I received an email titled as above from Freddy Lim (Co-Founder & Chief Investment Officer of StashAway) a few days ago regarding my previous blog post – StashAway – October 2017.

In the monthly update, there is a section “StashAway VS STI ETF” where I attempt to track and compare the performance of our StashAway investment with that of either STI ETF through different platforms. The rationale is that I have no way to compare the performance of the different robo-advisors but I can certainly compare it with both the STI ETF. The difference in performance would be the opportunity cost one would be experiencing for choosing any of the 3 investment options.

Below is a screenshot of his email:


Freddy states that a better comparison is to include risk/volatility of the asset using Reward-to-Risk Ratio. In his calculations, he provided the annual volatility for each asset, pro-rated them based on