BANKER, 41, can afford to retire in the next 3 years: HOW ABOUT YOU?
27 November, 2013 Leave a comment
The diversified investment portfolio that Australian banker Anita Yadav has compiled with her architect husband over the years will allow them to retire some time in the next three years – before they both turn 50.
Instead of planning to retire at a certain pre-determined age, Ms Yadav, who has been living in Singapore for about three years, told herself that she would do so only when she earns about $250,000 a year on passive income on all her investments.
……We are biased towards property because my husband is an architect and it does not require intense monitoring on a daily basis. With two children and demanding careers, we are normally short on time for day-to-day monitoring of the portfolio.
I like investing in direct cash bonds and bond funds over shares mainly for their running yield and low risk.
Insurance-linked unit plans provide insurance benefits and help to set aside money for the children’s education and their personal expenses…….
…..Q: What is your financial goal?
It is to achieve at least 8 per cent returns on investment in order to retire on my passive income within three years. God is merciful and we seem to be on track to achieve this. However, my lifestyle needs keep changing…….
….I think it’s better to actually make a small investment than to keep on thinking about and planning a big investment.
Q: What advice would you give to others?
Don’t wait for a sizeable pool of funds to build up before starting to invest.
Money can be made in every field and every asset. Focus on an asset class that you understand.
Focus more on increasing your income than controlling your expenses.
Focus more on your money working for you than on you working for money.