Sygnia Retirement Annuity Options

[lorawilliams]

I have the Sygnia Skeleton Balanced 70 fund (0.43% TER) through the Sygnia RA. I’m happy with the nearly 30% max offshore exposure but wish it had more equity exposure (currently 69% and can be up to 75%) and less in cash (nearly 7% currently)

Does anyone manage their own Sygnia RA, and what do you choose? In my 20s so would prefer to max out the regulation 28 limits for as much growth as possible, but also keep costs and effort low. I see I can switch to a few good ETFs but would need to try calculating whether it complies with Reg 28, and monitor it often for compliance. Would also need to try calculating the TER on the few ETFs chosen.

Do I make the effort to switch and monitor, or leave in the Skeleton Balanced 70 which is alright but could be better?

 

[faith4l]

@lorawilliams I tried this long time ago when I still invested in retirement funds. Tried to max property and choose other offshore funds which I preferred more. I ended up doing worse than the initial fund but better after a while. Then needed to rebalance. Then the one sector gains, then rebalance again. Honestly, its not worth the effort imo to do it manually.

The more I learned about the financial industry and investments the more I realized I'm wasting my time and energy to potentially squeeze a bit more drops or even risk performing under the fund I use to have. Trying to manage your RA funds assumes that you'll get a better TIR than what the investment house will get. And here I personally think very little people will be successful with Reg28 limits.

As now, you have a good fund with low cost sitting with an experienced fund manager. IMO invest and forget about it and focus your energy on research and picking up on some good potential trades/sectors/companies and leave balancing to the fund manager with your underlying fund.

 

[lorawilliams]

@faith4l I think you're right. Going to just leave it up to Sygnia.

 

[francis2]

@lorawilliams Leave in Skeleton 70. Spend your energies increasing your income, start a side business!

 

[lorawilliams]

@francis2 I'd love to! If I didn't have a full time job and upcoming board exams to study for in the evenings [sup]help me[/sup]

I honestly do believe that the number one way people become wealthy is by owning their own business. It is near impossible to get there as an employee, unless you're really specialised or get to to the top. So fully agree!

 

[francis2]

@lorawilliams Indeed. People often underestimate the value of a small business, and the extra income you can generate, compounded over time. It sounds like you need to prioritise your studies and pass first time!