Net Worth Update Oct 2025 | SGD 2m Milestone Achieved!

 

In October 2025, my net worth has crossed the SGD 2,000,000 milestone, mainly turbocharged by the S-Reits and DBS in my investment portfolios, CPF contributions, US option premiums and salary savings.

Net Worth Breakdown:

Safe Heavens (60%)

CPF (34%): CPF still constitutes the bulk of my net worth and foundation of my retirement savings. It is a low hanging fruit tree that we should not ignore.

Cash and war chest (17%): Liquid reserves strategically stashed in fixed deposits and Fullerton cash funds earning around 1+% p.a. provide me some peace of mind and security for unexpected expenses or investment opportunities.

Bonds (9%): A balanced portfolio of low-risk Singapore Savings Bonds and Astrea PE Bonds ensures stability and provides steady source of passive income.

Retirement Savings (16%)

SRS (12%): A tax-deferred savings account serving as a supplementary source of retirement savings. My SRS funds are invested in $30k of SSB and 6 local stocks - Comfortdelgro, DBS, OCBC, Keppel DC Reit, Keppel Reit and Wilmar. I have subscribed to 1,000 Keppel DC Reit preferential offer shares at $2.24.

Insurance (4%): A Prudential whole life insurance plan and other savings plans will provide me with 6-digit lump sum payout after my retirement while offering continual protection for peace of mind. I have also upgraded my Medishield Life to integrated shield plan for private hospital coverage.

Equities (24%)

Stocks and Reits (24%): A real estate-focused portfolio of stocks and Reits provides long-term dividend income and stability. This financial asset class is riskier, more volatile and sensitive to interest rates but offers me the opportunity to indirectly own diversified portfolios of industrial, retail and commercial properties locally, and around the world for consistent passive income. I am currently more active in the US stock market by selling cash secured put options to collect premiums from tech companies that I want to own i.e. AMZN and ADBE.

The Pursuit of FIRE

Net worth is a snapshot of our financial health calculated by subtracting liabilities from assets. In the context of FIRE (Financial Independence, Retire Early), net worth becomes a critical compass. It reflects not only what we own and owe, but how close we are to reaching financial freedom.

By building passive income cashflows and increasing net worth, we move toward a point where our investments and savings can cover our living expenses without active work. This is often referred to as the “FI Number”—the amount of net worth needed to sustainably fund your lifestyle, typically based on the 4% Rule or similar frameworks.

But the pursuit of FIRE is not merely a race toward early retirement. At its heart, it is about reclaiming control: of our time, our choices, and the way we experience life. It’s about creating flexibility—to work if we want to, to take breaks when needed, or to explore passions full-time.

This journey is a deliberate investment in security. As our net worth grows, so does our buffer against life’s unpredictability. We gain confidence to navigate challenges without the looming pressure of financial instability. Financial independence empowers us to design a life we do not need a vacation from, with space to breathe, to live, and to thrive.

The recent resurgence of stock markets hitting new highs has accelerated my pace towards achieving the psychological milestone of SGD 2m, which I am lucky to have achieved before age 40. Moving forward, I am looking forward to at least $36k annual passive income by end of this year and growing my net worth to SGD 3m by year 2030.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. It's crucial to conduct your own research or consult with a qualified financial advisor before making any investment decisions.

Thanks for reading.

With love and peace, 

Qiongster

Will I Subscribe to Keppel DC Reit Preferential Offering at $2.24 in SRS account

 

On 22 September 2025, Keppel DC REIT, in a joint announcement with its sponsor Keppel Ltd, announced the acquisition of Tokyo Data Centre 3, a newly constructed, freehold hyperscale data centre in Inzai City, Greater Tokyo, Japan. 

The total purchase consideration for the facility is JPY 82.1 billion (approximately S$707.0 million), with Keppel DC REIT securing a dominant 98.47% effective interest. This transaction, which is expected to be completed by the end of 2025, represents a strategic move to deepen the REIT's presence in Japan, the largest data centre hub in the Asia Pacific (excluding China). 

The asset is highly desirable as it is fully contracted to a Fortune Global 500 hyperscaler client under a 15-year lease with built-in annual rent escalations, which significantly strengthens the portfolio's income stability and resilience. The acquisition is projected to be immediately Distribution Per Unit (DPU) accretive, with a pro forma DPU uplift of 2.8% for FY2024. 

To partially fund the deal, Keppel DC REIT has launched a fully underwritten, pro rata, non-renounceable preferential offering to raise approximately S$404.5 million, with the remaining financing to include JPY-denominated debt for a natural currency hedge.

Current shareholders of Keppel DC REIT (KDC REIT) are now faced with a common but important decision: whether to participate in the non-renounceable Preferential Offering (PO) at an issue price of S$2.24 per new unit on the basis of 80 units for every 1,000 units held.

This isn't just about snatching a small discount; it's about aligning our capital with the REIT's future strategy. Here's a breakdown of the key factors we need to consider.

1. The Rationale Behind the Offer

A preferential offering is typically a means to raise capital for growth, and KDC REIT's is no exception. The gross proceeds of approximately S$404.5 million are primarily earmarked for strategic initiatives:

• Acquisition of Tokyo Data Centre 3: A significant portion of the funds will partially finance the acquisition of a freehold, newly constructed hyperscale data centre in Inzai City, Greater Tokyo. This is a strategic move to deepen KDC REIT's presence in one of Asia Pacific's largest and most established data centre hubs (excluding China). The asset is fully leased to a global hyperscaler for 15 years with built-in annual rent escalations, offering long-term income stability.

• Asset Enhancement Initiatives (AEI): Funds will also be used for an AEI at Keppel DC Singapore 8.

• Land Lease Extension: Covering costs associated with the 30-year land lease extension for Keppel DC Singapore 1.

• Debt Repayment: A portion will be used to pay down existing debt, helping to maintain a healthy balance sheet.

The acquisition of the Tokyo Data Centre is expected to be yield-accretive, meaning it should increase the distribution per unit (DPU). Pro-forma analysis suggests a DPU increase of around 2.8% for FY2024 if the acquisition was completed then, which is a major positive for income-focused investors.

2. The Mechanics and Financial Impact

The core entitlement allows unitholders to subscribe for 80 new units for every 1,000 existing units held at the record date.

The Discount Factor

The issue price of S$2.24 is set at a discount to the prevailing market price (the unit price was S$2.36 on the day before the announcement). This discount is your immediate financial incentive for subscribing, as you acquire units below the cost of purchasing them on the open market at that time.

The Dilution Risk

If you do not subscribe to your full entitlement, your percentage ownership in KDC REIT will be diluted. The total number of units in issue will increase by about 8% (approximately 180.6 million new units). While the acquisition is DPU-accretive, non-participating unitholders will own a smaller slice of the enlarged DPU-accretive pie, slightly lessening the overall benefit for them.

Should You Apply for Excess Units?

The offering is non-renounceable, meaning you can't sell your rights. However, you can typically apply for excess units. Given that major shareholders have already committed to subscribing in full, and the offering is fully underwritten, the allocation of excess units to minority unitholders may be competitive. But if you have the capital and conviction, applying for excess units allows you to maximise your investment at the discounted price.

3. Verdict: What Should You Do?

The decision boils down to your long-term view on KDC REIT and its sector.

Scenario	Recommendation	Rationale
Long-Term Bullish Investor	Subscribe in Full	You maintain your ownership percentage and benefit from acquiring units at a discount for an accretive and strategically sound acquisition. This aligns your capital with the management's growth vision in the high-growth data centre sector.
Short-Term/Neutral Investor	Consider Subscription	The immediate discount and DPU accretion provide a strong case to subscribe to at least your entitlement. Selling later could potentially yield a profit depending on post-issue market dynamics.
Bearish/Unwilling to Add Capital	Do Not Subscribe	Understand that your stake will be diluted. The long-term DPU accretion from the new assets may still benefit you, but less so than for a participating unitholder.

Bottom Line: The acquisition of a fully-leased hyperscale data centre in Japan, with built-in rent escalations and expected DPU accretion, is a strong strategic move. For existing unitholders, subscribing to the Preferential Offering at S$2.24 allows you to participate in this growth at a favourable price and mitigate the dilution effect.

What will I do?

As I am vested in 11,000 shares of KDC in SRS account, I can only subscribe to the preferential offer shares using SRS funds, which I have deployed to money market funds. I am currently redeeming my market market funds and they should arrive in my SRS account next week I will be then able to subscribe to 1,000 shares (excess 120 shares on top of my entitlement of 880 shares) before the dateline of 13 Oct 2025, 5.30pm. The listing and trading of the new shares will commence on 22 Oct 2025, 9am.

Thanks for reading.

With love and peace, 

Qiongster

Disclaimer: This article is for informational purposes only and is not financial advice. Readers should conduct their own research and consult with a financial professional before making any investment decisions.