Where Will You Put 50K? Recently, one of my readers asked if I have SGD 50K right now, how would I diversify it? Like the old saying goes “Never put all the eggs in one basket“. Diversification means that you should allocate your investments among various financial instruments, industries, and other categories based on your available budget. This reduces the risk of losing all your capital in the event the investment suffers a permanent or temporary loss. To diversify, we need to consider our risk appetite. Are you a low risk, medium risk or high risk investor? I consider bonds, fixed deposits, money market funds (unit trusts) and short term endowment plans as low risk financial instruments. Since they are considered as low risk, the returns are also lower. High risk financial products which provide you with higher returns are stocks, Forex and cryptocurrency. There are...