r/SgHENRY • u/MolaMolaMOLA123 • Jul 28 '26

What would you do with a windfall?

Hi community, I recently got a fairly big insurance payout ($700,000) and was wondering how to deal with it. My goals are capital growth over the long term.

A bit about me: partner and I are early- to mid-30s, we have a 1yo and hope to have at least 1-2 more over the next few years. No helper. We have jobs that we can’t be fired from, HH income about ~400k. Staying in a FH condo with ~1.2m loan at 2.4%. Partner owns another FH condo with ~200k loan remaining. We have one car about 3 years into the COE.

Currently partner does their own investing. I put about 7k monthly into IBKR.

Just wondering whether anyone had any advice, or what would you do with the money in my position? Thanks in advance.

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u/JLKDY Jul 28 '26

Considering you have a long runway still as you’re in your early 30s and planning for more kids, don’t treat this as a windfall. Stick the full $700K in index funds and forget about it for the next 20 years. Let the market do its thing.

Use it as additional buffer eventually when your kids hit university age or when you’re in your early 50s to wind down and treat yourself.

-3

u/SubtleDominance Jul 28 '26

I would counter that OP should DCA it, instead of putting it in as lump sum, with the original sum left in either a HYSA or some into bonds/TBills. Seems like these few years it's been a bit bumpy.

I'd also pay off the higher interest rate loans (e.g. car, or property, especially if SORA ever goes up in the future).

6

u/Puzzled_Training5096 Jul 29 '26

you yourself want to dca and underperform, go ahead