The small decision that made 2018 possible
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I took one last look at my corporate desk. That was 2018. There was no turning back. But I knew there was a new adventure laying ahead of me. DT readers have asked me: Willie, how did you find the courage to quit? The thing is, burnt out pushed me out of my banking career. But what also made my decision possible were a few things I had quietly worked on for years. I had saved aggressively. I worked on growing my income in my 20s. I spent time learning about investing, reading whatever I could get my hands on, building a network of like-minded investors, and constantly looking out for good stock ideas. Because as your salary grows, the need to spend even more increases (I've learnt this quickly from my mentor early on, who used to be an IPO hedge fund manager - he made me realize the need to save in the financial industry). It’s just human behaviour. Once, my wife and I were walking around Ion Orchard one evening after work. I was trying to convince her why I had to buy that Tag Heuer watch with my bonus. I almost walked out the shop with that sleek, round-faced watch with a sporty rubber strap. But ultimately, I said no. At the moment, it didn’t feel like I was choosing anything important. It was just a watch. But looking back, it was one of many small decisions that slowly built the runway I needed. While many of our peers were upgrading to condos, deciding on their next car and their latest watch hunt, it’s hard not to feel envious. I kept things simple. Back then, my wife and I lived in a 4-room HDB flat. We didn't own a car. And we weren’t big spenders. Honestly, I’m lucky to have two of the most important women in my life who constantly reminded me to be frugal: my wife and my mom. When I quit my job in 2018, I felt I was financially secure with my savings and investments. But I also came to terms with this: At some point, we hit “peak salary”. That there's always a cap to how much money we make in a job. Your increments slow down, your job responsibilities go up and have managed a certain living cost. From there, the next best thing is simply to take the money out and put it into the stock market – whether you buy an index fund or a stock. Find ways to let the money grow for you. Especially in a place like Singapore, where things evolve fast, I've learnt a harsh truth that we all have a corporate lifespan. Put it this way, if we aren’t senior managing directors of a bank, or C-Suites of a corporation, one day someone much younger, or so-called AI, can replace us before we even know it. Most of us aren't Warren Buffett, or born with a silver spoon. I'm not. But we can be average investors like Ronald Read and Anne Scheiber in our own world. What’s more important is knowing building wealth isn’t just relying on a single paycheck… It's saving up and building income on the side. That's how I got started working toward that goal, growing from my first $10,000 and then beyond. Also, I love to share some of my favourite articles for February:
Sometimes, investing can be simple. Willie Keng, CFA Founder, dividendtitan.com P.S. Like this issue? Click HERE to join other dividend investors reading my DT Compound Letter. I send my regular letters to your inbox. |
Dividend Titan
I'm a full-time investor and a former high-yield fixed income analyst. Last time, my job was to help ultra-rich clients make money from the best bond ideas. I’ve lived through bond market cycles across emerging markets. Today, I manage my mom's and my own money. This is what I’ve learnt investing so far... The AI bubble isn’t in the technology. The internet has changed our lives. Instead, the bubble is in our herding behaviour, which leads to investors pushing up prices irresponsibly. I...
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