CPF Investment with Endowus Robo Advisor


 

Disclaimer: I am sharing my own views in this post. The information in this post is for information only. The information and publications are not intended to be and do not constitute financial advice, investment advice, trading advice or any other advice or recommendation of any sort offered or endorsed by me. The information and opinions contained in this post has been obtained from sources that I believed to be reliable, but I make no representation or warranty as to its adequacy, completeness, accuracy or timeliness for any particular purpose. Opinions and estimates are subject to change without notice. All investments involve a risk. Please seek the advice of an appropriate certified and qualified professional and do your due diligence before making any investment decision.

If you want to earn more than 2.5% (3.5%^) interest for your CPF Ordinary Account (OA), you may want to consider investing your CPF OA.

But firstly, please visit CPF Board website to understand more before you start investing your CPF savings.

^To help boost retirement savings, the Government pays extra interest on the first $60,000 of your combined CPF balances, which is capped at $20,000 for Ordinary Account (OA). Please refer to details on extra interest in the table below.


Extra interest earned on OA savings go into your Special Account (SA) or Retirement Account (RA) to enhance your retirement savings. If you are participating in the CPF LIFE scheme, you will still earn the extra interest on your combined CPF balances, including the savings used for CPF LIFE.

CPF Interest Rates (1 January 2022 to 31 March 2022)

Source: CPF Board

What is Endowus and how does it work?

Endowus is a Singapore-based financial technology company that empowers people to take control of their financial future. The firm’s proprietary systems provide data-driven wealth advice in constructing personalised solutions. Its portfolios are built on access to institutional-quality financial products at the lowest cost possible.

Endowus is a fee-only independent advisor paid solely by its clients, allowing its advice to be unaffected by conflicts of interest. The firm provides its end-to-end digital solution to individual and institutional investors. Endowus is licensed by the Monetary Authority of Singapore.

What happens to my money and assets if Endowus closes?

Your money is held separately from ours and always in your own name at UOB Kay Hian, our partner broker. This means that you will always have full access and claim to your assets no matter what happens to Endowus.

Is Endowus licensed?

Endowus is a holder of the Capital Markets Services (CMS) Licence by the Monetary Authority of Singapore (CMS license no. 101051), and is also an Exempt Financial Adviser under the Financial Advisors Act (Chapter 110) of Singapore.

How much in fees do I have to pay to invest my CPF?

Endowus Core Fees

CPF Ordinary Account (OA) Portfolios
(1) Access Fee:
 paid to Endowus for investment advice, portfolio creation and rebalancing, brokerage, and transfers. 

Access Fee per annum based on assets under advice (AUA): 0.40% flat fee for any amount. 
* Please note that Access Fee for CPF portfolios will be deducted directly from existing CPF investment portfolios. 

(2) Fund-Level Fee (fund total expense ratio): charged by the fund manager out of the underlying fund Net Asset Value (NAV).
* Please note that Endowus will rebate 100% of trailer fees back to you. Read more about trailer fees here.

(3) Agent Bank Charges: These are charges levied by the Agent Bank of your CPF Investment Account (DBS, UOB, OCBC)

  • Transactions (buy or sell): S$2 – $2.50 per transaction on a portfolio basis. No transaction fee will be charged for switching/rebalancing of portfolio 
  • Service charge: S$2-2.50 on a portfolio basis per quarter
  • Rejected trades: $5 to process each unsuccessful transaction (i.e. due to insufficient funds)

* Please note that Agent Bank charges are GST applicable, and subject to change by the respective Agent Banks.

Endowus Core (Flagship)

Which funds are in the Endowus Core Portfolios (Advised Portfolios)?

Funds in the CPF Portfolios (All Funds are on the CPF Investment Scheme (CPF-IS) included List of Unit Trusts)

What is the Annualised Returns?

100% Equities – 13.0% (10 Year)
80% Equities | 20% Fixed Income – 11.0% (10 Year)
60% Equities | 40% Fixed Income – 9.1% (10 Year)
40% Equities | 60% Fixed Income – 7.2% (10 Year)
20% Equities | 80% Fixed Income – 5.1% (10 Year)
0% Equities | 100% Fixed Income – 3.2% (10 Year)

Note: Past performance does not guarantee future results.

Endowus Fund Smart

Personalised investing at your fingertips. Select based on your desired funding source, asset class, geography and more. Customise your portfolio flexibly — with no lock up and no limits — at a lower cost.

Fund Smart Funds Selection: Here

Endowus Fund Smart Fees

Global Equity Fund
High Dividend Equity Fund
Global Fixed Income Fund

Endowus Smart Fund: Here

Source: Endowus

Disclaimer: I am not monetized in any form for this post.