Finance Investment Movement 50

The pieces are starting to fall in place. A groundswell of goodwill has gradually built up among the people, featuring messages of inclusivity, resilience and aspirations. Soon, the electoral boundary committee would be convened. That's my guess. What's giving the vibes? In short, the government has begun to implement some feel good measures.

Giving out cost of living vouchers and framing it as a long term action will no doubt stick in the minds of recipients. Highlighting that Singapore lives in a dangerous world amid geopolitical conflicts reinforces the need for social stability that goes hand in hand with political continuity. Getting closure from the cases of Shanmugam-Balakrishnan and more importantly, of Iswaran (swift conclusion without contest and some more against a formidable sharp-tongued lawyer) is a major confidence boost to showcase the government's integrity. PM Wong had met a fair number of leaders in a short period and by going around Asean recently, underscored his good rapport and acceptance into the big league. Add in some sprinkles of attention towards climate change, family friendly policies and long term urban planning. Put together, these reputation building moves basically underline the message of safe stewardship under the current team. It's impressive and my opinion is there are more happy citizens than unhappy ones. Small incidents like cyclist road behaviour, MRT breakdown, debate over the purpose of district mayors or NTUC's political affiliation are not acute enough to score big points for the opposition. So, as the school holidays approach, it would be a good time to hold an election, especially after the US one. A Trump victory can accelerate the cause. Better hurry lest the COE spikes even more or wait for Pritam's fate to be decided? 

The declining yield scenario has started. Fixed deposits or Tbills are generally around 3%, with room for further drop. By the end of the year, I reckoned the risk free rate to be at 2.5% and fair premium to be the same amount. Therefore, anything above 5% is worth looking at. Many Reits are still available for that return but I chose to go with Pimco bond fund this month as my observation over months showed that it could retain value and get dividends of about 6.2% pa. At the moment, it's still a small portion and I hope to accumulate more. Also, I'm building up ammunition for higher value option trades.

Tip: Sterling’s Vintner Collection 2021 Cab Sav, regular and predictable, for a night sip