The secret of investing in property for income was first popularized by Robert Kiyosaki’s “Rich Dad, Poor Dad”.
If you’ve read it, chances are you would be thinking how it can be done at all especially given Singapore’s insanely overpriced property market.
Singapore’s house price-to-income ratio (Property Price / Annual Income) is 25.38. That means most Singaporeans have to work more than 25 years to pay off their mortgage loans.
Compare this globally, it may surprise you:
∙U.S.’ average house price-to-income ratio is 2.16
Germany’s ratio is 4.78
∙U.K.’s ratio is 6.73
∙Japan’s ratio is 6.99
With the same amount of capital, Robert Kiyosaki can buy 11 properties in the US and you can only buy 1 in Singapore. He will then rent out 10 of them to collect income while an average Singaporean is still struggling to pay off his debt.
On top of that, average rental yield in Singapore is really low at around 2-3%
To put the figures into perspective. If you intend to use your rental to cover your mortgage payment. a 2% rental yield means that you definitely have a negative cash flow.
Moreover, you need 40 years rental to pay off the loan (assuming 20% down payment) without even accounting the interest payment.
Simply put, you shouldn’t own a Singapore condominium for rental yields.
An average earning Singaporean should consider investing overseas where you have lower upfront investment, much higher rental yield and capital appreciation potential.
Comparatively, you would be able to get up to 7-10% rental yield (sometimes guaranteed).
But such investments are not without risk.
Don’t get carried away without first finding out the rules and strategies of investing oversea properties.
A lot of online resources and information are readily available… But that does not replace quality advice from a professional.
In an upcoming educational seminar, property investment expert Dr. Patrick Liew is going help average investors learn how to invest in overseas properties safely and profitably.
Some of the lessons being covered are:
∙How to determine which countries to invest in and why.
∙How to own top grade overseas properties for as low as $150k
∙How to gain full protection, despite the different rules and regulations in different countries.
∙How to assess developers and hire reliable property management services.
∙How to find undervalued and high-profit potential properties.
∙How to avoid common mistakes (especially for novice investors).
∙What are “megatrends” and “microsegments”?
∙Identify the best types of properties (commercial, residential, industrial) to invest in.
∙How to navigate stamp duties, taxes and other financial related issues.
∙and much more…
Register your free seats now ➡️https://propertysuccess.sg/overseas-seminar/
Have You Always Wanted to Invest, But You Just Don’t Have Enough Money To Do So? If This Is You, Read On…
You Can Start Investing With As Little As $100 In The Stock Market!
It works simply like this:
📈Stock Prices Ranges From as little as $1 to $1000s
📈You Can Buy A Minimum of 1 Stock in Certain Stock Exchanges
📈You Can Buy Stock If You Are Above 18 Years Old
Here’s The Biggest Misconception About Investing That We’ve Heard:
“I need a lot of money to invest in the stock market!”
Here’s the thing…
…unlike properties, you only need as little as $100 to get started in investing! You have NO excuse to not invest now!😜
And this was EXACTLY where Resh started! $100!
We are conducting a FREE Content-Packed 3 Hour Live Buffett Investing Secrets Masterclass.
👉Click on the link below:
Here’s what you’ll get out of the Masterclass:
✔️Become A More Intelligent And Confident Investor That Is Able To Achieve Stable and Predictable Returns in The Stock Market
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And because we want to keep this class open to a group of dedicated students only, we are going to limit this class to the FIRST 50 only. (Tickets are sponsored by Resh)
If You Want To Learn The Secrets Of Investing The Safe and Wildly Profitable Way Without Having To Go Through Hours of Research and Losing Money…
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Note: This Class is Suitable For People of With Little to Zero-Knowledge In The Stock Market
I recommend every family to learn about risks and protect the goose that lay the golden egg in order to have very clear ideas on how to have financial literacy. Contributed by Oogle
You must have followed the news about the double murder in Woodlands and the criminal trial of the husband and father who had admitted to the murders.
He was in financial distress partly due to gambling. But I suspect that the main cause was the loss of income from his job. He must have taken to gambling in the hope of earning some income.
I want to point out that the risk of a severe loss of income due to loss of job or poor business affects every working person.
It is very important for every young family to have proper financial planning to deal with this big risk.
I advise young people to attend this talk on financial planning – so that you can be financially strong to deal with this risk.
Attend this talk and follow the simple ten tips. They are usually.
Parents should send their adult children to attend this talk as well.
Binary options trading
In the United States, the Securities and Exchange Commission approved exchange-traded binary options in 2008. Trading commenced on the American Stock Exchange (AMEX) and the Chicago Board Options Exchange (CBOE) in May and June 2008.
AMEX (now NYSE American) offers binary options on some exchange-traded funds and a few highly liquid equities such as Citigroup and Google. On the exchange binary options were called “fixed return options” (FROs); calls were named “finish high” and puts were named “finish low”. To reduce the threat of market manipulation of single stocks, FROs use a “settlement index” defined as a volume-weighted average of trades on the expiration day. AMEX and Donato A. Montanarosubmitted a patent application for exchange-listed binary options using a volume-weighted settlement index in 2005. CBOE offers binary options on the S&P 500(SPX) and the CBOE Volatility Index (VIX). The tickers for these are BSZ and BVZ, respectively.
NADEX, a U.S.-based Commodity Futures Trading Commission (CFTC) regulated exchange, launched binary options for a range of Forex, commodities, and stock indices‘ markets on June 2009,. On March 30, 2010 the CFTC issued an amended Order of Designation to allow trades on NADEX to be intermediated. NADEX have since offered binary options trading between buyers and sellers. They do not participate in the trades.
On June 6, 2013, the U.S. Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC) jointly issued an Investor Alert to warn about fraudulent promotional schemes involving binary options and binary options trading platforms. The two agencies said that they had received numerous complaints of fraud about binary options trading sites, “including refusal to credit customer accounts or reimburse funds to customers; identity theft; and manipulation of software to generate losing trades”. Other binary options operations were violating requirements to register with regulators.
In June 2013, U.S. regulators charged Israeli-Cypriot company Banc De Binary with illegally selling binary options to U.S. investors. In February 2016, the company reached an $11 million settlement with U.S. authorities. Regulators found the company used a “virtual office” in New York’s Trump Tower in pursuit of its scheme, evading a ban on off-exchange binary option contracts. The company neither admitted nor denied the allegations. In November 2016, SEC published yet another Investor Alert on binary options websites. In 2016,
In February 2017 the Times of Israel reported that the FBI was conducting an active international investigation of binary option fraud, emphasizing its international nature, saying that the agency was “not limited to the USA”. Victims from around the world were asked to contact an FBI field office or the FBI’s Internet Crime Complaint Center. The investigation is not limited to the binary options brokers, but is comprehensive and could include companies that provide services that allow the industry to operate. Credit card issuers will be informed of the fraudulent nature of much of the industry, which could possibly allow victims to receive a chargeback, or refund, of fraudulently obtained money.
On March 13, 2017, the FBI reiterated its warning, declaring that the “perpetrators behind many of the binary options websites, primarily criminals located overseas, are only interested in one thing—taking your money”. They also provide a checklist on how to avoid being victimized.
There is also a popular binary options recovery services scam, where fraudsters promise to “hunt” down the binary options scammers and retrieve the money from them through legal methods. In January 2018, Boston federal prosecutors filed a complaint against Leonel Alexis Valerio Santana and Frank Gregory Cedeno, accusing them of such type of fraud. In August 2018, Santana was sentenced to 63 months in prison, three years of supervised release, and ordered to pay restitution of $105,869 (Cedeno was indicted in March and pleaded not guilty).
Atomic Swaps has the potential of completely revolutionizing the money transfer system in the crypto world. To put it in simple terms, atomic swaps will enable people to directly trade with one another wallet-to-wallet.
Since 2012, the concept of a trustless, peer-to-peer cryptocurrency has been a pretty hot topic. In July 2012, a developer by the name of Sergio Demian Lerner created the first draft of a trustless exchange protocol. The idea was pretty appealing, however, it wasn’t really fleshed out.
The breakthrough in atomic swap research happened around May 2013, when TIer Nolan provided the first full account of a procedure for atomic swaps. Tier Nolan is widely credited as the inventor of atomic swaps.
In this guide, we are going to look into how atomic swaps work and the advantages that they are going to bring into the ecosystem.
Problems With Centralized Exchanges
Suppose Alice has Bitcoin and wants to sell them for Litecoin. Similarly, we have Bob who has Litecoin but wants some Bitcoin instead. Normally what would have happened is that both of them would have had to go a centralized exchange, sell their cryptos and buy newer cryptos. However, there are a lot of problems with these exchanges.
#1 Hack Vulnerability
Centralized exchanges always have the risk of getting hacked. Probably the most infamous example of this is Coincheck which got hacked for $550 million worth of NEM. The worst part is that this hack greatly reduced crypto sentiment in Japan, a country that was traditionally known to be very crypto friendly.
#2 Subject to Mismanagement
The infamous Mt. Gox hack where bitcoins worth $500 million were robbed happened directly as a result of CEO Max Karpeles’s inept management. As Andreas Anatopoulos put it:
“Magic The Gathering Online Exchange (Mt. Gox) is a systemic risk to bitcoin, a death trap for traders and a business run by the clueless.”
#3 Volume Demands
Exchanges can’t deal with changes in demand, especially when there is a sudden increase in demand. Do know why BCH’s value nearly went down by half on 12th November?
Turns out, there was a sudden rise in demand and most exchanges couldn’t cope. Bithumb, in particular, suffered 90 mins of downtime and lost 60,000 BTC in volume.
#4 Subject to Government Regulation
Because the centralized exchanges are registered in particular countries, they are subject to the whims of the government,
Because of the reasons stated above, centralized exchanges are not the ideal way to go forward for mainstream adoption.
What Are Atomic Swaps?
Atomic swap is a peer-to-peer exchange of cryptocurrencies from one party to another, without going through a third party service like a crypto exchange. During this entire process, the users have full control and ownership of their private keys.
On September 20, 2017, Decred and Litecoin did the first known successful implementation of the atomic swap.
Another interesting thing to note about atomic swaps:
They can either be directly executed between separate blockchains with different native coins
Or, they can also be executed via off-chain channels that are offshoots of the main blockchain.
Atomic swap is also known as cross-chain trading.
How Does Atomic Swaps Work?
To give a very simplistic explanation. Two parties who are going to engage in atomic swaps decide on a shared secret. The two parties will share their cryptos if and only if their secrets match. So, this way, if somebody else barges into this exchange, they won’t be able to get their hands on any of the coins because they will not know this secret.
Ok, so now you know the concept, but how does it actually work?
In order to execute this, something known as Hashed Timelock Contracts or HTLCs are used. If you are familiar with the lightning network then you should know how hashed timelock contracts work. Right now we will just give you a brief description of what hashed timelock contracts are.
What are Hashed Time Contracts?
Hashed timelock contracts are a special form of payment channels. Payment channels are basically off-chain state channels which deal with payments.
A state channel is a two-way communication channel between participants which enable them to conduct interactions, which would normally occur on the blockchain, off the blockchain. What this will do is that it will decrease transaction time exponentially since you are no longer dependent on a third party like a miner to valid your transaction.
So what are the requirements to do an off-chain state channel?
A segment of the blockchain state is locked via multi-signature or some sort of smart contract, which is agreed upon by a set of participants.
The participants interact with each other by signing transactions among each other without submitting anything to the miners.
The entire transaction set is then added to the blockchain.
The state channels can be closed at a point which is predetermined by the participants. Closing can happen because of one of the following reasons:
Time lapsed eg. the participants can agree to open a state channel and close it after 2 hours.
It could be based on the total amount of transactions done eg. close the chain after $100 worth of transactions have taken place.
Hashed timelock contracts or “HTLCs” are one of the most convenient applications of the payment channels.
So, what is an HTLC?
Earlier iterations of payment channels which use “timelocks”. An HTLC “extends” that by introducing “Hashlocks” along with the timelocks.
The HTLC enables opening up of payment channels where funds can get transferred between parties prior to a pre-agreed deadline. These payments get acknowledged via the submission of cryptographic proofs. Along with that, another brilliant feature of the HTLCs is that it allows a party to forfeit the payment given to them and return it to the payer. The idea is to use a multisignature transaction system that holds both traders accountable for a swap to be successful.