Alone, Not Lonely

I was listening to a podcast this week featuring Singapore’s Health Minister, Ong Ye Kung. The title – “Singapore is ageing. Are we ready?” – stopped me mid-scroll. I figured, if anyone should have something to say about growing old gracefully, it’s the guy running the Ministry of Health.

He talked about all the good, sensible stuff we cover here each week – growing old with dignity, shifting from sickness care to health care, making “age-well” neighbourhoods, and tackling the holy trinity of healthcare: affordability, accessibility, and quality. Solid points, well said.

But what really caught me off guard was the one word he mentioned – loneliness.

We’ve talked about it before, but this week it hit differently. Maybe because of that news story about an elderly father and adult daughter who passed away in their apartment – only discovered much later. It’s the sort of story that makes you pause and sit a little longer before switching tabs.

At our stage, the Wife and I still treat loneliness as a concept to be honest, a mental assent. We know it exists – we just haven’t shaken hands with it yet. The kids are still at home, work still fills our days, and “alone time” is something we try to get more of, not less. But listening to Ong made me fast-forward a few chapters – to that quieter house, the slower mornings, the echo in conversations that used to fill the kitchen.

I have my bucket list, of course – things to learn, places to see, projects to start (and probably abandon halfway). But I realised something as I listened: you can be busy and still feel lonely. That’s a sobering thought. Maybe the real trick is learning how to enjoy your own company before life forces you to.

It’s something no retirement plan can buy – the ability to be alone without feeling lonely. So maybe now’s the time to start practising: phone that old friend, join that walking group, or just get comfortable sitting with your thoughts. They’ll be your longest-running companions anyway.

Your turn: 
What’s your game plan for staying connected when the calendar gets quiet?
How do you want to fill your later years – with company, curiosity, or maybe a bit of both?

👉 Hit reply and share your thoughts – I’d love to hear what’s resonating with you.

☕ If today’s musing made you smile (or squirm a little), you can shout me a coffee on Ko-fi.

Lending Your Loot – The World of Fixed Income

Alright, L-Plate Retirees! Last time, we dipped our toes into the stock market pond, understanding how equity investments mean owning a piece of a company. Today, we're going to talk about a different, often steadier, kind of investment: lending your money. Don't worry, we're not talking about dodgy loans to your ne'er-do-well cousin! We're diving into the respectable world of Fixed Income Securities – basically, you're lending money to governments or companies, and they promise to pay you back with interest. This aligns with the Foundations of Investing by introducing another core asset class, and directly relates to Risk and Return Fundamentals as fixed income generally offers lower risk and lower potential returns compared to equities.

First up, we have Government Bonds. These are like IOUs from countries. When you buy a government bond, you're lending money to Uncle Sam (or Auntie Liz, or whoever's in charge). They use your money to fund their operations, and in return, they pay you regular interest payments and give your original money back at the end of the term. Generally, these are considered pretty safe bets, especially from stable countries. Just remember, not all governments are created equal, so a bond from a super-stable nation is usually less risky (and offers less interest) than one from a country with a bit more... drama. This directly reflects the risk-return trade-off we discussed before.

Then there are Corporate Bonds. These are similar, but instead of lending to a government, you're lending to a company. Companies issue these bonds to raise money for their businesses. Because companies can be a bit riskier than governments (no offense to your favourite widget maker!), corporate bonds usually offer a higher interest rate to compensate you for that extra risk. You'll hear terms like 'investment grade' (the solid, reliable companies) and 'high yield' (the riskier, but potentially more rewarding, ones). Your personal financial assessment and risk tolerance will guide your choices here.

We also have Municipal Bonds (or 'Munis' in some places), which are issued by local governments to fund things like schools and roads. In some countries, these can even come with tax advantages, which is always a nice bonus!

And let's not forget Inflation-Protected Securities (like TIPS in the US). These clever little investments adjust their value based on inflation, so your purchasing power doesn't get eroded by rising prices. It's like having a built-in shield against the cost of living!

So, if you're looking for a steadier income stream and a bit less rollercoaster action than stocks, fixed income might be just the ticket. It's about getting paid to be patient!

L-Plate Takeaways

• Fixed Income = Lending: You lend money, they pay you interest, and you get your principal back. Simple as that!

• Government Bonds: Lending to a country. Generally low risk, lower returns. Great for stability, aligning with lower risk tolerance.

• Corporate Bonds: Lending to a company. Higher risk than government bonds, but usually higher returns. Check their credit rating – that’s your due diligence.

• Municipal Bonds: Lending to local governments. Can offer tax benefits in some regions.

• Inflation Protection: Look for securities like TIPS that adjust for inflation to protect your buying power, a key consideration for long-term financial planning.