[Scythian]

It's Unrealistic fixing CPF OA rate using Avg local banks 3 months FD interest rates.

Can anyone tell us what's the correlation between CPF pension funds and banks 3 months FD rates..?

NOTE
CPF statement Assets do not have a single entry showing banks SGD fixed deposits

[Scythian]

""Ordinary Account interest rate

Interest rate from 1 October 2022 to 31 December 2022: 2.5% per annum.

Reviewed quarterly, this rate is computed based on the 3-month average of major local banks' interest rates1 (subject to the legislated minimum interest of 2.5% per annum)."

Note
It's Unfair fixing @ disadvantage for CPF members : Lopsided"

[teaserteam]

It's Unrealistic fixing CPF OA rate using Avg local banks 3 maths FD interest rates.

Can anyone tell us what's the correlation between CPF pension funds and banks 3 months FD rates..?

Looks like none of the CPF policy is acceptable to u. Better withdraw yr CPF lah.

[Scythian]

Looks like none of the CPF policy is acceptable to u. Better withdraw yr CPF lah.

Please tell us why you think the current OA fixing is correct and it's the best fixing methodology W/O any choice?

Why it's not lopsided?

NOTE
CPF Board annual statement Assets do not have a single entry showing banks SGD fixed deposits

[Scythian]

Looks like none of the CPF policy is acceptable to u. Better withdraw yr CPF lah.

You should ask 1) MAS 2) Association of Banks in Singapore and 3) Auditor General.

For help and to assist you.

[talky]

when us the annoucemnet for cpf interest for 2023

[Scythian]

when us the annoucemnet for cpf interest for 2023

Left unchecked, CPF Board deeply screwed up

[Ahnya]

OA rate won't be going up.
(BTW it's not based on 3 month deposits. It's on full year deposits. But calculated every quarter ).
What we can hope for is SA and RA interest going up.
IMO we are getting close to that point . If interest rates keep going up for next few months, we may see an increase in SA and RA rates in first half of 2023

[Scythian]

RATE STRUCTURE
How are CPF interest rates determined?

Ordinary Account interest rate

Interest rate from 1 October 2022 to 31 December 2022: 2.5% per annum
Reviewed quarterly, this rate is computed based on the 3-month average of major local banks' interest rates1 (subject to the legislated minimum interest of 2.5% per annum).

cpf.gov.sg website..

[Ahnya]

when us the annoucemnet for cpf interest for 2023

Jan,
April,
July ,
Oct

[Scythian]

"Singapore’s GIC boasts record rate of return"

"Temasek posts 24.5% one-year return; posts record investments and divestments
CLAUDIA TAN.

NOTE
IF we assume average of GIC ROI @ 5.5% + Temasek ROI @ 24.5% = 30% / 2 iE 15%

Realistically, CPF OA members should have ROI 15% - 0.25% (IE. Less handling fee/commission ) = 14.75%

@ ROI 14.75% which CPF Board investment expertise can easily achieved.

And Not interest @ 2.50% pa.based on local banks FD rates.

[Scythian]

.
CPF Board honeymoon is over

[red3]

Why such threads did not come out when interest is 0.1%????

[Scythian]

Why such threads did not come out when interest is 0.1%????

When OA interest rate was 6% pa , SG Govt gaurantee a minimum floor rate of 2.50% minimum.

As the results, No reason to question their promises or doubt them

[Ahnya]

Why such threads did not come out when interest is 0.1%????

The complaint about CPF OA interest rates should not be by comparison between it and the banks' promo rates. 
Should be about why our money is used to generate high returns,  but we only get a much lower return , based on a formula that will never ever result in higher % than the base of 2.5%? (Cos the banks refuse to increase their board rates. Cos the people keep dumping their money into the banks for the promo rates , the banks don't need to increase board rates .)

[Ahnya]

When OA interest rate was 6% pa , SG Govt gaurantee a minimum floor rate of 2.50% minimum.

As the results, No reason to question their promises or doubt them

When interest 6%, guarantee us minimum 2.5%, we no unhappy,  no doubt them ?
You very trusting. 
I remember being not happy leh when they came out pegging it to bank interest rate (though it was subject to that minimum)

[RiseofAsia]

Already said so many times, CPF cannot retire happily.
Still dont believe. Cant even fight inflation after massive printing works.

[Scythian]

The complaint about CPF OA interest rates should not be by comparison between it and the banks' promo rates. 
Should be about why our money is used to generate high returns,  but we only get a much lower return , based on a formula that will never ever result in higher % than the base of 2.5%? (Cos the banks refuse to increase their board rates. Cos the people keep dumping their money into the banks for the promo rates , the banks don't need to increase board rates .)

If problems not fixed, CPF will always have a pain in the ass

[Scythian]

Already said so many times, CPF cannot retire happily.
Still dont believe. Cant even fight inflation after massive printing works.

CPF issue: GIC manages CPF monies along with other govt funds: DPM Tharman

Central Provident Fund (CPF) monies are not managed as a separate entity by the Government of Singapore Investment Corporation (GIC), they are pooled and invested with the rest of the Government's funds, said Deputy Prime Minister Tharman Shanmugaratnam on Tuesday, July 8, 2014. -- PHOTO: ST FILE
Tham Yuen-C
Senior Political Correspondent
PUBLISHED 8 JUL 2014, 4:40 PM SGT
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