Cash Proportion

This will be a short post.


I am recording down my cash proportion vs the net worth.

The proportion of cash alone vs the net worth is a pathetic 11.5%. Because of this low ratio, I have decided to let a few opportunities pass. Eg. did not purchase KERX shares (although I did spend quite some time reading up on it and its sole drug Auryxia).

However, if I include the cash in my CPF account (which I sort of treat it like a fixed deposit), Cash portion in my insurance policies & SRS, the proportion becomes 25.4%. My ideal figure will be min. 50% cash. It can only be done with the combination of savings, selling of overvalued stocks or stocks whose fundamentals have deteriorated drastically, and cash inflow from dividends.

Yeah I know. Cash is really not sexy, and not interesting. However,am really trying my best to up the percentage of cash as much as I could. Unfortunately, this percentage actually dropped from last month’s figure. I attribute that to the purchase of Nirvana Asia shares in the month of Oct 2015.

Cash will only be very enticing when the market crash (when cash is king).

About apenquotes

Born in 1976. Married with 2 kids (a boy and a girl). A typical Singaporean living in a 4 room HDB flat. Check out my Facebook Page:
This entry was posted in Portfolio. Bookmark the permalink.

2 Responses to Cash Proportion

  1. Is your emergency fund separated from your spare cash for investment?
    If u include your emergency funds, maybe you will have a higher cash reserve.


    • apenquotes says:

      Nope. More or less the cash I have is also my emergency fund. Well, the cash I have at the moment is definitely sufficient to last me for min. 6 months or a year (and even more). Eg. In the event I become jobless or ill, or if anything happen to my family members.

      I did not really consider my flat in it, as I do need a place to stay no matter what.
      So yeah, slowly building up. Well, dividends help. I don’t think I have as much dividend as you. I did not set out to be a dividend investor at the beginning. My strategy was and still is to find good companies with strong growth. Some of my later companies (stocks which I bought from 2010 – 2011 onwards) did quite well, well others flopped like Sarine Tech and Super Group.
      However over time, I did notice the dividends (as the amount I invested increase, so did the dividends).


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s