CPF - Best Investment

CPF is the best investment? There are a lot of "advisors" asked you to invest your CPF money. Should you be investing your CPF?

Hell no to advisors! Why pay them commission? Risk co-exists with gain in any investment. If you are going to pay people to invest your CPF money, then it is a no-no. Keep it as retirement saving. Anyone can claim that they are some kind of investment guru in good times. When bad time comes, they blame it to the economy. CPF board has already assessed risk for each investment scheme so they limits the investment you can do by using your CPF money. The government don't want to take care of you when you are broke after you retire. This is Singapore's system, face it.

What is the best investment for CPF?

Yes, you can still invest. The best investment for CPF is paid up all your housing loan. Keep your first house debt away if possible. This is ensure you can get another bank loan for second property (if you can achieve it). There is good debt, there is bad debt. Property investment is still considered good debt but don't speculate.

Only second property will reaps profit if you invest properly. The first property is your house, your roof.

Remember the golden rule of thumb, do not overkill yourself by draining your CPF money on first property. It won't reap you any profit. If possible, start your property purchasing from HDB because you lose all privilege by buying private as first property.