Timing the market and getting best prices?

Reader says...
Is has been awhile since my last email.

I wasn't dare to take the big move to go ahead into investment.





I know very little about Mr.Market. which I decided to be so call "safe" to put majorly of all cash in bank.

Which I know I know, is very wrong.

I monitor Mr.Market for awhile and didn't act on it. facepalm.





I started to look into low risk investment such as REIT.

I am still get lost when i try to follow your blog from the start.





I know is a lot to ask but could you advice me information/link I can look into.

Maybe can share with me how to see a good entry price, any index I could by buy monthly?

AK says...
Unfortunately, I am not allowed to give specific advice and, so, I won't.

I am not very good at timing the market and getting in at the best prices myself.





Read more, learn about valuation and you should have an idea of what are fairly good prices to pay for investments but remember we cannot always get it right.

It is a lifelong learning process.





You can start by reading the books I have listed in my blog's right side bar under "Food for thought".

You might want to read this too:
http://singaporeanstocksinvestor.blogspot.sg/2013/10/3-points-in-stock-investing.html

Which type of insurance for parents and why?

Reader says...
What do you think of the idea of getting insurance for own parents who are in their late 50s and still healthy?

My parents do not have insurance coverage.

I'm planning to get for them a hospitalization insurance + term life w/ critical illness.






I view it as a protection against my financials should anything happen to them.

Because at the end of the day i'm probably be the one who is footing the bill should any mishap happens.






Thinking along that line, i'm thinking if i should actually profit from the demise of my parents. As a form of investment from the lump sum payout from term plan =X

What would you do?

AK says...
Life insurance are for people with dependents.

If your parents do not have dependents anymore, they only need Medishield Life (H&S) or a private shield plan if they can afford it.





If they are Singaporeans, they should already be covered by Medishield Life.

If C or B2 wards in government hospitals are acceptable, they do not need a private shield plan.

As for critical illness (CI) coverage, it is to provide us with a sum of money for our living expenses in case we are hit with an illness that prevents us from working and making a living.

H&S expenses should be covered by a H&S plan mostly and not by a CI plan.






If we no longer depend on income from employment and are able to retire comfortably, I don't see the need for a CI plan (especially when they are so expensive for seniors).

Please read related posts too.





Related posts:
1. Insurance weakened a family's balance sheet.
2. Do your parents have enough insurance?
3. Why do we need critical illness coverage?