As at 31 December 2023, the much anticipated interest of S$13.6k was credited by the CPF Board. My special account is now at S$247.6k which is S$15k higher than last year. The S$10k of recurring interest income from the special account should be enough to catch up to the yearly increase in ceiling for enhanced retirement sum. For my CPF special balances, I do not intend to risk investing any of it albeit tempted at various times to try to beat the 4.08% interest income rate using unit-trusts. This is my final line of defense in the event of a black-swan event that may wipe out my cash investment portfolios.
As for my CPF ordinary account, I have set aside S$76K in my CPF Ordinary investment into the following assets as at 31 December 2023:
1. S$36K invested into SGX- Mapletree Industrial Trust;
2. S$30K invested into MSCI Equity Index (50%) and MSCI Bond Index (50%) via Endowus &
3. S$10K invested into Endowus Core Flagship (80%/20% Equity/Bond mix).
I have also taken profit of S$5.6K realized from Endowus MSCI indexes during the recent rally in global equities and bond prices and returned these balances to my CPF account. I will redeploy another S$5k to S$10K if the stock market corrected in early 2024.
As for my Medisave account, these will be eventually depleted as my parents do not have critical illness insurances. For H&S, managed to get some for my Dad with certain exemptions. I am thankful that our Singapore government has rolled out the Pioneer and Merdeka Generation medical packages for the elderly Singaporeans. These initiatives have thus far saved me and my sibling from incurring huge medical expenses.
Happy new year bro.
ReplyDeleteCan I ask how did you have so much more in your SA than OA, given that the mandatory contributions percentage from employment is heavy in OA and little on SA?
Hi Bro Henry, Happy New Year to you too! It was mainly from transfer from Ordinary CPF account to CPF Special before the FRS limit was reached many years back. Another secondary reason was that I invested my CPF special account before and realised a sum of profit which was ploughed back to the CPF Special account.
DeleteYup, the current SA allocated contribution monthly is tiny and will probably take a decade more for it to reach Enhanced Retirement Balances.