Housing – Buying/Selling (Learn it in 1 chart)

Singapore Property Price Index is the only thing u need to know


Resale & New flat (SRX) – Overall an uptrend market

The property index depicts the current health of the property market hence knowing this is vital. Looking at the chart, the first area (Between the red lines) was caused by the dot-com crisis followed by the gulf war. In 2005 (Green line), Government injected stimulus that boosts the housing price. Lastly, 2008 (Last set of red lines) the housing bubble crisis.

Learning to interpret the chart will help you in buying and selling your house at the so-called “right” time. For example, in 2005 the Government have introduced a stimulus whereby Individuals can take up to 90% loan and only have to pay a 10% downpayment for the house. Which mean you would probably get a good loan rate (Since housing is down) and you have added 10% spare cash (since you don’t have to pay 20%) to invest. Remember at that point of time stamp tax for your second house is 0%

In a “housing-nut” shell, seeing how stimulus and external markets can affect the property price in Singapore, all you need to do is to reinterpret it to your best advantage. (Where professional bullshiters would say to buy low & sell high)

“So how should you buy or sell – That’s the billion dollar question”

Let wait for the next cooling measure and stimulus together 😦

p.s imma buyer

+1 Knowledge point


Financial Independence – How I plan to achieve it (3 Steps)

It was 3 years ago where I start to see the importance of money, time and all the bullshit.

In order to plan the steps to achieve Financial Independence(FI), I have to first define what is my maximum spending amount a month that I think is sufficient (Physically, Emotionally, Spiritually).

The figure would be $10k a month

That number includes – housing rental, bills, parents allowance and all the other materialistic crap.

The next step(2nd) is to figure out the formula to achieve that amount (which I will call it FI). Obviously, the most popular theory is to study hard(Academic knowledge) and work your balls off in order to reach a certain position(fight with financial instability and the time wasted) and KACHING $$$. Being young and ambitious, I choose to go against that.

 K + P.I = FI

Knowledge(K) + Passive Income (P.I) = Financial Independence(FI)

Take for example, if you only have the knowledge to make cakes but you would love to travel, buy fanciful cars and all the other nonsenses. What would you do? The popular theory would be to gain a small knowledge and to sell it for a certain price and at a certain quantity and continue doing so to achieve a bigger payout. What if you have the knowledge to patent your recipe (might be a bad analogy but hopefully you get me) or create a subscription revenue model for your consumers or get even more KNOWLEDGE on how you can make it passive. All in all, the most important thing is to obtain MORE KNOWLEDGE on how to make the end dollar $$ to generate more P.I for you.

Back to me, only having knowledge on the forex market and making pennies from the courses that I give…. I have to definitely increase my knowledge on how I could make this more passive than it is and on top of that to find ways and proven methodologies(Not MLM) on how I can increase my P.I. ….In order to get $120k ($10k x 12) per annum, I would need to invest about $1.2million which will pay me about 10% per annum.

In summary of what I would do… Read up books on dividend giving assets(might be able to invest not only for dividends but real capital gains), explore business opportunities (being a shareholder) or even start-up my own business (that won’t disrupt my trading hours). Always learning from others and the world.

The last step is to Act(3rd) (very obvious) but the last step is sometimes the hardest. When the time comes, it is only humane when fears come in and stop you from doing what is best for yourself. Then again, Is it the lack of knowledge/understanding on what you’re doing that caused it? or is it the advice from those smellywanks (Can be your traditional parents as well) that have yet to achieve anything that is stopping you?

“Dreams will only be Ideas if you start writing them down on a paper, Knowledge will only be a skill if you start using them”


Singapore in 4 Years time

Have you ever wondered will happen to our economy in 4 years time?

Will it be a better time to start a business?

Goods more expensive?

What if I would say now is the best time to start a business?


2020 Forecast by Trading Economics

Paying close attention to the inflation rate (The growth in the price level of goods/services) and interest rate (The rate your borrow from banks). You can see the drastic increase in both categories and lastly the GDP growth rate. GDP Growth Rate talks about Singapore economy as a whole. With improving economy, there will be a greater demand for your product and it is where the price of your goods could be price higher theoretically.

Why would u want to start a business when everything is expensive in the latter days when you can start it now at a “cheaper price”? – Remember you will face a higher risk later as compared to now.

“Understanding the importance of time will allow you to value every second”

HangSeng – Why is everyone panicking

“Its always a matter of willingness to learn”


HangSeng Index

It’s been my daily habit to screen markets but not to analysis with a different perspective.

Today, I was inspired by boredom to find something to write about and I happened to chance on something that even shocked me. HangSeng Index (Hong Kong), has yet to break the 2008 crisis?!?!?!

What is really happening?  the market has recovered once against the dot-com and achieve better economic growth but after the subprime crisis, the market has never been able to grow.

This means that the market is trending down through making lower highs and lower lows. Time to save money for the years ahead to buy good company stocks at a discounted price 🙂

“Opportunities are something, seizing it is another”

Financial Thermostat – Changed My Life!

Today I have learned something that is life changing!

There are two types of Financial thermostat in life

  • Income Thermostat
  • Net-Worth Thermostat

Have you realized your saving account doesn’t go above or below a certain amount (Comfort level – The area between the ceiling and floor)?


Net-Worth Thermostat

It because once your account goes below your Financial Floor (Support level), you tend to feel poor and that is when you tell yourself to reduce your spending.

Once your account number goes beyond your Financial Ceiling(Resistance Level), it is where you think you have the ability to splurge like a king (Eat more, buy more, change everything that doesn’t even need to be in changed in the first place and etc) until you fall back into your safe zone.

It’s true that people tend to fluctuate around these areas (Financial Thermostat). This is due to the lack of knowledge (empowerment) of it. The Financial floor is fuelled by your empowering beliefs of what you think is possible for yourself and what you rightfully think should be your minimum. While the Financial Ceiling is your disempowering beliefs on what you think you should deserve.

The idea of understanding the financial thermostat is to remove the financial ceiling while increasing your financial floor through empowerment and self-worth. It’s through empowerment you will learn to manipulate the knowledge attain to eradicate the financial ceiling.

The last question that was left to me was “which do you think come first? Do you think your values and beliefs are adjusted when you make all these money or do you think you make all these money as a result of your ever-improving change of values and beliefs on what is possible of you?

+1 Knowledge Point


Euro – What is happening????

What do we know about Europe???

  • Expensive (exchange rate 2:1)
  • Paris berry beautiful
  • Rome/Venice is on my bucket list
  • Need to save a lot of money (because confirm need to go once in a lifetime)
  • Northern lights

Learning from the charts(Technical)


EURO/USD – Monthly Chart

Inception (Beginning)

Formed 1951-58 European union has since not been progressing permanently but only temporary. As you can see from inception till 2001 market has been lower since the start of the chart.

2001 – 2008

The BURST only came in when one half of Europe starts receiving enormous cash flow from the other half (those that are doing well) and other Countries. Which then halt where and when the financial crisis began.

2009 – 2016

  • When the US is trying to recover from the Housing Bubble, Europe Crisis began -2009
  • Refugees starts coming into EU (Safer and greater job opportunity) – 2014
  • Debt issues due to lack of capital inflow – 2015
  • Grexit – 2015
  • Brexit (Recession & lack of economical Growth) – 2016

Fundamental Analysis

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Unemployment Rate

  • 10/28 countries have an unemployment rate that is at least 10%
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Debt Situation


  • 16/28 countries are in debt issues

Traveling to Europe will be even more expensive and dangerous if the EU would to be gone, trade barriers and higher levies

Insurance – Is Annuity Plan good for you?

Today I have learned something new (from an insurance friend), It is said to be the key to retirement…..ANNUITY PLAN. Btw, he knows I want to retire and travel the world ASAP! As usual, take it with a pinch of salt and do as much research as I can about it.

Just a summarised idea of what annuity plan is – Its a retirement insurance plan for people aged 40 and above, it provides an “ikan bills” stream of income yearly for the retirees (Payout can also be done immediately – for age 40). Premium/s can either be paid monthly or with a single premium. You can also choose the option of payout for life and payout for a period of time


DIYINSURANCE – Payout for life (I want to retire early)

This picture illustrates the income payout for life options, you can clearly see I have two choices;

  • Deferred – Putting a lump sum and wait either 20-25 years to get the “Puny” $6,000/+ a year. (Premium $62.3k)
  • Immediate – Putting a lump sum and get $6,000 yearly on the date of policy purchased. (Premium 201.8k)

Completely Ignoring the Internal Rate of Rate Yearly Because it doesn’t make much difference(Because majority of the time it is all the smelly wanks projections/B.S)

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Hais… I knew it

$6000/12 = $500 a month

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This is one of the pros of being an American (comparison of the deferred option)

Sadly I’m not and let’s not be bitter about the difference of $16k!

In a smelly wank nutshell; don’t buy it unless you are a lazy couch potato that doesn’t know what to do with your money (you shouldn’t be reading this blog btw, you’re missing out on your channel 5 drama).

The last reason why I wouldn’t get it, previously mentioned in The truth of compounding Interest (Part 1), since STI is growing 7% annually, I might as well invest my $200k there ($14k Annually Capital gains Averaged + Dividends).

“financial freedom is harder than I imagine…:(“

-Further reading-

Annuity Deferred Plan

So what if you would buy an annuity deferred plan?? Having 250k sitting in a bank, being aged 50 years old and only want money to be paid out at 65 (age of retirement). Below is a quotation from the insurance agent of DIYINSURANCE.

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The 30% agent basic commission is maxed at $30 (You can read in their FAQ page)

You will be getting $1,400 Monthly, so Yearly is $16,800.

Breakeven Years $250k/16.8k = 12 – 14 Years (2% increased p.a)

Let us look at your opportunity cost……….

Knowing STI Grows at 7%(Average) annually since inception, so let’s take $250k and compound by 25 Years at a 7% rate.

Screen Shot 2016-07-07 at 8.58.00 am


Yup, you will have $1,356,858 after 25 years…….

Since there will be 1001 types of computation breakdown…I should use a scenario that will depict my future.

Expenditure a year would be projected at $50k annual (Including inflation) – Monthly $4.16k

$1,356,858 / $50k =27 years 

By then i would be 65 + 27 = 92 years old

Hopefully, my kids will be taking care of my old wrinkly body 😦

Immediate Annuity Plan

To cut the post short, I have checked with the Insurance Agent of DIYINSURANCE, if my brother is (40 years old and have $200k excess) for the Immediate annuity plan(Payout after the premium is paid). The payout would be $495.40 Per month $5,944k Per Year. It will take 33 years to break even (Not even including inflation rate that is 2.25-2.5% annually because the payout will increase 2% per annum) – I do not think this plan is a steal

Screen Shot 2016-07-07 at 1.03.25 pm

Disclaimer; there are other policies out there that will be better than what was used in this post (so always do your calculation and be logical when a good one comes to you)

+1 Knowledge point