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Old 18-07-2017, 11:44 PM
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Hi, thank you for This. You have nailed on all of it and this is exactly how I feel. I read about bonds and investments and At this stage I am not willingly to take up too much risk due to market conditions and unless I have a good nest to start with, taking account that my child is still young. Bonds are not as safe as fixed deposits and I just want to build up my target savings before I start investing or looking for other tools to earn more interest. I feel that it is better to have a better cash position than to quickly jump into bonds or stocks at this time. =)

Originally Posted by Unregistered View Post
Bonds are not without risks especially the non rated ones which tended to be those giving higher yields. It was just last year? that a few bonds (those related to O&G) went belly-up and investors lost their capital.

Given the current relatively high stock market valuations, it is ok to sit tight on cash position. Holding cash is also a strategy in the overall investment scheme of things.

If she is secure in her employment, then yes, I would agree for her to take a little risk and invest for potentially higher returns.

I have gone through this phase before where I have set a savings target to meet. The surest way (not necessary the quickest nor the most efficient) to meet the target was through pure savings and keeping the savings in an FD.

But once my capital has grown bigger, it gets easier to take on more risk. And thats when I started investing in stocks and eventually progressing to property investment. It's about comfort level and margin of safety.

There is no right or wrong.
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