Whats your net worth

Originally Posted by Unregistered

Have about 20M now. My advice is to allocate it after some leverage. After leverage say have 30M. 33% leverage is quite conservative.

25% or 7.5M property - 1 for staying. Another 2-3 1+M each ones for investment and rental. Cheaper so more liquid. Would suggest not all in SG. Sorry but i think with networth 20M cannot afford to stay GCB. I will only stay GCB only if my networth is 100M as i believe in at most 20% networth in home.

33% or 10M bonds yielding about 4.5-5%.Do your own 7 year ladder. Can own about 40 bonds. Don't fall into trap of all SGD. Buy the more liquid USD, GBP, EUR, AUD ones. Borrow if you don't want currency risk.

The bond coupons are my daily expenses. About 0.5M should be enough for most people unless you must fly 1st class and change cars, birkins and pp/ap watches regularly.

30% or about 9M. Global equity portfolio. Just dont buy all local stocks. Watch your geographcal distribution too. Watch your equity dont have too much REITs or property. Duplicates with property allocation.

10% or 3M alternatives. For me this is 1M speculative for all those structured notes, EM speculative bonds, currency plays etc. 2M Private equity funds and VCs or even own business assets?

2% or 600K on wants and not needs - 2 cars, watches, jewellery... dont go crazy here.

Hope this helps. Would be good if others share what they do. Like Whizzard?

Assuming this is the portfolio when the global crisis hits, what would you do?

Originally Posted by Unregistered

Assuming this is the portfolio when the global crisis hits, what would you do?

I still work. If another financial crisis comes, a few points :

1) the above is my ideal allocation. I have only allocated property, bonds and equities most of it. In other words, should keep and I still keep about 2m cash.

2) crisis don't just appear without any warning. Even the gfc, there was some scares and rebounds on equities before finally the Lehman crash. The hardest hit was equities. So yes, the blue chip portfolio will be hurt. Maybe up to 50%. And that is assuming I totally fail to take any profit or cut losses. Highly unlikely.

3) property will also drop 20-30%. And not just sg drop but my, London etc.

4) bonds I am mostly investment grade or bb but could have some failures. But even gfc and SARS, there were few my kind of bond failures. So maybe paper loss? Impt hung is coupons continue coming in.

5) leverage is low. Do the math, even if all equity asset half and property drop 40%, bond drop 30%, I am still only only leveraged at 55.5%. Banks won't call still.

6) still quite young and work. So living expense no issue and can pay interests.

7) if crash really come, I will take profit, cut maybe some losses and wait. With cash pool and coupons and income, will make a killing when rebound comes.

If no rebound, it means world is screwed. Money no use then, live with less lor. Learn to be cook or something

Originally Posted by Unregistered

I still work. If another financial crisis comes, a few points :

1) the above is my ideal allocation. I have only allocated property, bonds and equities most of it. In other words, should keep and I still keep about 2m cash.

2) crisis don't just appear without any warning. Even the gfc, there was some scares and rebounds on equities before finally the Lehman crash. The hardest hit was equities. So yes, the blue chip portfolio will be hurt. Maybe up to 50%. And that is assuming I totally fail to take any profit or cut losses. Highly unlikely.

3) property will also drop 20-30%. And not just sg drop but my, London etc.

4) bonds I am mostly investment grade or bb but could have some failures. But even gfc and SARS, there were few my kind of bond failures. So maybe paper loss? Impt hung is coupons continue coming in.

5) leverage is low. Do the math, even if all equity asset half and property drop 40%, bond drop 30%, I am still only only leveraged at 55.5%. Banks won't call still.

6) still quite young and work. So living expense no issue and can pay interests.

7) if crash really come, I will take profit, cut maybe some losses and wait. With cash pool and coupons and income, will make a killing when rebound comes.

If no rebound, it means world is screwed. Money no use then, live with less lor. Learn to be cook or something

Good to plan but no point being paranoid about all the worst case scenarios... Otherwise need to build bunker in tekong with food storage and supplies. Life is too short. If we are lucky enough to have made money, give back to society, be nice to people around us and be happy.

Hi any NSF Regulars want to share their net worth or experience? Looking to sign on study set aside some money for a small business hopefully retire , invest more and live happily in singapore near a golf course ^^

Underperforming 44, 42 yo couple. Total net worth only $2.3m. Annual savings $30k pa. Salary has stagnated. Hope to retire at 60. By 60, we should have a net worth of $3m. We will need to downgrade from our terrace house (currently worth $2m) to a studio condo (next to an MRT station) when we retire. Will also sell our car and take public transport.

Any couple in their 40s has a net worth lesser than us? Are we doing badly?

I'm 47, single. Owns a HDB flat in Clementi worth $700k. Rents out two rooms, getting $2k pm in total. As a single with no more loans and commitments, I plan to retire when I reach 55. I don't spend much. I can survive on $1500 pm on food and utilities. Net worth, including flat is $1m.

Originally Posted by Unregistered

Underperforming 44, 42 yo couple. Total net worth only $2.3m. Annual savings $30k pa. Salary has stagnated. Hope to retire at 60. By 60, we should have a net worth of $3m. We will need to downgrade from our terrace house (currently worth $2m) to a studio condo (next to an MRT station) when we retire. Will also sell our car and take public transport.

Any couple in their 40s has a net worth lesser than us? Are we doing badly?

Originally Posted by Avatar

How did you manage to accumulate such wealth in 8 yrs? care to share with us?

Bulls***t one you also take it seriously?

What is your current income? Why do you say your salary has stagnated? Because if it is really so, you are in deep deep trouble. With inflation, your stagnated income will decrease in real terms every year, meaning you will not be able to save $30k pa. Your net worth of $2.3m now might even reduce by the time you reach 60.

An inflation rate of 3% pa will reduce your net worth by half after 20 years when you reach 62.
Best to upgrade skill to get higher pay or plan to work beyond 65. 3% inflation fallacy hurts retirement savers - MarketWatch

Originally Posted by Unregistered

Underperforming 44, 42 yo couple. Total net worth only $2.3m. Annual savings $30k pa. Salary has stagnated. Hope to retire at 60. By 60, we should have a net worth of $3m. We will need to downgrade from our terrace house (currently worth $2m) to a studio condo (next to an MRT station) when we retire. Will also sell our car and take public transport.

Any couple in their 40s has a net worth lesser than us? Are we doing badly?

We are not so concerned of inflation as our net worth is largely our home - property. Given that property is a good hedge against inflation, if inflation is high our property will appreciate in value at a higher rate. So by time we reach 60, it is possible our property value will double. So it could be worth $4m or more. We will then sell, we could even downgrade to a HDB flat if it makes sense. Please don't tell me you can't retire with $4m?

Originally Posted by Unregistered

What is your current income? Why do you say your salary has stagnated? Because if it is really so, you are in deep deep trouble. With inflation, your stagnated income will decrease in real terms every year, meaning you will not be able to save $30k pa. Your net worth of $2.3m now might even reduce by the time you reach 60.

An inflation rate of 3% pa will reduce your net worth by half after 20 years when you reach 62.
Best to upgrade skill to get higher pay or plan to work beyond 65. 3% inflation fallacy hurts retirement savers - MarketWatch

Have you actually done a check / assessment with a financial advisor before? You are the only one who can decide if $4m is adequate or not, in 20 years time when you retire and some more the money is supposed to last another 25 years?

After you sell $4m property, you will need to buy $1m HDB? leaving you $3m. Would expect that even a 4rm flat could cost that much in 20 yrs time. With 3% inflation, $3m 20 years later is probably worth $1.5m (today's value). Can that last you another 25 yrs?

Best to work the sum through. Retirement Calculators - CNNMoney

Originally Posted by Unregistered

We are not so concerned of inflation as our net worth is largely our home - property. Given that property is a good hedge against inflation, if inflation is high our property will appreciate in value at a higher rate. So by time we reach 60, it is possible our property value will double. So it could be worth $4m or more. We will then sell, we could even downgrade to a HDB flat if it makes sense. Please don't tell me you can't retire with $4m?