Is US stock going into correction?

 Uncle tracks my asset valuations once a month. There is a non-trivial decline comparing Feb to Jan 2025. This isn't pleasant for someone who doesn't have income from work, and depends on cashflow from investments, as well as capital preservation from investments. Yes, these are paper value, not realize losses. But it still bothers me. Some fat dividends are coming in Mar and May to cushion this fortunately. Still, it's both refreshing and alarming to go through this experience...the experience of not working and seeing investments value drop. It can be depressing. 

But I must step back and see the bigger picture. Things can do down/up in market in short term, key is to have a cash buffer to ride it out and to also invest wisely and diversify accordingly. 

Wish me good luck and fortune! 

Maybe I will strike TOTO!! that would solve my problems!! hahaha 

Property prices in Singapore, rant

 Been to a few new launch condos recently. These are OCR condos, mass market ones, usually around 500 units.

3BR are around 1000sqft, priced from S$2300psf, and 4BR starts from 1180sqft, priced from $2200psf

This means, a 3BR will set you back at least S$2.3M

Assume you can take maximum loan, you will still need to down 25% at least, plus 3% BSD, plus legal fees etc. That's around S$650k!

And people are complaining how expensive HDBs are. With $650k, you can literally pay off the HDB, unless you are gunning for the large units or popular ones that could go above $1M

I really wonder how long will the govt continue to let the private property prices go up. 

As a reference, an OCR new condo costs around $1800psf in 2020. So in less than 5 years, it jumped 27%. This is around 5% p.a., which some may say, that's inflation! Well, it could be possible. As long as it goes along with inflation, I guess that is ok?

but what would the the limit? Young people will find it harder to get private property. This puts a damper on aspirations and motivations. 

Staying in HDB is of course perfectly fine, but the point of private condo is more about that jump in capital and asset value to help one hit financial goals/freedom. Once you have an HDB, there are strict rules and also ABSD should you want to venture into investments in private properties. I guess it's a good thing to prevent clueless/reckless people from going kaput.

Importance of exercise and breakfast

 Recently, I have started to make an effort to eat well for breakfast. Here's what I do:

a glass of milk + banana at 620am before doing school run

Back home around 750am, I'll have 2 hard boiled eggs, a cup of black coffee, and some bread with jam, and maybe another banana

This keeps me full until 12pm, and I don't have to eat a large portion for lunch that way.

I also feel more energetic 

Also, I'll do some light exercises if its not my routine gym run/chin up day

Before I quite my job in Q3 2024, I never really take care of my meals. I was just on autopilot

And my exercise routine was non-existent, only going for some threadmill run when I am free from work.

It took a toll on my physical and mental health. I was constantly dozing off daily around 3-4pm, needing to take a 1-2 hour nap in order to make it through the day

Now, I seldom feel the sleepiness anymore, but it isn't completely eradicated, especially if I don't get enough sleep at night.

I'll try to fall asleep by 1130pm each day, giving me 6.5 hours of rest. I think anything less than that, I'll run the risk of insufficient rest. 

Here's to a healthy 2025, both physically and mentally. 

Taking care of myself is my priority now. If I am not well, I can't enjoy life, I can't take care of my loved ones. 

why big houses

Just a random thought in my mind as I was watching Youtube videos showcasing large landed homes for sale. Not that I am keen to buy one even if I can afford one. I am just curious how these large homes are furnished and how the owners live in them, via observation of the items in the home.

This particular semi-d home, has 3 storeys and at least 5 or 6 bedrooms, comes with a basement carpark for 2-3 cars, and have a 10m pool in front of its living room at ground floor.

It does look like a multigenerational family live in it, with young kids included.

But definitely, this is way too much space for this family. But I can also see that they have no problem filling up the house with items.

There's a large basement entertainment room, with long u-shaped sofa that can seat more than 20 people, complete with expensive looking audio/visual gears for some serious KTV sessions. And it also has a bar counter, complete with a wall full of expensive wines/liquor etc, with more in boxes on the floor.

On the second floor, there's a room dedicated to a large altar, facing a balcony. So this is a religious Chinese family! 

So what am I thinking?

Well, I am just amazed how people will tend to fill up a home, no matter the size. Give them 10 bedrooms, and they'll use it, and get stuff to fill them up. It's like no end in sight.

I am not envious of them at all. I am just feeling a little grossed out by the fact that in land scarce Singapore, some folks have no problem using their financial resources to get houses that are oversized for their needs, and as a result, end up also buying more and more stuff to fill up the house, since why not use the space right? Yes, it's none of my fucking business how they want to live their lives and how they want to use their supposedly hard-earned money. But from a resource consumption POV, it's just gross. How many toilets does one need? How big a bed to sleep on does one need? How many pillow does one need? Is there no end?

Wouldn't buying more and more stuff just means you will first, have to take care of them using your limited lifespan, second, you have to store or throw them away?

I am not advocating that they live like a shrimp and donate their riches. Heck I don't care if they just keep their money invested or inside the bank, but to consume things at this level, it's just plain gross. 

Show this to a regular family (80% of people) living in public HDB flats, I am quite sure most of them will be shocked at the excesses. 

Maybe this is a lesson for myself too. I am not rich, but I cannot say I am poor. I am just kind of comfortable and fortunate. Which means I have my fair share of over-consumption and wastage, especially when I was still gainfully employed with a decent pay check. Now at this age, many of these consumption patters no longer give me the same level of joy, which means I either have to up the consumption for more fancy things to get the same feeling, or I need to find that same feeling without more consumption (which is something I should do to secure my financial future).

One thing I realised is, simple things in life can make me happy. For example, regular exercises, simple good food, nice coffee, good conversations with people, and finding good deals during sale to get essentials, and the occasional indulgence of buying a nice gadget. Everything has a point of diminishing returns, and I hope I can be successful in this optimisation exercise

Why I like Trump

Maybe it's none of my business as he is not my country's leader, but US is not to be ignored at all. His policies will have global effect, and will affect my investments and USD values. 

My simple man on street view is, he is more unpredictable and therefore he is stronger. He will make adversaries think twice before doing funny business. And that by itself is already a win.

I am glad to hear he is serious about controlling illegal immigration from south, just hope that innocent people are not hurt in the process, i.e. it should be fairly done. The substance abuse situation is out of hand in US I feel, I hope it becomes safer for my friends over there.

CPF balance Jan 2025

 

what percentage of portfolio to be in equities?

I have been wondering lately about this issue. Why am I asking myself? As a person who is approaching 50 and does not have an income at present, I need to be strategic in allocating my assets. My concern is that if I invest too much in equities, a big crash could put me in a difficult situation because I still require cash flow to pay for mortgage and bills. There is no assurance of dividends being there when the market turns. What if some of the counters I have cease to distribute or even go bankrupt? So it's important to maintain a portion as cash/bonds, serving as a buffer to sustain me in times of need. Plus, the ability to buy into distressed companies and wait for them to recover is a must-have skill set for investors like myself. Currently, I am at about 67% allocation for my own portfolio and this becomes 50% when adding cash from my spouse's funds. While I will maintain a balance of 70% equity/equities ETF allocation for myself, I will put a hard limit of 70% combined with wife's funds to prevent me from being overweight in stock market. If the value of equities exceed the 70% hard limit, I will take profits and convert them into cash/bonds/SSS/T-bills/FD accounts.

CNY 2025 ang bao notes

Virtual queuing for Fit for CNY notes, the brand new notes are all reserved. I wonder when the clock starts, 12an?? Damn

Hopefully I get some notes. I don't care if they are brand new or not, just not dirty or crumbled will suffice. Probably change the max amount for $50 and $10. Hardly use cash these days, always keep inside cabinet for CNY use only, and maybe from reversing forex currency after a trip.  

Huat huat everyone

CDC Jan 2025

 Angbao is here! Must remember to use them. Muahahaha 

CPF interest 2024

 Interest lip lai liao!

And MA overflow to OA ! That’s additional 2 months for mortgage deduction