Category: Investing

The Myth of Home Ownership in Singapore, and Why I Choose to Rent

Owning vs renting a home
Many home owners in Singapore are, in reality, renters as they do not really own their homes .

Although I own properties overseas, I am a renter here in Singapore. People keep telling me that “renting is just like flushing your money down a toilet”. When I ask these people whether they rent or own, they proudly proclaim “own, of course!” But do they really own their home? Most people who purchase a home, do so with a mortgage, a word that originates from Latin meaning “death pledge” because it often took the entire life of a person to fulfill the pledge. Until recently, a person in Singapore could buy a home with 5% of its value in cash, 15% in CPF funds, while the rest (80%) is lent by a bank. For a BTO, the rules used to allow for 10% down and while the other 90% was financed. The amount financed, of course, comes with interest. So let’s dissect what is actually owned. (more…)

The Best, Smartest, Luckiest, and Safest Investment for the New Year

CNYhorse
Your year to achieve security, wealth, and happiness.
freedigitalphotos.net

In a few hours, it will be Chinese New Year, and many people hope this new year will bring to them luck and wealth. That’s why I want to share with you the biggest investment that I am banking on.

First, let me say that there’s no shortage of investment advice out there. There’s always a new algorithm or new formula for finding the best investments your money can buy. Personally, I’ve been to a handful of investment talks – from property to forex to overseas projects – and all proclaim that their method and investments are safe, low risk, high yield, and you’d be a fool not to buy them or use their strategies. But there is one outstanding and smart investment that finance folks and savvy investors rarely speak of, let alone invest in, and you will find this not in a get-rich-quick book, not with your broker/financial planner, and not in a seminar. You’ll find this by…. (more…)