I announce the soft launch of the Singapore General Election Portal. It can be access from any of the following:
Easysearch portal: www.easysearch.sg
Direct link: www.easyapps.sg/sgep
You can visit the portal now, click on "Latest" tab, to view a few contributions. I hope that there will be a few contributions daily.
I invite contributors to send relevant materials to sgeportal@gmail.com. They will be retrieved by my editors to be added to the portal. Contributors can do research about the results of past general elections to be written in articles in PDF format, to be added to the portal.You can download a PDF guide on the portal here.
I wish to ask for volunteers to be contributors and editors of this portal.
There were 1,172 downloads of my apps (Easy Tangram and Bright Tangram) over the past two days, around the world. This is much higher than I expected!
I list down the FAQs that are essential for a young person to read before they buy a life insurance policy soon after starting work.
www.tankinlian.com/latest.aspx (Search for "essential knowledge")
http://tankinlian.com/admin/file.aspx?id=172
A life insurance agent uses several statements that are half truths to fool a consumer to buy a whole life or investment linked policy that takes away too much of the accumulated savings of the consumer. Read about these statements in www.tankinlian.com/ask.aspx. Search for "half truths".
http://tankinlian.com/admin/file.aspx?id=170
To CPF
I note that for those age below 54, they will automatically be enrolled in CPF life when they turn 55. While I think CPF Life is a good scheme to ensure Singaporeans have some savings they can tap on when they are old, it may not be an efficient way of allocating hard earn money for some members.
I am a Certified Financial Planner since 2006 and have been in the investment management industry for 20 years. I have a well diversified portfolio and I am comfortable that my wife and I can retire from active work life anytime we may chose to do so. We think we can do better in allocating the CPF monies we have accumulated.
I am sure many members have their retirement plan well thought out and executed. Some members might want to use the CPF monies to start their own small business to provide income for their future. Some may see investing in their kids education a better alternative. I understand perfectly that the CPF Life scheme requires the law of large numbers for it to work but I think it is not fair to force members to be in the scheme if they have better uses and needs for their monies.
I think the scheme should allow for opt out, as long as members can argue for their decisions. To attract more members to stay with the scheme, perhaps the government should chip in to make the scheme attractive (compared to say members investing in private sector annuity scheme). Failing which, the government should set up a fund to provide for any shortfalls of the scheme. Please do not use hard earned monies of some members to fund other members, which I see the CPF Life scheme is all about.
HCM
Here are three responses to SM Goh's speech:
Lucky Tan
Singapore Notes
Singapore Recalictrant
My view
Different people have different perspectives, because they are affected by circumstances in different ways. For most people, they do not earn enough and the cost of living is too high. Their perspective is to struggle daily and feel the discomfort of crowded trains and buses and the stress of life. It is quite different from the perspective of government leaders who earn high salaries and perks, and receive the comfort given by their subordinates.
Here are 10 steps to follow
My view
Many people fail to follow most of these steps. They go to a property launch and listen to the sales talk of the well dressed property agent. The agent tell them that the prices are going up, and get the buyer to sign an option on the spot. None of these steps were followed. The buyer must avoid going to property launches, especially if they have not done any homework.
Beef up your password strength
A strong password isn't your strongest security
My view
I agree with the second article. A complicated password that is changed regularly actually caused problem to the user. The user has to keep several dozen passwords for various logins. If they keep changing, it is difficult to keep track. The security consultants who recommend changing passwords are not practical people. They make life difficult to earn consultancy fees.
What is a metaphor?
My view
I was quite surprised that a person could be arrested just for using what is word like "burn". Nobody pays attention to these statements - except the police who make the address for "inciting violence". How can an unknown person incite other people? Who is so gullible to follow his call, even if he had meant the word "burn" literally?
A undergraduate approached me for advice. She will be graduating in a few months time, and has been offered a job in the Consumer Banking department. Her job was to stand by the ATM machine and to sell insurance products to the customers who went to withdraw money. She has to meet sales targets. She is worried about having to do this type of work and does not know if she can meet the sales target.
As a foreign student on scholarship, she is required to serve at three years bond to work in Singapore. Her career choices are limited. She does not know what to do. I advised her to consider taking a job in teaching.
I received a circulate letter written in Chinese, complaining about a life insurance policy. I used Google Translate to translate it into English. I was amazed. Google Translate did the work in a few seconds. The translation was perfect.
I used Google Translate previously to translate from European language to English. This is the first time that I did for Chinese. Wow!
Read this letter about the anguish of a consumer who has been fooled by an insurance savings plan sold by an agent at a road show.
www.tankinlian.com/latest.aspx (see "Fooled")
http://tankinlian.com/admin/file.aspx?id=171
A consumer ask why some people are recommending to "buy term and invest the rest". He was told that it is better to buy a whole life policy, as the premium will not increase as one gets older. The answer is given in this article.
www.tankinlian.com/latest.asp, search for "Buy Term".
Many people are paying too much for their property, either for own occupation or for rental. They are told by the property agents that the yield is better than interest on bank deposits and that prices will continue to increase further, due to economic growth.
The property agent wishes to talk up the property market, so that more people will invest in properties and they can earn their attractive commission, which can amount to a few thousand dollars.
Investors should realize the facts of property investments:
a) The gross yield on rental may look attractive, say 3% to 4%, but you have to deduct maintenance charges (for condos), repair cost, agent's commission (to rent out the property) and vacancies. The net yield is likely to be less than 2%.
b) The profit made from property is likely to be exaggerated. Many people ignore the cost of investing in property, e.g. stamp duty, lawyer's fees, agent's commission, in computing their profit.
c) Many owners heard that their neighbors were able to sell their property at an attractive price. However, when the put their property in the market, they may have to wait a long time to find a buyer. Some properties are unsold for many years, unless the owner is willing to cut the asking price drastically.
d) Owners are attractive by the high price psf for new properties in the vicinity. They forget that there is a gap of up to 20% between the price psf of old and new properties in the locality. Their property is not likely to achieve the high price psf of new properties.
Do consider these points carefully, and make your research, before you pay a high price to invest in a property.
Read:
http://tankinlian.com/admin/file.aspx?id=124
Tan Kin Lian
Hi Mr. Tan,
I am a 24 year old fresh graduate who has just started working. Recently, I was looking around for a whole life insurance (without an investment linked policy attached to it) and approached a company to ask for a quotation. I asked repeatedly for the proposal document to be sent to me before deciding to sign anything, but the agent had asked me to sign the application first.
I wish to ask if it is a norm in the industry to sign any insurance document on the spot, or is it unreasonable for me to request for the full document before signing anything?
REPLY
You should not sign any document without knowing what it is. There is no such thing as a "norm" to sign a legally binding document blindly. You should consider lodging a complaint against the agent for unethical conduct. Let me know if you wish to take this step. I will help you to write the complaint.
Dear Mr. Tan,
SM Goh ask Singaporeans to see things in perspective. Perhaps, someone can tell him to see things from our perspective. We have to work long hours to earn just enough to pay for the high cost of housing and to travel in crowded trains. I will respect him, if he come and join us in the crowded trains, and then we can see things with the same perspective.
JL
A retiree needs to earn a decent interest rate to get sufficient income to live on. With the low interest environment, they have to consider other types of investments, rather than bank deposits. But, they face the risk of being sold a toxic product that can cause the total loss of their capital.
For the past many decades, the savvy investor already knows the way to make invest money to get a good yield without taking high risk. They choose blue chip shares (which are relatively secure) that pay high dividends. And these shares also have capital appreciation.
Read the FAQ on "high dividend yields" at www.tankinlian.com/ask.aspx
Albert Einstein created a quiz that has puzzled many people for a few decades. I saw it in the Reader's Digest more than 30 years ago. I could not solve it at that time. I have since discovered the technique of solving the quiz. It requires a systematic approach. By learning this approach, you will also learn how to solve other problems in a systematic way. Read this article:
http://tankinlian.com/admin/file.aspx?id=164
Good news for owners of Apple iPhone and iPod
The free versions of Tangram are now available in Apple Store
This reader has an innovative idea on how to save your car from flooding of the basement car park.
http://www.tankinlian.com/Information.aspx?CatID=15
http://tankinlian.com/admin/file.aspx?id=168
Posted at request of Vinod Nair, www.SmartLoans.sg
So you're looking at buying a property and come to realize that you need to get a home loan as well. You call a banks' hotlines, only to speak with a generic customer service rep who's not specialized in home loans. You then wait to be directed to someone who IS a mortgage specialist in the bank, and then have to comprehend a whole lot of mortgage jargon. Even when the banker gives you the rate packages available, you're not sure how exactly it matches up to the other banks and whether you're getting the best deal. Then you call the next bank and go through the same process again.
SmartLoans.sg is Singapore's first Online Mortgage Comparison Platform that allows consumers to directly compare rates and packages from all major banks. All the latest rates and packages are consolidated and available directly onSmartLoans.sg. Our Home Loan Wizard allows you to calculate monthly and cumulative interest payments, and rates them from lowest cumulative interest to highest. You can also set your interest calculation period from 1-3 years also if you plan to refinance your loan in the future.
If you currently have an outstanding mortgage, you can save thousands with SmartLoans.sg. The refinancing calculator helps you calculate exactly how much you stand to save if you refinance your home loan to any of the current packages.
Other LoansSmartLoans also helps you get the best deal for Commercial Property Loans, Renovation Loans, Cash Out Refinancing,Education Loans and Business Loans.
Hello Mr Tan
A parent bought a Family3 policy for a child. He was attracted to the limited 10 year payment and the series of cash bonus and survival benefits, but was not aware about the cost of the insurance. Here is an analysis of the policy and the alternative of investing the same sum of money in a low cost investment fund.
Go to www.tankinlian.com/latest.aspx (search for Family3).
Read this article.
My view
The word "talent" was invented to provide excuse for excessive greed and predatory practices of people earning obscene incomes, e.g. the talented people who created the derivative products and swaps or professionals who charge excessive fees. It was also used to fool the local people to accept foreigners to work in Singapore on favorable terms, while the locals have to bear the burden of national service.
Read this report
My view
It is important for the top leadership of a life insurance company to be stable, so that their policyholders can some measure of certainty on their long term savings. If the top leaders can "jump ship" or make changes to established practices, the uncertainty will be bad for the policyholders. To avoid this uncertainty, consumers should take control of their long term savings, by investing in a transparent, flexible fund. They should avoid locking their savings in a insurance policy that has a high penalty on withdrawal.
Read my book, Practical Guide on Financial planning.
Robert Reich said that to fix the economy, we have to end wage inequality. I agree with his views. If the wage disparity is wide, those at the lower income levels do not have enough money to spend. There is no need to produce the goods. The economy must reduce in size.
Read this article.
My view
To achieve the growth in population, there is a need for public services to be expanded as well. I hope that the essential services can now be expanded to match the larger population.
You can buy this bundle of 5 popular books at an attractive discount of 40%. If you have bought some of the books, you can pass them or sell them to a friend. Do not miss this offer. Order at iShop or click on icon at the right panel.
A citizen complained that the service of Sing Post has turned from good to bad. It is difficult for him to post a letter. He liked Sing Post to provide more letter boxes and collect and deliver mails on weekends.
It is time for us to consider a new way to deliver mail. It is better to have mail delivered through an e-Post Office. Read about this idea in The Bright Town story here. Here is the prototype of the Bright Town portal.
Letter published in St Times Online
Read this letter from a parent, who is a financial planner.
My view
I hope that many young people will read this letter and follow the good tips.
I have a lot of trouble in configuring my Android phone to use Wireless@SG. If you found it easy, please write to kinlian@gmail.com
The survey report has now been updated to show the views of 100 respondents. Go to www.tankinlian.com/information.aspx and search for "Rally"
I need the assistance of an expert to configure MS SQL 2008. Please send e-mail to kinlian@gmail.com.
The Singapore Index Fund is invested to track the ST Index. This can be bought in SGX like an ETF. I was told that it can also be bought like a unit trust. The annual management fee for this fund is 0.55% (i.e. slightly higher than 0.3% for StateStreet and 0.28% for DBS). However, being a unit trust, it allows smaller quantities to be bought, instead of 1,000 units in an ETF. If you have personal experience in investing in this fund, please share it.
In this case study, I analyze the features of a new life insurance policy called the Family3. Go to www.tankinlian.com/ask.aspx and search for "Family3"
Read my FAQ on "Insuring the Unexpected". It is available at www.tankinlian.com/ask.aspx (search for this title).
