- Singapore cash rates to be as high as 4% from 2014 - 2024.
- Singapore government bond yields to be high as 5.3% over the same period of time.
- Global equities to return 5% above inflation over that same period of time.
Sharp readers from BIGS forum and this blog have raised an issue on my last article which claimed that the CPF was equivalent to a 60:40 fund. The readers were rightfully incredulous. How can the CPF program which returned a fixed amount of 2.5%-4.0% be the equivalent of a 60/40 fund?
I went back to trace the origins of the reference and found this link. You can take a crack at reading this paper.
As it turns out the readers were right. The original paper was full of spurious assumptions that do not gel with our observed reality.