Monday, 15 December 2014

Life goes on in the World's Most Expensive Country

Hello everyone, it's been quite some time since my last post.

Have been catching up with my studies, going for army check-ups and everything else that goes on in a life of a polytechnic student.

I recently received an email from Hady, who found my blog via a search on Google.

And the email went like this,


I came across your blog after googling about investing in blue chips and I've gotta say, it has helped me begin to save up/invest or at the least, be motivated to. 

 I had one of 'those days' last week or so and just began to think about life and my future, and how I'd want to live it. 

Hence the sudden realization that something has to be done. I'm currently serving NS right now (enlisted back in June) and I just wanted your advice on some things. Given that my monthly pay is around ~600. I've decided to allocate 100 to my emergency fund, 100 to investments and another 100 to my insurances, with the remainder for expenditure. 

 As for the investments, am I right to say that it's more feasible for me to go for POSB's Invest Saver as it has a lower fee compared to OCBC's BCIP? I'm leaning closer towards POSB at the moment but something else pops to mind. 

 I understand that these 2 options are non-diy and for someone like me who only has his precious weekends to look forward to, it's a godsend. However, is it truly a better option? POSB doesn't allow transfers to our cdp account (not that I have one.. yet) but OCBC does. Is this significant for someone in my position? And how about the diy method? Opening an account through scb and buying stocks through there seems like an idea though I have no clue how to do that. 

 Let me just put across that I have no experience whatsoever in investments but I am willing to learn and make changes to my life haha. 

Need your 2cents!

Hope you can help, thanks! 


I will attempt with my limited knowledge to answer your questions to the best of my ability. I have posted this online, so that other senior bloggers can help in answering any questions with their experience.

I'm happy that my blog has motivated you in some ways to begin saving and investing your money for the future, especially with the increasing political uncertainty in Singapore and our "Under-Happy" population. 

Everyone has their 'one of those days' when they are struct by a certain awakening and realisation of the uncertainty of his/her future and begins to find ways to begin planning.

Since I have not yet enlisted, I do not yet possess the knowledge of insurance that are obtainable in the army. $100 each to your Emergency Fund and Investment Fund sounds good. That leaves you with approximately $300 or so to fund your other expenses. Might I suggest, that you also put aside some money for your Savings? Emergency Funds and Savings should be kept in separate savings account.

For example, I use Maybank for my Emergency Savings, OCBC for my Savings, StanChart for my investments and POSB as my main expenses account.

Personally, I feel that POSB Invest Saver is decent, with a lower fee that OCBC BCIP. It's ideal if you are only planning to invest small sum of money each month. OCBC BCIP may be ideal for higher monthly sums.

Not allowing you to transfer to CDP account isn't really a big deal for me as Custodian accounts work fine. When you're older, you can always use CDP to store shares that you can purchase with CPF money. 

CDP Account is very easy to open. I myself have opened an account but I currently don't use it. Buona Vista :)

Signing off,
Teenage Investor


  1. $100 per month on insurance sounds excessive. 1.2k per yr. Whole life? Bad idea at this age. Can he sustain the payment forever? Is it investment linked? Then it's a bigger nono. The only insurance I think he shld get is H and s plans. Shouldn't cost that much. Life plan? Nah, same as whole life... Don't need at this point in time. Likely won't have dependents at this age.

    I also don't know what's the emergency cash he is holding per month to he used for.

    1. Hi LP! Long time no see!
      $100/month sounds quite excessive to me too! But as I have no knowledge on Insurance yet, I shall not comment haha.
      Maybe you can do a post on insurance one day, I'd definitely read it :)

    2. Hi! Okay, no guarantees.. I'll see if I can do up something :)

  2. Hi

    Thanks for the replies guys. Well, I have not yet put aside the $100/mth for insurances as I still haven't done enough of my own research. I've just heard that besides your usual investments, having/buying a premium insurance is another way of getting yourself covered and getting back your money after a specified time frame. I guess it's investment linked? Why is it a bad idea?

    Just for reference, I got the idea off this website;, point 3. Any input would be grateful :)


  3. Hi guys,

    First of all, do not get anything until you read up. It's better not to do anything than regret. There's going to be quite a lot of agents who like to pounce on NS boys.

    That being said, have a preview of the different kinds of insurance here:

    I suggest you read up the article under the "Be educated" button. It's helpful. It might sound like a lot of work to read, but that's the first step. If you don't take the responsibility to read up, then you'll always rely on professionals who might or might not have your interests at heart. Trust but verify ;)