Sunday 31 July 2022

Getting to generate cash flow and building that up for retirement | Syfe REIT+ or Endowus Income Portfolio?

I have been thinking a lot about my stock purchases in this bear market on how I want my portfolio to be, I have been learning as I see how my portfolio performs in a downturn versus when there was a bull market. It was great when it was a bull market as ATH were hit and the numbers just look amazing but in a market downturn, you start to have a lot of thoughts and might even doubt why you started.

If you read on why I started investing, it was to build up a portfolio that can provide me with cash flow as my capital builds up. As time passed, I saw that US stocks and crypto can provide me a better return on my capital and especially so when I am relatively young and have a longer runway.

However when 2022 hit and prices nosedived (where some nosedived to zero like LUNA), I realised that if I want to retire in the future, I will have to slowly rotate out a proportion of investments to put into things that I will be comfortable with and into assets that either provided guaranteed capital or cashflow. Hence, in the longer term (~5 years), I am considering either putting a sum of money into Syfe REIT+ or Endowus Income Portfolio and continuing to build that up as it provides me with a little cashflow towards my retirement.

Why am I wanting to build a cash flow portfolio?

Coming across an article from investmentmoat called, “The Risks of Planning Retirement With an Accumulator’s Mindset where he wrote about a podcast episode from the Retire with Style series where Wade Pfau and Alex Murgia interviewed Michael Finke. He shared how advisor are usually in an accumulating mindset as to them, the market goes upwards and equities will always outperform bonds in the long run however the risk for your portfolio should decrease as you grow older and move towards retirement.

He also shares a case study for a couple with $1 million for retirement using the 4% safe withdrawal rate. They lose a portion of their portfolio due to the market downturn. With a high inflation rate currently as well, using the 4% safe withdrawal rate for retirement planning might not work for them and they will need to cut down to adjust. This all shows how the 4% safe withdrawal rate might not adjust to the different expectation realities and with the volatility of the market if the sum is invested in equities. It does however take into consideration inflation and having some cash flow is helpful in retirement. InvestmentMoat also wrote a piece titled, “Why the Safe Withdrawal Rate (SWR) is Important for Your Financial Independence (For Singaporean Investors).” I found it interesting and helpful.

So a dividend paying portfolio can act as a supplement or even better fund your retirement if you are able to build up substantial capital so let’s get into the choices I am considering!

Syfe REIT+

I came across Syfe through one of the ads online as there were many content creators and videos sharing on Syfe. Syfe REIT+ invest in Singapore REITs and provide dividends depending on the REITs payout. Do note that there are annual fees, the portfolio is focused on Singapore REITs hence if you like to have overseas exposure, you might have to invest in the individual REITs separately. However, the portfolio has about 20 of the largest S-REITs which is great as you can put your money in a diversified REIT portfolio.

The dividend yield adjust yearly as the share prices do fluctuate as well meaning your capital could drop or increase in value. Singapore REITs (S-REITs) are required to distribute 90% of income earned (mostly from rental income and capital gains when a property is sold for example) as dividends to unit holders and investors.

Read more on the report for Syfe REIT+:

Endowus Income Portfolio

Endowus Income Portfolio help provide monthly passive payouts while growing or preserving your capital depending on the portfolio chosen. I won’t really talk too much in detail but there are 3 portfolios that you can invest in:

  • Stable income which invests in 100% fixed income, they do categorise it for retirees as capital preservation and there are regular payouts
  • Higher income which invests in 20% equities and 80% fixed income, this is more for higher payout
  • Future Income which has 40% in equities and 60% in fixed income, this brings more capital growth and lower payouts as equities generally perform well over the long run.

Endowus shows the equities breakdown namely in companies or markets (countries) and sectors. For the fixed income, there is also a breakdown of the different funds/bonds. They also do a deep dive into each portfolio showing the historical performance and risks involved as well as who it is generally suited for. Most importantly, your capital is not guaranteed and can end up with a lower amount due to fluctuations of the stocks and funds. They do also show the recent Q1 2022 performance of the portfolios as well as on Q2 2022.

Which am I leaning more towards?

I am leaning more towards Endowus Higher income Portfolio as I know that I am accumulating this for retirement. I did share my plans on Seedly and got a few response in return. One of the comments mentioned that since I am still young, I can get in at a later time and instead focus on building up my capital before aiming to achieve income investing as he finds that a smaller dividend might not prove to be efficient as there are other opportunities to grow the capital. Syfe REIT+ and the Endowus income portfolio are 2 vastly different portfolio that invest in different things so they actually should not really be compared side by side.

Of course, this is something I am planning in time to come and it is not something that I am thinking of getting in right now. But as with investing, time in the market beats timing the market and with the limited cash flow from my main income currently, I like to build up my stocks/ETF portfolio and crypto before plunging into a dividend or cash flow portfolio or once I have substantial profits. If you do have anything to share with me, do email or comment here although I might take some time to look at it but I will definitely check on it. Very interesting products that are being offered. Do remember to subscribe, like and share my content if you find it helpful!

You can also find me on

► How I Protect My Bitcoin using Ledger: Get your ledger from HERE (Using my affiliate link with FRIEND-7ZB4V7C will help me where Ledger will pay a small incentive that's not from you but from them)
► How I earn interest on my Cryptocurrency (Hodlnaut): Get USD30 equivalent for your initial deposit of at least USD1000 on any of the supported asset by using my referral link
► Where I Buy my Cryptocurrencies:
►FTX app: Use my referral code and get a free coin when you trade $10 worth. 
►Use my referral link or code: evwynu4g57 to sign up for and we both get $25 USD :)
► Where I buy my stocks
FSMone Referral: P0364886
Tiger Brokers (Free stock and commission free trades, check out more here
Interactive Brokers (Open an account today and start earning up to $1000 of IBKR Stock for free!*Terms and Conditions apply)
► Google Pay: v89ph61
►Syfe Trade Referral Code (get $10 cash credit): SRPSL8MGX


  1. Regarding Endowus higher income portfolio, the yield seems to be higher than the portfolio's total return. This means that part of your capital is also being sold off to make up the "dividends" i.e. it's more of a drawdown portfolio rather than a permanent dividend portfolio.

    I feel the Future Income and/or Syfe's Reit+ will be more suitable especially while you're building up the portfolio size.

    Dividend re-investment will be crucial during this process. This cannot be stressed enough. For such assets, reinvested dividends will account for 1/3 to 2/3 of the total returns.

    A few years from retirement, you can de-risk by converting a portion or all into Stable Income or Reit+ with risk mgmt.

    You may also de-risk when your portfolios have grown substantially (say $2M :P ), and preservation is more important to you than growth.

    1. Hey, I understand on the part of your capital is also being sold off to make up the "dividends". Taking your feedback into consideration as well, the future income portfolio seems good for someone with a longer time horizon and I know I will also have a mix of other assets in my portfolio.

      Yes, compounding the dividends back into the portfolio will grow it to a bigger pot. Very good pointers you have shared and I will definitely take them into consideration:) Thank you!

  2. Hi there,

    What you are currently going through, the feelings of uncertainty about your investing approach / strategy is very common, especially among young investors. Not to worry, eventually you will find your way.

    However, if you want to hear from my experience, you can read it from here :

    I am using what people called the kueh lapis approach. Like the kueh lapis, you build your wealth in layers. Your safest or base layer is the CPF layer. Build up this layer well before you take on the more risky investment.

    Can read more here :

    I have survived many bear encounters. See the lessons I picked up :

    Good luck!