After 6 months of trying out the "Income" Portfolio of DBS digiPortfolio, I decided to give up on further investment into it and has also made a decision to close down my investment account with DBS Robo Adviser. I just do not like many aspects of their portfolio investment product and find an utter lack of transparency and also poor user intuitiveness in usage.
1. Lack of Transparency and Poor User friendliness.
There is a serious lack of published materials with regard to how much expenses are incurred at the fund level albeit disclosure of DBS annual management fee. The DBS annual management fee is separate from the fund management fee charged by the underlying funds.
It is extremely tough trying to find any information on the actual funds that DBS invested into.
In addition, DBS website has been silent on the trailer fees rebate by the underlying unit trusts for their digiPortfolio. Hence I have to presume that it does not give any rebate of trailer fees to investors unlike Endowus and Syfe.
The App itself also has certain period where one cannot withdraw funds. Not sure whether this function only works on web browser on laptop/PC. Saying that, recently, when I click that button on the mobile app, it finally allows for withdrawal. However, it has been one week and I have not seen a single cent being returned to my bank account after choosing to withdraw all my investments in it. Personally, I am very disappointed with the poorly developed user interface for DBS digiPortfolio as well as a lack of indication of the lead time for processing requests.
2. High Annual Management Fees Relative to Endowus and Syfe.
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| 0.75% Management Fees- higher than Endowus and Syfe |
The annual management fees by DBS alone is 0.75% per annum. This is relative higher than the 0.60% and 0.65% of Endowus and Syfe respectively. Also, as aforesaid mentioned, there does not seemed to be any underlying funds cash rebate of trailer fees as well as inadequate disclosure of the fund level management fees.
3. Income Portfolio for DBS digiPortfolio Only Offer a Low Distribution Yield of 4% Per Annum.
The other very sad aspect of DBS digiPortfolio is that it seeks regular quarterly payouts of a miserable 4% p.a. from investments to retail investors. This is a far cry from Endowus and Syfe which offers a wide variety of income pay out products that offers higher yield (5% to 6.5%) as well as monthly cash distribution.
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| Endowus Has 3 Different Income Portfolios Relative To Only 1 for DBS digiPortfolio. |
My personal experience with the DBS digiPortfolio platform has been extremely disappointing. I have decided to withdraw all my cash previously invested into DBS digiPortfolio and concentrate my cash resources into the Endowus investment platform.
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