Been a long time since I blogged anything (haha, life and laziness got in the way), and I'm so, so close to the end of the rat race.
It's time to take stock of how I intend to sustain myself once this is over.
Bucket 1 - Core Singapore
This consists of STI ETF, CFA ETF, REITs, local banks and other ahgong holdings like ST Engineering. The dividends generated can fully cover all my expenses.
Bucket 2 - Cash / SSB
More than $200K in this bucket, to act as "sleep well at night" fund aka margin of safety aka warchest during market downturn. It will fund any future large expenses (e.g. home renovation, top-up for home). In the meantime, the yield generated can supplement Bucket 1 for additional discretionary spending (e.g. holidays) or reinvestment.
Bucket 3 - CPF / OA
Around $250K now. One portion in CFA ETF, one portion I intend to deploy to Amundi World, and the rest will sit in OA. This will be utilized when I get a house - probably a 2-room BTO if nothing changes. In the more 'luxurious' case, I might get a 3-room resale which will be covered using Bucket 2.
Bucket 4 - CPF / SA
Aim to hit FRS (Almost there). That's it. The annual interest should be able to cover the rise in FRS.
Bucket 5 - China / HK
My side bet on the rise of China with 3 main holdings - HS Tech, Tencent and BABA. This should be an indefinite hold until drawdown phase.
Bucket 6 - US & Options
My 'trading' portfolio, where I hold a few US blue chips (e.g. Magnificient 7) and do wheel strategy to generate abit of kopi money. Based on historical performance in the past 3 years, I can generate around $5000 a year in option premium, which is reinvested into this bucket.
Bucket 7 - World ETF
Currently consists of SRS Funds (in Endowus, intend to transfer to Poems Amundi) and FWRA in IBKR. This is a small bucket (< $100K), but I hope to DCA for a little longer and bring this to a more substantial portion of my portfolio.
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I am at about 90% mark of the race. Just less than 2 years to go.
My only concern now is to build one last buffer against a future HDB purchase. I need to be confident of securing a house without drawing down my portfolio, and that'll be it.
For big luxury expense (e.g. if I want to Japan a few more times) in the future, I might drawdown from Bucket 5 or 6.
After FIRE-ing, my portfolio should still, minimally grow at a very slow pace (maybe $500 to $1000 per month). Will look to drawdown only when I hit my 50s.
Hang in there~!
