It’s easy to confuse persistence with stubbornness.
Upon reflection, I admitted I was more of the latter in recent years. New stuff like robo-advisors, online brokerages, active ETFs and even cryptocurrencies were dismissed out of hand. Reflexively.
Sticking to the tried and tested, I was afraid to venture out of my comfort zone. I realised I was no longer learning and growing as an investor.
I wanted to change that.
So at the start of 2021, I made a resolution to be more receptive and adopte the attitude of a beginner again!
I have since initiated 4 new investing strategies and all of them have low barriers of entry, requiring little capital like SGD500 to start.
Perhaps some of them are also suitable for you and the details are fleshed out below.
1. Endowus (SRS)
I wrote a post on how I funded my Supplementary Retirement Scheme (SRS) with $1,000 to open an Endowus Account almost 2 months ago.
This is a “get rich slowly, but surely” strategy, playing it safe with my retirement funds.
Strategy:
- Invest SGD500 every month into Endowus through SRS.
- The funds are invested in Dimensional Global Core Equity Fund and Dimensional Global Short Fixed Income Fund using a 80:20 allocation.
Benefits:
- Fuss-free access to global funds with small capital injections
- Tax relief
- Low platform access fees of 0.4% for SRS
- Low fund-level fees of ~0.3%
3% gains so far, not too bad. It takes a long time to process new funds though
Endowus is still running a promotion until 31 March 2021 where the minimum initial investment is just $888.
If you are interested in opening an account with Endowus, here’s my referral link.
You will get S$10,000 managed free for 6 months ($20 equivalent) and I will also get $20! You can refer your friends and get rewarded next time too.
2. Moomoo (for buying US Stocks)
I wrote a post giving 9 reasons why you should sign up for a Moomoo (By Futu) Trading Platform almost 2 weeks ago.
This is a “scattergun approach” strategy, hoping to gain exposure to the next unicorn.
Strategy:
- Invest USD500 every month into various US stocks
- I have already identified Twitter, AirBnb and Roblox so far
Benefits:
- Possibility of diversifying USD50,000 into 20 or more stocks
- Convenient trades with Level 2 Market Data for US stocks
- Low platform fee of USD 1 per trade
- Commission-free for first 90 days of trading
Small stakes so far…
I have been using the Moomoo account to purchase US stocks in the past month and all the trades have been seamless so far with Level 2 Market Data.
To entice investors and traders to come onboard and test out their Moomoo platform, there is an attractive welcome bundle worth SGD200 (1 Apple Share and SGD 30) for new users.
You would need to fulfil two conditions:
- Deposit SGD 2,700
- Make 3 trades within 45 days from the date of account set-up
The conditions are very reasonable in my opinion.
So if you decide to open a Moomoo account, you can refer to my earlier post for a detailed guide or just sign up using this referral link.
3. ARK Genomics (Kristal.AI)
ARK Genomics Revolution ETF (ARKG) is one of Cathie Wood’s flagship active funds and has enjoyed stellar returns, especially in the past few years. Valuations are definitely frothy.
From a macro point of view, I am very bullish on the Genomics industry. Money will pour in and I am definitely hoping for a breakthrough in the mitigation of debilitating illnesses like Alzheimer’s and Parkinson’s in my lifetime.
However, I believe I do not have the expertise to evaluate any companies in this industry. My foray into Biology (first 3 months in JC) ended in a disaster. So I understand the need to outsource.
This is a “chasing the hottest trend” strategy, so expect volatility and, of course, plenty of potential downside.
Strategy:
- Invest SGD500 every two months into ARKG through Kristal.AI
Benefits:
- Access to specific ETFs like ARKG
- Genomics industry has potentially huge upside
- Kristal.AI charges no fees for investors with under USD10,000 invested
In the red, but all prepared to average down in the future
Kristal. AI is a global robo advisor that has operations in Singapore. I believe its main value proposition is offering customers more freedom and flexibility in their investments. The ability to choose ARK funds is a case-in-point.
4. Bitcoin & Ethereum (Gemini & Hodlnaut)
Honestly, I was a little apprehensive about revealing this section, since few things split opinions more than cryptocurrencies.
Even after reading up pretty extensively for the past half a year, I still definitely classify myself as a clueless retail in this space. But well, I have started, let’s just say a rising tide lifts all boats.
If you are thinking about why I became “enlightened” or “capitulated” (depending on your perspective), I will probably address it in a separate and probably more comprehensive post.
This post is about the “how I buy” and like many in Singapore, I started off with Binance.sg. However, I found the platform to be quite limited after a while and has since switched to Gemini to purchase my Bitcoin and Ethereum.
I would usually key in SGD498 or 499 and notice the fee is just SGD1.75
If you decide to open a Gemini account, you can sign up using my referral link.
- If you trade USD100 within 30 days of opening your account, both of us will receive USD10 worth of Bitcoin.
For the past couple of months, I have also started lending out the bulk of my Bitcoin and Ethereum on Hodlnaut to earn interests on my coins.
This is an “investment instrument with ponzi-like characteristics” strategy, so am I prepared to lose everything?
Strategy:
- Invest SGD500 every week into Bitcoin/Ethereum using Gemini
- Transfer Bitcoin/Ethereum to Hodlnaut to earn 6-7% p.a. interests
Benefits:
- Slowly increase exposure to Crypto bluechips
- Low 0.35% transaction fee on Gemini using Active Trader platform
- Put coins to work by lending it out on Hodlnaut
Many people who lend out their coins do so on BlockFI. But somehow, I did not have a good vibe about them and turned to Hodlnaut instead.
Hodlnaut is actually a Singapore start-up. You can refer to their FAQs if you are curious.
Looking forward to earning more payouts with Hodlnaut
If you decide to open a Hodlnaut account, you can sign up using my referral link.
- You will receive a US$20 signup bonus after making an initial deposit equivalent of US$1000
Conclusion
I found all 4 strategies simple to apply but of course, there is no guarantee all of them will turn out well. Especially 5 years down the road.
Also note that the combined value of all 4 strategies only comprise ~2% of my household’s assets and is unlikely to take up >10% anytime soon.
So if any of the strategies intrigue you, do ponder over and read up further before implementing them. I try to be as transparent as possible but our situations and contexts could easily differ.
Quarterly updates of these strategies are in the pipeline, so do stay tuned.
Thank you for reading!
Disclaimer: This article contains affiliate/referral links and any support is much appreciated!
Word-of-mouth recommendations lower the costs of acquiring a customer so companies are more inclined to provide additional benefits for both referrers and new sign-ups.
