My own flexible annuity

I have created my own flexible annuity.

I invest my savings in the Flexi-Link plan. It is invested in the combined fund (growth) and in Singapore equity. I may switch a portion into Global equity within two years.

I have started to make monthly withdrawal from my Flexilink. Since I am still working, I just make a token withdrawal of $100 each month. It is deducted from my Flexi-Link and credited to my bank account during the first week of each month.

This is working well. I get an e-mail each month saying that $100 is credited credited to my bank account, and x number of units are encashed. I checked my bank account (through the internet) and found the $100 has been credited.

When I retire in a few years time, I will increase the monthly withdrawal to $3,000. I may change it to a larger or smaller sum, according to my needs. It is flexible.

My investments produced a yield of about 15% per annum for the past three years. Wow!

Looking towards the future, I hope to get between 6% to 8% per annum over the long term. This is possible, based on the benchmark return on equity for the past 10, 20 and 30 years.