THIS.

As I mentioned, I'm at the stage of consolidation and preservation of wealth. This, coupled with my naturally risk-adverse nature, is why I'm happy with my average returns of 4-5%, and I've never been tempted by the 10% or so that some have achieved.

Having said that, I will admit that I have index-tracked funds that have consistently returned 8% (when I get knocked out) - but I limit that to the funds I already put in when I was much younger (in my 40's, nearly 10 years ago). I've never added fresh capital to that portion of my portfolio, and in fact, that portion has shrunk over the last decade, from nearly 25% of my total portfolio, to about 10% today. Happy to keep it that way - itch definitely satisfyingly scratched.

Congratulations on coming over to Singapore and beginning a new journey here! Who knows, you might end up having even more time to post!

I agree wholeheartedly on the fair remuneration packages for essential professions - but, not to the extent where people are tempted to get into these professions solely for the sake of good pay. Medicine, teaching, nursing - these are callings, not mere professions. I never got into medicine to become rich. I got into medicine to help patients, and in doing so, I received my fair reward. The sequence is important.

In Singapore (I'm just a PR, although I've been a pendatang here for the past 30 years), politicians use the same argument to justify their high pay packets - apparently, a high pay helps in reducing corruption. But, then Singaporeans sometime can't help but feel that these career politicians are doing it ONLY for the high pay, not for the good of the country and its citizens. So, a fine balance needs to be struck, in my opinion.

You've summarized Maslow's pyramid perfectly. I wouldn't say that I'm already at the very apex of it, but I strive and I aim to get there, hence the measured replies and consistent responses thus far.

This post has been edited by hksgmy: Dec 3 2019, 01:28 PM

If you've actually followed or read what I've written, you'll see that I'm in full agreement with what you said about family. I'll reproduce it here for your reference:



My parents passed away early. Otherwise, I would have doted on them - for all that they've done and given me. So, family is important to me, as are true friendships

As for children, I've never planned for them - and I subscribe to this philosophy: If you have them, never regret them. If you don't have them, never miss them. I don't miss what I never had.

Thanks for asking. I don’t have many plans but here are some of my die-die also “must do” items:

1. My wife and I have been together for nearly 30 years but we’ve both been so busy with our careers that we need to take time to spend with each other before we’re too old to enjoy time together. We’ve practiced delayed gratification for a lot of material things while I was studying for my specialty, and later while we were building up our respective careers and accumulating wealth. I believe it’s time to consider “cashing out” and enjoying the fruits of our labour. Our house in Sydney is by the water. I can imagine taking nice morning walks from the house to the bay and just enjoying each other’s company

2. I want to resume writing. Before I started my career in medicine, I was already writing and getting my works printed - initially in school magazines and such, but after I began my career as a junior doctor, I started writing about my patients especially those that have left an indelible impression on me with their courage and serenity and grace in the face of their illnesses and even death. Those stories have been picked up by national magazines and been published ad hoc. But I still have many more stories to write and right now, I just don’t have time to do so. Retirement will give me the time to pay proper tribute to my patients in the way I do best.

3. Explore Australia. Really explore Australia. This will take us off the beaten track and this is a huge country - I reckon that’ll take us a good few years to do.

4. Continue travelling and seeing the world.

That’s about it for now. I’m sure more ideas will pop up in due time as we get closer to the permanent move.

That was and still is my secret fear. More than running out of money or falling prey to the natural ravages of time, I dread having to figure out how to keep my mind occupied post retirement.

In addition to writing, I’ve just added a new to-do item: learning a new language or two or three.

I speak and read basic Spanish simply because of an initial interest in medical Latin and the crazy notion that, since I speak and read English and Mandarin, if I added Spanish on board, I would cover almost every country I wanted to visit... once I’m retired, I intend to turn my basic understanding of Espanol into a proper command - at least at the level of my spoken Mandarin although I’m well aware that it’ll be hard for an old dog to learn new tricks.

It’s something to occupy the mind though!

Yes, I agree - the journey and the experience are equally as important as the destination. That’s why I feel there are no 2 identical stories of the “secret” to success. How much to save before it becomes miserly? Everyone will have a different definition.

Hahaha. That's an excellent, excellent point - and, as a doctor, I can not help but agree with you: QUALITY of life, not just QUANTITY.

Disclosure: I'm a doctor in private practice in Singapore.

Having said that, I agree 100% with what l4nc3k said above. I am still a visiting consultant to the "restructured" (ie. fancy term for government-funded) hospitals in Singapore, simply because the facilities there are equivalent and sometimes/often more advanced than private ones.

I'm fully covered with comprehensive medical insurance (bought with riders) which means I don't even have to fork out the excess, and I can choose either government or private hospitals.

However, if push ever came to shove, and I find myself needing tertiary care, the choice wouldn't be determined on the basis of government vs private hospital. I'd be more inclined to go with a good doctor that I can trust - and if that doctor happens to be in the government hospital, I'm happy to be under his care there.

Just because I'm covered 100% for all medical illnesses doesn't mean I have to max out and squeeze my policy dry. It doesn't benefit anyone - least of all honest premium payers.

That's an excellent approach you have there. The key is as long as you're comfortable with what you have and you're able to live comfortably within those parameters, you've already succeeded. Stay healthy and happy!

Although I would think, with a bit of string pulling, I could request for a colleague or more likely one of my students to take care of me when I’m old and in trouble medically, the same general rule of “not being able to choose” your own doctors in the government sector still applies.

However, like you said, if it’s a relatively common condition then there’s really no need to ask for any specific doctor. If it’s a rare or complicated case, then I’m sure the relevant experts would be called upon for help. The patient wins either way.

I say this with all humility - as a specialist in private practice, I always remind myself that it’s a privilege to be given the patients’ trust and an honour to be able to care for them. They could have taken their concerns elsewhere - and I’m of the humble opinion that most (I dare not say all) doctors are compassionate and competent in their work.

I admire your thinking & philosophy. Not every parent can be upfront to say "I don't intend to leave her much", and fewer are successful in executing it. We have no children to fuss about inheritances and what not - so, there's a lot less "drive" to keep working till we drop, and even less to hoard and squirrel an ever increasing amount - I learnt from my patients a long time ago that we can't take a cent of it with us when it's time for us to go.

I have a rather morbid outlook on that, if you don’t mind me sharing:

My retirement chest of about $30,000,000 at present (almost equally proportioned into liquid asset classes - 55% in a mix of bonds, blue chips, index-tracked investments, cash and 45% in properties) should, in theory, outlast my wife and my life times (we are knocking on 50 years of age). This assuming we use $250,000 per year (and that’s an extraordinarily extravagant assumption, as even a detailed analysis at present pegs our everyday “running costs” at no more than $15,000 per month - including a more than generous $6,000 allowance for travels and holidays per month). Realistically, we can live on far less. This retirement sum does NOT include whatever I have in my superannuation in Australia or my CPF in Singapore. The latter will be used to pay for my medical insurance coverage.

We’re already 100% covered for major illnesses and hospitalisations - at least until 80 years of age.

So, if the amount lasts our lifetimes, good on me. I planned and executed it to perfection. I can take care of myself (and my wife).

If it doesn’t, and I’m flipping flat broke before I’m dead, no worries mate, the government will take care of me - because I’ll be retired in Australia.

Fingers crossed, it’ll be the former scenario.

Your extremely kind words are much appreciated. We’ve worked hard all our lives, my wife and I, and we’ve obviously had to sacrifice a great many things - chiefly time together with each other - and it’s my hope that we’ll be able to retire gracefully and learn to rediscover many of the things we’ve lost along the way before our bodies are too old and frail to enjoy the discoveries.

2 years and counting.

That sounds like a lovely plan. At present, the $30,000,000 is the total “capital” of which I have split approx 55% in cash (SGD & AUD - like you, I bought tonnes of AUD on the cheap) and properties in Singapore and Australia. This does not include my annuity policies, insurances and CPF/Superannuation fund.

Hi there,

In my humble (unlearned) opinion, the highlighted part is doable, depending on 3 primary factors:

1. What's your war chest (retirement nest)? Obviously, the bigger the chest, the better you'll be.
2. What's your risk appetite? Bigger risk taking behaviour means you'll need a smaller chest (from no. 1) to generate equivalent returns, compared to needing a bigger chest to do the same, if you're conservative
3. What are your projected expenses?

2% returns on the RM2,000,000 is a very very conservative calculation. I like that. It's prudent to never count your chickens before they hatch.

That's actually a very real assertion that many people in my profession/situation face. While ours isn't exactly "easy money" (it's actually hard, but rewarding, work) it's very good money - and it's intellectually seductive work, because we problem solve life & death cases (in a sense). This intellectual stimulation, coupled with more than adequate compensation, makes leaving our jobs an extremely difficult task for many of us.

In a blink of an eye, we've shot past 55 years, then 60 and before you know it, we're so far away from intending to retire "young", and we're just working and working and working... for everyone else but ourselves.

Since this 150,000 figure came into discussion, I’ll clarify a bit.

For the sake of clarity, in my instance, if it pertains to my situation, the RM150,000 came about as my present passive income per month. It’s the cumulative average from the bond coupons, stock dividends, special FD returns and rental returns from our essentials and commercial investment properties both in Singapore and Australia, and it includes both my Australian and Singaporean portfolios.

Combined, I estimate a very modest return of $50,000 per month, and I derived the RM150,000 figure by a fixed formula of 1 SGD = 1 AUD = 3 RM

What is not included are my CPF savings, insurance payouts and annuity plans.

We are frugal in a daily basis BUT at the moment, and because both of us we are still working, we spend a lot on travel expenses. I’ve worked out that at present, in Singapore, it costs $15,000 per month for our “upkeep”. The bulk of that ($3,000/month and $6,000/month) is derived by food costs (we never cook at home as both of us work) and travel/holiday expenses.

Once we retire, my wife will undoubtedly focus her free energy in the kitchen (as promised - I can’t wait) and I dare say that $3,000 food bill will shrink significantly. As would that $6,000 monthly travel bill. These are expenses that exist only because (1) we can afford them to continue at present and (2) because of our unique circumstances that require eating out as a feasible option.

So, as Bora Prisoner correctly surmised, it’s not just a figure - each person’s needs are specific and unique to himself - and it’s how he or she works within the limits of any given figure that determines successful FI/RE

This post has been edited by hksgmy: Dec 28 2019, 05:36 AM

Oh man, 4 tenets of wisdom to live by! This resonates with what I’ve been advocating and practicing so much - and you’ve summarised it so succinctly.