Thanks for the link Calvin! I especially like the reinvesting in dividends, it’s super helpful. Yup, I definitely need to calculate all the fees myself too! Do let me know when you decide to shift your portfolio over, if you do 🙂

HAHA same here! I could actually retire with less than $1 million, but my “kiasu-ness” has made me want to bump it up to $1 million too. Congratulations on already being more than halfway to FIRE! Do keep me updated on your progress. 2-3 years will go by quick and you’ll be financially free soon! 🙂

My original FIRE number is 750K but as a “Kiasu” singaporean I decided to bump it up to 1 mil, more than halfway there now and hopefully to hit the magic number within 2-3 years if the markets recovers.

Hi Calvin! I agree with you on SSB and STI. I thought about taking out some SSB last time, but never got around to doing so because the returns weren’t great.

Thanks for letting me know about Autowealth! I find that the annual robo-advisor fee of 0.5% seems rather hefty though. Just thinking – Since I plan to accumulate $1,000,000, and draw down only $30,000 a year, the annual fees of $5,000 each year that would eat quite a bit into my retirement expenses. I’m not sure if I could afford that.

Definitely buy the Irish-domiciled ETF! 🙂 A difference in 15% withholding tax is a lot of money. I’m planning to do so too, and I’m still trying to read into the Double Taxation Agreement but I think I’ve still got some research to do (it seems rather confusing to me since I’m new to this). Any chance you might know anything on this?

Thanks for reading another article of mine! Means a lot 🙂 It’s interesting how determined we get to reach FIRE when we dislike our jobs haha. How far away are you from FIRE? I hope you’ll be back on track soon!

Hey Liz, I am currently using Autowealth with a 80% equities/20 bonds portfolio where I deposit monthly. I do have some SSB, STI ETFs which I have not added to them for quite sometime as I find the returns mediocre.

The downside of using a robo-investment service is the 0.5% expenses they deduct annually from your portfolio so I am wondering if it would be better if I just buy VTI from Irish domiciled ETFs so i only get hit by a 15% withholding tax rather than the 30% WHT for US based ETF hence I was curious on how you are doing the US portion of your investments.

This Covid pandemic have affected my FIRE progress but when I read about your cubicle article the “soul crushing” part really make me determined to see the journey through!

Hi Calvin!

1) STI ETF – Yes you’re right. The performance is poor compared to the S&P 500 or any other index in the U.S. I have a lot of holdings in STI only because it was what I started investing in years ago. I discovered the power of international exposure only recently (sometime in 2019). Definitely go for U.S. indexes if you’re looking for 5% returns. I think you’d definitely get more than that in the long run. Also, diversification isn’t great in the STI. Lately I’ve been investing only in the U.S. and in individual stocks. Haven’t bought STI for a while haha.

2) I opened a brokerage account with Standard Chartered Bank, and they allow exposure to the U.S. market. I’m thinking of opening an account with Interactive Brokers though, to ease up on the withholding tax. I recently came across this article at Millennial Revolution that I found super useful in decreasing withholding tax. What about you? How do you invest in the U.S.?

You too, Calvin! All the best for your FIRE journey as well. Keep me updated when you retire early 🙂

It is nice to know more people in the FIRE community especially in your own country. I would like to hear your thoughts on some investing questions
1) STI ETF – I do hold some of this in my portfolio but only a small percentage like 8% and I am hesitant to add more as I don’t find the performance good compare to S&P 500 ETF. Would you continue to actively increase your holding in STI? My own projected investment returns is 5% and I don’t think this ETF can provide that.
2) How do you invest in the Vanguard S&P 500 ETF? Do you buy it through a brokerage and hold it or do you use a robo investment service?

Stay safe and all the best for your FIRE journey!

Hi Calvin! Thanks so much for dropping by, and I appreciate your kind words. It’s awesome to get a comment from another Singaporean.
About income taxes – You’re right! It’s so silly of me to have forgotten. (I think I must have gotten too used to paying low income taxes since I don’t make a lot of money now!) Thanks for letting me know. I’ve made the changes to my take-home salary in the income segments above. Many thanks Calvin 🙂