Portfolio management

In learning portfolio management, one seeks to have a balance between equities, fixed income and cash to tide over any period and over the years let one's assets grow. I hence implement a 60% equity, 20% bond, 20% cash and cash equivalent portfolio as follows given a hypothetical account of S$100,000.

Equities stake
20% STI ETF to ride on the index growth
40% portfolio into 7 gems

Fixed income
20% portfolio into highest yielding retail bonds
In choosing between Olam 6.75% bond and LTA 4.17% bond, the latter offers a really goodnight sleep while the former actually is a lot more liquid and gives better returns. Given that your fixed income should be your safe haven in times of trouble, i would recommend $7,000 in olam bonds (Ask price: $1.012) and $13,000 in LTA bonds (Ask price : $1.10).

Fixed deposits
20% of cash in easily available funds to capitalize on opportunity
1 year fixed deposit with Maybank at 1.1% or 6 months deposit depending on your time horizon.

Here is the expected net result if all things goes as plan (time horizon differs)

Do note that the assumptions and valuations are highlighting the possibility that the companies/bonds will continue to grow and find opportunity to succeed. This are by no way an instruction to buy/sell, kindly contact your investment advisors and conduct your own due diligence before taking any course of action.