Traditional Endowement Plans

[ivanljq]

Hi,

I am looking to save a small sum of $$ (about $300) from my monthly salary for retirement purposes.

Have attended Dennis seminar and know of UK Traded Endowment, but those typically require an output in multiples of 10K for a few years. The yield is attractive. Unfortunately, i do require some liquidity for my investments for near term.

Thus, the UK traded endowement is not suitable for me at this stage.

Have been looking around at different insurance companies Endowment plans and all typically give 2% to max 4%(assuming the higher tier investment returns) yield to maturity (YTM). Which ultimately as written in some Dennis posts, we are penalized for saving consciously over the years.

Are there any other tools in the market which may be suitable for pple like me?

Any advice? Thanks.

[Dennis Ng]

You can invest in regular small amount through:

1. POEMS Share Builder plan.

http://www.poems.com.sg/financialservic ... ?value=sbp

2. regular investment eg. S$300 into ETF through CFD (CMC Markets allow zero leverage while most CFD comes with leverage which add in risks).

http://www.cmcmarkets.com.sg

Seminar Graduates who want to open CFD trading account with CMC Markets enjoy a lower required deposit amount of S$2,000 instead of S$4,000 (for their walk-in customers). Thus, if you want to enjoy this privilege, just email to me at dennis@masteryourfinance.com providing your name, mobile number and put email title "Open CFD account with CMC Markets" and I would get a CMC staff to contact you for further details.

The above in long run should do better than regular endowment plan in Singapore where returns is only about 3%, and works out to zero returns if inflation is 3% too.

The above also lower costs compared to regular investing through Unit Trust or ILPs (Investment-linked Plans) through Insurers.

Cheers!

Dennis Ng

Hi,

I am looking to save a small sum of $$ (about $300) from my monthly salary for retirement purposes.

Have attended Dennis seminar and know of UK Traded Endowment, but those typically require an output in multiples of 10K for a few years. The yield is attractive. Unfortunately, i do require some liquidity for my investments for near term.

Thus, the UK traded endowement is not suitable for me at this stage.

Have been looking around at different insurance companies Endowment plans and all typically give 2% to max 4%(assuming the higher tier investment returns) yield to maturity (YTM). Which ultimately as written in some Dennis posts, we are penalized for saving consciously over the years.

Are there any other tools in the market which may be suitable for pple like me?

Any advice? Thanks.

[ivanljq]

Thanks Dennis.

[archonmage]

You can invest in regular small amount through:

1. POEMS Share Builder plan.

http://www.poems.com.sg/financialservic ... ?value=sbp

2. regular investment eg. S$300 into ETF through CFD (CMC Markets allow zero leverage while most CFD comes with leverage which add in risks).

http://www.cmcmarkets.com.sg

Seminar Graduates who want to open CFD trading account with CMC Markets enjoy a lower required deposit amount of S$2,000 instead of S$4,000 (for their walk-in customers). Thus, if you want to enjoy this privilege, just email to me at dennis@masteryourfinance.com providing your name, mobile number and put email title "Open CFD account with CMC Markets" and I would get a CMC staff to contact you for further details.

The above in long run should do better than regular endowment plan in Singapore where returns is only about 3%, and works out to zero returns if inflation is 3% too.

The above also lower costs compared to regular investing through Unit Trust or ILPs (Investment-linked Plans) through Insurers.

Cheers!

Dennis Ng

Hi,

I am looking to save a small sum of $$ (about $300) from my monthly salary for retirement purposes.

Have attended Dennis seminar and know of UK Traded Endowment, but those typically require an output in multiples of 10K for a few years. The yield is attractive. Unfortunately, i do require some liquidity for my investments for near term.

Thus, the UK traded endowement is not suitable for me at this stage.

Have been looking around at different insurance companies Endowment plans and all typically give 2% to max 4%(assuming the higher tier investment returns) yield to maturity (YTM). Which ultimately as written in some Dennis posts, we are penalized for saving consciously over the years.

Are there any other tools in the market which may be suitable for pple like me?

Any advice? Thanks.

Hi, ivanljq.

I was reading and happened to see your post on investing $300 monthly to build up your retirement funds.
What Dennis had suggested earlier are good for considerations. However, I would strongly advise you to save up the money first rather heading for investment first. Reason being that the market is very rosy and there is a high chance that an impending crisis is going to happen in the near future.

To All,
CMC Market allows all clients to open a CFD a/c online with a minimum deposit of $2000, and not to seminar graduates only.

Regards,
archonmage

[wemakebread]

Hi ivanljq,

Just to share the path I took:
1) pay off education loans, if any
2a) get some protection (insurance)
2b) build up emergency fund (eg. amount of at least 6 months gross salary)
2c) build up education fund (eg. 5-10% of salary, meant for attending courses, buying books, etc)
3) build up investment capital

T Harv Eker has some good ideas about financial planning.
His "Millionaire Mindset" is an interesting book to read, should be <$20 and easily available in many leading bookstores.

2a, 2b and 2c can be done concurrently and progressively over a period of time.
I think education is a very powerful leverage, because it helps you make wise investment decisions.
Imagine you are a General, and your investment money is your army.
Wouldn't you want to learn master some tactics and understand the environment (financial market) well before sending in your troops?

My advice is invest in yourself first, by building up your knowledge, for at least 2-3 years.
Use this time to build capital like what archonmage suggested.

If you have attended Dennis' Stock seminar, you can sharpen your skills and buy some once the market cycle is in our favour.
I also think there will be significant economic slowdown (perhaps major crash) in 2-3 years time (maybe sooner).
There will be opportunities to pick good stocks at discount prices then.
Cheers!