This is calculated based on the weighted average duration of all my investments. This is probably not the usual way of calculating returns in the Finance world. So just for reference.
Here comes the snapshot of our Total Net-Worth for Apr 2025.
Net-Worth increase from last month: +11K SGD, -1.18KG Gold
Due to the stock market, we were not expecting increases this month. As it turned out, stock losses offset our salary income.
Our networth in terms of gold continued to decline this month. Our networth in Gold has dropped 20% from its peak in early 2024, while our networth in term of SGD increased by 30% over the same period.
Here comes the snapshot of our Total Net-Worth for Mar 2025.
Net-Worth increase from last month: +12K SGD, -1.73KG Gold
This month is a slow month. Stock recovery slowed. And we got hit by the strong SGD vs RMB and HKD. There were also a few big insurance bills this month.
Our networth in terms of gold got hit hard due to gold price jump.
For the 1st time since Mid 2021, our annualized investment loss has reduced to within -2%. We have seem the light at the end of the tunnel.
Since we have low confidence of our ability on active investing, we will stick to patience and let time work its wonders.
This of course means that the return of our portfolio will depend on the market performance. But secretly, I hope we can break into positive return territory within 2025.
Also stay tuned for the year-end summary which is coming soon.
Here comes the snapshot of our Total Net-Worth for Mar 2024.
Net-Worth increase from last month: +73K SGD, -2.3KG Gold
The estimation of our flat value pulled back a lot this month, which could be due to the irrational increase last month.
My wife happened to decide to cash out some of her company stock, which was not tracked in this number. Guess why? Haha… But this cash helped compensate for the drop in property value.
The rest is just normal staff: salary, CPF, and a bit rebound from Chinese stocks.
In terms of Gold, we are worth a lot less. Gold price in the last 30 days was just crazy. So cash devaluation is a serious threat.
Cryptocurrencies are digital or virtual currencies that use cryptography for secure financial transactions, control the creation of new units, and verify the transfer of assets. Unlike traditional fiat currencies issued by governments, cryptocurrencies operate on decentralized networks called blockchains. This decentralized nature eliminates the need for intermediaries such as banks, allowing for direct peer-to-peer transactions.
Below are some opportunities for Personal Finances:
Potential for High Returns: Cryptocurrencies have witnessed significant price fluctuations, with some experiencing meteoric rises in value. This has attracted investors seeking potentially high returns on their investments.
Portfolio Diversification: Cryptocurrencies offer an alternative asset class that can diversify an investment portfolio. Including cryptocurrencies alongside traditional stocks, bonds, and real estate can provide additional opportunities for growth and hedging against market volatility.
Financial Inclusion: Cryptocurrencies have the potential to provide financial services to the unbanked population worldwide. With just a smartphone and internet access, individuals in underserved areas can participate in the global economy, access banking services, and send and receive funds easily.
Faster and Cheaper Transactions: Cryptocurrencies facilitate quick and low-cost cross-border transactions compared to traditional banking systems. This can be particularly advantageous for international remittances and e-commerce transactions.
Of course, it comes with challenges and considerations:
Volatility and Risk: Cryptocurrencies are known for their price volatility, which can lead to substantial gains or losses. It’s important to be prepared for the inherent risk and to only invest what you can afford to lose.
Security and Scams: The decentralized and anonymous nature of cryptocurrencies makes them susceptible to hacking and scams. It’s crucial to employ robust security measures, such as using secure wallets and reputable exchanges, to protect your digital assets.
Regulatory Uncertainty: Governments and regulatory bodies are still grappling with how to regulate cryptocurrencies effectively. Changing regulations and legal frameworks can impact the value and usability of cryptocurrencies, so it’s important to stay informed about the evolving landscape.
Education and Awareness: Understanding the complexities of cryptocurrencies requires a learning curve. Before investing or using cryptocurrencies, individuals should educate themselves about blockchain technology, wallet management, and the potential risks involved.
Cryptocurrencies are poised to shape the future of money and have a profound impact on personal finances.
While they offer opportunities for high returns, portfolio diversification, financial inclusion, and faster transactions, they also come with challenges such as volatility, security risks, regulatory uncertainty, and the need for education.
As the cryptocurrency ecosystem evolves, it’s important to approach this emerging asset class with caution, conduct thorough research, and make informed decisions based on your financial goals, risk tolerance, and understanding of the technology. By staying informed and proactive, individuals can navigate the exciting landscape of cryptocurrencies and potentially reap the benefits they offer in the future of money.
Regarding retiring with debt, first advice is “Don’t do it”!
Retirement is supposed to be a time to enjoy the fruits of your labor and relax after years of hard work. However, retiring with debt is one of the worst ways to put a damper on your golden years.
But if you have to do it, for whatever reason, it’s important to manage your finances carefully if you want to achieve financial freedom in retirement.
Here are some tips for managing debt and achieving financial freedom in retirement:
Assess Your Debt: The first step to managing debt is to assess your current financial situation. This includes listing all of your debts, including credit card debt, car loans, and mortgages. Determine the total amount you owe and the interest rates on each debt.
Prioritize Your Debt: Prioritize your debts based on interest rates and payment terms. Focus on paying off high-interest debt first, such as credit card debt, and then work on paying off other debts. Consider consolidating your debts to get a lower interest rate or working with a debt counselor to create a debt management plan.
Cut Expenses: Cutting expenses is an important way to free up money to pay off debt. Look for ways to reduce your monthly expenses, such as downsizing your home, cutting back on entertainment expenses, or finding ways to save money on groceries.
Boost Your Income: Consider finding ways to boost your income in retirement, such as working part-time, starting a small business, or renting out a spare room in your home. Every little bit of extra income can help pay off debt faster.
Create a Budget: Creating a budget is an important way to manage your finances and pay off debt. Make a list of all your monthly expenses and income, and then prioritize your spending based on your debt repayment goals. Stick to your budget to avoid overspending and accumulating more debt.
Invest Wisely: Investing can be an important way to generate income in retirement, but it’s supper supper important to invest wisely. Remeber that time is no longer on your side.
Stay Positive: Finally, it’s important to stay positive and focused on your financial goals. Retiring with debt can be challenging, but with hard work and determination, you can achieve financial freedom in retirement.
In conclusion, retiring with debt can be a challenge, but it’s not impossible to achieve financial freedom in retirement.
Assessing your debt, prioritizing payments, cutting expenses, boosting income, creating a budget, investing wisely, and staying positive are all important steps to managing debt and achieving financial freedom in retirement.
Remember that every little bit of progress counts, and with dedication and hard work, you can achieve your financial goals and enjoy a comfortable retirement.
Money can be a touchy subject, especially when it comes to relationships. It’s important to have open and honest communication about finances with your partner to ensure a strong financial future together.
Here are some tips for navigating finances with your partner and building a solid financial foundation.
Start with Open Communication The first step to navigating finances with your partner is to have open and honest communication about money. This means discussing your financial goals, budget, debts, and income.
It’s important to be transparent about your financial situation and work together to come up with a plan that works for both of you. Regular check-ins and discussions about money can help avoid misunderstandings and build trust.
Set Joint Financial Goals Once you have a clear understanding of each other’s financial situation, it’s important to set joint financial goals. This can be anything from saving for a down payment on a house to paying off debt.
By working towards common goals, you can stay motivated and focused on building a strong financial future together.
Decide on Joint and Individual Finances When it comes to finances, there are different approaches that work for different couples.
Some couples prefer to combine all their finances, while others prefer to keep them separate. It’s important to discuss and decide what works best for you as a couple. You may choose to combine certain expenses, such as rent or utilities, while keeping personal expenses separate.
Create a Budget and Stick to It Creating a budget together can help you stay on track with your joint financial goals.
Make a list of your monthly expenses and prioritize your spending based on your financial goals. It’s important to review your budget regularly and make adjustments as needed. Sticking to your budget can help you avoid overspending and build savings.
Be Accountable and Responsible It’s important to be accountable and responsible when it comes to finances. This means sticking to your budget, paying bills on time, and being honest about your spending.
It’s also important to be supportive of each other’s financial goals and work together to overcome any challenges that arise.
Consider Seeking Professional Help If you’re struggling to navigate finances with your partner, consider seeking professional help.
A financial advisor can provide guidance and support in achieving your financial goals. They can also help you navigate any differences in financial attitudes or beliefs.
In conclusion, navigating finances with your partner can be challenging, but it’s an important part of building a strong relationship and a solid financial foundation.
By starting with open communication, setting joint financial goals, deciding on joint and individual finances, creating a budget and sticking to it, being accountable and responsible, and considering seeking professional help, you can work towards a successful financial future together.
I did a quick check online when I was planning for my kids’ education over the weekend (Really I was planning for my own retirement). It costs ~150K SGD a year for undergraduate in US or UK, which means more than half a million for an undergraduate degree!
And the fee is as of now. I can only imagine how much more it will cost in 12 years when my son is of age for university.
It is freaking expensive! And how much a fresh undergraduate needs to make to make this investment worthwhile?!
While I am willing and prepared to help my kids on their education, I know they need to bear part of it as well.
Let’s see how they can Pay for Higher Education Without Going Broke?!
Scholarships can help you pay for college. There are many different types of scholarships available, including merit-based scholarships, need-based scholarships, and scholarships based on your area of study. Start by researching scholarships offered by your college, as well as national scholarships that you may be eligible for.
Apply for Financial Aid
Financial aid is a type of funding provided by the government, colleges, and private organizations to help students pay for college. There are different types of financial aid available. Do search and apply.
Work Part-Time or Find Work-Study Opportunities
Working part-time while in college can help you pay for your education and living expenses. Look for on-campus or work-study opportunities that can provide you with a paycheck and valuable work experience. You can also consider finding a part-time job off-campus to help cover your expenses.
Create a Budget and Stick to It
Creating a budget can help you manage your finances while in college. Start by listing your expenses, including tuition, room and board, textbooks, and other living expenses. Prioritize your spending based on your needs and make adjustments as needed. Sticking to your budget can help you avoid overspending and build savings.
Consider Student Loans Carefully
While student loans can be a helpful way to pay for college, they can also lead to significant debt after graduation. Only borrow what you need and avoid taking out loans for unnecessary expenses.
This one might be no-brainer. But since it came to mind, why not?
Compound interest is a powerful tool that can help you build wealth and achieve your financial goals. It is the interest earned on the initial principal as well as the accumulated interest from previous periods. In simple terms, it is interest on interest.
Let’s explore the power of compound interest and how you can make your money work for you.
To understand the power of compound interest, let’s look at a simple example.
Suppose you invest $1,000 at an annual interest rate of 5%. At the end of the first year, you will have earned $50 in interest, bringing your total investment to $1,050. In the second year, you will earn interest not only on the initial $1,000 but also on the $50 you earned in the first year. This means that your investment will grow to $1,102.50 at the end of the second year. As you can see, the interest earned in the second year is higher than the interest earned in the first year, even though the interest rate is the same.
This is the power of compound interest.
The Time Value of Money
One of the key principles of compound interest is the time value of money.
The longer you invest your money, the more time it has to grow. This is why it’s important to start investing early and let your money work for you over time.
For example, if you invest $10,000 at an annual interest rate of 5% for 10 years, you will have $16,386 at the end of the period. However, if you invest the same amount for 20 years, you will have $26,533 at the end of the period. As you can see, the extra 10 years of investing has a significant impact on the final amount.
Another factor that affects the power of compound interest is the frequency of compounding.
Compounding can occur annually, semi-annually, quarterly, monthly, or even daily. The more frequently your interest compounds, the more you earn over time.
For example, if you invest $1,000 at an annual interest rate of 5% compounded annually, you will have $1,628.89 after 10 years. However, if the interest is compounded monthly, you will have $1,647.01 at the end of the period. This may seem like a small difference, but over time, it can add up significantly.
How to Make Compound Interest Work for You
To make compound interest work for you, it’s important to start investing early and invest regularly. This will give your money more time to grow and take advantage of the power of compound interest.
It’s also important to choose investments that offer compound interest, such as savings accounts, certificates of deposit, and mutual funds.
Finally, it’s important to be patient and let your money work for you over time. The power of compound interest may not be immediately apparent, but over time, it can have a significant impact on your financial well-being.
In conclusion, compound interest is a powerful tool that can help you build wealth and achieve your financial goals.
By understanding the basics of compound interest, the time value of money, the power of compounding frequency, and how to make compound interest work for you, you can take control of your finances and build a better financial future.
In today’s fast-paced world, convenience has become a top priority for many people. From fast food to online shopping, we are constantly bombarded with options that make our lives easier and more efficient.
However, this convenience often comes with a cost, and the small expenses we incur on a daily basis can add up over time.
Let’s explore cost of convenience and how it affects our finances.
1 — Coffee and Snacks
One of the most common conveniences that people indulge in is coffee and snacks. A daily coffee or snack may seem like a small expense, but it can add up over time. For example, a $3 cup of coffee every weekday for a year adds up to $780. Similarly, a $2 snack every weekday for a year adds up to $520.
By making coffee and snacks at home or bringing them from home, you can save hundreds of dollars a year.
Or just cut them completely out (I am trying).
2 — Transportation
Transportation is another area where convenience comes with a cost. Driving a car or taking a taxi may be more convenient than using public transportation, but it is also more expensive. Gas, parking fees, and car maintenance costs can add up quickly. Similarly, taking a taxi or ride-sharing service may be more convenient than public transportation, but it is also more expensive.
By using public transportation, walking, or biking, you can save money on transportation expenses, especially in Singapore.
Subscription services are another convenience that can add up over time. From streaming services to meal delivery services, these services offer convenience and ease of use, but they also come with a monthly fee. While one subscription may not seem like a lot, multiple subscriptions can add up quickly.
By reviewing your subscriptions regularly and canceling those that you no longer use or need, you can save money on monthly expenses.
Better still, never subscribe.
4 — Eating Out
Eating out is another convenience that can be costly. While it may be more convenient than cooking at home, it is also more expensive. A meal at a restaurant can cost several times more than a meal cooked at home.
By cooking at home more often and eating out less, you can save money on food expenses.
The key to this is getting a wife/husband who loves you and cooking! The food will be more delicious too!
5 — Convenience Fees
Finally, many conveniences come with additional fees. For example, ordering items online may come with shipping fees. These fees may seem small, but they can add up over time.
By being aware of these fees and avoiding them whenever possible, you can save money on unnecessary expenses.
In conclusion, convenience comes with a cost, and the small expenses we incur on a daily basis can add up over time.
By being aware of these expenses and finding ways to save on them, you can reduce your monthly expenses and improve your financial well-being. Whether it’s making coffee at home or using public transportation, small changes can add up to big savings over time.
I once read an article from a successful and famous celebrity-type “Coach” that “Not to trouble others” was one of the best qualities a mature person could have.
It resonated immediately with me.
I have been following it since then and have always believed that this is my good quality.
So I did not ask my parents for money during my undergraduate study, even when I had to rely on instant noodles for three weeks straight when I was on exchange program in the US.
And I was proud of it, because I did not add trouble to my parents.
If I look back at 2022 a few years later, I suppose it would be significant to me. As we approach the end of 2022, I would like to write a quick summary for it.
2022 started with an excitement(1) for me, but that excitement quickly turned into a long, hard and miserable struggle(2), which caused me self-doubt(3) but also pushed me to rethink about a lot of things(4) in life. Just when all that misery peaked and I started wondering how I could ever get out of it(5), I was extremely lucky to land on my feet(6) in the last month of 2022, which granted me a new start(7) in 2023.
The situation seemed hopeless and I was in deep self-doubt and despair.
I started to lose myself.
On one hand, I accepted people’s comments about me, no matter whether they were appropriate or justified. I just did not have the stamina or courage to argue.
On the other hand, I could not help doubting people’s intention. I had always been a guy who assumed best intention of others. But I could no longer keep myself on the “best intention” path at that time.
What’s worse, I also lost all judgement. I could not tell what comments were good for me or for my sake and what comments were not…
I was a mess by July and decided it was best to walk away.
After I walked away, I started to look for a new path and at the same time, I got the break I needed.
I did not actively or deliberately think over what happened, I just waited to let things sink in. Gradually, different perspectives came to me, some of which were completely opposite to what I had believed in.
I started to re-think about the real meaning of life and re-evaluate the importance of money and how much I really needed. I thought about social dynamics, being smart vs dump, hard work vs smart work etc etc.
This lasted for 4.5 months. I experienced countless rounds of emotional roller coaster. But I needed this recovery period.
By Oct, I started to panic and wonder whether I would ever find my new path.
After a few seemingly-sure-win opportunities did not work out, that panic and self-doubt got worse. Even though my wife was so understanding and only comforted me, not adding a single bit of pressure, the pressure inevitably built up.
I started to reset my expectations and was ready to compromise more. Nevertheless, there was not much I could do. That feeling was not good at all!
After a few weeks, the opportunity seemed good. I again have a new start for next year. I can even say that I am again excited for next year.
But I will be more prepared this time, speeding up my learning and growth, and at the same time, anticipating signs of danger so that I do not walk into the same struggle.
2022, to me, was everything but meaningless. Like all my frustrations before, I am sure I will feel fortunate having experienced 2022, if I look back a few years later.
