Are you looking to invest your CPF-OA funds in Singapore? If so, you might have encountered two popular robo-advisors, MoneyOwl vs Endowus Singapore.
Both platforms offer investment services for CPF investors, but which one is better for you? In this article, we’ll compare MoneyOwl and Endowus to help you make an informed decision.
MoneyOwl and Endowus are both robo-advisors that offer CPF investors investment services. While MoneyOwl is a joint venture between NTUC Enterprise and Providend, Endowus is an independent platform founded in 2017.
Both platforms offer low-cost, globally diversified, and passively managed portfolios, making them ideal for long-term investors who want to grow their CPF-OA funds. However, you should know some differences between the two platforms before deciding.
1-Minute Read: MoneyOwl vs Endowus
Hey there, busy bees! Short on time, but curious about investing with MoneyOwl or Endowus? Buckle up for a quick breakdown! Both are robo-advisors, the friendly finance bots that build and manage your investment portfolio based on your goals.
Here’s what you need to know:
- Minimum Investment: MoneyOwl lets you start small with just $50, while Endowus requires a more extensive initial step of $10,000.
- Investment Style: Both use Dimensional Funds Advisors (DFA) for a globally diversified, low-cost approach. However, Endowus offers a broader range of portfolios, including a 100% fixed-income option for the ultra-cautious.
- Fees: Endowus has a slight edge with a 0.6% all-in fee, compared to MoneyOwl’s 0.65% advisor fee on top of platform charges.
So, who’s your robo-advisor match?
That depends on your starting capital, risk tolerance, and investment goals. Ready to delve deeper and find your perfect investment fit? Let’s unpack the details further and craft a personalised plan for your Singaporean wealth creation journey! Stay tuned, there’s more to discover!
Overview of MoneyOwl and Endowus
If you want to invest in Singapore, you might be considering robo-advisors like MoneyOwl and Endowus. Both platforms offer investment services that can help you achieve your financial goals.
MoneyOwl is Singapore’s first bionic financial advisor, backed by NTUC Enterprise and Providend. The platform offers a range of investment options, including CPF investing services. MoneyOwl uses dimensional, low-cost, passive funds that aim to provide market returns.
Endowus, on the other hand, offers a more comprehensive range of investment options. The platform actively manages mutual funds from over 250 different funds at various risk levels. Endowus also offers multiple investing levels, so you can choose the level of service that suits your needs.
When it comes to investment strategy, MoneyOwl and Endowus take different approaches. MoneyOwl uses a passive investment strategy to provide market returns over the long term. Endowus, on the other hand, uses an active investment strategy that aims to outperform the market.
Both platforms offer a range of investment options to help you achieve your financial goals. Whether you’re looking to save for retirement, build wealth, or achieve other economic objectives, MoneyOwl and Endowus can help.
Overall, MoneyOwl and Endowus are both excellent options for investors in Singapore. The choice between the two depends on your individual needs and investment goals.
Investment Platforms in Singapore
If you are looking for a reliable investment platform in Singapore, then you are in luck. Singapore has some of the best investment platforms in the world. Two of the most popular investment platforms in Singapore are MoneyOwl and Endowus. Both platforms offer a range of investment options and are designed to cater to different types of investors.
MoneyOwl
MoneyOwl is a robo-advisor platform that offers low-cost investment solutions to investors. The platform is designed to help investors achieve their financial goals by providing them access to various investment products. MoneyOwl uses a risk-based approach to investing, which means that the platform’s investment strategies are tailored to the individual needs of each investor.
MoneyOwl’s investment products include unit trusts, exchange-traded funds (ETFs), and insurance products. The platform’s investment portfolios are designed to cater to different risk appetites and investment goals. MoneyOwl is also an excellent platform for investors, as the platform offers a range of resources and educational materials to help investors make informed investment decisions.
Endowus
Endowus is a platform that offers investors access to various investment solutions. The platform is designed to cater to both novice and experienced investors. Endowus provides multiple investment products, including mutual funds, ETFs, and bonds.
Endowus is an excellent platform for investors looking for a hands-off investment approach. The platform’s investment portfolios are designed to cater to different risk appetites and investment goals. Endowus also offers a range of tools and resources to help investors make informed investment decisions.
Both MoneyOwl and Endowus are great investment platforms in Singapore. They offer a range of investment products and are designed to cater to different types of investors. Whether you are a novice investor or experienced, you will find an investment solution that meets your needs on these platforms.
Investment Portfolios and Asset Allocation
Regarding investment portfolios and asset allocation, MoneyOwl and Endowus offer a range of options to suit different risk profiles.
Here are some of the portfolios and asset allocation strategies you can expect from both platforms:
Balanced Portfolios
If you’re looking for a balanced portfolio, MoneyOwl and Endowus have options. MoneyOwl’s portfolios range from conservative to aggressive, with asset allocations of between 40% and 100% equities and between 0% and 60% bonds. Endowus offers a range of portfolios with varying levels of risk, with asset allocations of between 30% and 80% equities and between 20% and 70% bonds.
Equities Focus
If you’re looking for an equities-focused portfolio, MoneyOwl has options with asset allocations of between 80% and 100% equities and between 0% and 20% bonds. Endowus also has equities-focused portfolios available, with asset allocations of between 50% and 80% equities and between 20% and 50% bonds.
Bonds and Fixed Income
MoneyOwl and Endowus have portfolios focusing on bonds and fixed income for those seeking a more conservative investment strategy. MoneyOwl’s portfolios have asset allocations of between 60% and 80% bonds and between 20% and 40% equities. Endowus has portfolios with asset allocations of between 30% and 50% equities and between 50% and 70% bonds.
Both MoneyOwl and Endowus offer a range of investment portfolios and asset allocation strategies to suit different risk profiles. Whether you’re looking for a conservative, balanced, or aggressive portfolio, both platforms have options to help you achieve your investment goals.
Tip: Don’t Be Afraid to Rebalance Your Portfolio
Over time, your risk tolerance may change, and your asset allocation may need to be adjusted accordingly.
Both MoneyOwl and Endowus allow you to rebalance your portfolio automatically.
Understanding Fees and Charges
Investing your money can be a great way to grow your wealth, but it’s essential to understand the fees associated with different investment platforms. This section will examine the charges related to MoneyOwl and Endowus.
MoneyOwl Fees
MoneyOwl is a fee-based financial robo-advisor that offers integrated human advisory services. MoneyOwl does not charge an advisory fee (until December 31, 2022) or platform fee. However, there are still some charges to be aware of.
Firstly, there is a sales charge of up to 1.75% when you invest in the LionGlobal Infinity Global Stock Index Fund or the UOBAM United SGD Fund. Additionally, a trailer fee rebate of up to 0.5% is paid to investors who hold the funds for a certain period.
Furthermore, there is a minimum investment amount of $100 for lump-sum investments and $50 for monthly investments. If you invest less than $10,000, you must also pay a custodian fee of 0.18% annually.
Endowus Fees
Endowus is another robo-advisor that offers access to global investment portfolios. Endowus charges a fee of 0.4% for CPF and SRS funds or 0.6% for your first $200,000 of cash investment. However, the overall cost of using Endowus is significantly lower than MoneyOwl, as they charge lower fees and have no sales charges.
Endowus also has no minimum investment amount, making it an excellent option for those who want to start investing with a small amount of money. Additionally, Endowus offers trailer fee rebates of up to 0.5% for investors who hold their funds for a certain period of time.
Overall, both MoneyOwl and Endowus have their unique fee structures and charges. Considering these fees when deciding which robo-advisor to invest with is essential, as they can significantly impact your investment returns.
Comparing Investment Performance
If you are considering investing in Singapore’s robo-advisory services, MoneyOwl and Endowus are two of the most popular options.
Here is a comparison of their investment performance to help you decide which is correct.
Historical Returns
Regarding historical returns, both MoneyOwl and Endowus have delivered a solid performance, and according to a recent update in 2023 by Investment Moats, MoneyOwl’s portfolio returned 7.2%, while Endowus’s portfolio returned 6.4%. However, it’s worth noting that both portfolios are tilted towards small profitability and value premiums.
On the other hand, a comparison by Dollar Bureau in 2024 showed that Endowus has a higher historical return than MoneyOwl. Endowus’s portfolio returned 16.64%, while MoneyOwl’s returned 14.14% over the past year.
Risk Profile Alignment
Regarding risk profile alignment, MoneyOwl and Endowus offer different portfolios to cater to various risk appetites. MoneyOwl offers three portfolios – Conservative, Balanced, and Growth – whereas Endowus offers five portfolios – Cash Smart, Short Term, Long Term, Very Aggressive, and Customised.
MoneyOwl’s portfolios are built using Dimensional Funds, tilted towards value, small, and profitability factors. Endowus, on the other hand, uses a combination of Dimensional Funds and index trackers to build its portfolios.
If you have a conservative risk profile, MoneyOwl’s Conservative portfolio may better fit you. Endowus’s Very Aggressive portfolio may be a better fit if you have a more aggressive risk profile.
In conclusion, both MoneyOwl and Endowus have their strengths and weaknesses. It’s essential to consider your risk appetite and investment goals before choosing one.
Retirement and Education Planning
Planning for retirement and education can be daunting, but with MoneyOwl and Endowus, you can access a range of investment options to help you achieve your financial goals. Here are some CPF investment options and SRS funds that you can consider:
CPF Investment Options
MoneyOwl and Endowus offer CPF investment options, allowing you to invest your CPF savings in various asset classes, such as equities, bonds, and REITs. MoneyOwl offers CPF investment portfolios designed to match your risk profile, while Endowus provides a range of CPF funds that reputable fund managers manage.
CPF Equity, CPF Growth, and CPF Balanced are some of the CPF investment options you can consider. CPF Equity is suitable for investors willing to take higher risks, while CPF Growth is suitable for investors looking for long-term capital growth. CPF Balanced is a good option for investors who want a balanced portfolio of equities, bonds, and REITs.
SRS Funds
If you are looking for tax savings, you might want to consider investing in SRS funds. MoneyOwl and Endowus offer a range of SRS funds that reputable fund managers manage. SRS funds are suitable for investors looking for long-term capital growth and willing to take higher risks.
Some SRS funds you can consider include the Aberdeen Standard SICAV I – Asian Smaller Companies Fund, the LionGlobal Short Duration Bond Fund, and the UOB United SGD Fund. These funds offer exposure to asset classes such as equities, bonds, and money market instruments.
Investing in CPF and SRS funds can help you achieve your retirement and education goals. However, it is essential to note that investments are subject to market risks, and you should only invest what you can afford to lose. Before investing, it is crucial to understand your risk profile and investment objectives.
Additional Investment Services
MoneyOwl and Endowus offer additional investment services to their clients. These services help you manage your investments better and achieve your financial goals. This section will discuss two of these services: Will Writing Services and Human Financial Advisory.
Will Writing Services
MoneyOwl offers writing services to its clients. This service is designed to help you plan your estate and ensure your assets are distributed according to your wishes after your death. MoneyOwl’s writing service is affordable and convenient. You can complete the process online, and the service is available to Singaporeans and Permanent Residents.
Endowus does not offer will-writing services. However, the platform provides a feature called “Legacy Planning.” This feature allows you to nominate beneficiaries for your investment accounts. You can also specify how your assets will be distributed among your beneficiaries.
Human Financial Advisory
MoneyOwl and Endowus both offer human financial advisory services. These services help you make informed investment decisions and achieve your financial goals. MoneyOwl’s financial advisors are licensed by the Monetary Authority of Singapore (MAS) and have at least five years of experience in the financial industry.
Endowus offers a similar service called “Digital Advisor.” This service is designed to provide you with personalised investment advice based on your risk profile, investment goals, and financial situation. The service is available to all Endowus clients, and you can access it through the platform’s website or mobile app.
In conclusion, MoneyOwl and Endowus offer additional investment services to help you manage your investments better. MoneyOwl offers writing and human financial advisory services, while Endowus offers legacy planning and digital advisor services. These services are designed to help you achieve your financial goals and make informed investment decisions.
Robo-Advisors Vs Traditional Funds
If you’re new to investing, you might wonder whether you should go for a robo-advisor or traditional mutual fund. Here’s a quick rundown of the pros and cons of each.
Robo-Advisors
Robo-advisors are digital platforms that use algorithms to manage your investments. They offer a low-cost way to invest in a diversified portfolio of assets. Unlike traditional mutual funds, you don’t need to meet with a financial advisor or pay high fees.
MoneyOwl and Endowus are two popular robo-advisors in Singapore that offer investment services to CPF-OA members. MoneyOwl’s investment strategy is based on the risk profiles, which come with different asset allocations. On the other hand, Endowus’s portfolios feature mutual funds.
Mutual Funds
Mutual funds are professionally managed investment portfolios that pool money from many investors to purchase a diversified mix of stocks, bonds, and other assets. Unlike robo-advisors, mutual funds are managed by human fund managers who make investment decisions based on market conditions and other factors.
Dimensional Fund Advisors (DFA) is a famous mutual fund company. DFA is known for its passive investment strategies that aim to capture market returns by investing in a broad range of stocks and bonds. MoneyOwl offers exposure to Dimensional funds, which not all robo-advisors do.
Regarding fees, robo-advisors tend to be cheaper than traditional mutual funds. However, mutual funds offer the advantage of human expertise and may be better suited for investors who prefer a more hands-on approach to investing.
Overall, both robo-advisors and traditional mutual funds have their pros and cons. It’s up to you to decide which is best for your investment goals and risk tolerance.
Innovative Investment Strategies
When it comes to innovative investment strategies, both MoneyOwl and Endowus have a lot to offer. Here are two key strategies that make these platforms stand out from the crowd:
ESG and Sustainable Investing
Suppose you’re interested in investing in companies that are positively impacting the world. In that case, you’ll be happy to know that both MoneyOwl and Endowus offer ESG (Environmental, Social, and Governance) portfolios. MoneyOwl’s ESG portfolio is designed to invest in companies that positively impact the environment and society. In contrast, Endowus’ Fund Smart portfolio includes a range of ESG funds that invest in companies that meet specific sustainability criteria.
Algorithm-Based Rebalancing
MoneyOwl and Endowus use algorithms to rebalance your portfolio, automatically saving you time and hassle. MoneyOwl uses a proprietary algorithm called the Dimensional Portfolio Theory, designed to maximise returns while minimising risk. Endowus, on the other hand, uses a dynamic algorithm that considers market movements and changes in your circumstances to ensure that your portfolio stays on track.
Overall, MoneyOwl and Endowus offer innovative investment strategies to help you achieve your financial goals. Whether you’re interested in ESG investing or algorithm-based rebalancing, these platforms have something to offer.
Investing for Passive Income
Investing for passive income is a great way to generate a steady stream of cash flow without actively working for it. In Singapore, various investment options are available to help you achieve this goal. Two popular investment platforms that offer passive income options are MoneyOwl and Endowus.
Dividend Yielding Portfolios
One way to invest for passive income is by investing in dividend-yielding portfolios. These portfolios invest in stocks that pay dividends, which are regular company payments to their shareholders. Dividend-yielding portfolios are a great way to generate passive income because they provide a regular cash flow stream.
Both MoneyOwl and Endowus offer dividend-yielding portfolios. MoneyOwl’s WiseIncome portfolio is designed to provide investors with a regular income stream through a diversified portfolio of dividend-paying stocks. Endowus’ Cash Smart portfolio also includes dividend-paying stocks in its investment strategy.
Fixed Deposit Alternatives
Investing in fixed deposit alternatives is another way to invest for passive income. Fixed deposit accounts are a popular investment option in Singapore because they offer a low-risk way to generate passive income. However, the interest rates on fixed deposit accounts are often relatively low.
MoneyOwl offers a fixed-income portfolio, WiseIncome, designed to provide investors with a regular income stream through a diversified portfolio of bonds and other fixed-income securities. Endowus’ Cash Smart portfolio includes fixed-income securities as part of its investment strategy.
Overall, MoneyOwl and Endowus offer various investment options to help you generate passive income. Whether you’re looking for dividend-yielding portfolios or fixed deposit alternatives, both platforms have something to offer.
User Experience and Support
Ease of Use
Both MoneyOwl and Endowus have user-friendly interfaces that make investing easy. They both have a simple sign-up process, making their websites accessible to navigate.
MoneyOwl has a simple questionnaire that helps you determine your risk tolerance and investment goals. Endowus, on the other hand, has a more detailed questionnaire that considers your investment horizon, goals, and risk tolerance.
Once you have completed the questionnaire, both platforms will recommend a portfolio that suits your needs. MoneyOwl recommends a portfolio of Dimensional funds, while Endowus recommends a portfolio of mutual funds from different managers.
Both platforms offer a range of investment options, including cash management accounts, CPF investing, and SRS investing. MoneyOwl also provides insurance products, while Endowus gives access to private market funds.
Customer Service
When it comes to customer support, both platforms offer excellent service. MoneyOwl has a team of experienced financial advisers who can help you make investment decisions. They also provide a chatbot service that can answer your queries 24/7.
Endowus, on the other hand, has a team of experienced investment advisers who can help you with your investment decisions. They also offer a chatbot service that can answer your queries 24/7. In addition, they have a customer service hotline that you can call if you need assistance.
Both platforms have a comprehensive FAQ section that covers a wide range of topics, including account opening, investment options, fees, and more. They also have a blog section that provides valuable insights into investing.
Overall, both MoneyOwl and Endowus offer excellent user experience and customer support. Whether you are a seasoned investor or a beginner, you will find their platforms easy to use and their customer service top-notch.
Emerging Trends in FinTech
If you want to invest in Singapore, you have many options, including robo-advisors like Endowus and MoneyOwl. As fintech continues to evolve, a few emerging trends are worth watching.
Globally Diversified Portfolios
One of the biggest trends in investing is the move towards globally diversified portfolios. This means investing in various asset classes across different regions of the world rather than just focusing on one country or region. Diversifying your portfolio can spread your risk and potentially increase your returns.
Endowus and MoneyOwl offer globally diversified portfolios with exposure to various asset classes, including equities, bonds, and real estate investment trusts (REITs). Investing in a globally diversified portfolio can benefit from the growth potential of different regions and asset classes while reducing your overall risk.
Advancements in Financial Technology
Another trend worth noting is the continued advancements in financial technology. Fintech is changing how we invest, making it easier and more accessible. Robo-advisors like Endowus and MoneyOwl are just one example of how fintech disrupts the traditional investment industry.
Using algorithms and data analysis, robo-advisors can provide personalised investment advice and portfolio management at a fraction of the cost of traditional financial advisors. This makes investing more affordable and accessible, regardless of wealth or investment experience.
As fintech continues to evolve, we expect to see even more advancements in the investment industry. From blockchain technology to artificial intelligence, the future of investing looks exciting and full of possibilities.
In conclusion, considering your investment options in Singapore, it is worth considering these emerging trends. By investing in a globally diversified portfolio and taking advantage of advancements in financial technology, you can potentially maximise your returns and achieve your investment goals.
Frequently Asked Questions
What are the key differences between MoneyOwl and Endowus investment strategies?
MoneyOwl and Endowus have different investment strategies. MoneyOwl follows a passive investment strategy, meaning it invests in low-cost, globally diversified portfolios. On the other hand, Endowus offers both passive and active investment strategies, giving investors more flexibility in their investment choices.
How do the fees for MoneyOwl and Endowus’ investment services compare?
MoneyOwl and Endowus have different fee structures. MoneyOwl charges a flat fee of 0.65% per annum for its investment services, while Endowus charges a tiered fee structure ranging from 0.25% to 0.60% per annum. However, Endowus offers lower fees for more significant investment amounts.
Can you start investing with a low minimum amount in MoneyOwl or Endowus?
Yes, both MoneyOwl and Endowus have low minimum investment amounts. MoneyOwl requires a minimum investment of SGD 50, while Endowus requires a minimum investment of SGD 1,000.
What are the unique selling points of MoneyOwl and Endowus for Singaporean investors?
MoneyOwl is the first robo-advisor in Singapore to be approved by the Monetary Authority of Singapore (MAS) to provide digital financial advice. They also offer CPF investment options. Endowus, on the other hand, provides a wide range of investment options, including access to institutional-class funds that are not available to retail investors.
How do user experiences and reviews typically contrast when comparing MoneyOwl with Endowus?
User experiences and reviews for both MoneyOwl and Endowus are generally positive. However, some users have reported that MoneyOwl’s website can be challenging to navigate, while others have praised Endowus for its user-friendly interface.
What are the safety measures and protections in place for investments with MoneyOwl and Endowus?
MoneyOwl and Endowus are regulated by the MAS and must adhere to strict guidelines to protect investors. Additionally, both platforms use custodian accounts to ensure that investors’ funds are held separately from the platforms’ own funds, providing an extra layer of protection.
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