A reader read an article in The Straits Times on CPF Life and asked me to write a piece on it. I have blogged about CPF Life so much already and, so, to avoid boring anyone too much, I will try to keep this short. This is taken from a recent chat with another reader: foolishchameleon said... ... with so many annuities in the market, what returns would be considered decent? 2.5%? 3% ? AK said... What is a decent return? I have not done any comparison lately but I know none is able to come close to what CPF Life is able to generate which is a minimum of 4%.  However, if it is only 2.5%, I might as well just do annual VC to my CPF account as the OA pays 2.5%. So, intuitively, I would demand at least 3% from a private annuity......