Thoughts on the past 365 days in 2019 and looking ahead for the next 366 days in 2020. A look at my personal finances, MyPF as a financial education portal, and personal finance tips for the year ahead.

Personal: My Personal Finances


The year has been one requiring focus. Personally I took on wearing more hats stepping into a management role with Wealth Vantage Advisory, a licensed financial advisory firm while continuing to serve as a licensed financial planner, and overseeing MyPF. A significant amount of business investments was made putting my money where my heart is into both WVA and MyPF. Investments overall met expectations although Bursa remains muted and increased exposure was into US and global equities. Other areas including risk management and estate planning require some fine-tuning in the year ahead, and to start a new life priority of education planning.


  • Balance Sheet: Assets overall growth especially in global equities and reduction of investment debt. Overall net worth also showed growth of +35.9% and remained in above average accumulation of wealth (AAW). The net worth increase is the 2nd highest net worth percentage growth in the past 10 years.
  • Cash Flow Statement: Active incomes continues to be the primary source of income with 75% of income from active income and 25% from passive income. The journey to financial independence continues with passive income currently able to cover 72% of expenses. Financial Ratios as below:
    • Savings/Investment ratio at 45% above the stretch goal of 40% (minimum 20% excluding EPF).
    • Insurance costs remain constant at below 5% of income taking just the necessary coverage.
    • Overall spending ratio at 30% and improved compared to previous year.
    • Liquidity ratio was slightly below if taking only cash at 5 months equivalent of expenses.
    • Debt to asset ratio showed improvement with investment property disposal but still on high side at 45%.
    • Debt service ratio continues to be healthy at 14% of income.
  • Budget: Key goals budgeted and met for the year was investments primarily in global equity, business investments, and leisure travel.
  • Estate Planning: Not done this year was the rewriting of the will as we are expecting a new addition to our family thus only proceeding to rewrite will in 2020. This will include accounting for increased annual household maintenance expenses to support dependents.
  • Risk Management: Adjustment to risk management coverage amount required in 2020 to cover above mentioned shortfall in annual household maintenance expenses to support dependents and for overseas tertiary education planning.
  • Investment Planning: Asset allocation moved closer towards targeted asset allocation although quite a bit more needs to be done. No more property disposals are planned thus the focus will be on growing the equity investment portion. Fixed income investments can be further optimised while other alternate investment asset classes outperformed primarily due to this year’s gain in gold. Equities are doing moderately well with US/global investments significantly outperforming the local Bursa equity market.
  • Retirement Planning: On track towards a modest retirement goal by age 45. 2020 investments planning goal being set at a slightly more ambitious amount of increasing investments 30% compared to prior year.