What do you need to trade SIP / CFD

Besides money, you will also need...

KNOWLEDGE!

SG brokerages now require clients to take some tests before they are allowed to trade SIPs (specified investment products) or CFD (contract for difference) if they are not working in finance-related fields, do not have prior finance certifications or have no trading history of such instruments for at least 6 times in the preceding 3 years. It's basically the same idea as having to pass the driving theory tests before we could get into the driver's seat and start engine.


Maybe the next thing you know they would start making risk management course compulsory so you have no excuse to point any finger and say "I didn't know that...". Shhh...


Where to find knowledge?


You can take the courses at:

SGX e-learning (takes about 2-3 hours to complete)

OR

http://sips.abs.org.sg/Default.aspx# (each course consists of about 60 slides with a 15-question quiz at the end of each set)

It's free of charge. On passing, they would email you a soft copy certificate. 
For POEMS account opening, you need to indicate your scores on the application form under the respective SIPs. For Endowus, you simply upload your certificate that proves knowledge for trading unit trusts.


Got model answers?


No sorry, you are not gonna find any answer or cheat sheet here. Go and digest the slides on your own.


PS: 
Yeah, definitely not advisable to dabble in SIPs if one does not know what he/her is doing. And of course don't assume that with theory will "bao jiak"!


As this quote nicely puts it:

“Risk comes from not knowing what you’re doing.” - Warren Buffett


Like what you read? 

You can support my blog by donating a BAT or clicking the ads. 
Follow me on Facebook or Twitter for updates on blog posts and news that I dig. 

Check out my referral links too for rewards on useful services.

Comments

Popular posts from this blog

Shit happens and I lost my low-hanging fruits

Letters of Administration / Probate - DIY application

Success in life

Insights from interviewing candidates

Reflections for year 2023

Disclaimer:

The contents of this blog are author's personal opinions and do not constitute advice to hold, buy or sell any securities, commodities or assets mentioned. I do not guarantee the accuracy and reliability of any information provided, and shall not be liable for any losses incurred from reading my posts or using the materials herein. This blog may contain affiliate links to external sites.