Exposé by Singaporean Millionaire: The Nasty Truth Why The Rich Gets Richer In Singapore

 

sg-ex-city-todayWe all know Singapore is THE most expensive city in the world. We have held on to this title for many years, winning popular cities like Paris, Tokyo and Hong Kong.

Now, there are many ways to look at this.

We can be a typical Singaporean, whining and complaining why our government is making Singapore such an expensive place to live in.

or

We can find out how the rich Singaporeans become rich, how they grow and compound their wealth, and how we can be like them one day.

As the famous saying goes, the poor complain, the rich compound.

You see, the fact that you are reading this, shows that you are interested to know how to rich become richer in Singapore. And this is what I’m going to share with you today.

If you have read finance books, you would have come across the term passive income.

But this term passive income has been abused by many get-rich-quick ‘gurus’, saying it is an income that you generate without doing any work.

Now, as someone who worked closely with a Singaporean millionaire and investor who generated $1.6 million dollars in passive income in 2015 alone, let me define the real meaning of passive income.

Passive Income: You must put in a one-time original effort, and you will keep getting rewarded based on your first time effort.

There are many ways to generate passive income, but let me share with you one powerful method that I used to generate my huge passive income too (seriously, you just need to master this one method, you can be rich!)

Discover This ‘Money Multiplier” Method The Rich Use To Exponentially Grow Their Wealth And Collect Huge Passive Income Year After Year…

Passive Income through Value Investing

warren-buffett-reuters-1102131-238x300Value investing is a investment strategy used by many world-renowned individuals, like Warren Buffet, Benjamin Graham, Charlie Munger, Peter Lynch, Sir John Templeton and many more.

They have used this concept to grow and compound their wealth multiple times.

This is also the method I used to multiply my money, and generate passive income year after year.

How it works?

To put it simply, value investing is about buying shares in a right company, that will not only generate passive income for you, but also grow in size every year.

Let me share with you one of the investments by this investor.

The Goose That Lays Lots Of Golden Eggs For Years

Back in 2003, he bought this stock SGX at the price of $1.60.

sgx-picIn the same year, SGX gives its shareholders a dividend of $0.051 per share. This is a dividend yield about 3%.

Not a lot, but still higher than than 0.1% yield your bank pays you for keeping money with them.

That’s not all.

In 2004, the dividend issued is $0.108 per share (doubled than 2003)

In 2005, the dividend issued is $0.085 per share (it dropped slightly…)

In 2006, the dividend issued is $0.162 per share (ok.. it doubled again!)

In 2007, the dividend issued is $0.36 per share (more than doubled again!!)

While the number of dividends he collected increase every year, the shares of the price also increases.

sgx-share-price

Don’t forget, he bought it at $1.60 in 2003, and the share price in 2008 is over $8.00!

He bought a small golden goose in 2003, it grows up and start to lay golden eggs every year, and it grow bigger and lay more golden eggs and it grow bigger and lay more golden eggs…

3 Reasons Why I Love This Passive Income Stream

1. One time effort for multiple returns
As you can see, the SGX shares this investor bought in 2003 (one-time effort), keep paying him dividends (passive income!). He just have to do his homework once to make sure that the shares he buy is a good business that will generate free cashflow and reward its shareholders handsomely.

So you see, he did his homework in 2003, he buy into the shares, and have collected its returns over and over again.

No more extra work from him (other than counting the money they send him!)

2. Special dividends In Addition to the Ordinary dividends (Extra money!)
Whatever I showed you above, is just the ordinary dividends SGX give out. However, SGX also gives out special dividends, which is extra dividend on top of the ordinary dividend!

In 2003, they paid an ordinary dividend of $0.051. But they also paid a special dividend of $0.34! This makes the total dividend for that year at $0.39 per share!

Let’s do a simple math again:
He bought the shares in 2003 at $1.60, he receive dividend of $0.39. This means the dividend yield for that year is 24.3%!

Not only that.

In 2005, SGX paid an ordinary dividends of $0.085. They also paid another special dividend of $0.15. This makes the total dividend to be $0.235 per share!

Who wouldn’t love this kind of passive income, which keep giving you good returns, PLUS more returns when their business is good?

3. Nanny Nanny Poo Poo You Cannot Tax Me!
Does this investor’s $1.6 million dollar passive income looks attractive to you?

Nah. You haven’t see anything yet!

The best part is… all his passive income derived from stock dividends, is not taxable! This entire sum of $1.6 million dollars is his to keep, and IRAS can’t take a single cent from him!

This is because in Singapore, and also in Malaysia and Hong Kong, we have a single tax structure. The company will get taxed, but the rest of the cash that are distributed to shareholders won’t get taxed.

Wow, isn’t this wonderful?

On the other hand, if you are earning $1.6 million as a salary, you have to pay more than $200,000 in tax to the government (much like giving a free Mercedes C-Class to IRAS every year!)

You Know The Truth Why The Rich Gets Richer. But You Are Ready To Become Richer?

I have said earlier. Many Singaporeans like to complain.

But rich Singaporeans like to compound.

They grow and multiply their wealth by building passive income streams.

They do their homework to evaluate a good company once, invest it in, and keep earning 20-25% annual returns. Sometimes, they are even rewarded with special dividends. And what’s more, whatever they earn, are not taxable!

I have showed you how the rich become richer.

I, myself, is also the live testimony how i become richer by using what I showed you earlier.

If you are ready to learn how you can multiply your money exponentially and collect huge passive income year after year (just like the rich), then let me introduce you to the upcoming Value Investing Workshop where I will spend 3 hours to share how you can start investing right away.

Click the button below to secure your Free seat before its full house!

[button_1 text=”Next%20Page…” text_size=”32″ text_color=”#000000″ text_bold=”Y” text_letter_spacing=”0″ subtext_panel=”N” text_shadow_panel=”Y” text_shadow_vertical=”1″ text_shadow_horizontal=”0″ text_shadow_color=”#ffff00″ text_shadow_blur=”0″ styling_width=”40″ styling_height=”30″ styling_border_color=”#000000″ styling_border_size=”1″ styling_border_radius=”6″ styling_border_opacity=”100″ styling_shine=”Y” styling_gradient_start_color=”#ffff00″ styling_gradient_end_color=”#ffa035″ drop_shadow_panel=”Y” drop_shadow_vertical=”1″ drop_shadow_horizontal=”0″ drop_shadow_blur=”1″ drop_shadow_spread=”0″ drop_shadow_color=”#000000″ drop_shadow_opacity=”50″ inset_shadow_panel=”Y” inset_shadow_vertical=”0″ inset_shadow_horizontal=”0″ inset_shadow_blur=”0″ inset_shadow_spread=”1″ inset_shadow_color=”#ffff00″ inset_shadow_opacity=”50″ align=”center” href=”http://cpvaff.com/base2.php”/]