Mr Kenneth Jeyaretnam, son of the late opposition party leader JB Jeyaretnam, revealed on Tuesday (Jan 5) that a new charity will be set up in his late father’s name. His father was the creator of the Reform Party and former chief of the Workers’ Party.
JB Jeyaretnam was the first opposition party candidate to be nominated Member of Parliament during a by-election for the Anson constituency in 1981. At the time, he was also a professional attorney and the secretary-general of the Workers’ Party.
He was repeatedly sued by People’s Action Party (PAP) officials for his relentless critiques of the government. Eventually, he became bankrupt via court proceedings.
In 2001, due to bankruptcy, he was forbidden from engaging in elections. Later, he was released from bankruptcy in 2007 and founded the Reform Party in 2008. Subsequently, at the age of 82, he died of heart failure in the same year.
Second charity to be set up after a veteran opposition icon
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After a prominent opposition figure, the charity which has to be accepted by the government is the second to be established. The first is the Chiam See Tong Sports Fund created in 2017 to help disabled athletes. It was set up by Mr Chiam See Tong, former head of the Singapore People’s Party.
Charity will support the older generation and more
Mr Kenneth Jeyaretnam mentioned that the initiative would help the aged, the homeless, and students from families in hardship.
The aim is to support them by allowing them access to amenities or resources and removing or reducing poverty’s drawbacks. Students from low-income families can be offered assistance through free or low-cost tuition, and not just by cash or food staples.
“However, we are still at a very early stage and one of our first official activities will be to conduct research and an audit of (clients’) needs,” he added.
A significant announcement on his father’s birthday
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The news of the proposed charity drops on the date of Mr Kenneth Jeyaretnam’s father’s birthday. “Though he can no longer be with us, his legacy lives on to be preserved for future generations,” he commented.
As soon as it is registered, fundraising will commence for the charity. Amid the pandemic, though some donations for charities had plummeted, he decided to launch the foundation this year. This is because more people are suffering and the need for charity support is considerably higher than before.
“Despite the pandemic, I decided to coincide this announcement with JBJ’s (JB Jeyaretnam) birthday this year and not to delay any longer. We are all very excited and looking forward to getting to work for our communities,” Mr Kenneth Jeyaretnam remarked.
Anyone curious to know more about the charity or plan to donate in the future can contact them at [email protected].
Several consumer-facing Financial Technology (FinTech) companies, from digital payments to insurance and transfer payments, have arisen to support Singaporeans’ personal finances. You may have heard of robo-adviser companies such as StashAway, Syfe, and AutoWealth that help with investments.
What are robo-advisers?
To optimise investment portfolios according to the risk profile of the customer, Robo-advisers rely on algorithms. In reaction to market changes, portfolio readjustment is performed automatically.
As such, there is little need for active monitoring by the investor with all these automatic features. As seen from various posts and comment threads on local financial platforms, the low fees paid in relation to human investment advisors have further raised interest in robo-advisers.
A Statista study forecasts that assets under watch by local robo-advisers and user numbers are estimated to rise by over 50 per cent in 2021 to hit US$1.06 billion and 105,000 users accordingly.
Robo-advisers help break barriers to entry
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The perceived difficulty of gaining financial expertise and the scarcity of time for investment and fund management are two widely quoted reasons for not investing.
With technology assistance, robo-advisers eliminate these hurdles, making them a fantastic way to kickstart investing, particularly for beginners. This is not to mention that the procedure of signing-up is reasonably straightforward.
In 15 minutes, a profile can be registered. To propose an appropriate portfolio concerning the investor’s financial targets and risk aversion, one only needs to answer some preliminary questions.
Standard considerations include age, gender, marital status, salary, investment horizon, and priorities, such as funding for a house versus retirement planning. At the same time, risk evaluation focuses on experience with multiple financial instruments and gain and loss perception.
Once that is in place, algorithms based on current financial models will handle the portfolio. Easy peasy, isn’t it?
Advantages of using robo-advisers
The isolation of feelings from investing using robo-advisers is a gain. Investors are far less likely to respond irrationally to disruptive market developments and exit from the market out of panic, with investments using advanced automated trading.
Robo-advisers often foster healthy financial habits by encouraging clients to add to their investments on a routine basis. This induces investors to take advantage of the dollar-cost averaging (DCA), which has been proven to be a successful method for allowing the long-term accumulation of capital by novice investors.
A look at the downsides
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No one thing in the world is perfect, and this applies to robo-advisers too. Given their emphasis on ease and effectiveness, robo-advisers cannot make investment decisions precisely personalised to each user’s financial condition.
Instead, they enable clients to pick from pre-selected portfolios from a restricted menu. They deal only with personal finance’s investment facets and miss the human touch of actual financial advisors.
Human financial planners devote much more time to identifying the needs of their customers. Thus, they can provide numerous solutions that cover various holistic financial management elements, including savings and coverage.
Is investor passivity harmful?
The low percentage of investor participation needed is one of the principal selling points of robo-advisers. But is the lack of investor involvement a cause for concern?
Investor indifference may foster a laid-back approach towards other areas of financial planning. Since computers and algorithms can assign this seemingly cumbersome task, this may lead to a refusal to gain financial expertise going forward.
Although robo-advisers cater to tech-savvy, passive, and limited-capital investors, automated investment does not appeal to active investors. This is especially so for those who want to have portfolio ownership and may be dissatisfied with having a bot controlling their assets entirely.
According to an HSBC survey done last June, only one-quarter of Singaporeans had used mobile banking to invest. This hesitation in handling digital capital shows the real lack of investment expertise or trust. It also highlights the need to empower Singaporeans with financial knowledge.
Lack of financial knowledge can be devastating
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Dr Gordon Tan Kuo Siong, Faculty Early Career Award Fellow at the Singapore University of Technology and Design, shared how a lack of financial knowledge can be devastating.
Using the story of Alex Kearns, he brings out the importance of financial literacy. Last June, the news reported the death of the 20-year-old trader by suicide. After Kearns mistakenly thought he lost hundreds of thousands of dollars on Robinhood, a free-trading app, he took his own life.
For sound investment and financial planning, the acquisition of knowledge is necessary. As the term “caveat emptor” indicates, consumers’ ultimate responsibility is to perform proper research when making a transaction. Buyers should request information on the details of the items they purchase.
In short, consumers should arm themselves with the information they need on the investment products that robo-advisors suggest. As for the businesses who promote these services, it is vital to ensure adequate resources on how their products operate.
Some deets on local robo-advisers
Several local robo-advisers have also launched educational initiatives to develop more educated investors. A set of courses covering personal finance and trading on its app, as well as frequent newsletters and market insights, have been made freely available by StashAway.
Syfe posts short articles and conducts online seminars to provide the public with financial information. These programs are praiseworthy and should not be treated as unnecessary supplements.
In conclusion, if robo-advisers boost their customers’ financial literacy and consumers make an effort to consider what they are investing into, buyers will have much more interest in creating machine-enhanced financial decisions and endow their money to a robot.
At present, the procedure is accessible to patients at risk of transmitting severe genetic abnormalities caused by single gene defects or structural chromosomal differences. However, she stated that the operation’s price is high, at approximately S$10,000 to S$19,000 per cycle.
Ongoing discussions on Pre-implantation Genetic Diagnosis (PGD)
Image Credits: Rahayu Mahzam
Ms Rahayu said that MOH is striving to make Pre-implantation Genetic Diagnosis (PGD) a standard clinical service for spouses who need it, and is researching whether making it available for subsidies is cost-effective.
Authorities are also in talks to charge PGD using Medisave. When ready, further information will be announced about the assessment. Ms Rahayu responded to Nee Soon GRC Member of Parliament (MP) Louis Ng’s adjournment motion on the need to offer better help for those pursuing IVF.
In her address to Mr Ng, Ms Rahayu observed that research had discovered proof that PGD could minimise the risk of severe genetic diseases. It could also improve the chances of bearing a baby to birth.
Request for IVF subsidy structure to be extended to PGD
Mr Ng had asked for the existing IVF subsidy scheme to be applied to PGD. This would give couples a rebate of 75 per cent on PGD for discounted IVF periods. “PGD is needed only by a small percentage of couples, so overall subsidy costs for the government are likely to be limited,” Mr Ng commented.
He also proposed that PGD should be permitted to be billed using Medisave but with a cap to not exhaust the budget. This has been the practice for IVF treatments. “Couples deserve their chance to have healthy children and we should support them,” he said.
Fertility as an “existential problem” for Singapore
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Using data from the KK Women’s and Children’s Hospital, Mr Ng raised fertility as an “existential problem” for Singapore. Within a year of trying for a child, about 15 per cent of couples here find it tough to conceive.
Sharing some numbers, he claimed that over 7,700 assisted reproduction procedures were completed in 2017. This is a significant rise from about 5,500 in 2013. Citing his own experience, Mr Ng also told Parliament that his three daughters had been born by IVF. He and his wife could only have their first child after their seventh attempt at it.
Proposal to subsidise up to eight cycles of IVF
He recommended that the government help fund up to eight current IVF cycles (from six now). He also requested authorities to scrap the quotas for selected embryo transfer methods, enabling couples to use the subsidies for any transfer process.
The concept of “fertility leave” was also introduced by Mr Ng. This would encourage individuals to take time off work to go through IVF treatments.
“These proposals will help more couples undergoing IVF and most importantly reduce their stress levels as they embark on this stressful but potentially rewarding IVF journey,” he remarked.
Health Minister Gan Kim Yong assures the public in Parliament on Monday (Jan 4) that for all citizens, permanent residents, and long-term residents, Singapore has acquired ample vaccines, with shipments expected to arrive by the third quarter of 2021.
The abovementioned groups will receive the vaccines at no extra costs and include employment pass, S-Pass, and work permit holders. Alongside foreign domestic workers, dependent pass, long-term visit pass, and student pass holders, a total of about 5.7 million people can obtain the injections.
Mr Gan, the co-chair of the multi-ministerial task force assembled to address the pandemic, said the vaccines would come in batches, with further supplies anticipated in the coming months. This includes those from Moderna and Sinovac.
Residents urged to get vaccinated
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Mr Gan also advised as many people to get vaccinated as it would be a significant move for Singapore to return to everyday life.
“This will not only protect yourself, but also indirectly protect others who cannot be vaccinated due to medical reasons. This collective protection will be more effective the more people are vaccinated,” he shared.
Singapore should avoid being complacent
Although there may be those who believe that considering Singapore’s limited number of COVID-19 cases recently, there is little need to get vaccinated, Mr Gan cautioned that people here should not be complacent and only hurry to receive the vaccine when an epidemic arises.
The best time to vaccinate is now. If people wait till an outbreak has happened to get themselves vaccinated, it will be too late, both to protect themselves and to prevent the outbreak in the first place,” he noted.
Vaccinations for the elderly will start from February
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Previously, the authorities indicated that they would give priority to those most at risk. This explains why the first to be vaccinated were healthcare practitioners. Latest updates suggest that injections for the elderly will begin from February, starting with people from 70 years of age.
Singapore would also target those in roles with a significant risk of a super-spreading occurrence emerging. This refers to employees in the construction, maritime, and process industries.
Vaccines will be allocated based on availability
Mr Gan said people would not be offered a preference for which vaccine they would like to receive. Instead, vaccinations would be assigned depending on their availability, the different vaccines’ medical indications, and various subgroups’ appropriateness.
“Allowing individuals to have a choice of vaccines will unnecessarily complicate the already complex vaccination programme,” he added.
Prior bookings for vaccinations will be necessary
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The minister also said that considering the vaccines’ cold-chain criteria and multi-dose capsules, prior bookings would be needed. He mentioned that Singapore would be presented with more information about how to make bookings in due time.
A physical card will be provided to those injected. This will inform them of their commitment to come for their second dose, show the issued injection, and offer guidance following vaccination. The National Immunisation Database will also have their records revised, and one may review their status online.
60 per cent of the population here would get vaccinated, according to polls commissioned by government agencies. A third said they were wary.
Mr Gan stated that to clarify the value of vaccination and to ensure its protection and effectiveness, the government will do more educational outreach in the community. He also advised the public to pay attention to reliable data sources as misleading statements about the vaccine have surfaced.
What are your thoughts? Will you take the injection when it’s offered to you?
The results are out. Based on flash estimates from the Housing and Development Board (HDB) on Monday (Jan 4), Singapore HDB resale prices increased by 0.1 per cent in 2019 to 4.8 per cent in 2020.
The HDB calculations also found that the resale price index, which includes statistics on the overall price fluctuations in the resale market for public housing, grew from 133.9 to 137.8.
Most significant quarterly rise in about 10 years
OrangeTee & Tie’s head of research and consultancy Christine Sun shared that the highest quarterly jump in around 10 years was the price spike in the fourth quarter of 2020. With a 3.8 per cent rise, the last peak was reported in the third quarter of 2011.
“The market recovery can be attributed to the slew of policy changes made over the past two years to make public housing more affordable for Singaporeans and enhance the attractiveness of older flats,” said Ms Sun.
She added that numerous new flats that demand higher prices have also been transacted over the past few months. This may have raised the total price index last quarter.
Flat at Pinnacle@Duxton sold at S$1.258 million
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For selected flats, some buyers were willing to fork out large sums. Up till November 2020, a whopping number of 72 resale flats were sold for over S$1 million. This includes one at the Pinnacle@Duxton, which recorded a sale price of S$1.258 million last September.
Ms Sun said that the long time of completion for recent Build-to-Order (BTO) releases and growing private home prices will continue to shift demand to the HDB resale market.
“Couples who are still doing well in their jobs may proceed with their upgrading plans, while those who are still affected by the pandemic may downgrade from private housing to HDB flats,” she noted. “This may result in more flats being put on the market as well as more flats changing hands in the coming months.”
Prices of resale flats are expected to rise further
According to the expert, prices for resale flats are projected to climb further by 2 per cent to 5 per cent this year. HDB said buyers may look forward to more specific data for the fourth quarter of 2020 on Jan 22.
Come February, HDB will offer about 3,700 BTO flats in Bukit Batok, Kallang Whampoa, Tengah, and Toa Payoh. There will also be another 3,800 BTO openings in Bukit Merah, Geylang, Tengah, and Woodlands in May.
“Given the economic uncertainty due to COVID-19, HDB is monitoring the housing market closely and will calibrate the supply if required,” said the board.
With that said, private property prices in Singapore are following suit.
Prices increase by 2.1 per cent in the fourth quarter
Ms Sun said that after the second quarter of 2018 when prices increased 3.4 per cent quarter-on-quarter, the fourth-quarter surge was the highest quarterly rise. This is due to the remainder of the Central Region, which grew by 4.8 per cent in the fourth quarter, and the main Central Region, where prices rose by 3.3 per cent.
“There were a number of new projects launched in the fourth quarter of this year that could have driven prices higher in these regions,” Ms Sun remarked.
Analysts share how buyer sentiments may improve in 2021
“Phase 3 could reflect potential economic stabilisation and opportunities for longer-term property price appreciation,” said Property analyst Ong Kah Seng.
“Overall private home prices may rise by 1 to 4 per cent while prices of new homes may grow at a faster pace of between 2 and 5 per cent in 2021,” Ms Sun added.
