Our Goal is to help 1 million people reach S$1 million

[Dennis Ng]

Government just released the lastest median household income in Singapore, now about S$7,037, and increased from S$5,362 in year 2007, or increase of 31%, which seems "good".

Median Household Income
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
4716 4590 4612 4552 4831 4952 5362 6100 6006 6342 7037

However, looking at prices of suburban condos, in year 2007, Casa Merah at Tanah Merah was launched at S$600 psf, now a typical suburban condo is S$1,200 psf, or increased by 100% in the same time period. So it is true when I comment in seminars that people in Singapore are actually getting poorer and poorer without them realising it. A person with just 1 house does NOT benefit from rise in property prices, since if sell at high prices, also buy at high prices, NET, no gains.

Imagine, if 5 years ago, your home cost S$500,000, now the same sized home costs S$1,000,000. If you sell the house you bought at S$500,000 for S$1 million, if you buy back a similar home, it would cost you S$1,000,000 as well. Where is the gain? However, if you didn't own a home 5 years ago, when your income was 31% lower, and now you buy a house which cost 100% more, do you gain or lose? Think about it. The increase in your income cannot catch up with "Asset Price Inflation"...you're actually getting Poorer.

On the other hand, the Rich, which typically own more than 1 property, do gain from rise in property prices. I reached my first million dollars 3 years ago at age 39 partly from realised gains in property investments.

This is another reason why the Rich get Richer, while the Poor get Poorer, and that the Rich Poor Divide, if left unattended to, would just get wider and wider. The best way to bridge the Rich Poor Divide is for you to learn how to invest, so that you can become Rich, not any other way. Think about it. If you want to help the poor, firstly, do not be Poor, becos one more person who is poor, means each poor would get even less.

I have a simple plan. Help to educate the middle class so that you can become Rich. And then together with all these New Rich (who were once middleclass, well, I was one of them too), we will together be able to do more for the less fortunate in the society, to empower the Poor to elevate themselves from Poor. Would you like to help in this "simple plan' to narrow the Rich Poor Divide? if you want, I can teach you how to invest so that you can become Rich.

[positive7]

Of course we want to know the trick. Show us the way please!

[Dennis Ng]

Of course we want to know the trick. Show us the way please!

What I teach in my 3 seminars enabled me to reach multi-millionaire status. Nothing is hidden from you, the seminar graduates.

Question is how much have you learned and grasped from what is being taught? And how much have you applied from what you learned?

Knowledge is only potential power. It only becomes power when applied.

I have even shared FREELY on facebook and this forum and my seminar the Formula for Wealth. If you apply the formula for wealth, you'll get wealthier.

Why even when the formula for wealth is shared so few people apply the formula? I don't know.

I think like what Cantonese say, "you can bring the cow to the water, but the cow must still drink the water itself."

[Dennis Ng]

Now the public can find out more about us on streetdirectory.com as well:

http://www.streetdirectory.com/masteryourfinance/

[positive7]

Thank you for taking the time to reply on application of knowledge. Indeed since July Seminar: knowledge gained is definitely a yes but I perhaps am not able to a grasp what you have thought and has indeed become slightly worst off monetarily by selling old stocks I have kept. What you have thought may not be rocket science but it will still needs some acumen to understand the application in the area of investment. The 20 percent savings of income is easy to apply. Still learning.

[Dennis Ng]

Thank you for taking the time to reply on application of knowledge. Indeed since July Seminar: knowledge gained is definitely a yes but I perhaps am not able to a grasp what you have thought and has indeed become slightly worst off monetarily by selling old stocks I have kept. What you have thought may not be rocket science but it will still needs some acumen to understand the application in the area of investment. The 20 percent savings of income is easy to apply. Still learning.

Then I suggest you revise the notes, or even come back for revision. Becos if you truly grasp and apply what I taught, reaching Millionaire status is just a matter of time. I took 15 years to do so, so what I teach is not Get Rich Quick, as a person starting with little money, would take some time before can reach one million dollars. (In 1998, after losing half of my wealth, I re-started with about S$50,000 then).

[positive7]

Thanks. Do understand the co-relation. The knowledge gaining platform is definitely there. Am quite a strong advocate of your teachings thus have given away 15 of your latest book to share. Application has always been the next challenge --- due to some constraints parameters of the individual: available cash, ability to apply etc

[Dennis Ng]

Thanks. Do understand the co-relation. The knowledge gaining platform is definitely there. Am quite a strong advocate of your teachings thus have given away 15 of your latest book to share. Application has always been the next challenge --- due to some constraints parameters of the individual: available cash, ability to apply etc

just continue learning. Everyday I remind myself CANI (continuous and never-ending improvement).

[Dennis Ng]

Tzu Chi Foundation Singapore did a write up of our 6th Graduates' Gathering Seminar on 13 Feb 2012. Click below to read:

http://www.tzuchi.org.sg/index.php?opti ... Itemid=690

2012 年2月13日傍晚，在擦肩摩踵的金融市区，五百多名由吴先生授课的历届毕业生聚集在职总大厦，开场环节却是意料之外的《解开心灵的枷锁》分享。

新加坡的生活步伐快、生活水平也高，城市人对名利物欲的追求越来越大，然而生活素质提升了吗？济雨师兄以幽默亲切的言语，与众分享自己从白手起家的企业家，转换人生跑道，成为慈济全职志工的心路历程。

水能载舟亦能覆舟

讲座主办人吴加万先生深信证严上人所言：“善恶拔河，人多的一方会赢。”

身处财经界的他思索，自己授课教人“钱生钱”之余，若没有帮助学员建立正确的人生价值观，是否会会助长人心的贪婪？反之学员若懂得用钱的智慧，不也就是“富中之富”的人吗？

如此一想，吴先生放下“怕不被学员接受”的顾虑，把正在规划的毕业生聚会暨讲座活动，拨出四十分钟来说慈济，也希望借此人间菩萨大招生。他说：“对的事，做就对了。”

“除了捐款，我还能为慈济做些什么？”

新加坡知名财务规划师吴加万先生一年多前从台湾友人林伟贤老师那里听闻慈济，2011年11月赴台湾参加慈济实业家静思生活营，深受证严上人慈悲大爱精神的感召，也更了解慈济在全球的志业足迹，当下就发愿要捐荣董。

回国后，吴先生联络上慈济新加坡分会实联会总召集人沈喜洲师兄，圆满荣董心愿。他更决定在自家公司主办的财经聚会中，安排四十分钟的“特备环节”，诚邀慈济新加坡分会执行长刘济雨师兄与来宾们分享慈济心得感悟。

太太一句“一个企业家，如果在一年当中，抽不出十天去做有意义的事情，他的企业是失败的。”将济雨师兄成功“设计”进入慈济，让他体悟到“得遇明师、增长慧命”才是人生的一大事因缘。

其实钻研理财无非是追求银行存款数目后面“那几个零”，然而再多的零也不及“零前面那个一”。“一”是生命中更重要的东西，就好比健康、智慧和喜悦，都是金钱买不到的。

有的人很有钱，但一毛不拔；有智慧的人懂得回馈社会、利益人群，这才是“富有爱心的富人”，即“富中之富”。在先进社会中，很多人受困于忙碌的生活，不知为何而忙，回头一看才发现空忙一场、虚度一生！名利如过眼云烟，真正的幸福快乐需从内心探寻。

“会赚钱只是徒弟，会用钱才是师父。”财富不是枷锁，济雨师兄这一席感悟分享，盼为与会者拨开心灵迷雾，善用财富于人群中，而这种回馈社会的心境才是幸福的人生。

“以前我认为，一个人努力经营事业，好不容易赚了一点钱，如果还不会好好享福，这种人不如死掉算了！”如今济雨师兄不再言享乐，反而安于俭朴的生活，因为他发现简单就是美，无止境的物质追求只会招致烦恼重重。

[Dennis Ng]

Accommodation and Transport are 2 key items of expenditure for most families. How can we strip out these 2 factors in calculating inflation rate? Even if most people in Singapore own their homes. The fact that property prices are higher means monthly Housing Loan instalment is higher, so indeed the cost of living (whether it is Housing Loan instalment or Rental, if don't buy, need to rent) is higher.

But government tries to argue that since most people don't rent, so they are taking out the rental from calculating core inflation rate. And I would agree with them if I'm not financially literate.

Recently, taxi fares effectively increased by about 25%. How is this factored into the calculation of inflation rate? I have no idea since government does not provide much details on exactly how they calculate inflation rate in Singapore.

Cheers!

Dennis Ng

Published February 24, 2012

S'pore core inflation at 3-year high of 3.5%

It is likely to hover around 3% in next few months due to earlier cost increases

By TEH SHI NING

(SINGAPORE) Even before Budget 2012's measures have had a chance to work their way into higher consumer prices, evidence of pass-through from earlier cost increases, including labour cost hikes, has surfaced in January's inflation data.

Consumer price inflation eased to 4.8 per cent last month from 5.5 per cent in December, but core inflation, which strips out accommodation and private transport costs, soared to a three-year high of 3.5 per cent.

While the authorities have sought to assure that core inflation's spike from December's 2.6 per cent was not unforeseen and largely due to seasonal and base effects, private sector economists say that stubbornly high inflation - both core and headline - leaves the central bank with little room to ease monetary policy at its April review.

The 'alarming jump' in core inflation 'clearly reflects a build-up in underlying cost pressures', said DBS economist Irvin Seah. And 'wage cost pressures from a stricter foreign worker policy are starting to show', said Bank of America Merrill Lynch economist Chua Hak Bin, referring to the further tightening of access to cheaper labour from abroad in the form of cuts to foreign worker quotas at last Friday's Budget announcement.

Core inflation is likely to hover around 3 per cent in the next few months, as 'earlier cost increases, especially in the labour market, could continue to pass through to consumer prices', said the Monetary Authority of Singapore (MAS) and the Ministry of Trade and Industry (MTI) yesterday in what several economists described as a 'hawkish' joint comment.

Headline 'CPI-All Items' inflation is likely to stay 'elevated and volatile' over the next few months too, the statement said.

One driver will be a continued increase in housing rentals as the 'temporary shortage of completed dwellings' pushes imputed rentals on owner-occupied accommodation higher in the near term.

Accommodation costs rose 10 per cent year on year in January, remaining the largest contributor to inflation last month. Of the 4.8 per cent rise in the consumer price index (CPI), 1.8 points came from hikes in the imputed rents of owner-occupied accommodation. Excluding this, the index (CPI-ex OOA) rose a lower 3.5 per cent from a year ago, slowing from a 4.3 per cent increase in December.

Another main culprit, private road transport costs, decelerated to rise 3.1 per cent from last January, when COE premiums had surged. But MAS and MTI expect this category of prices to 'remain high on average in view of the tight COE supply, with fluctuations from month to month', an outlook that Citigroup economist Kit Wei Zheng says is foreshadowed by record high COE premiums at the latest bidding exercise and higher oil prices.

But January's 3.5 per cent jump in core inflation - minus accommodation and private road transport costs - raised the most eyebrows. Explaining that this is 'consistent with expectations', MAS said that the jump from December was due to January 2011's low base after radio and TV license fees were scrapped as well as a seasonal uptick in food prices during Chinese New Year (which fell in February last year).

Of the 0.9 percentage point jump, 0.2 point was attributed to 'continued pass-through of labour cost increases to consumer prices, especially healthcare and education services', the authorities said.

They stuck to the official 2012 forecast for 2.5-3.5 per cent headline inflation and 1.5-2 per cent core inflation. Some private sector economists are, however, now predicting higher headline inflation of closer to 4 per cent.

MAS and MTI said their projections are based on 'some moderation in domestic and external cost pressures in the second half of the year' and may be reviewed if 'underlying price pressures turn out to be more persistent'.

Apart from domestic pressures of rising rentals and wages, Mr Seah believes that inflation may creep higher despite slower growth if oil prices spike on the back of political tensions in the Middle East.

With hints of inflation forecast upgrades ahead and a technical recession unlikely, Mr Kit thinks that yesterday's CPI release 'practically rules out MAS easing in April'. The consensus expectation that MAS will stick to a modest but gradual appreciation of the Singapore dollar is further supported by Budget 2012's contractionary fiscal impulse - since policy makers view the problem as 'too much, not too little, growth', he added

[Dennis Ng]

Hi all,

Just to share an interesting article by Warren Buffett where he shares his views on the various investment assets. Happy reading!

Source: http://finance.fortune.cnn.com/2012/02/ ... er-letter/

Warren Buffett: Why stocks beat gold and bonds

In an adaptation from his upcoming shareholder letter, the Oracle of Omaha explains why equities almost always beat the alternatives over time.

In the long run, equities beat bonds and gold.

I also want to quote Keynes, he said:"The long run is a misleading guide to current affairs. In the long run we are all dead."

http://en.wikiquote.org/wiki/John_Maynard_Keynes

It's silly to Buy and Hold and go through markets ups and downs. Why NOT be a Market Cycle Investor like Dennis? And we buy low near Market troughs and sell high near Market high and repeat the process every few years in each cycle?

I think the returns would be better than a Buy and Hold Investor. If anyone has any doubt, can simple back test this to verify what I said.

Of course, I'm NOT as good as Warren Buffett in stock picking, which is why I don't try to emulate his strategy, becos I think ONLY Warren Buffett can invest like Warren Buffett, others just try but failed, including many who write books and conduct seminars PURPORTING to teach you how Warren Buffett invests.

You must ask yourself this question:"do these people make money from What they Teach You (through books and seminars)? Or do they Make Money Teaching You? I think it is the latter.

I belong to the Former category. I became Rich learning how to invest from multi-millionaire sifus, then began sharing/teaching what helped me reach Millionaire status.

[Dennis Ng]

Key is to buy a property one can comfortably afford.

When both my wife and I bought the HDB Resale flat in 1995, our combined income was S$6,000 a month and S$1,200 per month Housing Loan instalment works out to 20% of our income. I remember I have friends who said I should have bought a condo instead but we calculated and found that buying a condo then would mean us using 40% of our income to service our Housing Loan and we decided to buy what we can comfortably afford.

17 years later, we are still living in this HDB Resale flat while many of our friends have moved house many times. Some of them have managed to pay off their Housing Loan but they have very little other Wealth to speak of. While we choose to continue staying in the HDB resale flat and have over S$3 million and can retire NOW if we want to.

It's really a matter of making our own decisions and choices in life, to me, the most important thing is the House is a Home filled with love and NOT just a House made of concrete with no love. It's NOT how big the house is, it's how much Love there is in a House that matters more.

I was born in a 1 bedroom HDB flat with 5 other brothers and sisters and the 8 of us live in a House with 1 bedroom and 1 toilet. But the house was a home, and that's most important actually. I lived the first 16 years of my life in this 1 bedroom HDB flat and I remember that my dream then was one day if I can live in a bungalow with a swimming pool. Becos when I watch movies and TV, it seems that the Really rich ALL live in bungalows with a swimming pool.

Now that I'm a multi-millionaire, such Material Luxuries NO longer really attracts me. I'm very happy living in a HDB flat as I find that instead of spending my wealth on my own enjoyment, I can actually help a lot more people if I give a part of my wealth to society where there are many people less fortunate and need help. I'm (and my family) are also very happy NOT owning a car as well.

This is why I'm passionate about teaching others to reach Financial Freedom as I think I can help bridge the Rich Poor Divide if I help more middle class become Rich, and these Newly Rich then help the poor and less fortunate in the society...instead of waiting for the government or the Rich to help the Poor. I decide to do and contribute what Little Part I can do and contribute.

I used to think that all I want to do is to take care of my family and myself. Now I realise that the Purpose of Life is about each of us, developing to our Potential and continue to strive for Continuous and Never-Ending Improvement, so that we can contribute our utmost to the society. And the more we contribute to society, the greater value add we provide, the Richer we become. I don't have to focus on making or chasing after money. Making more money is just inevitable and a Natural Consequence of my providing more value to the society.

Frankly, if your income is Low, it only means that you're serving very Few People and/or Giving Very Low Value Add. The KEY to increasing your income is to increase the number of people you serve and the Value Add you provide. As simple as that. The choice is yours to see how you can achieve that.

Cheers!

Dennis Ng

With low interest rate of 2%, my current monthly instalment is only $2,066 for HDB loan of $472,000. However, will need to sell the house when our CFP depleted in 5 years time. We really CANNOT RELAX if interest rate increases to 4% which requires us to service monthly loan instalment of $2,481, additional $10k yearly payment.

Most people struggle to pay their Housing Loan monthly by buying a property they can barely afford, how can they be really relax and happy?

I'm just paying S$1,200 per month for my HDB loan and rather use my Cash to generate returns of easily over 10% a year from investing and thereby getting Richer. While many middle class would try to pay off their Housing Loan ASAP and end up at age 60 with a fully paid house and very little cash and cannot afford to retire...

[Dennis Ng]

Kudos to Alex and James. The materials presented will cost Thousand $ to attend by other seminar outside and may not even come close in terms of informative, indepth and yet very simple to understand.

All the best to our Financial Savvy journey,

Wei Teck

Alex and James, both of you are young and have selflessly shared your knowledge and experience to others!

This is where I personally feel the value of this community. We learn a lot and we improve each other.
Thanks to Dennis who has initiated this movement.

I am sure with this kind of people in this community, together we can achieve the vision
"to help at least 1 Million People Achieve $1 Million... at least"

I believe this forum is an invaluable resource for all the graduates, not only Thousand of $

yes, I personally attend many seminars over the years. What's lacking for most seminars is a community of like-minded learners. So years ago I vow to myself that If I do conduct seminars, I will help build a community of seminar graduates who can continue to learn and share with one another.

I'm so glad that we have many selfless seminar graduates amongst us, who are selfless in sharing their knowledge/experience without asking anything in return. For everyone's information, NONE of the Investing Mentors are paid to share, whether in this forum, or in the monthly Investing Mentoring sessions.

I did it this way also as a test to prove that people are willing to do things without expecting anything in return. And it's so heart warming to see investing mentors stepping up to share when I invited them to over the last few months.

It's my deepest wish that we help to create a Community of Like-minded Individuals who believe in Continuous and Never-Ending Improvement, in learning and sharing and epitomise the Spirit of Selfless Giving...

The next thing I want to start is to have a group of Seminar Graduates who are willing to conduct free Financial Education talks to the society, be it at community centres, libraries, churches or any other public organisations....

The best way to learn is to Share, this is something I discovered myself in my learning journey and even if we do this for free, the Best Reward is knowing that our sharing have benefitted some people in one way or another...and years later, you might have people walking up to you to thank you for a talk (that marks the turning point in their lives, or make a difference in their lives)....this is something I personally experience and I can tell you that no amount of Money or other Reward can equal the feeling to know that we have made a difference to others.

Below is what I wrote when I won the SME1 Asia Award and they asked me to provide my company's Vision and Mission:

MasterYourFinance.com Pte Ltd aims to be the Leading provider of Financial Education seminars/ traininig in Singapore and the region.

Our mission is to help 1,000,000 people achieve S$1 million, at least.

We do not want to be just another seminar provider, but we want to help create a close-knitted community of like-minded people, who are interested in continuous Personal Development and learning, who believe in improving ourselves so that we can contribute more to the society at large.

Our company, MasterYourFinance.com Pte Ltd aims to:
1. inspire and encourage more people to find their Mission and Passion in life and to Pursue their Passion.

2. Be the best they can be in their area of Chosen Field, so that they can Contribute the most to Society.

3. Educate that wealth and Riches and Financial Freedom will definitely come if you are really good at what you do and if you learn how to Grow your Money (savings).

4. share with seminar graduates that when they become Wealthy, then it is time for them to think about what they can do for the less fortunate and the poorest in the Society..

[Dennis Ng]

Hi stanlee,

well, please remember what I really stand for, an average person with an average income, reaching millionaire status by age 39.

My average household income was S$6,000 a month from 1993 to year 2008 and total income earned was S$1.08 million, yet I reached one million dollars in year 2008. How? By just saving 20% of my income (20% x S$6,0000 and growing the savings through investing into stocks and property. In year 2007, my combined income with my wife was only S$6,000 a month, it was even lower in year 2006.

Focus on this.

Also focus on the FACT that our income is determined by the number of people we serve x Value Add we provide.

So the fact that I earned a high income for the last 2 years from seminars the Real Underlying Cause is this Formula : number of people we serve x Value Add we provide. I personally donate more than 10% of my income to charity already, I think asking me to donate out all my income is something easy to ask for but maybe you yourself also cannot do it if it is your turn.

Nowadays, I have actually retired from active management of my 3 businesses, and FULL time spent on learning and sharing my knowledge. I do alot of pro bono work, including writing column for My Paper (fortnightly), Shareinvestment (once a month) and Home Buyer magazine (once in 2 months). I also actively contribute my comments to both the Chinese and English media, including TV, Radio, Newspapers as well, which take up quite alot of my time as well. I conduct FREE public talks at schools, associations and various organisations as well.

I'm not doing anything to gain respect from anyone, just doing my part to contribute to the society. Are you doing your part as well?

You yourself can also increase your income by focusing on increasing the number of people you serve x increasing Value Add.

Stop envying me. Start applying this formula to increase your income. You can do so too. I'm a real life example who has gone from earning S$2,500 a month in year 2001 to saving S$25,000 a month in year 2011.

Ask not what Dennis can do for the society. Ask yourself what you can do for the society instead. All I can tell you is that Dennis is doing all he can to help 1 million people reach one million dollars, with whatever little energy he has left in his body.

He's doing his utmost to inspire, encourage others that they too can reach Financial Freedom with an average income, as he himself has done so.

Hi Dennis,

Actually its hard to convince people when you are making money from your businesses every month, if i remember correctly you mentioned you save about $20k-$30k each month.
This is a lot of money for normal working people like us. Even though you are sincere in teaching and sharing, people will still have doubt on you. esp when we are not making money for whatever reasons.

if you truly want to benefits general public convincingly, may i suggest you to donate out all your net profits from all your businesses. After all you still be able to make money through investment with your current net worth of about $3million. the recent article i read is you can still make about $48million in the next 20 years.

if you can do this, i believe many of us will truly respect you from the bottom of our hearts, and it will definitely attract more people to attend your seminar and support your other 2 businesses..

Do not be mistaken, i'm not against you at all. In fact i have learnt alot from you and will continue to visit and participate in the forum..

rgds,
stanlee

[Dennis Ng]

Good news is, Singaporeans are living longer and we are ranked No. 4 in Top 10 Countries for Human Longevity.

Bad news if you live longer, you also need more money to live. And the sad fact is many people in Singapore only have about S$200,000 when they retire at age 62, which is clearly not enough to live till age 83.75 years.

However, if you learn to master your finance, and reach Financial Freedom, then even if you live till 100 years, you don't have to worry.

Cheers!

Dennis Ng

http://sg.finance.yahoo.com/news/top-10 ... 33132.html

4. Singapore

Average Life Expectancy: 83.75 years

A sound diet and a clean environment contribute to the longevity exhibited by the population of this fast-paced city-state, located on the southern edge of the Malay Peninsula. Like in Hong Kong, Singapore's cuisine centers on rice and vegetables, which are rich in nutrients that help keep residents healthy and active. Singapore's government also enforces a strict code of cleanliness--such as heavily restricted smoking areas--to ensure that all residents live in healthy surroundings. Interestingly, back in the 1980s, the government recognized that the nation's population was aging steadily, and with careful planning, Singapore now features excellent healthcare facilities and programs for the elderly.