The August 2024 tranche of Singapore Savings Bonds (SSB) has an average yield of 3.22% over 10 years.
The first 6 years yield a flat 3.19% per annum; 7th year yields 3.2%, 8th year yields 3.28% p.a and 9th, 10th years yield 3.31% p.a.
The August 2024 tranche of Singapore Savings Bonds (SSB) has an average yield of 3.22% over 10 years.
The first 6 years yield a flat 3.19% per annum; 7th year yields 3.2%, 8th year yields 3.28% p.a and 9th, 10th years yield 3.31% p.a.
Here is an update of my net worth for July 2024.
It has surpassed my 2024 target of S$1.65 million to hit S$1.667m, another record high thanks to the recent CPF contributions, salary savings, dividends and rebound of S-Reits in my investments.
Since returning from a Shenzhen trip in early July, I have been frugal living my daily life, eat-work-sleep-rinse-repeat. I have even rejected a job offer which pays more than $10k a month as its annual compensation is lower than my current one and I am currently entrenched in my comfort zone of hybrid work which supports flexible WFH everyday unless there are physical meetings in office.
I now look forward to achieve a net worth of S$1.7m by 31 Dec 2024.
Asset Breakdown:
Safe Heavens (62%)
CPF (36%): Huge shoutout to my CPF for making a significant portion of my wealth. Attaining Full Retirement Sum FRS in 2022 was a great accomplishment.
Cash and war chest (16%): My cash is strategically placed in fixed deposits and Fullerton cash funds earning over 3% p.a.
Bonds (10%): A mix Singapore Savings Bonds and Astrea bond provides stability. I intend to add the upcoming Aug 24 SSB with average yield of 3.22%.
Retirement Savings (13%)
SRS: I have already maxed out the $15.3k contribution limit for 2024, adding another layer to my retirement savings plan.
Insurance: I also own Prudential Pru-life multiplier whole life insurance plan and other savings plans which in total, could provide me with 6-digit lump sum payout after my retirement age.
Income and Growth Assets (24%)
Stocks and Reits (24%): This portion of my portfolio caters for generation of passive cashflows and potential growth, with a focus on long-term compounding growth through dividend investing.
Tracking net worth is not just about the final figure. It is about seeing the results of all those past financial decisions. This update is a reminder that every step forward, big or small, is worth celebrating. This keeps me motivated on the journey towards financial freedom.
Thank you for reading!
I recently had the opportunity to explore both Shenzhen and Hong Kong, two cities in China that, despite their proximity, offer vastly different experiences.
Towering skyscrapers, futuristic architecture, and a palpable energy permeate the air. Shenzhen is a city obsessed with innovation. Tech giants like Tencent and Huawei have their roots here, and the city's streets are teeming with startups and tech enthusiasts.
What struck me most was the city's relentless focus on the future. Everything from transportation to infrastructure is designed with efficiency and modernity in mind. The ubiquitous presence of electric vehicles, the seamless integration of technology into daily life, and the government's unwavering support for entrepreneurship create an environment ripe for disruption.
In stark contrast to Shenzhen's futuristic landscape, Hong Kong offers a harmonious blend of East and West. Its iconic skyline, a mix of colonial architecture and towering skyscrapers, is a symbol of its rich history and global influence. The city's vibrant culture, world-class shopping, and delectable cuisine make it a magnet for tourists and business people alike.
However, beneath the glitz and glamour, Hong Kong is grappling with its own set of challenges. The rising cost of living, political tensions, and the looming shadow of mainland China's influence are casting a shadow over the city's future.
It has been an unique, eye-opener and wholesome experience.
As shared in an earlier blog post, this was a budget trip funded by passive income and was booked merely 3 weeks in advance with minimal planning.
Here are some reflections on the trip.
Day 1: Arrival at Bao'an International Airport, Check-in Lan'Ou Hotel, Kingkey 100 Tower, Dongmen Pedestrian Street
Day 2: Hong Kong - Tsim Sha Tsui, Avenue of Stars, Victoria Harbour, International Finance Centre, Central Mid-Levels Escalator, Electric Pram, Festival Walk Mall
Day 2 was interesting as we visited Hong Kong for the first time in our lives and entered by foot as we trudged into the immigration via Luo Hu Port from Shenzhen. Clearing both immigrations was a breeze and took less than 40 mins.Day 3: Kingkey Banner Centre, Seaworld and Shekou City walk
We started the day with some shopping at the Bigoff outlet in Kingkey Banner Centre, at Shajing, north of Shenzhen. Authentic old stock of branded clothes can be found and knock-down clearance prices ranging below $15 for a T-shirt and below $40 for a pair of Adidas or Nike sneakers.Day 4: Qiushuishan Park, Shenzhen Bay Park
In the morning, we visited a non-touristy Qiushuishan Park where there is a small replica of Great Wall of China and viewing point of the entire Shenzhen landscape.Day 5: Huaqiang Bei Commercial Street, Bao'an International Airport
Day 5 was almost the last day as our flight was at 3.30am on the next day. We packed up and checked out of the hotel at around 1pm before exploring the Huaqiang Bei Commercial Street, which hosts an electronics and digital hub exporting gadgets and electronics parts wholesale to rest of China and the world. We had lunch there and visited a few malls, each specialising in mobile gadgets, assessories or computers respectively.Due to shortage of time, there are many places of interest that we did not manage to cover - Window of the World, Ping an Tower, Splendid Folk village, Dafen oil painting village, other parks and so on.
Let me briefly share on some takeaways from this trip.
1. Digital Cash is the future King
Immersed in the digital ecosystem of payments and micro-apps in Shenzhen, we did not encounter any failure despite initial glitches with registration or timeouts in the Wechat and Alipay apps. In China we could ditch away our wallets and purses as cash, coins and keys become obsolete in a Smart city. It is strange to realise that no shop nor restaurant encourage manual orders nor accept cash. We could easily top up our multi-currency cards such as Youtrip, Wise, Revolut or even use native OCBC, UOB or DBS apps to scan Alipay or Unionpay QR codes in China for payment. Digital Cash is just numbers online and will be the King of the future!
2. Transport is robust and complex
The metro system in Shenzhen is much more complicated and complex than Singapore's. There are 16 lines, each with different colours- navy blue, light blue, purple and so on. Usually, from point A to point B, there are more than 3 routes and we need to find the most efficient route by Baidu map. Fewer stops do not mean shortest path.
3. Chinese technology is impressive
While using Baidu for GPS navigation, I realized that they are much better than Google map in terms of reactivity, precision and accuracy. We will be prompted instantly on a any deviation from proposed route and the accuracy can be down to less than 1m. I was impressed that Baidu is able to detect in real-time the station I am at on the bus or metro while during navigation. The computation of estimated time of arrival is also very precise. The widespread adoption of smart technologies, electric vehicles, apps and sensors in the city could cause over reliance on power and promoted the need for power banks rental stations for phones and battery swapping stations for electric vehicles. Robots and AI technologies are also prevalent in hotels, retail industry and payment scenes. Alipay supports facial payment while Wechat pay supports palm payment. Technologies used for advanced use cases such as clearing immigration are beginning to be being deployed widely for daily use needs.
4. Great food and hotels at affordable prices
The food in Shenzhen is predominantly Canton style, delicious and at much cheaper prices compared to Singapore or Hong Kong. They also have local food shops like coffeeshops in Singapore offering $3 rice or noodle buffet with local dishes. Their atas restaurant prices are only at our food court levels while our restaurant food prices can afford fine dining or international buffet in Shenzhen.
5. A City Rich with Culture and Vibes
Contrary to the claims of those who view Shenzhen as lacking in culture due to its significant migrant worker population, I believe the city is both vibrant and welcoming, with a unique and dynamic atmosphere.
Situated in the Pearl River Delta region, Shenzhen boasts a prime location, surrounded by natural beauty and positioned at the crossroads between Asia and the West.
My travels between Shenzhen and Hong Kong underscored the rapid pace of change in Asia. Shenzhen's relentless drive for innovation and openness to the future serve as important lessons for cities worldwide. Meanwhile, Hong Kong’s rich historical tapestry and global connectivity highlight the value of preserving cultural heritage while navigating contemporary challenges, much like Singapore’s approach.