Back in 2004, I started down this investment path in the Unit Trust world. The STI ETF was in its starting stage and there were no index funds in Singapore except for 3 feeder funds by OCBC (now Lion Global) into 3 Vanguard funds (so that you can profit from S&P 500, MSCI Europe and MSCI World Index). Unit Trusts are a basket of diversified stocks or bonds or fixed deposits that are managed with a particular investment mandate. You can create a portfolio of funds that is diversified globally, across different asset class and earn the expected return based on your selection.

Creating a Strategic Asset Allocation

Based on your age, risk profile, and your runway to when you need the money, you create an asset allocation that reduces the volatility with an expected return that rewards your time in the market. For example, a 37 year old like ......