLVow5ZEq_pyIC5zyRQNtdCo/s320/record.png" width="320" /></a><br /><br /></div>
riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com5tag:blogger.com,1999:blog-7438284662570282721.post-6243755101872243462015-06-16T12:05:00.000-07:002015-06-16T12:05:38.931-07:00A Most Basic Investment Idea of mine.<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiiEyU5bqF3OyBbMUS6LhZMoY7EaURfGDLw7U8r5H8MobUgHr1OF2O1hAti6XTSkeF1vmzl7j1HQ0SSbvftQUPJP6WBajyu73SsISfO6u5T0lxYhouNshVtkbNU0fYR5LAYiphbxMp_uTI/s1600/record.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" height="242" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiiEyU5bqF3OyBbMUS6LhZMoY7EaURfGDLw7U8r5H8MobUgHr1OF2O1hAti6XTSkeF1vmzl7j1HQ0SSbvftQUPJP6WBajyu73SsISfO6u5T0lxYhouNshVtkbNU0fYR5LAYiphbxMp_uTI/s320/record.png" width="320" /></a></div>
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<br /><br />A Most Basic Investment Idea.</div>
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I hope this Idea of mine can bring encouragements to investment.</div>
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One thing about investment is definitely TIME and with time comes UNCERTAINTY.</div>
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We only pick up "business" we know and we can be "quite" sure it wont close door.</div>
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The important thing is what price we buy into and whether you have a cushion to give you back your principal amount.</div>
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How much is 5% dividend from a $20k investment?</div>
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Ans: $1000/-</div>
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$1000 * 20 years = $20k when we never reinvest the dividend. Yes. We are not even compounding here.</div>
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Did you take back your investment capital after 20 years?</div>
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After 20 years, is it free money?</div>
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What are the chances 20 years later the position did not appreciate?</div>
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Is all in our mindset and approach.</div>
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I hope this will benefit everyone here.</div>
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Good Night.</div>
riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com1tag:blogger.com,1999:blog-7438284662570282721.post-9170647755783883212015-05-12T23:48:00.002-07:002015-05-20T23:18:14.307-07:00Frasers Centrepoint raising S$200m from bond issue. What you need to know if you are applying.<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi2LU2fbRwHbz8e-2n5fDVp-zW1lx_P7SFIjdEcWt3ZK13Nu-Bc-W819PBbAkrb7o9eXNlSQArpB_jeYBZy81aQfWR7pO5fus71CerrxyOnz7xMoqAYTwiPX8Wlv9_ebgyqqjvnyxzOp0E/s1600/record.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi2LU2fbRwHbz8e-2n5fDVp-zW1lx_P7SFIjdEcWt3ZK13Nu-Bc-W819PBbAkrb7o9eXNlSQArpB_jeYBZy81aQfWR7pO5fus71CerrxyOnz7xMoqAYTwiPX8Wlv9_ebgyqqjvnyxzOp0E/s1600/record.png" /></a></div>
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Frasers Centrepoint raising S$200m from bond issue. What you need to know if you are applying.<br />
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<h3>
For starters, it will be good for you to know how Bond Price Move even though in this application you will get it at par value.</h3>
<span style="color: #1c1c1c; font-family: Arial, sans-serif; font-size: 16px; line-height: 20px;"><br />Bonds are generally issued in multiples of $1,000, also known as a bond's face or par value. But a bond's price is subject to market forces and often fluctuates above or below par. If you sell a bond before it matures, you may not receive the full principal amount of the bond and will not receive any remaining interest payments. This is because a bond's price is not based on the par value of the bond. Instead, the bond's price is established in the secondary market and fluctuates. As a result, the price may be more or less than the amount of principal and the remaining interest the issuer would be required to pay you if you held the bond to maturity.</span><br />
<div style="box-sizing: border-box; color: #1c1c1c; font-family: Arial, sans-serif; font-size: 16px; line-height: 20px; margin-bottom: 0.5em; margin-top: 1em;">
The price of a bond can be above or below its par value for many reasons, including:</div>
<ul style="box-sizing: border-box; color: #1c1c1c; font-family: Arial, sans-serif; font-size: 16px; line-height: 20px;">
<li style="box-sizing: border-box;">interest rate adjustments;</li>
<li style="box-sizing: border-box;">whether a bond credit rating has changed;</li>
<li style="box-sizing: border-box;">supply and demand;</li>
<li style="box-sizing: border-box;">a change in the creditworthiness of a bond's issuer;,</li>
<li style="box-sizing: border-box;">whether the bond has been called or is likely to be (or not to be) called; or,</li>
<li style="box-sizing: border-box;">a change in the prevailing market interest rates.</li>
</ul>
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If a bond trades above par, it is said to trade at a premium. If a bond trades below par, it is said to trade at a discount. For example, if the bond you desire to purchase has a fixed interest rate of 8 percent, and similar-quality new bonds available for sale have a fixed interest rate of 5 percent, you will likely pay more than the par amount of the bond that you intend to purchase, because you will receive more interest income than the current interest rate (5 percent) being attached to similar bonds.</div>
<span style="color: #1c1c1c; font-family: Arial, sans-serif; font-size: 16px; line-height: 20px;">- See more at: http://www.finra.org/investors/bond-basics#sthash.3GbDfoSb.dpuf</span><br />
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<h3>
Next, you need to read up on what you are buying. Please do not buy because everyone say can Buy or Not.</h3>
<br />
Read the proper announcement.<br />
<br />
<a href="http://infopub.sgx.com/FileOpen/Frasers%20_Centrepoint_launches_first_Retail_Bond_%20offering_12May15.ashx?App=Announcement&FileID=349449" target="_blank">http://infopub.sgx.com/FileOpen/Frasers%20_Centrepoint_launches_first_Retail_Bond_%20offering_12May15.ashx?App=Announcement&FileID=349449</a><br />
<br />
If you got any Questions which you need accurate confirmation or answers,<br />
<br />
For media queries, please contact:<br />
<br />
Frasers Centrepoint Limited
<br />
<br />
Gerry WONG / Karina CHOO / SIEW Lay Eng
<br />
Tel: +65 6277 2679 / +65 6277 2677 / +65 6277 2678
<br />
E-Mail: fclgroupcomms@fraserscentrepoint.com<br />
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<br />
<h3>
In General, for this Frasers Centrepoint bond issue,</h3>
<br />
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Only Apply if you can lock in for 7 years. </div>
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1.apply from atm like ipo or ibanking<br />
2. minimum $2000 for retailer<br />
3. coupons will be issued into the bank account by default semi annually<br />
4. after 7th year you won't receive coupons from the bond you hold and you have to redeem back from the issuers or sell into the bond market.<br />
5. Additional info from Chang Han Thomas</div>
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Kenji, need to add that u can bid a min of 2k, thereafter multiples of 1k. That means can bid of 2k, 3k, 4k, but not 4.5k or 2.2k</div>
<span style="background-color: white; color: #141823; font-family: helvetica, arial, lucida grande, sans-serif;"><span style="font-size: 14px; line-height: 19.3199996948242px;">6. </span></span><span style="color: #141823; font-family: helvetica, arial, lucida grande, sans-serif;"><span style="background-color: white; font-size: 14px; line-height: 19.3199996948242px;">Opens now till 20th May 12pm, with a minimum of $2000, and subsequent increase of $1000 thereafter.<br />7. Date of Trade 25th May.</span></span><br />
<div style="background-color: white;">
<br /></div>
<div style="background-color: white;">
<span style="background-color: #f6f7f8;"><span style="color: #141823; font-family: helvetica, arial, lucida grande, sans-serif;"><span style="font-size: 12px; line-height: 16.0799999237061px;">One more thing to add : just like IPO, need to pay a little transaction fee to the bank. Also need a CDP account if not,you can't apply. from Chang Han Thomas</span></span></span></div>
<h4 style="background-color: white;">
<span style="background-color: #f6f7f8;"><span style="color: #141823; font-family: helvetica, arial, lucida grande, sans-serif;"><span style="font-size: 12px; line-height: 16.0799999237061px;">So the main idea is not to apply it at the last minute so you have enough time to rectify any issue with the application.</span></span></span></h4>
</div>
<h4>
</h4>
<h3>
<span style="background-color: #f6f7f8; color: #373e4d; font-size: 12px; line-height: 15.3599996566772px; white-space: pre-wrap;">Redemption Part</span></h3>
<span style="background-color: #f6f7f8; color: #373e4d; font-size: 12px; line-height: 15.3599996566772px; white-space: pre-wrap;">
</span><span style="background-color: #f6f7f8; color: #373e4d; font-size: 12px; line-height: 15.3599996566772px; white-space: pre-wrap;">1. Automatic redemption.
</span><span style="background-color: #f6f7f8; color: #373e4d; font-size: 12px; line-height: 15.3599996566772px; white-space: pre-wrap;">2. You'll get the standard sgx announcement that such and such bonds are redeemed back.
</span><span style="background-color: #f6f7f8; color: #373e4d; font-size: 12px; line-height: 15.3599996566772px; white-space: pre-wrap;">3. Auto refund back to your bank account
4. (if the issuer choose to redeem early) </span><span style="background-color: #dbedfe; color: #373e4d; font-family: helvetica, arial, 'lucida grande', sans-serif; font-size: 12px; line-height: 15.3599996566772px; white-space: pre-wrap;">starting from the 4th year , your yield would actually be 3.85% from the earliest with gradual decrease to 3.65% by 2022.
</span><span style="background-color: #f6f7f8; color: #373e4d; font-size: 12px; line-height: 15.3599996566772px; white-space: pre-wrap;">5. </span><span style="background-color: #dbedfe; color: #373e4d; font-family: helvetica, arial, 'lucida grande', sans-serif; font-size: 12px; line-height: 15.3599996566772px; white-space: pre-wrap;">For every $1 bond, if you redeem on the 4th year on 22nd May 2019, you get a total of 8 coupon payments of $0.01825 each. So the total coupon payments is $0.01825*8 = $0.146.
You will redeem back at $1.01825, so you make a capital gain of $0.01825.
In total, you get 0.01825 + 0.146 = $0.16425 over 4 yrs.
Your returns is therefore 0.16425/1 x 100% divided by 4 yrs = 4.10625% pa</span><span style="background-color: #f6f7f8; color: #373e4d; font-size: 12px; line-height: 15.3599996566772px; white-space: pre-wrap;">
</span>source from my facebook discussion with .<span style="line-height: 19.3199996948242px;">Chang Han Thomas</span><br />
<h3>
<span style="line-height: 19.3199996948242px;">Lastly, is it suitable for everyone?</span></h3>
<span style="line-height: 19.3199996948242px;"><br />The yield and returns are easy to beat if you are savvy in investment.<br /><br />This product is suitable for people who want a peace of mind and have a plan 7 years later for that ROI.<br /><br />Like what me and </span><span style="line-height: 19.3199996948242px;">Chang Han Thomas agrees on. <br /><br />Always do what you are good at and make more money from it.<br /><br />Then you can use other vehicle to let that money work for you in returns.<br /><br />Invest and Apply Safely Everyone.</span>riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com1tag:blogger.com,1999:blog-7438284662570282721.post-63342016722134108502015-05-11T12:56:00.003-07:002021-02-09T05:01:26.978-08:00Why am I interested in personal finance? (restricted access)<div class="separator" style="clear: both; text-align: center;"><br /></div>riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com0tag:blogger.com,1999:blog-7438284662570282721.post-3881829075409964882015-05-10T12:54:00.000-07:002015-05-10T13:03:12.069-07:00Why Don't People Care About Personal Finance (feat Cheerful Egg and Xeolyenomics)<div class="separator" style="clear: both; text-align: center;">
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Busy Year for me but it will be great to share why some people don't care ( or to me simply Don't Know how to care) about Personal Finance.<br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhIVvwfyimfuAPi3BcJQX9qHZzcFW_4Ruf7MawsSic2-dFEojkXZxTiDmwQAddFj6mnw8Z6gxl41L6iROftZsHzonkXLU-O3liJS7g15mSaRvA8Z5FAmnmhyphenhyphenSxTD6ZcSmWolKSUsVz9E2Q/s1600/record.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" height="205" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhIVvwfyimfuAPi3BcJQX9qHZzcFW_4Ruf7MawsSic2-dFEojkXZxTiDmwQAddFj6mnw8Z6gxl41L6iROftZsHzonkXLU-O3liJS7g15mSaRvA8Z5FAmnmhyphenhyphenSxTD6ZcSmWolKSUsVz9E2Q/s320/record.png" width="320" /></a><br />
<br />
Let's start with this: "SAVING FOR A RAINY DAY!"<br />
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This is the only thing I can remember from my academic years....hmm..wait from my Primary School Education.<br />
<br />
I couldn't recall more on any Financial Advices other then to get a good paying job or make more money to start a family.<br />
<br />
Nothing was taught on:<br />
<br />
1. getting the correct property or properties with or without grants<br />
<br />
2. using my CPF to assist me in my retirements<br />
<br />
3. getting the right type of insurance depending on my needs or dependants<br />
<br />
4. using my medisave to get an integrated shield plan that gives better coverage<br />
<br />
5. getting various tax relief that benefits my families member or doing charity<br />
<br />
6. how to invest slowly and accumulate wealth<br />
<br />
7. how to avoid Get Rich Quick Scams<br />
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The list goes on and do add into the comments if i missed any.<br />
<br />
I am not blaming the Education System for not teaching us how to care about our Personal Finance.<br />
<br />
We have Good Education System that make our people reputable in their diploma or degree certificate but that does not highlight to our people that Personal Finance is more important then just getting a job or Saving money for a Rainy Day.<br />
<br />
I apologise if Personal Finance is one own self responsibility to find out and if they did not make the effort to make this discovery, they are to be blame for their own demise.<br />
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To be honest, Not every one are born equal and that is why a good directional guide will help them and the choices will be theirs to make.<br />
<br />
In fact, Singapore did provide many sources of information to educate the public on CPF, getting HDB grants and Personal Finance.<br />
<br />
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhZTgZEsP10L_DCnHdqWp7KC17Qd1x9e0TTewzMPQivJou-_WOHH_gTj0SqHYBS8GF2qR1VTsZ4jBxQiIMI2wT2_Gra1NcglCEFORCcmuTFXOi-UYIW9zFlFtHsMw2uG-Cb3VeKf_Fr9ao/s1600/record.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhZTgZEsP10L_DCnHdqWp7KC17Qd1x9e0TTewzMPQivJou-_WOHH_gTj0SqHYBS8GF2qR1VTsZ4jBxQiIMI2wT2_Gra1NcglCEFORCcmuTFXOi-UYIW9zFlFtHsMw2uG-Cb3VeKf_Fr9ao/s1600/record.png" /></a><br />
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The problems lies in the solutions and information is there but the AWARENESS to the public is not there.<br />
<br />
Beep! Beep! Beep! <br />
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My timer for my 30 minute write up is up so I will finish this article soon.<br />
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I really like how Singapore have Television show case Pioneer Generation Video to create awareness <br />
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<a href="https://sg.news.yahoo.com/video/pioneer-generation-video-featuring-mark-024313328.html" target="_blank">https://sg.news.yahoo.com/video/pioneer-generation-video-featuring-mark-024313328.html</a><br />
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We might thought this is the only education video available but if we check online there are more useful education videos like those below on CPF.<br />
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<a href="https://www.youtube.com/user/CPFvideos?gl=SG&hl=en-GB" target="_blank">https://www.youtube.com/user/CPFvideos?gl=SG&hl=en-GB</a><br />
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A Good way to start is to shows video (in school) or on tv air time or online on where good informations can be found for individual needs.<br />
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The Good Direction will help more people to know how to care about their Personal Finance and use the good resources provided by Singapore to make our country a better home.<br />
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Good night Everyone!<br />
<br />riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com3tag:blogger.com,1999:blog-7438284662570282721.post-39419278803753570152015-03-26T09:17:00.000-07:002015-03-26T09:17:55.367-07:00Earnings Per Share<div class="separator" style="clear: both; text-align: left;">
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<span style="background-color: white; font-family: arial, helvetica, clean, sans-serif; line-height: 19.2000007629395px;"><br /><br /><b>Earnings Per Share (EPS)</b></span><span style="background-color: white; color: #333333; font-family: arial, helvetica, clean, sans-serif; font-size: 12px; line-height: 19.2000007629395px;"> is the single most important variable used in determining the earnings power of a company. </span><span style="background-color: white; color: #333333; font-family: arial, helvetica, clean, sans-serif; font-size: 12px; line-height: 19.2000007629395px;"><br /><br />In calculating earnings per share, the dividends of preferred stocks need to subtracted from the total net income first.<br /></span><span style="background-color: white; color: #333333; font-family: arial, helvetica, clean, sans-serif; font-size: 12px; line-height: 19.2000007629395px;">Companies also reported diluted shares in their financial reports. Diluted shares include the shares of convertibles or warrants outstanding.</span><span style="background-color: white; font-family: arial, helvetica, clean, sans-serif; font-size: 12px; line-height: 19.2000007629395px;"><span style="color: #333333;"><br />But investors need to be aware that Earnings per Share can be easily manipulated by adjusting depreciation and amortization rate or non-recurring items.</span></span><span style="color: #333333;"><br /></span>Earnings per share without Non-Recurring Items <span style="background-color: white; color: #333333; font-family: arial, helvetica, clean, sans-serif; font-size: 12px; line-height: 19.2000007629395px;">, which better reflects the company's underlying performance.</span><span style="background-color: white; color: #333333; font-family: arial, helvetica, clean, sans-serif; font-size: 12px; line-height: 19.2000007629395px;"><br /></span><br />
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Compared with Earnings per share, a companys cash flow is better indicator of the companys earnings power.<br /></div>
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If a companys earnings per share is less than cash flow per share over long term, investors need to be cautious and find out why.</div>
<span style="background-color: white; color: #333333; font-family: arial, helvetica, clean, sans-serif; font-size: 12px; line-height: 19.2000007629395px;"><br /></span>riskoranxinhttp://www.blogger.com/profile/14002583728884567862noreply@blogger.com0