Dear Mr Tan,
Five years ago I placed $10,000 in the Fix-It Fund. On maturity, I received an interest of $433. I was disapointed.
To date this is the third investment made through a bank. This was the best returns so far. The other 2 funds performed much worse.
REPLY:
You received a return of 4.3% for 5 years on the Fix-It Fund. This is 0.8% per year.
If you have invested in secure government bonds for 5 years, you would have obtained about 15% for 5 years. The Fix-It Fund probably gave a poorer return, due to the high expenses (which are taken away from your return).
The other two funds performed worst, for the same reason.
I bought NTUC Income's Global Bond fund in 2004. The return is now
ReplyDeleteminus -0.5%. At least you got 0.8% per year.
It is a disgrace.
I held on to some Income's Singapore Bond and Global Bond, but when equity funds are moving, I switch all to equity funds like Trust Fund, Growth Fund and they did well for me.
ReplyDeleteNow may be time to consider switching back to Bond fund.