Where can Income Investor go if they have a 10 years horizon?
It's been a while since SGX roll out a retail bond and Astrea IV is the talk of the financial market lately. Instead of the high capital required of $250K of bond investment, the attractiveness about retail bond is that it comes in a lower capital of $2,000. This allows retail investor to be able to diversify their investment portfolio without subjecting $250K to a single bond asset class and use their rest of their capital to invest into other asset classes. A comparison was done on other asset classes which income investor usually like to receive their regular investment income from. Funds in Savings account and Retail Bonds have more certainty than the rest as the capital remains the same after ten years. Whereas the market value for MMFs, ETFs and Equities would change. Comparison disregard other factors and look specifically just in the absolute return without any compounding effect that an investor could get from their interest, coupons or dividends. The yield is assume t...