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Old 26-12-2019, 02:03 PM
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Originally Posted by jurongeastboy View Post
Dear fellow Singaporean, I am 26 this year and have just graduated not long ago and is currently holding a full time position having a gross salary about 3k per month and taking home about only 2.4k
Due to my current family situation, I have to fork out 1.5k per month for my family bills, education loan repayment and etc and is left with only about 900 per month for my own usage. Recently I was studying on what I can do on investing because I wanted to start investing early but I just could not fork out a lump sum of money at the moment to do so. One method I researched on is to dollar cost averaging(DCA) into SPDR STI ETF using DBS upfront cash account every month consistently which will cost me about $350/month given the current pricing of the etf. My concern is whether is it viable to do this for a few years eg.5-10years or maybe there is better advice or alternatives that I might not heard of yet? Times are tough for me and my family these few years and I am currently working off to mainly clear all debts asap.
Should you invest while in debt or service the debt first before investing.
Can the profit from my investment outperform the interest of my debt and commission?

If yes, go ahead with investing. Factor in interest of your debt+commission and compare to investment performance.

If no, clear your debt first. Every time you pay off your principal amount, you also chip of a part of your compound interest over the time needed to clear your debt.
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