Archive for April, 2010
Alternatives to Fixed Deposits
There is high demand from many clients for an instrument which gives them more returns than fixed deposit but just slightly more risky than common instrument. Now, there are a few alternatives to the good plain old fixed deposit. Let’s examine the returns, risks, as well as the characteristics like liquidity and convenience.
- Bond Funds
Bond funds invests in bonds which essentially are instruments guaranteed by the companies or government entities issuing them. Advantages of bond funds is that they are easily available and the denomination of the investment is relatively small at a thousand to a few thousand dollars. One disadvantage are bond funds do fluctuate slightly in value as underlying bonds in the fund do fluctuate in prices during their lifetime.
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Market update 6th Apr 2010
Global economic recovery
Evidence of a global economic rebound leads the news of the past week. Reports showed a recovery in manufacturing in the U.S., China, Japan and Europe. February had experienced a correction in the market in general due to problems in Greece, stimulus exits and uncertainty over the extent of recovery.
U.S. Employment Data
Employment in March grew by the most in three years, representing a turning point for the labor market as U.S. market recovers from the deepest recession in seven decades. Payrolls rose by 162,000 workers, the third gain in the past five months and the most since March 2007. Unemployment was 9.7 percent for a third month. Jobs report makes it `pretty clear’ recession is over.
Save on Income Tax with Supplementary Retirement Scheme!
Take avantage of Supplementary Retirement Scheme (SRS) and save on income tax like a lot of other middle aged Singaporeans. SRS was established to encourage individuals to save for their retirement by offering tax incentives. SRS is open to all Singaporeans, Singapore Permanent Residents and foreigners.
Benefits
Besides having a larger pool of savings upon retirement, members can also claim tax relief for contributions made to the SRS. Investments and gains in the SRS are tax free.
Tax will be payable only when SRS savings are withdrawn. Only 50% of the sum withdrawn will be subject to tax. Withdrawals may also be staggered over 10 years to enjoy greater tax savings.
