This is probably a note to myself.
I used to work in a local engineering company and left after 15 years to work in Providend. Part of the benefits is to be able to take up to 10% of our salary after 1 year of employment to purchase units that are linked to our listed company share price. Not actually the actual shares but units.
If we contribute our salary, the company will match 50% of it. This means if I put in $100 worth of units, the company will give us $50 more worth of units. I would usually explain to the junior engineers not to look at the 50% not as a baojia return but as part of your compensation.
From time to time, I would redeploy some to what would become Daedalus Income portfolio but there will still be some left.
When I left, I sold off all the company units. I have the option of just buying back the listed company shares but decide to just invest on my own.
I got an LLM to roughly calculate how much I would have accumulated, based on my salary over 15 years with the company and the almost 7 years I have been in Providend:
Holy shit. Would have been in $627,627 roughly.
The madness happen in 2022 when the portfolio value was only $147k and then today it became $519k. Part of it was what happen to the world in 2024 onward.
Now I can assume if my ex-colleagues who came up together with me, and never left, who never sold would be sitting with half a million at least right now.
Here are the numbers:
The XIRR is rather crazy:
The interesting thing is the XIRR with dividends (22.1% p.a.) versus without (15.2% p.a.)
Dividends can make a big difference.
I also calculated, what will be the XIRR at the time when I left:
The XIRR will still be rather high!
That is how much money I left on the table.
Here are your other Higher Return, Safe and Short-Term Savings & Investment Options for Singaporeans in 2026
You may be wondering whether other savings & investment options give you higher returns but are still relatively safe and liquid enough.
Here are different other categories of securities to consider:
| Security Type | Range of Returns | Lock-in | Minimum | Remarks |
|---|---|---|---|---|
| Fixed & Time Deposits on Promotional Rates | 4% | 12M -24M | > $20,000 | |
| Singapore Savings Bonds (SSB) | 2.9% – 3.4% | 1M | > $1,000 | A good SSB Example.” data-order=”Max $200k per person. When in demand, it can be challenging to get an allocation. A good SSB Example.”>Max $200k per person. When in demand, it can be challenging to get an allocation. A good SSB Example. |
| SGS 6-month Treasury Bills | 2.5% – 4.19% | 6M | > $1,000 | How to buy T-bills guide.” data-order=”Suitable if you have a lot of money to deploy. How to buy T-bills guide.”>Suitable if you have a lot of money to deploy. How to buy T-bills guide. |
| SGS 1-Year Bond | 3.72% | 12M | > $1,000 | How to buy T-bills guide.” data-order=”Suitable if you have a lot of money to deploy. How to buy T-bills guide.”>Suitable if you have a lot of money to deploy. How to buy T-bills guide. |
| Short-term Insurance Endowment | 1.8-4.3% | 2Y – 3Y | > $10,000 | A good example Gro Capital Ease” data-order=”Make sure they are capital guaranteed. Usually, there is a maximum amount you can buy. A good example Gro Capital Ease“>Make sure they are capital guaranteed. Usually, there is a maximum amount you can buy. A good example Gro Capital Ease |
| Money-Market Funds | 4.2% | 1W | > $100 | Suitable if you have a lot of money to deploy. A fund that invests in fixed deposits will actively help you capture the highest prevailing interest rates. Do read up the factsheet or prospectus to ensure the fund only invests in fixed deposits & equivalents. |
This table is updated as of 17th November 2022.
There are other securities or products that may fail to meet the criteria to give back your principal, high liquidity and good returns. Structured deposits contain derivatives that increase the degree of risk. Many cash management portfolios of Robo-advisers and banks contain short-duration bond funds. Their values may fluctuate in the short term and may not be ideal if you require a 100% return of your principal amount.
The returns provided are not cast in stone and will fluctuate based on the current short-term interest rates. You should adopt more goal-based planning and use the most suitable instruments/securities to help you accumulate or spend down your wealth instead of having all your money in short-term savings & investment options.
Kyith is the Owner and Sole Writer behind Investment Moats. Readers tune in to Investment Moats to learn and build stronger, firmer wealth foundations, how to have a Passive investment strategy, know more about investing in REITs and the nuts and bolts of Active Investing.
Readers also follow Kyith to learn how to plan well for Financial Security and Financial Independence.
Kyith worked as an IT operations engineer from 2004 to 2019. Currently, he works as a Senior Solutions Specialist in Fee-only Wealth Advisory Firm Providend. All opinions on Investment Moats are his own and does not represent the views of Providend.
You can view Kyith’s current portfolio here, which uses his Free Google Stock Portfolio Tracker.
His investment broker of choice is Interactive Brokers, which allows him to invest in securities from different exchanges all over the world, at very low commission rates, without custodian fees, near spot currency rates.
You can read more about Kyith here.
