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The woman shares her approach: she decided to "shield" her CPF funds through a strategic move called the "special account shielding strategy." Just before turning 55, she invested a portion of her savings into a safe bond fund under the CPF Investment Scheme. After the transfer, she sold the investment, took the profits, and moved the funds back into her CPF Special Account, which continues earning 4%. This savvy maneuver maximized her returns while maintaining liquidity and safety.
The Power of CPF Investment Scheme (CPFIS)
She emphasizes the merit of investing CPF funds in relatively low-risk, liquid options like bonds, which outperform leaving cash in a bank account. The CPFIS provides avenues to grow retirement funds with better yields, safeguarding against inflation.