You may NOT like or agree! It is okay! If someone has to worry or have serious concerns over adequacy to meet their BRS or FRS for their CPF RA over their lifetime of working till 55; they should be focusing on enhancing or extending their work-life to 62 to 67 and above. It is cold hard fact that person or persons are NOT ready to build sustainable retirement income for life! If we have to worry over BRS or FRS; it is far better to focus on our jobs and becoming better human asset to our employers.
Uncle8888 was reading his Whatapps message while walking towards Plaza Singapura and he felt someone was blocking his way and not moving off and then he heard a voice saying "You are Uncle CW. I can recognize you!" Har! Turned out to be another fellow blogger. Small world. LOL!
Those positive results do not mean that the income is guaranteed, of course, as share prices can also drop. Investors who put money into Keppel Corp in 2014 when the share price was more than S$11 in order to get a high dividend, for example, have seen the share price fall to just over S$6 and annual dividends drop from 48 cents per share to 20 cents. CHOOSING SHARES Individuals investing in shares for their dividends will need to select them carefully so that they balance the potential returns with the risks of investing. Simply picking shares which have the highest dividend yields is not a particularly challenging process, as investment advisory firm The Motley Fool observes. However, investors need to look beyond the yield and consider the company’s financial performance as well as its rate of dividend growth. CW8888: Another theory and concept writing! Who has the wisdom eyes to look years ahead? Writers? Our investing experience is very personal and practical on the ground; you don't make money or lose money during your time of investing and that doesn't mean other EARLIER or LATER investors will have the same outcome as you. Read? Invest In Fallen Angels For Lifelong Dividend Income??? Over decades; our investing outcome will depend on
Method. Mind and Money Management Market timing and Position Sizing will eventually determine our investment performance outcome and set us for future sustainable retirement income from our net worth.
Uncle8888 also into this uncommon tip receiving service. TIP - To Insure Performance? This is how he thinks. For one time effort job and most unlikely to happen again to the same person to receive the service. Why do some people still choose to give tip either by keeping the change or pulling out that dollars from their wallet? So far he has received tips from $1 to $20 and men are more likely to give tips! These gentlemen are more generous by nature! Right? Up to now he has observed that those staying in expensive house and estate may NOT be the one who are likely to give tips.
Read? Will History Repeat Itself??? MAY few of these fallen angels eventually become your guardian angels for lifelong dividend income. It is blessing or damn lucky! There are the same stock and corporation riding the market and economic cycle of Boom and Doom and the investment outcome year after year over past decade is drastically different. Practical on the ground is NOT what we continuously hear or read from theorists or concepts authors on lifelong investing. Updated for KepCorp H1 2017 Multi-bagger? Second bite of cherry too!
1. Don't ask Barber whether you need a haircut when you really feel your hair is long. 2. Don't ask Frugal persons whether they drink Coffee at Starbucks when alone. 3 Don't ask investment bloggers for advice when they are holding that share and especially they are NOT losing any money on that share Why? Their answer is obvious and expected!
CW8888: It is extremely hard to look far into the future! Then in 2013; the forecast of oil price into $150 and above
Wells Fargo and a number of other lenders are negotiating to take control of a hedge fund previously valued at more than US$2 billion that is now worth close to nothing, according to a report from the Wall Street Journal.
REUTERS: Wells Fargo and a number of other lenders are negotiating to take control of a hedge fund previously valued at more than US$2 billion that is now worth close to nothing, according to a report from the Wall Street Journal.
EnerVest Ltd., a Houston private equity firm that focuses on energy investments, manages the private equity fund that focused on oil investments. The fund will leave clients, including major pensions, endowments and charitable foundations, with at most pennies on the dollar, WSJ reported.
The firm raised and started investing money beginning in 2013 when oil was trading at around US$90 a barrel and added US$1.3 billion of borrowed money to boost its buying power. West Texas Intermediate crude prices closed at US$46.54 a barrel on Friday.
"We are not proud of the result," John Walker, EnerVest's co-founder and chief executive, wrote in an email to the Journal.
Only seven private-equity funds worth more than US$1 billion have ever lost money for investors, according to data from investment firm Cambridge Associates LLC cited in the report. Among those of any size to end in the red, losses greater than around 25 percent are extremely rare, though there are several energy-focused funds in danger of doing so, according to public pension records.
Clients included the J. Paul Getty Trust, John D. and Catherine T. MacArthur and Fletcher Jones foundations, which each invested millions in the fund, according to their tax filings, the Journal reported. Michigan State University and a foundation that supports Arizona State University also disclosed investments in the fund.
The Orange County Employees Retirement System was also an investors and has reportedly marked the value of its investment down to zero.
Read? Is there such a thing as a 'recession-proof' portfolio? Good reminder to us to build 'recession-resistant' wealth or net worth! Uncle8888 fully understood this concept of 'recession-resistant' wealth building concept and not all into investment for higher return at all times. Uncle8888's Three Taps Solution model should be one of those 'recession-resistant' wealth building concept or type.
If we need to know how much money we can withdraw from our CPF at 55; we MAY have failed in our retirement planning unless we already plan to retire after 55. So far what Uncle8888 knows from his peers who are 55 and above; NONE of them bother about how much they can withdraw at 55 as they plan to touch their CPF only after their retirement at 62/65 to 67. So how much can we withdraw at 62/65 to 67?
No worry! By then; it is already done deal! It is whatever we have in our CPF SA and CPF OA. It is just that simple!
Uncle8888 met his ex-ex-ex colleague in the same MRT's train after X decades. We are now senior citizen roaming the street. After a short chat; he said he was retrenched this year and now in retirement mode. Hard truth and sad truth. Older human assets are expensive so they are good as cost cutting tool during bad time or when necessary for companies to reduce staff costs.
You have successfully been registered for the Keppel Corporation Retail Shareholders' Day.
Please see details of the programme below:
Date: 16 August 2017
Time: 7.30pm to 9.00pm
Location: SGX Auditorium
Address: 2 Shenton Way, SGX Centre 1, Level 2, Singapore 068804
Fee (Member): S$0
Fee (Non-Member): S$0
Fee (Student member): S$0
Registration starts half an hour before the event.
Note: This is an auto-generated email and details of the event may be changed. Kindly look out for a 'Confirmation Email' to be sent to you 3 days before the event date. Please print the "Confirmation Email" and bring it along with you on event day for registration. Thank You.
Our CPF MA has immediate use when necessary. It will NEVER be enough based on Uncle8888's personal experience with his older close relatives so it is right thing to top up our CPF MA. Never enough! This is only CPF account that Uncle8888 will advocate topping up. Other voluntarily topping up. Hmm .... case by case hor! Don't be seduced by social media loud voice. What good for some may be poison for some in later part of their life journey when sudden unplanned sharp needs for liquidity arises! Don't be caught in asset rich. cash poor before 55 and 65. Life sucks!
Uncle8888 has been doing monthly contribution of $50 to his CPF MA as self-employed and may be can qualify for Workfare next year.
CW8888's Well known investors CAGR Table Temasek : 44 years (1974 to Mar 2017) is 15% Temasek : 20 years (1998 to Mar 2017) is 6% Temasek : 10 years (2008 to Mar 2017) is 4%
One-year return to shareholder of 13%
10- and 20-year return to shareholder of 4% and 6%, respectively
15% return to shareholder, compounded annually since inception in 1974
Dividend income of S$7 billion, or about 19 times our interest expense for the year
Invested S$16 billion and divested S$18 billion, resulting in net divestment
Singapore, Tuesday 11 July 2017 – Singapore-headquartered investment company Temasek today published its annual Temasek Review, reporting a record net portfolio value of S$275 billion1, and closing the year in a net cash position on 31 March 2017.
Temasek’s one-year Total Shareholder Return (TSR) was 13%.
Longer term 10-year and 20-year TSRs were 4% and 6% respectively. TSR compounded annually since our inception in 1974 was 15%.
Dividend income from our portfolio was S$7 billion for the year ended 31 March 2017. This was about 19 times our interest expense for the year.
Temasek Chairman, Mr Lim Boon Heng, commented:
“While the global recovery is gaining momentum, there are still uncertainties, both in the medium as well as longer term. We have maintained an investment stance that is disciplined but nimble, and built a balance sheet that enables us to capitalise on opportunities and withstand shocks.
We have continued to rebalance our holdings towards longer term macro opportunities such as the transforming economies, as well as emerging new trends such as the digital enablers for new businesses. The strength of our balance sheet also enables us to undertake large projects which may have longer gestation periods, such as the Mandai rejuvenation.”
It asks to be prepared for underperformance relative to market indices, posts 20-year real return at 3.7% for FY17
AT a time of heightened uncertainty and "investor complacency", Singapore's sovereign wealth fund GIC is expecting steady long-term returns, and says it has to be prepared to take underperformance against relative benchmarks, with some stretching into several years.
The comments came as GIC reported a 20-year annualised real rate of return of 3.7 per cent above global inflation on its portfolio for the period ended March 31, 2017. This is a dip from the 4 per cent in the 20-year annualised real rate of return reported a year ago.
This means the purchasing power of funds invested with GIC in 1997 has more than doubled, with GIC currently having well over US$100 billion in assets under management. GIC is estimated to be the 10th largest global public investor in the Asia-Pacific, according to think tank Official Monetary and Financial Institutions Forum.
The portfolio returned 5.7 per cent per year in US-dollar terms over the past 20 years on a nominal basis.
GIC noted that the last 20 years have included two periods of very pronounced cycles. The first was the tech bubble in the late 1990s to early 2000s, while the second was the global financial crisis in 2008.
This year's decline in the 20-year real return was largely due to the drop-off of the high returns at the beginning of the tech-bubble period, while the ensuing collapse in values remains within the 20-year period. GIC expects this effect to continue for a few years, dampening the rolling 20-year figure.
In a statement, GIC chief executive Lim Chow Kiat said: "We are prepared for a period of protracted uncertainty and low returns."
He said a key part of GIC's investment strategy in such an environment is to ensure the portfolio remains robust across a range of plausible scenarios, translating to diversification across asset classes, regions, return drivers and risk thresholds.
"As a long-term value investor, we remain cautious and recognise that to generate good real returns over time, we have to be prepared for periods of underperformance relative to the market indices, some even for a stretch of several years," said Mr Lim.
A combination of stretched valuations, high policy uncertainty and unresolved economic imbalances confronts investors today. Notably, the current market pricing does not reflect heightened uncertainty. Mr Lim said: "We are concerned about that. It seems to suggest that there is investor complacency." Given this environment, GIC has guided that it expects one to 2 per cent real return over the coming decade.
GIC continues to build investments into infrastructure, with PwC estimating US$1.7 trillion in global infrastructure spending through to 2020. GIC was part of a consortium that bought and delisted UK water utility company Kelda Group in 2008. In 2016, it bought 19.9 per cent of United States' largest independent electric transmission company ITC Holdings from Canada's Fortis Inc for US$1.23 billion.
But Jeffrey Jaensubhakij, group chief investment officer of GIC, noted that for many countries, many infrastructure projects still remain owned by the governments, leaving little room for private investors.
In places such as Australia where there is more active privatisation in the infrastructure market, sky-high demand for the assets is translating to very expensive prices.
"In emerging markets, most of the assets are still government-owned and operated. We still need to see a period of time where governments decide to privatise the assets," he said.
GIC continues to see opportunities in the student-housing market where it is among the top global investors. GIC and Singapore's Mapletree Investments have helped to push acquisitions in student housing to a record US$16.2 billion last year, data from Real Capital Analytics Inc, as cited by Bloomberg, showed.
GIC pursued more investments this year. In March, GIC with the Canada Pension Plan Investment Board and The Scion Group jointly acquired three US student-housing portfolios for about US$1.6 billion.
Mr Lim noted that there remains more focus on the student-housing segment in developed markets, as students head to top schools in certain parts of the world.
"We are always on the lookout for assets which can help us to produce a different kind of return stream and student housing is one of those. We expect to continue to be active in the student-housing market," he said.
Mr Lim said in the technology space, GIC is clear there is a "winner takes all" outcome that makes picking the right asset more important and more difficult as well.
In the last few years, the valuation of tech assets has gone up substantially compared to other sectors, though Mr Lim said there is no "bubble territory" for the sector, overall.
GIC's proportion of investment in its six asset classes was fairly unchanged from a year ago.
Investments through private equity stood unchanged at 9 per cent. Likewise, investments in real estate were maintained at 7 per cent, and investments in inflation-linked bonds kept at 5 per cent.
The share of investments in emerging-market equities fell to 17 per cent from 19 per cent, while investments in nominal bonds and cash rose to 35 per cent from 34 per cent. Investments in developed-market equities made up 27 per cent of the total asset mix, up from 26 per cent a year ago.
CW : Not easy to make money from investing! GIC forgot to employ our "Gurus" who boast 15% return to be their advisers?
Quote : LOVE, UNEXPECTEDLY 5. By the time I was 46, I was reconciled to being single for life – and then I unexpectedly got married. This piece wasn’t actually in The Sunday Times but appeared in Life on a Friday. Some real lessons to be learnt from her as Uncle8888 remembered that she wrote few Sundaytimes articles on "nice" part on her singlehood. Then at 46 got married and found getting married is truly nice and but not those day of "nice". Better late than never!
It will eventually end up in a way that is NO BIG deal from either way we have chosen.
Zhuangzi told this story to his disciples to make a point. Once a zookeeper said to his monkeys: "You'll get 3 bananas in the Morning and 4 in the Afternoon." All monkeys are upset. "OK. How about 4 bananas in Morning and 3 in the Afternoon?" Hearing this, the monkeys are content.
The main reason most people want to pay off their flat is psychological: It might give you peace of mind to know that your home – a major debt – is paid up. But what if we told you that peace of mind can easily be shattered, and turned into a prolonged nightmare? 1. You cannot easily convert your flat to cash during emergencies 2. You may not be making sufficient preparations for retirement 3. You could be paying off your debts in the wrong order Walau! When Uncle8888 read this article in the cyber world. KNS! Uncle8888 paid off his housing loan in five years after working for more than ten years i.e. at least 15 years worth of CPF OA money to clear his housing loan. His cash saving is unused for his housing loan! Uncle8888 is not a dumb saver or dumb investor. The writer just assumed that those could afford to fully pay up their housing loan early are either dumb saver or dumb investor. Some writers don't write educational articles based on real people, real life experience; but they write on concept and theory. How useful and practical can it be? What Uncle8888's experience on real people, real story on the ground on their housing loan is different. Quote : It might give you peace of mind to know that your home – a major debt – is paid up. But what if we told you that peace of mind can easily be shattered, and turned into a prolonged nightmare?
On retrenchment: Anybody can be sure that they don't be the next one to be retrenched!
The FACT on real people on the ground: When those who have significant outstanding housing loan; their dream and peace of mind is shattered and prolonged nightmare may be waiting if they are in their late 40s or 50s.
Sometime; Uncle8888 read in the cyber world when someone emphasizes FREE delivery service when he or she bought something online or order from the shop and have the order delivered FOC to his or her home. They are so happy to emphasize FREE delivery service when sharing in the cyber world. Naive. Got free delivery service meh? Many of these home deliveries are done by free lance delivery agents/couriers. Do you think these people are doing it for charity? Delivery fees are charged on per trip basis and then add on surcharge based on timing; location zoning e.g. CBD, Tuas, Bukit Timah, etc; tier surcharge based on weight (3 kg, 5 Kg, 8 Kg, 10 Kg, 15 Kg, 20 Kg, 25 Kg, etc ANDsize (L+H+W) 60 cm, 90 cm, 120 cm. 150 cm. etc Why weight AND size? It is fair charging scheme. So that light but large item will cost more in delivery fee. Got FREE delivery meh?
You don't think it is necessary to think and plan ahead financially. May be you haven't live through real hard time of your life yet. GFC was no where near the suffering of retail investors in AFC where Government hasn't learnt the hard lesson to ring fence retail investors from their Greed. CPFIS fund all hooted tua tua into the stock market. Why gave chance? Read? Don't Laugh At Ants When They Looked Far Ahead Of Their Time
Uncle8888 learnt something new while waiting for his bus arrival at the bus stop. When the bus stopped; one senior woman came down from the bus first and then help her mother/mother-in-law who slowly get down from the bus with her walking stick. Once the old lady was firmly on the ground; she pointed to LongKang. Slowly; the senior woman guided the old lady to the LongKang. The old lady held on the LongKang's railing and seen to be enjoying the moment looking at the LongKang. Both women chatted and then the senior woman pointed down the LongKang (probably at some fishes) and old lady seen to be delighted.
After a while; the senior woman walked back some distance and took her out handphone to snap some pictures and video shots at the old lady.
Simple pleasure by looking at LongKang and LongKang's fishes and that moment of pleasure by old lady is worth capturing! Yeap. The Government is doing it right with beautifying our water way (Long Kang) program for simple pleasure especially for those older folks. Thumb up!
After 40 years (Aug 1977 to Jul 2017); first time Uncle8888 went to Hougang Polyclinics to seek medical consultation for persistent cough and running nose after finishing those leftover medicines from the last consultation with his company's doctor. He booked 9.30 AM slot; arrived at 9:13 AM and left at 10:25 AM. It is about one hour and cost after govt subsidy is $17.10 Affordable!
Some "retired" from their full-time employment to become SAHM or SAHD e.g. Auntie8888. After all her children are grown up; the house is seldom messy that requires lots of cleaning effort so she had too much free time and try to keep herself occupied with more gardening. But; staying in high-rise HDB flat; there is limitation on the scale of gardening she can do. How much more time can you spent on gardening? So what next? She took up part-time job as assistant teacher for 22.5 Hours Work Week (Mon, Wed, and Fri) and that is why you can lim kopi with Uncle8888 on evening of Mon, Wed and Fri) LOL!
In investing or trading; most of us are likely to be guided or steered by our own good and bad personal, family or close relatives investing or trading experience; and then we MAY remind ourselves what to avoid. Generally; it is better to regret NOT making more then to feel sorry about losing it back all and more. So Uncle8888 doing 守株待兔 as he is strong believer in market timing based on his own investing experience. There are the same stock and corporation riding the market and economic cycle of Boom and Doom and the investment outcome year after year over past decade is drastically different. It is NOT easy for him to escape from self-trapping into this investing bias.
So he may be foolish? Will History repeat itself and allow him to pick up the next batch of multi-bagger yield stocks? He is betting it by doing守株待兔!
How many investment bloggers specifically are telling you this? 4% to 5% yield from the stock market is not difficult to achieve so what is left for you as retail investors to perform well in next decades or more! In investing; your account size really matters - CW8888 It is so simple!
You either earn and save more or leverage higher to reach that level of desired "passive" income.
9 months from full-time job as employee since Oct 2016 into the next phase of retirement/decumulation life journey without drastic down-grading of last few years of lifestyle. Looking at 24 months moving averages; there is insignificant saving from cutting down of personal expenses during work-days tea breaks and frequent more costly TGIF lunches.
I am 60+ yrs old uncle living in HDB heartland who has retired @ 60 on 30 Sep 2016.
I have been doing long-term investing and short-term trading in Singapore stock market only since Jan 2000 and now becoming full-time retail investor. So I am that Panda or Koala in the investment world; but I am still surviving well in the wild.
I have two sons and one daughter; two working adult children and the youngest son is currently in his 1st year SUTD.
I am currently executing my Three Taps solution model to maintain sustainable retirement income for life till 2038
Last updated: 16 Oct 2016
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