Endowus Performance Review – Aug 2021

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We are into the 8th month of 2021 and it is time for Aug monthly review again. Last month was flat as usual but this is very little impact on the portfolio as performance has been stellar since inception. For performance in Aug 2021, I’m seeing new index highs but yet careful on what is going to show in the near future. The whole portfolio seem to be steady and going on a good long term growth. I am quite positive on US equities throughout the rest of 2021 for some reason despite the constant word around hyper inflation news.

Like any other month, I trust Endowus and I would actually recommend them to anyone I know. I know that my investments will be safe with them.  I also read in their newsletter that traditional banks and investing firms are starting to put in monies in the company as part of the drive to stay relevant. The paradigm shift is happening faster than expected.

Whatever it is, they have been quite reasonable about everything. Another plus point is that they have also given me a lot of comfort in the way they allow investors to reduce their initial investing sum. Minimum sum should not be the way to investing. Overall, I feel that I take more pride in knowing who is holding my money and how they do it. Lowering the bar also allows people who are younger to start early in this long-term process. The other point is what many people are talking about which is the fees. They are probably the only one in the market to rebate trailer fees. I like that bold big move as compared to the other advisors. I will slowly shift my funds over to them. Everyone is different so, you have to try them out first before you decide.

There’s something else which I like about them and that is how they use the power of retail investors to put money into institutional class funds. These funds are accessible only to people with the money and volume to purchase. Yet, they are now available to retail investors.

Cash Fund Ultra Portfolio

I started the ultra portfolio since July 2021 which claims to be around 1.9-2.1% (Changed upwards of 0.1% for now) because I can’t find anything that yields more than 1% interests.

Not sure how this might work out but over the long run, it should be fine. Portfolio is up now by +0.33% after a week of negative. This should be fine pretty decent going forward.

 

ESG Portfolio

I started this ESG Portfolio during March 2021 and I have some high hopes for this fund to do pretty well. This segment would serve me well for a long term portfolio because I do see the value in investing in sustainable companies an practices. After all, we are trying to make a difference for our little ones. So, a little step goes a long way.

 

This is at +13.28% since inception some time in Mid March 2021. (and +2.5plus% since July 2021) This is moving in a good direction to date. The allocation is a 80%/20% Equity/Bond portfolio allocation so there will be more movement on the equity side. This is long term so, just leave it in there. You do good and it brings you sustainable returns. It is for the future and the next generation. I can’t explain more. My only regret was I did not put in more.

SRS Portfolio

Overall, portfolio is up +26.10% since May 2020 in SGD. As usual, in USD terms, due to no FX impact as the portfolio is USD ETFs, the performance will definitely be better especially when USD becomes stronger. Of course, the reference will be SGD since I use SGD. This is the SRS/Cash portfolio which consists of my favourite Dimension Funds in a 40% bonds/60% equity. Overall from May 2020 to 02 Sep 2021, it is a +26.10% increase in absolute terms – Fantastic once more. This is for the long run. I’m just going to keep it simple to report it overall as I have less time on my hand these days. But do try it out and put out your own performance and tell everyone about the experience. Unless, you nitpick aggressively – I think you will be fine.

On the YTD front, I’m looking at +13.48% in 2021. Great news for me.

CPF Portfolio

For the CPF portfolio, it is looking at +17.41% since inception in May 2020. That’s approximately 0.80% increase from the previous month in July 2021. This portfolio is beating my CPF returns every month.

 

Similar to the previous months, interest rates for cash has been dropping like crazy. That’s pretty expected and the trend is to follow.

On the YTD front, it is yielding +7.14% in 2021. Nice.

Fund Smart Portfolio

I started this semi medium term Fund Smart portfolio this month in May 2021. I tried to build a balance portfolio. I’m not exactly sure but I will go in via RSP monthly as I wasn’t sure but I do want to deploy some of my cash. I have put in just a little during the correction and it is at +1.78% to date. This is done monthly on RSP until end of the year. As compared to July 2021, the portfolio is slightly up by +0.1%. I tried to run a mini thematic fund around this fund and diversification is key. Of course, if I had just dumped these into the ESG portfolio from the start, performance would have been much better now.

Overall: 52% Equity and 48% Fixed Income

a. 15% in Multi Asset Fund (1 Fund)

b. 45% in Equity Funds (2 Funds)

i. Focus into China Play [10%]

ii. Global equity with dividend accumulation (Re-invest) [20%]

iii. Small Cap equity play (For the Alpha) [15%]

c. 40% in Bond Funds (3 Funds)

i. Climate Bond Fund Play [20%]

ii. Core Fixed Income Play [20%]

Retirement Portfolio

So last month, I got down into building a portfolio of unallocated funds to the institution Pimco GIS Income Fund. 0.55% will be the fees annually so that’s going to be start of the accumulation of the coupons from the funds. I will add on 2 or 3 tranches of the same should the time allows. Otherwise I would look at the Lion Global fund that matches the S&P 500 Index for a long-term portfolio. Since inception, it is up +1.01% (reinvest) on 2 Sep 2021. We shall see where we are heading towards. I put in another S$10k into the fund in July 2021 and the accumulation is slowly taking place.

I really do need to deploy some cash as I can’t get 2% on cash solutions.

The reason for Endowus

Like a broken recorder, the pros once more:

  • Endowus is the first and only robo-advisor to be approved by the CPF board.
  • 100% trailer fees back to the consumer, not the fund management fee. This is really one of a kind I’ve seen so far.
  • They do have a decent team who makes sense when introducing their platform in my personal opinion.
  • I believe all retail investor should try them out because of how they are trying to disrupt investing and make investing work for everyone.

Thank you all in advance for using my referral code.

Last point is to do your own diligence. What works for me may not work for you. Investing in traditional portfolios is about risk management.

Disclaimer

If you decide to sign up with Endowus, do remember to use my referral code: https://endowus.com/invite?code=EDZ8M

If you like what I am sharing or if it resonates with you, do use my referral codes for other services at Referral and Recommendations

These pictures were taken off Endowus website for reference.

Endowus Performance (New Cash – Ultra Added) – July 2021

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It is the time to do Endowus July 20221 monthly review again. Last month was kind of a stagnant month but this is very little impact on the portfolio as performance has been stellar since inception. For performance in July 2021, I’m seeing new index highs but yet careful on what is going to show in the near future. The whole portfolio seem to be steady and going on a good long term growth.

Like many of my previous post and like a repeater every month, I kind of trust Endowus. I feel that their corporate story sells to me. Frankly, I would actually recommend them to anyone I know. I know that my investments will be safe with them.  I also read in their newsletter that traditional banks and investing firms are starting to put in monies in the company as part of the drive to stay relevant.

Whatever it is, they have been quite reasonable about everything. Another plus point is that they have also given me a lot of comfort in the way they allow investors to reduce their initial investing sum. Minimum sum should not be the way to investing. Overall, I feel that I take more pride in knowing who is holding my money and how they do it. Lowering the bar also allows people who are younger to start early in this long-term process. The other point is what many people are talking about which is the fees. They are probably the only one in the market to rebate trailer fees. I like that bold big move as compared to the other advisors. I will slowly shift my funds over to them. Everyone is different so, you have to try them out first before you decide.

Cash Fund Ultra Portfolio

I started tried out their ultra portfolio which claims to be around 1.8-2% (Investing into cash related funds) because I can’t find anything that yields more than 1% interests.

Not sure how this might work out but over the long run, it should be fine. Portfolio is down -0.04% after a week. This should be fine though.

ESG Portfolio

I started this ESG Portfolio during March 2021 and I have some high hopes for this fund to do pretty well. This segment would serve me well for a long term portfolio because I do see the value in investing in sustainable companies an practices. After all, we are trying to make a difference for our little ones. So, a little step goes a long way.

 

This is at +10.72% since inception some time in Mid March 2021. (and +2plus% since June 2021) This is moving in a good direction to date. The allocation is a 80%/20% Equity/Bond portfolio allocation so there will be more movement on the equity side. This is long term so, just leave it in there. You do good and it brings you sustainable returns. It is for the future and the next generation. I can’t explain more. My only regret was I did not put in more.

SRS Portfolio

Overall, portfolio is up +24.90% since May 2020 in SGD. As usual, in USD terms, due to no FX impact as the portfolio is USD ETFs, the performance will definitely be better especially when USD becomes stronger. Of course, the reference will be SGD since I use SGD. This is the SRS/Cash portfolio which consists of my favourite Dimension Funds in a 40% bonds/60% equity. Overall from May 2020 to 30 July 2021, it is a +24.90% increase in absolute terms – Fantastic. This is for the long run. I’m just going to keep it simple to report it overall as I have less time on my hand these days. But do try it out and put out your own performance and tell everyone about the experience. Unless, you nitpick aggressively – I think you will be fine.

 

CPF Portfolio

For the CPF portfolio, it is looking at +16.67% since inception in May 2020. That’s about a 1.20% increase from the previous month in June 2021. This portfolio is beating my CPF returns.

 

Similar to the previous months, interest rates for cash has been dropping like crazy. That’s pretty expected and the trend is to follow.

Fund Smart Portfolio

I started this semi medium term Fund Smart portfolio this month in May 2021. I tried to build a balance portfolio. I’m not exactly sure but I will go in via RSP monthly as I wasn’t sure but I do want to deploy some of my cash. I have put in just a little during the correction and it is at +1.68% to date. This is done monthly on RSP until end of the year. As compared to June 2021, the portfolio is slightly up by +0.2%.

 

Overall: 52% Equity and 48% Fixed Income

a. 15% in Multi Asset Fund (1 Fund)

b. 45% in Equity Funds (2 Funds)

i. Focus into China Play [10%]

ii. Global equity with dividend accumulation (Re-invest) [20%]

iii. Small Cap equity play (For the Alpha) [15%]

c. 40% in Bond Funds (3 Funds)

i. Climate Bond Fund Play [20%]

ii. Core Fixed Income Play [20%]

Retirement Portfolio

So last month, I got down into building a portfolio of unallocated funds to the institution Pimco GIS Income Fund. 0.55% will be the fees annually so that’s going to be start of the accumulation of the coupons from the funds. I will add on 2 or 3 tranches of the same should the time allows. Otherwise I would look at the Lion Global fund that matches the S&P 500 Index for a long-term portfolio. Since inception, it is up 0.46% (reinvest) on 4 Aug 2021. We shall see where we are heading towards. I put in another S$10k into the fund in July 2021 and the accumulation is slowly taking place.

I really do need to deploy some cash as I can’t get 2% on cash solutions.

 

The reason for Endowus

Like a broken recorder, the pros once more:

  • Endowus is the first and only robo-advisor to be approved by the CPF board.
  • 100% trailer fees back to the consumer, not the fund management fee. This is really one of a kind I’ve seen so far.
  • They do have a decent team who makes sense when introducing their platform in my personal opinion.
  • I believe all retail investor should try them out because of how they are trying to disrupt investing and make investing work for everyone.

Thank you all in advance for using my referral code.

Last point is to do your own diligence. What works for me may not work for you. Investing in traditional portfolios is about risk management.

Disclaimer

If you decide to sign up with Endowus, do remember to use my referral code: https://endowus.com/invite?code=EDZ8M

If you like what I am sharing or if it resonates with you, do use my referral codes for other services at Referral and Recommendations

These pictures were taken off Endowus website for reference.

Endowus Performance (1 New Pimco GIS Income Fund Added) – June 2021

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I must say that I kind of like to do the Endowus monthly review as it has been stellar since inception. For performance in June 2021, it seems like market moved sideways and finished a little more on the positive side. I’m seeing new index highs but yet careful on what is going to show in the near future. The whole portfolio seem to be steady and going on a good long term growth.

Like many of my previous post, I kind of trust Endowus. Recently they wrote to users to write reviews on their platforms to get additional rebate fees (their quarterly fees for managing the money) and that’s a no brainer. I feel that their corporate story sells to me. Frankly, I would actually recommend them to anyone I know. I know that my investments will be safe with them.  I also read in their newsletter that traditional banks and investing firms are starting to put in monies in the company as part of the drive to stay relevant.

Whatever it is, they have been quite reasonable about everything. Another plus point is that they have also given me a lot of comfort in the way they allow investors to reduce their initial investing sum. Minimum sum should not be the way to investing. Overall, I feel that I take more pride in knowing who is holding my money and how they do it. Lowering the bar also allows people who are younger to start early in this long-term process.

ESG Portfolio

I started this ESG Portfolio during March 2021 and I have some high hopes for this fund to do pretty well. This segment would serve me well for a long term portfolio because I do see the value in investing in sustainable companies an practices. After all, we are trying to make a difference for our little ones. So, a little step goes a long way.

 

This is at +7.55% since inception some time in Mid March 2021. This is moving in a good direction to date. The allocation is a 80%/20% Equity/Bond portfolio allocation so there will be more movement on the equity side. This is long term so, just leave it in there. You do good and it brings you sustainable returns. It is for the future and the next generation.

SRS Portfolio

Overall, portfolio is up +23.06% since May 2020 in SGD. As usual, in USD terms, due to no FX impact as the portfolio is USD ETFs, the performance will definitely be better especially when USD becomes stronger. Of course, the reference will be SGD since I use SGD. This is the SRS/Cash portfolio which consists of my favourite Dimension Funds in a 40% bonds/60% equity. Overall from May 2020 to 30 June 2021, it is a +23.06% increase in absolute terms – Fantastic. For YTD performance, the fund was stable and at + 9.27% for 2021. Sweet. Long term guys, long term view.

 

CPF Portfolio

For the CPF portfolio, it is looking at +14.98% since inception in May 2020.

 

In Terms of YTD returns in 2021, I’m looking at +4.27% and that’s about a 1.80% increase from the previous month. Marvellous – The way I see it.

 

Similar to the previous months, interest rates for cash has been dropping like crazy. That’s pretty expected.

Fund Smart Portfolio

I started this semi medium term Fund Smart portfolio this month in May 2021. I tried to build a balance portfolio. I’m not exactly sure but I will go in via RSP monthly as I wasn’t sure but I do want to deploy some of my cash. I have put in just a little during the correction and it is at +1.24% to date. This is done monthly on RSP until end of the year.

 

Overall: 52% Equity and 48% Fixed Income

a. 15% in Multi Asset Fund (1 Fund)

b. 45% in Equity Funds (2 Funds)

i. Focus into China Play [10%]

ii. Global equity with dividend accumulation (Re-invest) [20%]

iii. Small Cap equity play (For the Alpha) [15%]

c. 40% in Bond Funds (3 Funds)

i. Climate Bond Fund Play [20%]

ii. Core Fixed Income Play [20%]

Retirement Portfolio

So last month, I got down into building a portfolio of unallocated funds to the institution Pimco GIS Income Fund. 0.55% will be the fees annually so that’s going to be start of the accumulation of the coupons from the funds. I will add on 2 or 3 tranches of the same should the time allows. Otherwise I would look at the Lion Global fund that matches the S&P 500 Index for a long-term portfolio. Since inception, it is up 0.37% (reinvest) on 22 June 2021. We shall see where we are heading towards.

I don’t really know how it will go from here but I really do need to deploy some cash as I can’t get 2% on cash solutions.

The reason for Endowus

Like a broken recorder, the pros once more:

  • Endowus is the first and only robo-advisor to be approved by the CPF board.
  • 100% trailer fees back to the consumer, not the fund management fee. This is really one of a kind I’ve seen so far.
  • They do have a decent team who makes sense when introducing their platform in my personal opinion.
  • I believe all retail investor should try them out because of how they are trying to disrupt investing and make investing work for everyone.

Thank you all in advance for using my referral code.

Last point is to do your own diligence. What works for me may not work for you. Investing in traditional portfolios is about risk management.

Disclaimer

If you decide to sign up with Endowus, do remember to use my referral code: https://endowus.com/invite?code=EDZ8M

If you like what I am sharing or if it resonates with you, do use my referral codes for other services at Referral and Recommendations

These pictures were taken off Endowus website for reference.

Endowus Performance – May 2021

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It is the time of the month again to reflect on the monthly performance of Endowus. In the month of May 2021, it seems like market retraced a little and positive signs are showing at the start of June 2021. The main SRS portfolio seems to be unaffected though.

I kind of trust Endowus for a while now. I feel that their corporate story sells to me. Frankly, I would actually recommend them to anyone I know. I know that my investments will be safe with them.  To me, it is always a plus point when the founders want to keep their company stock value because they see value in their own company. There are people who are passionate about building a business.

Whatever it is, they have been quite reasonable about everything. They seem to mean business but I just feel that maybe not everyone is suited to present via online. The accent and over zealousness is quite a turn off. It isn’t something I will walk away from but I just feel that some of them need to work on that aspect of presentation.

ESG Portfolio

I started this during March 2021 and I do know that ESG have performed relatively well in the European zone for the longest time possible. This segment would serve me well for a long term portfolio because I do see the value in investing in sustainable companies an practices. After all, we are saving this earth for our next generation – a little step goes a long way.

 

This is at +4.82% since inception some time in Mid March 2021. I like what I am seeing. Of course this is a 80%/20% Equity/Bond portfolio allocation so there will be more movement on the equity side. This is long term so, just leave it in there. I like it even better now. You do good and it brings you sustainable returns. It is for the future and the next generation.

SRS Portfolio

Overall, portfolio is up +21.16% since May 2020 in SGD. As usual, in USD terms, due to no FX impact as the portfolio is USD ETFs, the performance will definitely be better especially when USD becomes stronger. Of course, the reference will be SGD since I use SGD. This is the SRS/Cash portfolio which consists of my favourite Dimension Funds in a 40% bonds/60% equity. Overall from May 2020 to 5 Apr 2021, it is a +21.16% increase in absolute terms – Fantastic. For YTD performance, the fund was stable and at + 7.58% for 2021. Sweet. Long term guys, long term view.

CPF Portfolio

For the CPF portfolio, it is looking at +13.38% since inception in May 2020.

In Terms of YTD returns in 2021, I’m looking at +2.82%. about 0.50% increase from the previous month.

Similar to the previous months, interest rates for cash has been dropping like crazy. That’s pretty expected.

Fund Smart Portfolio

I started this semi medium term Fund Smart portfolio this month in May 2021. I tried to build a balance portfolio. I’m not exactly sure but I will go in via RSP monthly as I wasn’t sure but I do want to deploy some of my cash. I have put in just a little during the correction and it is at +0.97% to date.

Overall: 52% Equity and 48% Fixed Income

a. 15% in Multi Asset Fund (1 Fund)

b. 45% in Equity Funds (2 Funds)

i. Focus into China Play [10%]

ii. Global equity with dividend accumulation (Re-invest) [20%]

iii. Small Cap equity play (For the Alpha) [15%]

c. 40% in Bond Funds (3 Funds)

i. Climate Bond Fund Play [20%]

ii. Core Fixed Income Play [20%]

The reason for Endowus

Like a broken recorder, the pros once more:

  • Endowus is the first and only robo-advisor to be approved by the CPF board.
  • 100% trailer fees back to the consumer, not the fund management fee. This is really one of a kind I’ve seen so far.
  • They do have a decent team who makes sense when introducing their platform in my personal opinion.
  • I believe all retail investor should try them out because of how they are trying to disrupt investing and make investing work for everyone.

Thank you all in advance for using my referral code.

Last point is to do your own diligence. What works for me may not work for you. Investing in traditional portfolios is about risk management.

Just to touch briefly on cryptocurrency. It is super high risk = Potentially Super high returns. Just remember that = Potentially Super high decrease in portfolio as well.

Disclaimer

If you decide to sign up with Endowus, do remember to use my referral code: https://endowus.com/invite?code=EDZ8M

If you like what I am sharing or if it resonates with you, do use my referral codes for other services at Referral and Recommendations

These pictures were taken off Endowus website for reference.

Endowus Performance – April 2021 + New Fund Smart Portfolio

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Equities have retraced and between Tech and Cyclical equities, it seems to sway from side to side – With Tech equities taking a big hit currently. There isn’t seem to be any clear signs for any particular trend. It just seems tough out there for the hottest equity star in 2020

I’ve been talking about Endowus for a while now. I feel that their corporate story sells to me. I would actually recommend them to anyone I know to be honest and I know that my investments will be safe with them.  To me, it is always a plus point when the founders want to keep their company stock value because they see value in their own company. There are people who are passionate about building a business.

I feel that at least they are genuine and passionate about their work coming from big financial names. I came from finance with a little experience from work and I never liked the way bank works with revenue and hard selling. Having a charismatic leader doesn’t mean that they can play with their words and make glory with their decision making. However, who am I to say that. I just feel that the culture is toxic and it doesn’t mean that they don’t acknowledge it. The money is just too good for them to walk away.

ESG Portfolio

I started this last month and I do know that ESG have performed relatively well in the European zone for the longest time possible. This segment would serve me well for a long term portfolio because I do see the value in investing in sustainable companies an practices. After all, we are saving this earth for our next generation – a little step goes a long way.

 

This is at +4.80% since inception some time in Mid March 2021. I like what I am seeing. Of course this is a 80%/20% Equity/Bond portfolio allocation so there will be more movement on the equity side. This is long term so, just leave it in there. I like it even better now. You do good and it brings you sustainable returns.

SRS Portfolio

Overall, portfolio is up +20.85% since May 2020 in SGD. As usual, in USD terms, due to no FX impact as the portfolio is USD ETFs, the performance will definitely be better especially when USD becomes stronger. Of course, the reference will be SGD since I use SGD. This is the SRS/Cash portfolio which consists of my favourite Dimension Funds in a 40% bonds/60% equity. Overall from May 2020 to 5 Apr 2021, it is a +20.85% increase in absolute terms – Fantastic. For YTD performance, the fund was stable and at + 7.31% for 2021. Sweet. Long term guys, long term view.

 

CPF Portfolio

For the CPF portfolio, it is looking at +13.07% since inception in May 2020.

 

In Terms of YTD returns in 2021, I’m looking at +2.54%. This is quite expected so not much of a surprise. I have no requirement to login daily to view my portfolio performance. Just a monthly review will be sufficient.

 

Similar to the previous months, cash management accounts have started to report a decline. This is also expected since LOW interest rate environment is here to stay for the long term.

Fund Smart Portfolio

Finally, I setup my Fund Smart portfolio this month in May 2021. I tried to build a balance portfolio. I’m not exactly sure but I will go in via RSP monthly as I wasn’t sure but I do want to deploy some of my cash because It has been lingering around for 6 months already.

Overall: 52% Equity and 48% Fixed Income

a. 15% in Multi Asset Fund (1 Fund)

b. 45% in Equity Funds (2 Funds)

i. Focus into China Play [10%]

ii. Global equity with dividend accumulation (Re-invest) [20%]

iii. Small Cap equity play (For the Alpha) [15%]

c. 40% in Bond Funds (3 Funds)

i. Climate Bond Fund Play [20%]

ii. Core Fixed Income Play [20%]

The reason for Endowus

Like a broken recorder, the pros once more:

  • Endowus is the first and only robo-advisor to be approved by the CPF board.
  • 100% trailer fees back to the consumer, not the fund management fee. This is really one of a kind I’ve seen so far.
  • They do have a decent team who makes sense when introducing their platform in my personal opinion.
  • I believe all retail investor should try them out because of how they are trying to disrupt investing and make investing work for everyone.

Thank you all in advance for using my referral code.

Last point is to do your own diligence. What works for me may not work for you. Investing in traditional portfolios is about risk management, it isn’t Cryptocurrency. Super high risk = Potentially Super high returns. Fair enough in economic terms. Just remember that = Potentially Super high decrease in portfolio as well.

I’m not ruling cryptocurrency as an asset class here because I do trade this asset class as well. What I do see is that they will be a disrupter in traditional currency in the future. What I am saying is traditional investments brings stable, slow and disciplined returns. I do have a portion of my funds in cryptocurrency and the latest trend of NFTs (Non-Fungible Tokens). I deal with these two investments separately and realistically.

Disclaimer

If you decide to sign up with Endowus, do remember to use my referral code: https://endowus.com/invite?code=EDZ8M

If you like what I am sharing or if it resonates with you, do use my referral codes for other services at Referral and Recommendations

These pictures were taken off Endowus website for reference.

Endowus – Performance Nov 2020

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It is the time of the month again. I must say I have been really satisfied with the way it Endowus has been working out well for me thus far.

November has been a quiet month. The portfolio makes diversification much more important. As I have always said, being systematic about investing is quite important. Month on month and it still fulfills what I am seeing so far. This is going to be one of my core robo-advisors that I would like to be on for the long term.

SRS Portfolio

Overall, portfolio is up 4-5% month on month in terms of SGD. In USD terms, due to no FX impact as the portfolio is USD ETFs, the performance will definitely be better. We are spending Singapore dollars so this is our reference currency. This is the SRS/Cash portfolio which consists of my favourite Dimension Funds in a 40% bonds/60% equity. Overall from May 2020 to 11 Dec 2020, it is a 11.30% increase in absolute terms.

 

CPF Portfolio

For the CPF portfolio, it does not come with the Dimension Funds due to the restrictive nature in what you can invest in but I think this is excellent performance compared with the 2.5% in CPF.

Month comparison from Oct to 11 Dec 2020, that is 9.32% in absolute returns ever since investments were made in May 2020. and comparing the previous month, that is estimated to be around 3% higher.

This is very good in my own opinion that I have not been doing anything to this portfolio.

Recently they came up with a SmartFund DIY portfolio which looks really interesting. I would definitely be looking this up when there is a market pullback like i mentioned last month.

A quick review once more:

  • Endowus is the first and only robo-advisor to be approved by the CPF board to use your CPF OA excess funds to invest.
  • 100% trailer fees back to the consumer, not the fund management fee.
  • Content and education still remains relevant at least in my opinion.
  • At least they are one of the robo I trust that wants to help retail investors.

Thank you for using my referral code.

Disclaimer

If you decide to sign up with Endowus, do remember to use my referral code: https://endowus.com/invite?code=EDZ8M

If you like what I am sharing or if it resonates with you, do use my referral codes for other services at https://lifejourney.blog/contact/

These pictures were taken off Endowus website for reference.

Endowus – August 2020 performance

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Endowus

Roughly about three months ago, I made the call to go with Endowus to try out the Robo-advisor. I must say that I did and still having a good experience with them. I guess it is time to let people know that they are a dependable and competent group of people whom you can trust your money with. They also have a bunch of good content, the only thing is that their video content always over run but it just means that they have too much to talk about.

They are also one of the first robo-advisors to allow CPF investments into the funds and that tells a lot about this company. Of course, the investment funds that they use to build the portfolio is different for the Cash or SRS options which uses the competent Dimension Funds which used to be only available to institution clients (Meaning big corporate and deep pockets could only access to these funds)

Fund Fees

Now, Dimension Funds are available to retailer clients like anyone else on the street. The problem is that most places actually charge you a trailer fee, platform fee, recurring fee on top of the management fee and upfront fund fees. Yes, it is the financial industry. Endowus actually rebate those fees so that they only charge what they should be charging – the Fund level fees.

Something that  really like – Endowus will only charge you fees at the end of the quarter. Comparing an upfront fee or taking a fee after your portfolio actually returns something. I would choose the latter. Don’t get me wrong, i am agreeable to paying fees and it is necessary to keep good companies running. In general, fees are the ones which keep your investment returns compounded at a lower rate.

When to Invest?

In my previous articles, i discussed about the best time to invest and frankly there isn’t any. To get a head start, the best time is really to plonk in some money to a diversified asset class when the markets have come off. Simplifying things, if you only invest 10% of your Networth each time there is a correction. Doubling the portfolio just means roughly about 9% of your portfolio. (assuming it doubles)  So, it is something worthwhile to think about the risk and rewards. It also doesn’t mean that higher risk will eventually give you a higher return. In all conditions, the nature of things is that by taking a higher risk, you should get a higher return.

Portfolio

I had split up my portfolio into two parts. The first – A S$5000 SRS portfolio invested since May 2020. The second – A S$5500 CPF OA portfolio invested since May 2020 and YTD the returns have been pretty decent.

Figure one below is the SRS portfolio:

Figure two below is the CPF OA portfolio:

If you use my referral code to sign up and invest minimum S$10k, we both get $20 each which can be used to offset the management fees to keep their lights running: https://endowus.com/invite?code=EDZ8M

Disclaimer

This is not a sponsored post. I will still add on more of my CPF OA money regularly. I will definitely pick up more when markets come off to add on to my portfolio.

If you like what I am sharing or if it resonates with you, do use my referral codes for other services at https://lifejourney.blog/contact/

These pictures were taken off Endowus website for reference.

CPF (Assisting your Retirement?)

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Whenever we touch on the topic of CPF, also known as Central Provident Fund (Pension Fund – The Europeans and Americans call it), people get kind of edgy and upset. What I do observe is that mostly a certain group of people is really anti CPF. The first group is those who are anti-government, not fueling anything here but just a general consensus. The second group is the retirees or about to retire folks who didn’t have a decent education (At that point in time, it wasn’t necessary to have the paper qualifications) and the last group is the self-proclaimed Warren Buffet who claims to beat the market.

The Central Provident Fund

The CPF in my opinion, is something of a great system. There are certainly flaws to it but in my view it is the perfect, AAA grade, higher yield returns that can supplement all our retirement fund. There are certain risks but There are no investment tool has no risk in reality. I finally conclude that as a result of these 3 group of people, these are the reason why so many people dislike the CPF system.

The AAA rating

a. Unfortunately, it is a complex system – You need to read up and understand how it works to appreciate the system

b. Inflation rate is here to stay hence the increase in the minimum sum yearly

c. No one is taking your money away.

d. No. There is no crystal ball. Statistically, it is proven that you can never win 100% of the time. Anyone who have tried or attempted to invest their monies will know that there is no clear strategy out there but a lot of hard work so you will not be able to beat the benchmark all the time.

e. Good quality investments and yields are hard to find these days. Perhaps it is a reality check and time to reflect about strategies as well as accepting facts and the markets

Understanding what CPF is about

When I first explored CPF, it was when I was out of school into my first job. At that time, CPF seems like a Goliath – You think you know but eventually, you slowly find out stuff which you never know before and for a long period of time I put off reading up more about them. It was many years back that I started reading financial blogs and it became like a ritual. I’ll do that almost any other day.

Back in those days, there were less bloggers so you will still need to dig deep to find out how stuff works. Then came Technology advancements, social media and super apps/content apps. I also discovered a few more bloggers who actively shared about CPF. One one those whom I follow really closely is 1M65. His is a well-known blogger for CPF and he developed his own strategies around what the CPF has been doing for many years.

Life Cycle

1M65 is really about having a million in your CPF by 65 years old. Depending on how you look at it, he is preaching a 4M65 these days and base on his concept – I do think that is possible if you start really young. Anyway, his idea about have these sum of money is really to get you thinking about your own retirement early, not just when you are in your mid stage or even late stage of your life cycle.

Everyone is different

Most importantly, everyone is different. There is no need to look at it in the form of a showboat or saying that it is impossible. Being open and understanding how these people are doing do help yourself to be ready for retirement – You are doing your next generation a favour so that they will not fall into the sandwich class or fall in the same cycle again and again. Of course, teaching the value of money to the next generation is something that needs to be worked on as well. It’s not like they were given a sum of money to deal with in life.

Some people actually worked two jobs or even saved excessively so that they can put all their money into retirement. Again, lifejourney preaches about having your own quality of life. If you need to feel like you have to give up everything just to be thrifty (It is a really thin line to term it as miserly), then you would most likely have to re-think your strategy.

The Practical Approach

There are a lot of concepts that you can read about but most of them come from a theory. Personally, I don’t really like to dissect those as they are so technical and heavy. Most importantly, it is extremely boring to put them down in words and executing them is really the best way to practice

Stock market digital graph chart on LED display concept. A large display of daily stock market price and quotation. Indicator financial forex trade education background.

As 1M65 says, you can hate who or whatever but don’t hate free money. Initially, it sounded like a money grubber statement but eventually I came to realise that, it is really free money. If you have no plans to be an entrepreneur, there is a few things you have to take note of in CPF. Yes, I am sorry but everything has to start from the basics.

My View on CPF

a. My biggest take on CPF is to compound the interest. The more you have, the greater the growth. The younger you fill up your CPF account to accumulate interest, the faster and bigger your pension fund will grow.

bi. If you are below 55 years of age – Your first $60k in CPF will gain an extra 1% p.a. (This is capped at S$20k in your OA) The current base Ordinary Account (OA) is 2.5% (3-month average of major local banks’interest rates, whichever is higher)

bii. For most people, the next S$40k will most likely be in your Special Account (SA). For others who are still building your SA, that will be whatever that is in your MediSave Account (MA). The base rate for your SA and MA is at the current floor of 4% p.a. (which is also the 12 month average yield of 10-year Singapore Gov Securities – 10YSGS)

My Tips:

Your CPF interest is computed monthly based on the lowest balance for the month. This means that for interests paid out on your CPF accounts in Year 2020, the interest amount is based on what was captured monthly, compounded and only paid out to you in full before 1st Jan of 2021. (This is subjected to changes if you have transactions every month)

c. As much as possible, you have to try your best to hit the minimum sum as early as you can. (Combined OA and SA)  Once you manage to do that, you do not need to worry about the annual increase in minimum sum that is subjected to inflation.

My Tips:

Don’t lose faith if you have not or still very far from this. Everyone starts from $0. Let the small actions and do up your checklist one by one in order to build the financial confidence. Everyone is different – it is the end goal that matters.

d. Depending on your circumstances, you can choose to invest your CPF OA money after the S$20k accumulation. Similar to cash, have a long term goal and build your portfolio. Good companies and investment ideas doesn’t come easy. You have to make sure what you invest is more calculated risk. There is a risk to everything.

My Tips:

Don’t be affected by market noise. My tip is to buy when there is a price drop if the investment moat for the company still makes sense. (but always do your own diligence) You can also have different pockets of funds so that when there are opportunities or if there is a correction, you can be ready to enter the market. The rule is to always stay invested.

Summary

In Summary, CPF is not the perfect solution but a supplement of your retirement goals. In this aspect, we are responsible for our own money and retirement. No one else will take care of your money as much as you will do.  Only you will know your own financial situation. The question is to ask to meet these financial goals is that if you can cut back on your lavish lifestyle or even saving more to add to your pool of funds. No one can coerce you to do what you do not wish to.

Disclaimer

This is not a sponsored post. This is purely my own opinion about CPF and retirement. If you like what you are seeing, do remember to check them out and do your diligence. There is no one size fits all investment strategy as usual

Do check out some of my referral codes for other services here at https://lifejourney.blog/contact/ for the services.

The pictures were taken from CPF website for this article.