Enjoy a higher interest rate with the money market fund

Hi Mr Tan

I've enjoyed reading your blog site and those valuable advices your have given to the people.

Recently, my life savings of S$50K in fixed deposit is maturing soon. The interest rate is not as attractive as 6 months ago, if I renew with the current bank or transfer to another bank. Could you kindly advice me how can I make my $$$ work

-----------------------

My reply:

I am in the same situation as you. I have some money to invest, but find the interest rate on fixed deposit to be unsatisfactory. The stockmarket is too high at this time.

I decided to invest in the money market fund with NTUC Income, through the flexi-cash product. It earned a money market rate, which is about 3% to 3.5% per annum.

You can withdraw your money from the money market fund at any time, without any penalty. This allows you to invest in the stockmarket to earn a higher return, when it corrects down to a lower level.

You can find more details in www.income.coop/faq. You can telephone or visit the business center of NTUC Income to talk to a consultant.