To Sell or Not To Sell??? (3)

 Read? To Sell or Not To Sell??? (2)


What if Uncle8888 has sold them at 2007 Peak stock price for his top 3 best?

Mixed or Not exactly right or wrong.

Sell or Not to sell?

The Myth Of The Bell Curve: Look For The Hyper-Performers (3)

Read? The (In)Sanity about the Bellcurve System


Read? The Myth Of The Bell Curve: Look For The Hyper-Performers (2)

This is Hard Truth for every older worker who is under the Bell Curve system.

 Most of the older human assets will eventually lose out one day to their younger peers.

That is why! 

We MUST eventually switch over to our financial assets to continue our life journey to beat this Bell-curve system.


Read? Horse, Cow, and Pig (Re-posted)

Uncle8888 has also discovered one advantage of this Bell Curve system. We are likely to benefit more from this system as office Pigs when we are no longer looking forward to our year-end bonus as incentives since our passive income is far more than our bonus.





 

To Sell or Not To Sell??? (2)

 Read? To Sell or Not To Sell???


How NOT to sell and still meet our price target to sell?

Uncle8888 has done many times. It is not too difficult to do it.

We can have our cake and eat it too. We can hold winning stocks for that long and still be selling "them" quite often too.

A Value Investor in mind and Trader at heart? It shouldn't be mutually exclusive.

When do Uncle8888 sell?

Yes and No.

So cheem again?

Oil tops $60 for first time in 2015, industry spending cuts support

CNBC


 

Getty Images

 

Pumpjacks operated by XX pump petroleum from the ground on September 23, 2014 near Ruehlermoor, Germany.

 

Oil rose above $60 a barrel on Friday for the first time this year, bringing its gain this week to almost 4 percent, supported by signs that deeper industry spending cuts may curb excess supply.


Also supporting oil, growth in Germany's gross domestic product beat expectations, as did plans for a meeting between Greek officials and creditors. Euro zone GDP data is due later on Friday.

Read MoreShiller warns bond investors: Beware of 'crash'!

The price of Brent crude collapsed from $115 in June to $45.19, the lowest in almost six years, in January due to oversupply. Since January, mounting signs of lower industry spending have helped prices move higher.


Apache Corp, a top U.S. shale oil producer, said on Thursday it would cut capital spending and its rig count in 2015 following the price collapse, keeping its output growth mostly flat. 

Brent for April delivery was up 76 cents at $60.04, after briefly gaining more than $1. The March contract expired overnight. U.S. crude was up 61 cents at $51.82.

"During the last weeks, crude oil rebounded driven by improved market sentiment and by expectations that low prices will lead to lower supply growth in 2015," said Daniela Corsini, analyst at Intesa Sanpaolo, in a report.

Read MoreThe looming threat to American oil output


Besides Apache's update, Royal Dutch Shell's chief executive said on Thursday supply might not be able to keep up with growing demand as companies reduce budgets, and France's Total announced investment and job cuts.


Still, analysts at JBC Energy in Vienna pointed out in reference to Apache's moves that spending cuts can easily be reversed.


"While the company expects North American onshore production to be flat this year, they emphasize their flexibility to come back very quickly if the price environment or the cost structure changes sufficiently," JBC said.


"This is generally what makes most people doubt that the latest rally can be sustained."


A weaker U.S. dollar, which makes dollar-denominated commodities cheaper for holders of other currencies, has also supported oil this week, analysts say.

To Sell or Not To Sell???

To buy is not difficult. 

We just need to accumulate enough spare money. We will buy!


To sell or Not to sell?

This is a very difficult decision to be made by retail investors. 


Don't believe? Ask those veterans.

We often either hold on for too long or sell too early.

So how?

As long-term retail investors, we may need to instil in ourselves some selling habits and NOT selling habits too.

So cheem!!!


Think about it?



Got model answers?


 

87,900 households have rented out their flats or rooms

SINGAPORE: As at Jan 31, 87,900 households have rented out their flat, or one or more rooms. Ninety-two per cent of these are Singaporean households, while the remaining 8 per cent are owned by permanent residents. Since January 2013, the Housing Development Board (HDB) has disallowed permanent residents from subletting their entire flats.

These figures were given by Minister of State for National Development Maliki Osman in Parliament on Thursday (Feb 12), in response to questions by MP for Hougang, Png Eng Huat, on HDB flat rentals. 

Mr Png had also asked how HDB would ensure that flats are properly rented out, and that the number of occupants and tenancy lengths were also within legal limits.

Dr Maliki said: "Every lessee of the flat knows the regulations and as they are subletting the rooms, they are supposed to register the number of tenants that they have in their rooms. HDB monitors that quite closely. 

We also require the help of local grassroots to let us know should the tenancy breach the agreement set out by the HDB ... so that we can continue to enforce when necessary."  

- CNA/ms

Sembcorp to Acquire a Renewable Energy Company in India with a Wind and Solar Portfolio

– A major step in Sembcorp’s strategy to grow its renewable energy business and capabilities

– Driving growth with a balanced portfolio of thermal and renewable energy assets

Sembcorp Industries (Sembcorp) today announces that its wholly-owned subsidiary, Sembcorp Utilities, has signed agreements to acquire a 60% stake in Green Infra, a renewable energy company in India with a wind and solar portfolio. This acquisition marks Sembcorp’s entry into India’s attractive renewable energy market, and is a major step in the company’s strategy to grow its renewable energy business.

Sembcorp signed a shareholders agreement and a share purchase agreement with IDFC Private Equity Fund II and IDFC Private Equity Fund III, to invest in a 60% stake in Green Infra for Rs 10.6 billion (approximately S$227 million). The investment will be held through Sembcorp Renewables, a wholly-owned subsidiary of Sembcorp Utilities.

IDFC Private Equity Fund III, which is managed by IDFC Alternatives, will continue to hold the remaining 40% stake in Green Infra. IDFC Alternatives is indirectly wholly-owned by IDFC Limited, which is listed on the Mumbai Stock Exchange and is 16.4% owned by the government of India.

Tang Kin Fei, Sembcorp Group President & CEO, said, “This acquisition will provide Sembcorp with a platform to grow our renewable energy business. Green Infra’s strong capabilities and experienced team will help to accelerate our growth in the renewable energy sector not only in India, but globally. Meanwhile, with investments in both thermal and renewable energy, Sembcorp is well-positioned for growth in the energy sector with a balanced portfolio of energy assets.”

One of the leading renewable energy groups in India, Green Infra adds to Sembcorp a sizable 516-megawatt operating asset portfolio. It also holds assets under development that will bring its total installed power capacity to 700 megawatts by 2015. Comprising 665 megawatts of wind and 35 megawatts of solar assets in operation and under development, and located in six renewable resource-rich states in the southern, western and central regions of India, Green Infra’s portfolio will almost triple Sembcorp’s current renewable energy generation capacity globally to over 1,000 megawatts. The acquisition will also provide Sembcorp with solar power capabilities, and broadens the technology footprint of Sembcorp’s current renewable energy portfolio beyond wind, biomass and energy-from-waste.

The major part of Green Infra’s electricity output is sold under long-term power purchase agreements with India’s state electricity boards, while the remaining output is sold under long-term contracts with commercial customers. In addition, Green Infra has identified a strong pipeline of new projects to underpin its future growth.

The Rs 10.6 billion (approximately S$227 million) acquisition cost will be funded through a mixture of internally generated funds and debt financing. Completion of the transaction is expected by the end of the month.

The acquisition is not expected to have a material impact on the earnings per share and net asset value per share of Sembcorp Industries for the financial year ending December 31, 2015.

- END -

Investing CPF funds to provide adequate retirement funding???

Read? THE REALISED PROFITS/LOSSES FOR INVESTMENTS HELD UNDER CPFIS-OA FOR THE FINANCIAL YEAR ENDED 30 SEPTEMBER 2014



About 358,000 members in FY 2014 (40% of total CPFIS-OA investors) made realised losses, 2 percentage-points improvement compared to about 374,700 members (42% of total CPFIS-OA investors) in FY 2013.
 


You can see that so many members were losing their hard earned money!

But, your friendly remisiers are recommending for these members to lose even more money.

KNS!

 

Where Is The Real Issue With CPF For Retirement Income For Life??? (2)

Read? Where Is The Real Issue With CPF For Retirement Income For Life???


Your CPF Investment Account as War Chest of last resort?


Uncle8888 rarely touches his CPF Investment Account. When he did, see what happen after that ...

$386M allegedly missing, as investors fear bitcoin Ponzi

 
 CNBC

Hong Kong-based bitcoin exchange MyCoin has allegedly shut its doors and stolen HKD 3 billion ($386.9 million) in the process. 

The South China Morning Post reported Monday that 30 MyCoin clients approached a local lawmaker with complaints that the company had fled with funds from up to 3,000 investors. 

The reports coming out of Hong Kong would seem to indicate that there may have been a Ponzi scheme at play. 

"No one seems to know who is behind this," a woman surnamed Lau, who said she lost HKD 1.3 million, told the paper. "Everyone says they, too, are victims … but we were told by those at higher tiers [of the scheme] that we can get our money back if we find more new clients."


One warning sign of a pending collapse could have been that when the company changed its trading rules to bar people from exchanging all of their bitcoins unless they solicited new investors for the firm. 

As bitcoin-focused site CoinDesk reasons, the incident may lead to new regulations for the cryptocurrency industry in Hong Kong, "which has so far operated with little scrutiny." 

According to the SCMP, MyCoin had hosted events at luxury hotels and a roadshow in Macau in 2014. 

MyCoin did not immediately return a request for comment.

DBS' full-year net profit rose 10 per cent to hit a record S$4.05 billion,

 CW8888:  Read? Your Own Personal Investment Return that matters!!!


DBS full year dividend is at $0.58 and that will translate to Uncle8888's personal yield on investment cost @ 7.7%.

7.7% is a decent yield but nothing to shout about. It is unlike Keppel Corp's Yield of dreams of  36.5% in FY 2014 full year dividend of $0.48

The Moral of Story ...

Is your own personal investment return worth the long and patient wait?



Read?  Yield of dreams: Investors have "a once in a lifetime opportunity" in blue chips (4)
 
 -------------

SINGAPORE: DBS Group Holdings posted a 4 per cent rise in fourth-quarter net profit and notched record full-year earnings.

Net profit for the October-December period came to S$838 million, below an average forecast of S$931 million from six analysts polled by Reuters.

That compares with a net profit before exceptional items of S$802 million in the same period a year earlier. In the previous year, the sale of a stake in a Philippine bank boosted overall net profit to S$973 million.

Bad debt provisions rose 40 per cent to S$211 million, while trading income dropped 44 per cent with the bank blaming less favourable trading conditions.

DBS' full-year net profit rose 10 per cent to hit a record S$4.05 billion, the bank said.

- Reuters

 

 

 
 

Shocking Discovery On My ILP. This is timeless blog post since ILP will be around for a long time! (2)

Read? Shocking Discovery On My ILP. This is timeless blog post since ILP will be around for a long time!

Words are not always helpful! 

How about a picture?

You still don't understand?

Keppel, Sembcorp Marine refute bribery allegations

Companies separately deny paying bribes to Brazil's scandal-plagued oil giant Petrobras

By

Joyce Hooi


KEPPEL Corporation and Sembcorp Marine have separately refuted claims of bribery in Brazil involving scandal-plagued oil giant Petrobras.

Last week, the Brazilian media reported claims that Keppel FELS and a firm referred to as "Jurong" had paid bribes to Petrobras directors and PT, which stands for Partido dos Trabalhadores, and is also known as Brazil's Workers' Party.

When contacted yesterday, Keppel said: "We refute allegations made in the media reports on Keppel FELS' involvement in the scandal surrounding Petrobras." Keppel FELS is a wholly-owned subsidiary of Keppel Offshore & Marine.


"We would like to emphasise that Keppel Group has a code of conduct which prohibits, among others, bribery and corruption. Our employees are required to conduct themselves with integrity, in an ethical and proper manner, and in compliance with the applicable laws and regulations of the countries in which we operate, including anti-bribery laws," the conglomerate added.

Sembcorp Marine, whose shipyard in Brazil - Estaleiro Jurong Aracruz - had also been mentioned in the media reports, said: "Sembcorp Marine did not make any illegal payments and the group's policies and contracts prohibit bribery and unethical behaviour."

The bribery claims come from statements made by Pedro Barusco, a former executive at Petrobras's engineering and services division.

These statements have emerged as part of the latest development in Operation "Lava Jato" or Operation Car Wash - the investigation that the Brazilian authorities have been carrying out on money-laundering and corruption schemes involving the state-run oil company.

Last week, the CEO of Petrobras and five of the company's senior executives were forced to resign, as it emerged that the group had lost up to US$33 billion in 2014 because of corruption and inefficiency.

In its response to a query by The Business Times, Keppel noted that Zwi Skornicki - an individual mentioned in reports as representing Keppel in discussions about the alleged payments - is an employee of Eagle do Brasil, which is the agent of Keppel FELS in Brazil.

"Keppel FELS had conducted due diligence review of Eagle do Brasil and Zwi Skornicki. Further, the agency agreement with Eagle do Brasil categorically states that Eagle do Brasil and Zwi Skornicki "shall not make, either directly or indirectly, any improper payment of money or anything of value to an Official in connection with the contract,'" Keppel said.

"In addition, Eagle do Brasil's services are not exclusive to Keppel FELS, and it is also an agent to other reputable multinational companies."

Keppel also clarified that it makes "various contributions in Brazil, which include social welfare programmes, community activities and political donations".

"All of our various contributions are made according to and within local laws and regulations, which are documented in the respective companies' records and audits," it said.

5 ways to a happier (financial) life

By Jonathan Clements

Read?  5 ways to a happier (financial) life


 Best way to spend money: Experiences


I believe money can buy happiness, but you have to spend with care. My advice: Use your spare cash for experiences, not possessions. Pay for the family vacation. Go to a concert. Head out to dinner with friends. 

This will strike many as counterintuitive. Possessions seem appealing, because they have lasting value, while experiences leave us with nothing tangible. 

But this is also the reason experiences can bring more happiness: We have not only the event itself, but also the anticipation before and the fond memories after—and those memories aren’t soiled by the messy reality of some object that gets dirty, breaks down and is eventually discarded.


Top financial goal: Not working for money
 
Unless you have enough saved for retirement, you need an income. 

But if possible, never work just for a paycheck. I believe the keys to a fulfilling life are spending our days doing what we’re passionate about and our evenings with friends and family.

Problem is, the career that makes us happy in our 20s may not be satisfying in our 40s—and the new career we want to pursue may not be as lucrative. What to do? 

Avoid the acquisition treadmill of bigger homes and better cars, and instead save like crazy in your 20s and 30s. Do that, and you could buy yourself the freedom to spend the rest of your life on your terms, rather than one dictated by car leases, credit-card bills and mortgage payments.

Why No Commercial Ads Here???

Some folks may think that by clicking some commercial ads they are indirectly paying bloggers to write posts to meet their reading expectations or pleasure. They don't like to waste their time reading "nonsense" or non-pleasing personal preference articles.

Here. Happy you come. Not happy you can go away as Uncle888 doesn't earn any revenue from viewership. It is just that simple.


Same as seeking financial independence here. 

Happy. Work!

Not happy. Can afford to quit!

OPEC is to blame for the oil swoon: BIS

CNBC



The price of crude oil has fallen roughly 60 percent since mid-2014, which has largely been put down to worries of a global glut of crude, coupled with dwindling consumption.

But after four years of Brent crude remaining relatively stable at $100 per barrel, changes in production and consumption "fall short of a fully satisfactory explanation" for the abrupt collapse in oil prices, a new report has found.


Instead, the Bank for International Standards (BIS) blames the decision taken by the Organization of the Petroleum Exporting Countries (OPEC) at a November meeting to focus on market share, rather than cutting output, for the collapse in the oil price.

A report from the BIS, the global forum for central banks, published Saturday said the last two episodes of comparable oil price declines were seen in 1996 and 2008 and were associated with sizeable reductions of oil consumption and, in 1996, with a significant expansion of production.


"This seems to be in stark contrast to developments since mid-2014, during which time oil production has been close to prior expectations and oil consumption has been only a little weaker than forecast," the bank said.


"Rather, the steepness of the price decline and very large day-to-day price changes are reminiscent of a financial asset. As with other financial assets, movements in the price of oil are driven by changes in expectations about future market conditions. In this respect, the recent OPEC decision not to cut production has been key to the fall in the oil price," the group said.

The finance minister of top OPEC exporter Saudi Arabia told CNBC this week that the country will continue to dip into its cash reserves and use its ability to borrow to temper the ongoing storm in oil markets. Ibrahim Abdulaziz Al-Assaf said Saudia Arabia had been preparing for a period of cheap oil. 


"We have learned from the past…obviously the oil market, everybody knows, goes through ups and downs and peaks and valleys," he said on Thursday.

"We have the resources…we (have) built the buffers to help us in sustaining our policies and not disrupting them so I am comfortable that we will be able to continue that," Al-Assaf said. 

But OPEC are not the only culprits. The BIS said the substantial increase in debt borne by the oil sector in recent years was also a major factor in exacerbating the oil price. 


The willingness of investors to lend against oil reserves has enabled oil firms to borrow large amounts, while energy companies have issued substantial amounts of investment-grade and high-yield bonds, the BIS said.

"Against this background of high debt, a fall in the price of oil weakens the balance sheets of producers and tightens credit conditions, potentially exacerbating the price drop as a result of sales of oil assets," the bank said. 

"The build-up of debt in the oil sector is a reminder that high debt levels can induce significant macro-financial interactions. Such interactions need to be understood better in order fully to appreciate the macroeconomic impact of falling oil prices," they added.

Your Own Personal Investment Return that matters!!!

Read? My Mental Model for Comparing Investment Assets

Quote from the above post : "It’s a good feeling to know that we made good sound decisions in the past. Certainly these examples show astute investment evaluation."


The future will become our past when we look farther from the future.

Most of us as retail investors who started not too late may have 1 to 3 chances once in our lifetime opportunities to make real impact to our investment return over long run.

This is something either younger investors find out themselves when they are older or understand it from the veterans who have celebrated or regretted.


Less Analyzing. More Investing - Createweath8888

DBS : Coming next week???

Who are you and Where you were??? (5)

Read? Who are you and Where you were??? (4)


How to reduce your forward stress over future volatile markets?

First we must understand this wealth formula:

Wealth = Asset Value + Cash Flow


Asset Value is NOT within our control; we have to accept whatever asset value Mr. Market says so; but the level of cash flow can be managed by us within certain level of comfort to meet our needs and stretch our wants.




Who are you? Younger or older

Where you were? How are you doing with your spare money?
 

Uncle8888 can forecast how badly he will be hit in the future and he is preparing for it. 



Where you want to be? Create wealth or Receive sustainable income for life?

When we depend too much on it; we will by nature feel more painful when it is lost. But, when we can move farther away from this dependency; we will likely to feel less painful and less stressful over difficult times.

This is what Uncle8888 trying to achieve before reaching his 60th birthday.





 

 

Where Is The Real Issue With CPF For Retirement Income For Life???

Earning not enough?

Saving not enough?

Investing not enough?

Investment return not enough?

Where is the real issue with CPF as retirement income for life?


We have MediSave, EduSave, and NTUC has proposed SkillSave.

How about Government provide every Singaporean with InvestSave account when they are born and to be managed by CPF/Fund Manager?

Let this InvestSave compound for 65 yrs!!!

Every Singaporean can retire?

Right?

How much did local oil and gas workers earn last year?

Singapore Business Review 



They got over twice the average wage.

In spite of the oil rout, workers in Singapore’s oil and gas sector still received an average salary of over $118,000 (US$88,488) in 2014, a report by recruiting firm Hays Oil & Gas revealed.

This is over twice the yearly average wage for full-time employed residents in 2014, which the Ministry of Manpower estimates to be about $45,240. 38% of workers in the industry were locals, while 62% were expatriates.

The report also showed that 80% of the sector’s employees received benefits last year, the highest in Asia Pacific.

The most common benefits were bonuses, which were awarded to 51% of employees. 39% of workers had health plans, while 28% had transport allowances. 27% were given extra training while 18% had home leave allowance.

Who are you and Where you were??? (4)

 Read? Who are you and Where you were??? (3) 


Concentrate to less than 20 stocks or Diversify into at least 30 stocks?


"It's not whether you're right or wrong that's important, but how much money you make when you're right and how much you lose when you're wrong." ~ George Soros



Uncle8888 thinks there is no right Method.

Who are you?

Where you were? 

When your stocks turned against you and Mr. Market showed you who is the real Master. Your analysis has not been right!


Do you cut losses when you're wrong?


Your honest answer to yourself will tell you exactly what to  do.


Concentrate to less than 20 stocks or Diversify into at least 30 or more  stocks?


Read? Uncle8888, how do you find multi-bagger stock?

Reaching Financial Independence??? (2)

 Read? Reaching Financial Independence???


Uncle8888's peers have to thank him as they have one less competitor for bigger year end bonus!

Downside of financial independence?

Smaller year end bonus as a Pig!
 

 

Oil erases losses for 2015 as majors take action

The price of oil continued its rally Tuesday, with producers announcing spending cuts which added to a slew of positive factors helping to drive the commodity higher.

U.S. crude prices climbed about $1.5 a barrel on Tuesday morning and was trading above $51 a barrel by 10:30 a.m GMT. Brent crude for March delivery opened at $55 a barrel and had risen to $56.53 a barrel by the same time. Both have seen gains of around 3 percent in morning trade and have climbed around 16 percent since Friday.

It came as BP CEO Bob Dudley told CNBC Tuesday that the number of U.S. shale rigs was "dropping like a stone," but added that it would be a while before excess supply worked its way out of the market.

"The really good parts of the shale (industry) can sustain $30, but those that are around the fringes of that, they're going to struggle. I think we'll see eventually…(the number) flatten out and then drop."

Oil has seen a few sessions of firmer prices, with both benchmarks now erasing the losses they have seen to date in 2015.

The dramatic fall in the price of oil - which tanked as much as 60 percent from mid-June - has been due to weak demand, a strong dollar and booming U.S. oil production, according to the International Energy Agency (IEA).

DBS : Getting Interesting???

Reason For Buying Stocks???

Just For Laugh ....

FA, TA, PA, Value investing, CNAV,  blah blah.....



Why are we finding all sort of reasons to justify our buying?



The only valid reason we buy stocks or short them is we think we will make money. No meh?

THE REALISED PROFITS/LOSSES FOR INVESTMENTS HELD UNDER CPFIS-OA FOR THE FINANCIAL YEAR ENDED 30 SEPTEMBER 2014

Source: CPF

Realised profits/losses are profits and losses of CPF investors(1) who have sold their CPFIS-OA investments during the reporting period. 

The total number of CPFIS-OA investors who sold their investments increased slightly from 898,600 in FY 2013 to 902,300 in FY 2014. CPFIS-OA investors performed slightly better in FY 2014 relative to FY 2013.

For FY 2014, about 140,200 members (15% of the total CPFIS-OA investors in FY 2014) made net realised profits(2) in excess of the OA interest rate of 2.5%(3), compared to 138,400 members (15% of total CPFIS-OA investors in FY 2013) in FY 2013.

The number of members who made realised profits equal to or less than OA rate increased to 404,000 members in FY 2014 (45% of total CPFIS-OA investors) from 385,500 members (43%) in FY 2013.

About 358,000 members in FY 2014 (40% of total CPFIS-OA investors) made realised losses, 2 percentage-points improvement compared to about 374,700 members (42% of total CPFIS-OA investors) in FY 2013.






The details are summarized in the pie charts below:


CW8888: We can see that only 15% of CPF members made more than 2.5% for past two years. This data has showed us that 2.5% investment return is not that easy to beat.
 

(1) This also includes members who have active investment accounts during the reporting period. These members may have received dividends, interest and coupon payments or incurred expenses during the reporting period.

(2) The realised profit figure is after expenses such as investment transaction charges and agent banks’ service charges.

(3) The prevailing CPF interest rate of 2.5%, which is computed monthly and compounded annually, is applied to the net amount of CPF savings withdrawn for investments, which includes investment instruments which were still being held as at 30 September 2014 (eg. insurance policies and bank deposits which have not reached maturity, and shares and unit trusts which have not been sold). 

However, the interest is calculated only for the current financial year.

Your CPF Investment Account : Uncle8888's foolish advice again!!! (4)

Read? Your CPF Investment Account : Uncle8888's foolish advice again!!! (3)


Read? Realistic ways to raise CPF returns

CPF Investment Scheme

CURRENTLY, CPF members who are willing to take risks to earn a higher return on the CPF savings can invest their money through the CPF Investment Scheme (CPFIS). This scheme allows them to invest part of their savings in a wide variety of financial instruments that could potentially earn a higher yield than the default CPF interest rates.

While the CPFIS is open to all members, the 2008 study found that only 12 per cent of Ordinary Account (OA) savings and 20 per cent of Special Account (SA) savings were committed to investment. These statistics indicate that the participation rate in CPFIS is low.

Possible reasons for leaving money in the SA include the relatively high guaranteed annual interest rate of 4 per cent, and an unwillingness to risk retirement savings. However, these may not be the only reasons. The research indicated that the reasons for the low investment in professionally managed unit trusts also include poor investment performance, the high fees and transaction costs charged by funds, and a lack of financial literacy on the part of CPF members.

So far, those CPF members who have risked their savings have not done very well. Almost half of CPFIS-OA investors (47 per cent) incurred losses on their investments between 2004 and 2013, while 35 per cent obtained net profits equal to or less than the default OA rate of 2.5 per cent. Only 18 per cent made net profits in excess of the OA interest rate.

Do you know why Uncle8888 keep telling you to keep your itchy hands off your CPF Investment Account?

See for yourself!

Create wealth with your CPF investment account and NOT destory your future retirement fund. Your Future You will hate or love you!

CPF Investment Scheme
CURRENTLY, CPF members who are willing to take risks to earn a higher return on the CPF savings can invest their money through the CPF Investment Scheme (CPFIS). This scheme allows them to invest part of their savings in a wide variety of financial instruments that could potentially earn a higher yield than the default CPF interest rates.
While the CPFIS is open to all members, the 2008 study found that only 12 per cent of Ordinary Account (OA) savings and 20 per cent of Special Account (SA) savings were committed to investment. These statistics indicate that the participation rate in CPFIS is low.
Possible reasons for leaving money in the SA include the relatively high guaranteed annual interest rate of 4 per cent, and an unwillingness to risk retirement savings. However, these may not be the only reasons. The research indicated that the reasons for the low investment in professionally managed unit trusts also include poor investment performance, the high fees and transaction costs charged by funds, and a lack of financial literacy on the part of CPF members.
So far, those CPF members who have risked their savings have not done very well. Almost half of CPFIS-OA investors (47 per cent) incurred losses on their investments between 2004 and 2013, while 35 per cent obtained net profits equal to or less than the default OA rate of 2.5 per cent. Only 18 per cent made net profits in excess of the OA interest rate.
- See more at: http://www.straitstimes.com/news/opinion/more-opinion-stories/story/realistic-ways-raise-cpf-returns-20140530#sthash.92wUxidE.dpuf

Tracking Our Annual Living Expenses???

Read? Tracking Annual Living Expenses and Doing Annual Budgetting Exercise???

This year, 2015 will be full year that Uncle8888 doesn't have to support any of his three children. His youngest son now supports himself with his NS allowance.


Children no more eat money for this year!

Your CPF Investment Account : Uncle8888's foolish advice again!!! (3)

Read? Your CPF Investment Account : Uncle8888's foolish advice again!!! (2)


Real People. Real Thing Happening!


Someone WhatsApp Uncle8888 and you see his reply to him.
 

 























We are not lacking in knowledge and skills (i.e. Method) for investing but lacking in patience and discipline (Money and Mind)




Read? Multi-baggers (2)


Patiently collect 2.5% CAGR in your CPF Investment Account while waiting for once or twice in your lifetime opportunity in your investing journey for Peter Lych's wisdom to come true especially for you!




 


No?

Cost of outsourcing your investment e.g. STI ETF (3) - Reposting

Really low cost expenses? Think again!

Read? Cost of outsourcing your investment e.g. STI ETF (3)

Your CPF Investment Account : Uncle8888's foolish advice again!!! (2)

Read? Your CPF Investment Account : Uncle8888's foolish advice again!!!


"It's not whether you're right or wrong that's important, but how much money you make when you're right and how much you lose when you're wrong." ~ George Soros






Why you shouldn't anyhow touch your CPF Investment Account?

Why Uncle8888 say so?

See for yourself!