Monday, July 26, 2010
Sudoku Fans
If you are a Sudoku fan, you can try different levels of the puzzle online at www.easysearch.sg (Logic9). If you are able to achieve level 4, try the puzzles with different symbols, e.g. animals or flowers. This will train your mind to visualize.
Logic9
Logic9
TKL Website - PDF document
I have organised a lot of information in PDF documents that are uploaded to the database in my website.
The PDF documents have now been designed to have a nicer look. Can you look at the documents under "Consultancy" or "Internet Portal" and give me your views?
www.tankinlian.com
The PDF documents have now been designed to have a nicer look. Can you look at the documents under "Consultancy" or "Internet Portal" and give me your views?
www.tankinlian.com
TKL Website - Tangram book prize
I have selected the following participants in the survey to receive the Tangram book prize:
- Warren
- Kalimuthu
- Komatineni
- Chua H T
3 participants gave favorable comments and 1 was critical. But all their contributions were useful to me. I have sent them an e-mail to give me their mailing address.
Visit: www.tankinlian.com
Donate to FISCA
Some visitors to my blog sent individual questions to seek my views. I tried my best to answer them. If you find the answer to be suitable and useful to you, please make a donation to FISCA or join as a member of FISCA ($36 a year).
FISCA has the goal of educating consumers on financial products and need funds to pay an honorarium to volunteers and maintain a website. Please be generous. Give financial support to FISCA, so that it can be more effective in its work.
You can also buy my book, Practical Guide on Financial Planning (on promotion until 31 July 2010)
www.fisca.sg
FISCA has the goal of educating consumers on financial products and need funds to pay an honorarium to volunteers and maintain a website. Please be generous. Give financial support to FISCA, so that it can be more effective in its work.
You can also buy my book, Practical Guide on Financial Planning (on promotion until 31 July 2010)
www.fisca.sg
10 stock market myths
Read this article.
My view
I usually advise people to invest in the stock market at regular intervals, using dollar cost averaging and avoid timing the market.
I wish to make an exception here. The outlook for the global economy is not good with too many unresolved issues - low interest rate, bubble in asset prices, government deficits, trade imbalances. It may be better to hold cash (even though interest rate is almost nil) and wait for a big market correction. If that happens, you must have the courage to move in.
My view
I usually advise people to invest in the stock market at regular intervals, using dollar cost averaging and avoid timing the market.
I wish to make an exception here. The outlook for the global economy is not good with too many unresolved issues - low interest rate, bubble in asset prices, government deficits, trade imbalances. It may be better to hold cash (even though interest rate is almost nil) and wait for a big market correction. If that happens, you must have the courage to move in.
Selling a HDB flat
Read this story.
My view
We can stop the price escalation of HDB flats by providing a supply of flats for rental at controlled prices. The Government has the means to achieve this goal, if they wish to. We have plenty of land and idle manpower (remember the unemployed PMETs) that can be put to build these flats. If rental flats are available at affordable prices, there is no need for citizens to panic and buy a HDB resale flat at inflated price.
When the property prices come down to a sensible level, i.e.5 years of average income, we will have a better economic and social structure. We will not have some people, e.g. land owners, property developers, property agents, lawyers and government leaders, making so much money at the expense of the ordinary people.
For this to be possible, we need a government that truly care for the welfare of the people.
My view
We can stop the price escalation of HDB flats by providing a supply of flats for rental at controlled prices. The Government has the means to achieve this goal, if they wish to. We have plenty of land and idle manpower (remember the unemployed PMETs) that can be put to build these flats. If rental flats are available at affordable prices, there is no need for citizens to panic and buy a HDB resale flat at inflated price.
When the property prices come down to a sensible level, i.e.5 years of average income, we will have a better economic and social structure. We will not have some people, e.g. land owners, property developers, property agents, lawyers and government leaders, making so much money at the expense of the ordinary people.
For this to be possible, we need a government that truly care for the welfare of the people.
Imbalance in the market
Here are two differing reports on the same situation:
Imbalance in resale market.
Shortage of HDB flats.
My view
It is bad to treat property as an investment and to have property prices escalate to a high level, more than 5 years of family income. The high property prices will put an unfair burden on our younger generation, who has to work hard for a lifetime just to pay for a place to live in. This is one key reason why younger people do not want to get married and to start a family.
While social researchers may point to "urban lifestyle", they can look beyond this label to seek the underlying cause. Urban lifestyle means high property prices in the city. Most governments fail in their duty to the citizens in keeping the property prices affordable.
Singapore used to be a good example of urban housing development, but the situation had got out of hand over the past 25 years.
Imbalance in resale market.
Shortage of HDB flats.
My view
It is bad to treat property as an investment and to have property prices escalate to a high level, more than 5 years of family income. The high property prices will put an unfair burden on our younger generation, who has to work hard for a lifetime just to pay for a place to live in. This is one key reason why younger people do not want to get married and to start a family.
While social researchers may point to "urban lifestyle", they can look beyond this label to seek the underlying cause. Urban lifestyle means high property prices in the city. Most governments fail in their duty to the citizens in keeping the property prices affordable.
Singapore used to be a good example of urban housing development, but the situation had got out of hand over the past 25 years.
Life insurance plans
Are you confused with the different types of life insurance plans in the market? Do you know the different between a whole life, endowment, term insurance, critical illness and investment linked plan. Go to www.tankinlian.com, click on "Ask Mr Tan" and search for "life insurance". Click on "View" to read the document.
Best Self-Help Book
Strategy on e-government services
I have written a strategy paper on how a government agency can organize its website and online processes to improve its productivity and deliver a better quality of service for the public. Read the paper entitled "e-Government" in my website, www.tankinlian.com
If you have experienced inconvenience or difficulty in searching for information or submitting an application to a government agency in the past, please send your story to kinlian@gmail.com or post a comment here.
If you have experienced inconvenience or difficulty in searching for information or submitting an application to a government agency in the past, please send your story to kinlian@gmail.com or post a comment here.
TKL website [8]
Dear Mr Tan,
I got to know of the site through your blog which I read almost everyday.
I take interest in the site as I like to keep in touch with the different views of the current events happening around us.
Your layout is easy to access and worded simply in such a way that any layman will be able to understand the language used and the icons used are simple to focus.
Thank-you for creating a simple and versatile site for us to access and be educated.
RK
I got to know of the site through your blog which I read almost everyday.
I take interest in the site as I like to keep in touch with the different views of the current events happening around us.
Your layout is easy to access and worded simply in such a way that any layman will be able to understand the language used and the icons used are simple to focus.
Thank-you for creating a simple and versatile site for us to access and be educated.
RK
Efforts to control motor insurance claims
Three years ago, the General Insurance Association, representing the general insurance companies, announced several measures under the the Motor Claims Framework, as an attempt to control claims. I felt at that time that the measures were not practical and did not address the root of the problem. The regulator gave its support for the framework. The insurance leaders proclaimed that the measures would be effective in controlling the fraudulent claims and lower the insurance premiums.
It was a pipe dream. The measures actually caused the claims to escalate badly. The premium rates increased by 30% during the next two years. There is a big difference between declaration of intent and producing the actual results.
Two years later, the Consumer Association (CASE) formed a joint task force with the insurance association. They approached the problem more holistically. The task force was lead by the president of CASE who was supposed to have the political clout. The joint task force identified the problems and recommended the remedial actions. This time round, it appeared that the measures would be more effective.
I read a news report recently, quoting the president of CASE, that seemed to hint of slow progress in stopping the escalation of claims. Are the measures recommended by the joint task force ineffective?
Over the years, we hear of countless cases of fraudulent motor claims involving aggravated damages, inflated repair bills, and claims for non-existent injuries. Complaints about fraud were not acted by the police. The insurance companies were supposed to deal with the fraud by rejecting the claims, but they need evidence to justify their rejection. With time, the insurance companies found that it was easier to pay off the fraudulent claims rather than to incur the expense of investigating these claims.
Fraud has to be controlled by legislation and enforcement. It cannot be handled by expensive litigation through the courts. The parties that benefited from this unsatisfactory state of affairs are the lawyers, who have the opportunity to earn large fees from litigation work. Someone pointed out that a few members of our parliament or their immediate family members are involved in law firms. Could this be a reason for their reluctance to address this issue of public interest?
In the absence of effective action, the consumers have to pay the price through higher insurance premuims.
Tan Kin Lian
It was a pipe dream. The measures actually caused the claims to escalate badly. The premium rates increased by 30% during the next two years. There is a big difference between declaration of intent and producing the actual results.
Two years later, the Consumer Association (CASE) formed a joint task force with the insurance association. They approached the problem more holistically. The task force was lead by the president of CASE who was supposed to have the political clout. The joint task force identified the problems and recommended the remedial actions. This time round, it appeared that the measures would be more effective.
I read a news report recently, quoting the president of CASE, that seemed to hint of slow progress in stopping the escalation of claims. Are the measures recommended by the joint task force ineffective?
Over the years, we hear of countless cases of fraudulent motor claims involving aggravated damages, inflated repair bills, and claims for non-existent injuries. Complaints about fraud were not acted by the police. The insurance companies were supposed to deal with the fraud by rejecting the claims, but they need evidence to justify their rejection. With time, the insurance companies found that it was easier to pay off the fraudulent claims rather than to incur the expense of investigating these claims.
Fraud has to be controlled by legislation and enforcement. It cannot be handled by expensive litigation through the courts. The parties that benefited from this unsatisfactory state of affairs are the lawyers, who have the opportunity to earn large fees from litigation work. Someone pointed out that a few members of our parliament or their immediate family members are involved in law firms. Could this be a reason for their reluctance to address this issue of public interest?
In the absence of effective action, the consumers have to pay the price through higher insurance premuims.
Tan Kin Lian
DBS Preference Shares
Dear Mr. Tan,
DBS pref share is trading around 104 on par of 100.
It pays 6 a year on par of 100.
Please note that it is callable at 100 on 15 May 2011. If you buy at 104, you will have make a loss of 4 on capital (and gain 6 as dividend). You will get 3 on 15 Nov, and the other 3 on 15 May 2011 (together with 100).
If DBS decides not to call back the share, it will then start to pay dividend based on 3 mth Swap rates plus 2.28%. current swap rates is probably around 0.5%. without any big surprise, Swap rate will be around same level next May. this means that if DBS does not call back the share, it will be paying investors about 2.8% in dividend.
cm
My view
With this additional information, DBS preference shares is not attractive as an investment.
Financial Sense
Hi Mr. Tan
Here's the financial website which I find to be very educational for people like me with no financial backgrounds.
http://www.financialsense.com/
Here is the link for their weekly podcast which I personally find it very useful.http://www.financialsense.com/
YP
Here's the financial website which I find to be very educational for people like me with no financial backgrounds.
http://www.financialsense.com/
Here is the link for their weekly podcast which I personally find it very useful.http://www.financialsense.com/
YP
Values of Leadership
I have been asked to speak to poly students about the qualities of a leader for the future. I wish to share with them my 5 personal values:
- honesty
- fairness
- courage
- positive
- public service
I believe that President Barack Obama hold most or all of these values. From his speeches, I can see that he is honest, has courage, is positive and embrace public service. I am not sure about fairness.
If you know about his qualities or has read his book, please send your views to me at kinlian@gmail.com. Do you think that I have assessed him correctly? You can also post your comments here.
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