Isaac Chin (right) contributed this article to NextInsight. For the past decade, he has been a full-time investor after a career as a chartered accountant.
“I didn't have an inspiring career as an accountant. Nothing great came out of it. If I have to work hard for a salary and put up with a lot of stress, I might as well work for myself - and earn more,” he said.
Now aged 65, he has reaped handsome profits from investing in property, equities and bonds.
2015, being the 50th year of independence of Singapore, has a special meaning to me.
I was born and raised in Chinatown, an economic backwater of Singapore then.
But in just half a century this island state has transformed into a modern metropolis, from third world to first, and ordinary folks like me have benefitted.
With a solid U.S economic recovery in 2014 and FED monetary easing coming to an end, our regional markets also ended firmly with the STI closing 6% higher for the year.
These statistics will help explain the performance of various sectors of our share market:
I consider 2014 a difficult period for most investors with the U.S economy struggling to recover, and numerous problems arose around the globe, particularly in the Middle East and Ukraine creating volatility and uncertainty in the financial markets.
Against this backdrop, I still managed to gain about $550K from my portfolio of $3.7M in short-term corporate bonds and equity.
In 2015, I will keep my portfolio invested in property (50%) -- I own a condominium unit which is rented out for $6,500 a month -- corporate bonds (25%), and equities and Reits (25%).
In my view, an economic or political fall-out could come from the Middle East, Russia, Europe or even China in the next two years. The greatest challenge in 2015 is how the financial markets would react to the FED rate hike, the sharp decline in oil price and the movements of major currencies.
Wishing everyone a Happy New Year.
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