Sunday, January 25, 2015
I'm inspired by Derek when he shared his asset portfolio here. Like him, I'm not going to include the asset value of my residential property, nor my CPF or insurance surrender value. No point including property, as it easily overshadow all the other assets, distorting the percentage. Besides, I don't really see my residential property as an asset. Personally I would include the surrender value of my insurance, or decided to keep it as consistently as possible to Derek's definitions.
This includes the marked to market value of the shares held since the beginning of Jan 2015. Includes all the SGX shares, US and HK portfolio
I'm almost 50% cash. Some of this are locked in fixed deposit, and none of my warchest comes from CPF. But my war chest is fluid. Every month, it'll increase by a few k and decrease by a few k when I enter a new position. All my monthly savings are actually going into my warchest. Looking at both Derek and my own's ratio of warchest to invested amount, it's kind of hard for the market to crash LOL
I only have about 3 months emergency fund. This amount of money is mainly held in my SCB account, which is also jointly held by my wife, though only my part of the money is represented here. This account is used to pay for any joint expenses, like housing mortgage, household repair etc. This account serves as my bill paying account for all joint expenses. I'll always keep a fixed amount inside and we do periodically top up to ensure there's enough to pay 3 months worth of household expenses. I know my segregation of emergency funds and bill paying account is not clear, but this is because I had funds for all sorts of things and not a lot of things will catch me by surprise. Kids, don't follow me!
Just for the purpose of this representation, I pulled out my budget for all my big insurance bills that I have to pay for this year and put it under this category. I pay annually, so this is thes single most biggest expense that I have to cater for. The rest are easily settled by either the cashflow from my pay or from the emergency fund/bill paying SCB account that I jointly shared with my wife.
Play fund is not a physical account but an accounting account. I put aside a fixed budget every month, for frivolous things like gadgets, games, books etc. As long as it's not a necessity and not for work but for leisure, it'll fall into this account. If I have to travel overseas for holidays, it'll fall under this account too.
I don't have a daily expense account. There's a budget for food and restaurant, so these are properly accounted for and there's no need for a physical account to set aside money for it. Most if not all of it is funded by my pay that comes in weekly or bimonthly. In months where it's drier, I might have to tap into my emergency fund, but I seldom do that. So far, I've only done it once or twice in the driest year of my entire career. Actually my wife can also act as my emergency fund. When she's hitting a dry spot, I'll spend more money on food for her. Vice versa, when I'm having drier months, she'll treat me more often.
My blogging fund comes from my play account. But for some things that need to be paid for, I did a cash call from the cbox community in 2013. They kindly raised enough to make it last till 2019! You can read about my own kickstarter campaign here.
There you go!