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Financial freedom, one realistic step at a time.

Category Archives: Protect wealth

Investing in Survivor Insurance


One of the more interesting programmes I’ve watched on my iPad recently is National Geographic’s “Doomsday Preppers”. The term “preppers” refers to people with survivalist beliefs, that the end of the world as we know it (TEOTWAWKI) is near due to risks of nuclear war, over-population, collapse of US and global economy, massive earthquake (California), shifts in magnetic poles bringing earthquakes and massive weather changes, flu pandemic, terrorism etc.

These people prepare for the contingency that things fall apart in the societies where we live, with the social fabric torn beyond recognition and where breakdown of society leads to anarchy, chaos and violence.

It is not unthinkable for us in Singapore as we have lived through SARS in 2003, H1N1 pandemic in recent years as well as seen 9-11 terrorism attack in 2001 as well as potential terrorism threats from Jemaah Islamiyah internally. Partly because of these threats, some of my reservist duties in the Singapore Armed Forces involved protecting installations from these risks. Continue reading →

Importance of Being Present


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A picture tells a thousand words. And this painful picture tells of $480 worth of pain due to one moment of carelessness while cornering a multi-storey carpark resulting in side damage to the left side of my 3 year old car.

It is a timely lesson in my journey towards financial freedom that unforeseen circumstances can occur but the key thing is that all family members in the car are safe and sound.

Looking back, I was distracted but for a moment but the consequences were painful. Reinforces the lesson to be “present” at whatever one is doing at the moment, to be fully immersed and not be distracted by other inconsequential things.

Our journey towards financial freedom also requires us to be present. To be aware of our net asset positions as well as our cash positions. To know how much investible savings we have and what is our returns on investments. It also requires us to know a lot about ourselves, our personalities, investment risk appetite and ultimate objectives in financial freedom.

How do you maintain your focus on the task at hand without being distracted in your journey towards financial freedom?

Share with Panzer in the comments section.

Be well and prosper.

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Tis one thing to be tempted, another to fall


Measure for Measure

(Photo Source: Flickr by Stuart Mudie)

I remember parts of this Shakespearean quotation during my “A”-Levels studying literature from the play, “Measure for Measure” and it struck me the more I read about how the two casinos Integrated Resorts have resulted in seemingly educated professionals falling prey to the addictive nature of gambling. A local brokerage firm UOB Kay Hian has also urged its staff to voluntarily sign up for self-exclusion through the National Council on Problem Gambling. Continue reading →

The $26 million dollar (less) man


The headline “Local businessman loses $26m at RWS casino over 3 days” is a sobering reminder of the possible consequences of a gambling approach to financial freedom.

What is staggering is the amount; but underlying this story is what can potentially happen to any of us when we take a gambling approach towards financial freedom.

I have been to the Resorts World Casino in Sentosa. It was an educational and interesting experience to see groups of people who come together with a common purpose to gamble with their money on the various games provided by the casino. While individual motivations differ, the activity is the same. Taking a bet on a random outcome and potentially gaining or losing money in the toss of a dice or roll of the roulette wheel.

Some feel that gambling is a vice. Others feel that it can be a harmless hobby if one plays within one’s limits and sees it as a leisure activity and not a money making opportunity.

I too have gambled on SGX. Punting on short-term movements in share prices of companies which I had little interest to understand and research. How different is that from gambling in a casino? I am also wagering my capital on the outcome of share prices in the future. The time horizon may be longer than the time it takes for the roulette wheel to finish spinning but the concept is similar especially if my mindset is that I don’t really understand the company and business much and am just watching for the volatility in share prices to buy lower and sell higher.

Ultimately, if one doesn’t really understand what we are getting into in terms of investments, then we are moving closer to a gambling mentality to investing rather than true investing.

The lesson from the $26million loss by the businessman is clear. Play within your means be it investment or gambling. Do not invest (gamble) on credit. And most important of all, know your limits and when to cut loss and walk away without destroying yourself and your own life savings recklessly.

Be well and prosper.

Mini Black Swans


Black Swan by Nita W

"Black Swan" by Nita W

I am constantly reminded about the unpredictability of life. Yesterday one of my colleagues injured herself getting down from the bus and was on a week’s medical leave due to a fracture in one of her bones. Another colleague informed me that she was tendering her resignation because she wanted to pursue full-time studies to get her qualification.

What does these seemingly unrelated and yet coincidental occurrences have to do with the picture above?

Continue reading →