If you have been following my blog post on POSB invest Saver, here is a quick update of the counters that I have been investing on:
- Nikko AM STI ETF
- ABF Singapore Bond Index Fund
Upon application of the POSB Invest Saver account, you will see a new section added to your account called Investments with an entry called “Unit Trust” as per shown below.
Following which, you will receive a letter from the bank to acknowledge the success of your Regular Savings Plan application linking to both Nikko AM Singapore STI ETF and ABF Singapore Bond Index Fund. It will also state that the amount that will be regularly deducted from your selected account and that the debiting date will be on the 15th of every month. Should it be a public holiday or a weekend, it will take effect 1 business day later.
Read: How to apply for a POSB Invest Saver
The purpose of this post is to document the progress of my journey using this product. A few months ago, I mentioned that since I was only 3 months in, the Dollar Cost Average (DCA) would not be attractive. Now, that I have invested $100 per month for 8 months, the DCA would paint a better picture.
Do note that results may vary depending on the amount that you have invested. The data below is meant for investors who only invested the minimum sum into the account.
Nikko AM STI ETF
Month | Unit Price | No. of Units |
Nov ’18 | $3.23 | 31 |
Dec ’18 | $3.33 | 30 |
Jan ’19 | $3.33 | 30 |
Feb ’19 | $3.31 | 29 |
Mar ’19 | $3.28 | 30 |
Apr ’19 | $3.40 | 29 |
May ’19 | $3.40 | 29 |
Jun ’19 | $3.34 | 29 |
DCA | Contribution | Units Bought | Investment Value |
$3.33 | $800 | 237 | $817.08 |
ABF Singapore Bond Index Fund
Month | Unit Price | No. of Units |
Nov ’18 | $1.14 | 87 |
Dec ’18 | $1.16 | 86 |
Jan ’19 | $1.13 | 88 |
Feb ’19 | $1.14 | 87 |
Mar ’19 | $1.13 | 88 |
Apr ’19 | $1.14 | 87 |
May ’19 | $1.14 | 87 |
Jun ’19 | $1.16 | 86 |
DCA | Contribution | Units Bought | Investment Value |
$1.14 | $800 | 696 | $800.75 |
From the above tables, the average was higher than my initial purchase, but it is lower than the fund’s highest prices. This allows me to take advantage of the fluctuations of the market as the index fund increased and decreased in value. At this point in time, I’m making a profit of $17.08 for the STI ETF and a meager $0.75 from the Singapore Bond Index. I will continue to update the tables accordingly throughout this journey.
