Syfe - October 2020

We just went on another staycation!

The Capitol Kempinski Hotel

Shall blog about it some other time as I have something more interesting to share! Meanwhile, you can read Milelion's Review: The Capitol Kempinski Hotel Singapore Staycation.

Our Syfe Portfolio
Composition: 100% REITs
Dividend: Reinvest
Monthly Investment: $1,000

Composition: 100% Equities
Dividend: Reinvest
Monthly Investment: $500

Account Statement (Lifetime)

Our current tier is Blue (<$20,000). This is determined by the size of the portfolio (currently $9,029.29) which in turn determines the fees to be charged. The statement lifetime return is $829.29 which includes a $1,200 referral bonus. The actual lifetime return would be -$370.71. Thanks to our readers for using our code!

Account Statement (October 2020)

The return for the month is -$490.58 which includes a $20 referral bonus. This means our actual return for the month is -$510.56.

As of 17 November 2020, this is our portfolio performance:

Capital: $6,000.00
Current: $7,083.56 (17.34% - return is skewed due to referrals)

Capital: $2,200.00
Current: $2,709.87 (37.76% - return is skewed due to referrals)

Transaction Breakdown

There are too many so I will just share a snippet. Anyway, if you want to extract the transaction information from Syfe, do take a look at this article - Syfe Transactions Parser. Anyway, the parser will not work for the Equity100 and Global ARI portfolio when there are small transactions (<0.01). You can refer to this for more information - Syfe - July 2020. The parser will work if Syfe is willing to change its UI and display more decimal places...

REIT+

Equity100

After parsing them into a csv file, I pivoted the data to get the following view.

Management Fee

The management fee can be obtained by $8,418.88 x 0.65% / 366 * 31 ~ $4.61.

StocksCafe
In my opinion, the return captured by StocksCafe will be a more accurate representation of our portfolio return as the referral bonuses are treated as capital. Having said that, I can also understand why Syfe treats them as a return instead of a deposit too. Just a different perspective.

Anyway, looking at the time-weighted return (14.51%) for this year, we can see that Syfe REIT+ 100% is outperforming STI ETF (including fees) but underperforming when compared against SPY or IWDA. In addition, if we were to look at the projected dividends till the end of the year based on the existing investment, we can expect $139.68 of dividends or $12.70 per month. Since the dividends >> fees, this is a pretty sustainable portfolio assuming if there's no capital loss.

New Syfe customers will have their first $30,000 managed free for 6 months when they use our new referral code (KPOCZM). We will be receiving a $10 cash incentive for our portfolio if you invest $500 or more.

If you are interested in the smart portfolio tracker (StocksCafe) which I am using as shown above, sign up using my link for a longer trial period :) Refer to our Referrals page for more information.

You might be interested in previous months update too:
- Syfe REIT+ (100%) Review
- Syfe - May 2020 - $1,135.43
- Syfe - June 2020 - $2,558.58
- Syfe - July 2020 - $3,872.68
- Syfe - August 2020 - $6,260.30
- Syfe - September 2020 - $8,019.86

- Syfe - October 2020 - $9,029.29

Do like any of the following for the latest update/post!
1. FB Page - KPO and CZM
2. Twitter - KPO and CZM
3. Click here to subscribe using email :)
4. Instagram - KPO_and_CZM (Did you see those delicious food photos to the right --> Unfortunately, you can't see it on mobile.)

Endowus - October 2020

How was your 11.11? We bought a lot of random stuff for 10 cents or less with free delivery! lol.

Anyway, Endowus recently launched a new product/portfolio called Fund Smart which allows an investor to decide and select what he/she wants for his/her portfolio - Endowus Fund Smart Review.

Risk Profile
Goal type: General wealth accumulation
Risk tolerance: Maximise returns (loss tolerance -60%)

Monthly investment using SRS: $740

I have modified my monthly investment in order to max out my SRS contribution for the year.

Account Summary

Capital: $9,670.00
Current: $9,665.59 (-0.04%)

There are quite a few differences as compared to StashAway. Firstly, all the cash has been invested while StashAway keeps 1% of the portfolio in cash. Secondly, the fees are not deducted on a monthly basis. The Access Fee charged by Endowus will be deducted at the end of each quarter as stated in their FAQ.

As of 12 November 2020 (in just a few days), the portfolio value is $10,485.32 (+8.45%).

Asset Allocation

This shows that the number of shares for each fund that I owned:
- Dimensional Global Core Equity Fund (157.9510)
- Infinity US 500 Stock Index Fund (1,792.1900)
- Dimensional Emerging Markets Large Cap Core Equity Fund (63.8060)
- Dimensional Pacific Basin Small Companies Fund (56.5250)

It will be great if they actually showed my average price vs the current market price.

Transactions

I received my first trailer rebate this month. More information can be found in their web application. 

Speaking of which, Endowus has finally launched a mobile app:

Apple: https://apps.apple.com/us/app/endowus-invest-cpf-srs-cash/id1531067679

Android: https://play.google.com/store/apps/details?id=com.endowus.mobileapp

Oddly, the trailer rebate transaction is missing in the mobile app. Anyway, the trailer fee was refunded back to my SRS. So I supposed if you are investing using cash or CPF, it will be refunded to its original source. I'm hoping that they can introduce a dark theme for their mobile app and a couple of the functions/features (e.g. preference) redirect you back to the web application, definitely room for improvements!

That's all! Overall, I think the statement is pretty straightforward and easy to read. On a side note, StocksCafe does not has the ability to track funds, hence unable to do any form of comparison/benchmark.

If you are interested in Endowus, do use our referral link for our readers! You will get S$10,000 managed free for 6 months ($20 equivalent) and we will get $20 too!

You might be interested in previous months update too:

- Endowus CPF/SRS Review
- Endowus - January 2020 - $3,692.02
- Endowus - February 2020 - $3,704.57
- Endowus - March 2020 - $4,153.50
- Endowus - April 2020 - $4,849.67
- Endowus - May 2020 - $5,797.36
- Endowus - June 2020 - $6,471.66
- Endowus - July 2020 - $7,455.96

- Endowus - August 2020 - $8,588.83

- Endowus - September 2020 - $9,124.13

- Endowus - October 2020 - $9,665.59

Do like any of the following for the latest update/post!
1. FB Page - KPO and CZM
2. Twitter - KPO and CZM
3. Click here to subscribe using email :)
4. Instagram - KPO_and_CZM (Did you see those delicious food photos to the right --> Unfortunately, you can't see it on mobile.)

The "Poor" Pilot With Multiple Properties

Being a pilot is definitely one of the coolest jobs in the world. 

You get to fly a plane, travel to different places, and get paid highly (5 digits salary monthly). What could go wrong? Today published an interesting article on how the various pilots are coping with their lives during this pandemic after SIA announced/implemented the retrenchments or pay cuts  - One sees his flying dream cut short, other SIA pilots become delivery drivers, retire early.

The above pilot probably got the most attention when he is still earning $13k a month (after the pay cut) but claims that it is not enough because his monthly expenses add up to $19k a month. Many (including myself) would think that $13k is more than enough but I guessed lifestyle inflation happened to him. If you are wondering how can his/one's expenses be so high, the answer is the properties "investment".

Let's just make some simple assumptions and calculations. He invested in various properties at the age of 40. Given that we know a pilot earns $14k at 28 years old and $23k at 50 years old, the salary grew at a rate of 2.28% per annum.

Hence, his salary at age 40 will probably be around $18k. Next, we head to DBS Marketplace for property to see what's the maximum loan he can take based on his $18k salary.

My guess is he probably max out his home loan to invest in various properties and has to make a $9k mortgage payment monthly. Not to mention, there will be many other costs involved such as rental income tax (~19-20% tax at his income level) and property tax which all adds up to his expenses. 

We can assume the remaining $10k are used to service his car loan, daily expenses, groceries, and his children's overseas education. Anyway, he can probably offset some of his expenses with the rental income which was not mentioned in the article but the focus is more on his expenses. $9k out of $23k seems very manageable but when his salary got cut to $13k = GG.

That's the thing with property investment. It is a long and massive commitment with the assumption that everything goes according to plan - you keep your job and got to continue to work as long as your mortgage tenure. So when you see advertisements/property agents telling you/your family to sell your HDB and buy/invest in 2 private properties, my advice is to think twice. The stress/pressure is on you. We prefer to invest in REITs because there's no tax and no commitment. Take a look at this old article - Book Review - Building Wealth through REITS.

Regardless, I do not think he is poor at all as he still has multiple properties, shares, and bonds but he definitely has to deleverage by selling his properties/car even if he has to make a loss ASAP. Unless he is thinking of stopping his children overseas university. lol.

On the other hand, we have Terence who is not affected by the pay cut and no lifestyle inflation. There would be a day when things just don't go according to plan. Moral of the story - be like Terence, how many things could you possibly need? Multiple properties?

Do like any of the following for the latest update/post!
1. FB Page - KPO and CZM
2. Twitter - KPO and CZM
3. Click here to subscribe using email :)
4. Instagram - KPO_and_CZM (Did you see those delicious food photos to the right --> Unfortunately, you can't see it on mobile.)