Merry Christmas

Merry Christmas! Praise to the birth of Lord Jesus!

May the Heaven Angels and People on Earth sing praise of His deeds.

Computer Monitor

Windows 8 has introduced touch screen capability in the operating system. It is a further extension of the power of touch screen interface from Ipad and Android tablets and phones. However, hardware manufacturer namely monitor suppliers are still selling monitors that are non-touch screen. So far, there seems to be only 2 models of touch screen monitor, Dell ST2340T and Acer T232HL. Both have flat screens that are flush with the bezel. It allows finger to swipe so that Windows 8 control panel can be activated easily. But both are not cheap, in excess of USD$500 at current price.

On the other hand, TV and monitor manufacturers are focusing other technologies, such as smart TV and 3D TV. There is no coordination and coherent strategy from a consumer point of view. Are we moving towards more touch screen or more 3D effect?  Smart TVs seem to be moving towards their own user interface, ie using hand gesture for operation.

My opinion is that 3D TV may not take off as watching 3D effect is a fad. It is not comfortable to watch 3D for long duration. In addition, non-movie PC/Ipad/Android applications do not promote actively 3D effect.

With Windows 8 joining the party in touch screen, manufacturers should produce more touch screen monitors at reasonable prices (under USD$250). I believe prices will drop in the medium term when manufacturers realise there is a demand for it. Imagine, you can connect ipad, android, windows 8 tablets to a larger monitor with touch screen capability through HDMI or compatible connector.

Quote of the Month

"I am called 'the poorest president' but I don't feel poor. Poor people are those who only work to try to keep an expensive lifestyle, and always want more and more."

"This is a matter of freedom. If you don't have many possessions, then you don't need to work all your life like a slave to sustain them, therefore you have more time for yourself."
Mr Jose Mujica, 77, President of Uruguay, 2012. Interviewed by BBC.

Note: He donates about 90 percent of his US$12,000 monthly salary to charities supporting small entrepreneurs and the poor. His preferred means of transport is a 1987 Volkswagen Bettle worth US$1800.

Quote of the Month

"I would be very careful. The next couple years we're going to have turmoil and problems in most financial markets,"

 

"Don't invest in anything unless you, yourself know about it. Don't listen to some guy you see on TV -- even if it's me," 

 

"You only stay with what you know and if all you know is money in the bank, put the money in the bank."

 Jim Rogers told CNN's Andrew Stevens (Nov 2012)

Maxxis M35

Worn Maxxis M35

New Maxxis M35

I have changed a pair of tyres today. The worn out tyres had travelled more than 35,000 km in about 27 months. It was a pair of Maxxis M35 tyre. Notice that the centre treads were almost flat and worn as compared to a new set. It was a good set of tyre in both wet and dry conditions and grip on these conditions were satisfactory. I have bought a new pair of Maxxis M918 as replacement as I was informed by the dealer that M35 was no longer available.

Carl Sagan

Photo of stars taken from Tioman Island

When I was growing up as a teenager in the 80s, I was fascinated by Cornell University Scientist and Professor of Astronomy, Carl Sagan. His documentary "Cosmos" was informative and stirred my curiousity of the Universe. Subsequently I was reading his books. It also encouraged me to dream of becoming an astronmer one day. Glazing the heavens for stars, planets, universe, black holes and galaxy. I was not able to do that due to personal reasons. But the dream is still alive. Carl Sagan had said "The sky calls to us. If we do not destroy ourselves, we will one day venture to the stars."

P.S - I remembered I was reading one of his book onboard a helicopter on route to Thailand in late 80s. The view outside the windows was just white patch of clouds.

Microsoft Surface

Microsoft will be selling its Surface RT from 26 Oct 12. It was more than 3 months ago that the Surface was first announced. There was initial euphoria on this tablet, however it had fizzed out.

There are several concerns on this tablet:-

(1) Does it provide cellular capability? If not, can it be connected to USB cellular(3G) stick to enable true portability. Ipad 2 does have cellular option.

(2) Surface RT is using ARM processor and it was announced that it might not be compatibility with program that run on xx86 chip. In other words, earlier program that run on Windows 7 or Vista may not work on Surface RT which is a major problem. Although the Surface Pro version will have no problem with this compatibility issue since it will run on Intel chip, it will however be another couple of months of waiting time before the Pro version goes on sale.

(3) Ipad 2 champions itself with Apps application. Will Surface RT have the same Apps application written for it? I have reservations given that earlier Windows Mobile phones were a great disappointment on its Apps.

The question in a consumer's mind is "Shall I buy a Surface RT/Pro or shall I get an ultrabook?" The ultrabook would give the user a full range of capability for Windows, even though it may not be as cool as Ipad 2. Microsoft should spend their resources and financial might on user interface issue rather than on advertisement and promotion of the product.

Gardens by the Bay - Singapore

A visit to the Gardens by the Bay on a weekday. We went to 2 conservatories within the park. Being a new tourist attraction, it attracts quite a number of foreign tourists. It has a large volume of space compared to conventional shopping centres or other tourist attractions. The facade is covered with glass to allow sunlight into this big greenhouse. While it was mentioned in one of the exihibits that the conservatories practice recycling, it would be difficult to imagine the amount energy and cost used in cooling the conservatoies and keeping them in a dry humidity. But the climatic condition within the conservatories was a nice cool and less humid when compared to the external environment.

There are many flower species within the conservatories. However, there are not many signages explaning the name of the flower nor notes informing visitors of the characteristics of the flowers on displayed. It was less a botanical garden.

The view outside the conservatories facing the marina bay and finacial district of Singapore was spectacular. Visitors should take a glimpse of it.

There are possibility many other parks or gardens in the world with similar beautifully grown flowers. But not many may be able to maintain it 365 days throughout the year. Singapore is able to do it.... at a cost.

Parker Quink Black Ink

The Parker Quink Black Ink. It was loaded on my Hero 441 Fountain Pen. Initial assessment is that the black is not as dark as Mont Blanc Mystery Black.

It costs only S$6 dollars. A lot less than the Mont Blanc ink. According to the manufacture box, it was made in Indonesia. My worry is that it will fade as bad as Pelikan ink. My Pelikan ink writes with a beautiful blue but it would fade and become very much lighter in blue which I dislike. The Parker Quink Blue is not available in the store. I have currently 3 black inks in my store, Mont Blanc, Hero and Parker Quink.

Beef Noodle at Toa Payoh Lorong 7

This is the popular beef noodle at Toa Payoh Lorong 7. The hawker stall is called Hai Nan Xing Zhou Beef Noodles. I had ordered the $4 bowl of dry beef noodles. My comments are as follow and they are made with reference to Hong Heng Beef Noodle:-

(1) The beef is slightly thicker in pieces and more stiffer.
(2) The soup is sweeter and more tasty.
(3) The gravy has a strong sesame taste.
(4) I preferred Hong Heng Beef gravy as it was tastier and has a richer taste. To me, the gravy in a beef noodle is the most important criterion.
(5) I preferred Hong Heng Beef chilli paste as it was hotter and has visible white shrimps.

Overall, I still preferred Hong Heng Beef Noodle.

Hero 441 Fountain Pen

This is another made in China Fountain Pen - Hero 441. It costs S$6.50 and has a more presentable box compared to Hero 336(plastic wrapper). In addition, the nib is also more presentable. On the surface, it looks a large improvement since the nib is following the traditional standard nib found in many western fountain pens. The chinese word for Hero is engraved on the nib. However, writing on the Fine nib does not have any significant improvement. It is still rough and noticeable effort is required to write.

The body of the pen is nicely finished but it is light and possibly made of plastic, just like the 336. The cap closes on its body with a nice click sound which is better than the 336 (no sound). Overall, I found that this fountain pen has aesthetic improvement, but writing is not smooth.

Nice Cars - 1980 Lotus Espirit

Also known as 007 James Bond car. A very sharp design with low profile seats. The design is still modern looking given that the Lamboghini Gallardo has similar sharp feature especially on its front. The rims of the car are also uniquely differet from cars of that era. This car is painted in tweety bird yellow almost identical to Lamboghini Murcielargo yellow.

Nice Cars - 1980 Mercedes 280 SLC

A more recent Mercedes 280 SLC . Notice that Mercedes has tradtionally had a long bonnet. The sport version had the 3 pointed star mounted on its frontal grill.  The side protector is an important design feature of the car. BMW also has a similar side protector for cars of that era. Quite a cool looking car especially so in silver colour.

Nice Cars - 1958 Mercedes 190SL Roadster

Old vintage car at decomissioned Tanjong Pagar Train Station. A car that is more than 50 years old. Frontal damaged with rust.

Nice Cars - 1961 Mercedes 190SL Roadster

The predecessor of the current Mercedes SLS Roadster. Beautifully designed with lines that are applicable today.

Nice Cars - 1965 Mercedes 230SL Roadster

A very well maintained 1965 Mercedes 230SL Roadster with dark blue metallic exterior and a bright red interior. This is the W113 model with 6 cyclinder engine. It is a car with character.

My Kindergarten

Blk 71 Toa Payoh Lorong 4 - Year 2012

I have studied in a kindergarten around the age of 5 and 6 years old. It was located at Blk 71, Toa Payoh Lorong 4. I remember that it was operated by 1 old couple.  It was next to a market which is still around today. However, the kindergarten was replaced by a chinese medical shop shown in the photograph above. The space in front of the kindergarten was where parents and guardian would gather for dismissal of class. Back then, the kindergarten classes consisted of many drawings lessons for a young child.

Singaporeans To Procreate

Former Minister Mentor Mr Lee KY had urged Singaporeans to get married and procreate. (Speech on 11 Aug 12)

This was not the first time that the government had reminded Singaporean to create the next generation. Had it been successful? If yes, there would not be many reminders. My guess would be the upcoming PM National Day Rally, there would again be new incentives and reminders for Singaporeans.

For individuals, there would be many considerations for babies. Work is one of them. The relentless pursuit of economic growth and excellence in areas of work would render couples to think twice to give up freedom and independency for parenthood. The baby incentives may work but it will only increase slightly the autonomous number of babies being born each year.

More pro family incentives may be necessary. These may be include making housing more affordable. Assuming a 4-room flat in Punggol is approximately $300,000 (standard flat) and an addition of $50,000 for renovation, it would mean a couple earning a family income of $5000 (both working) would take 70 months to pay for the flat (approx 6 years) without other expenses. The flat could be paid by Central Provident Fund but it would likely take more than 10 years.

The other consideration is transportation. A baby would need to visit hospital/polyclinics often for immunisation or health check up. The parent would need the convenience of a car to ferry the mother and the baby as hospital / polyclinics may not be accessible by MRT. Even if they are assessible by MRT, ferrying a child to nursery, kindegarten, courses, primary school are part of parent responsibility and ease of transportation is important for the family.  Parenthood is a lifelong responsibility. With the crazy prices of car nowadays, more than S$100,000 for a basic family car, how would it be possible for a parent to afford car? There would again be lifelong financial debt on the family. A government incentive would help in this way. Perhaps government could consider giving family with babies or child a 50% discount in the purchase of certificate of entitlement (COE) for cars. The discount could only be used to purchase a basic family car (eg MPV) and the entitlement would be valid for 1 car purchase for each family with baby or child not more than 12 years old. This would go a long way in supporting the family to procreate.

Warren Buffett - Consumer Products

On 30 Jun 12, I wrote that I had sold off my Johnson and Johnson stocks.

It was reported on 9 Aug 12 that Mr Warren Buffett reduced his holding on consumer products stock which would include stocks like Johnson and Johnson(JNJ) as well as Procter & Gamble (PG).

A concurrence from the great investor on what I did. I am still holding PG though.

Ref: http://www.wealthdaily.com/articles/buffett-reduces-consumer-good-portfolio/3615

Temasek Holdings Shareholders Rate of Return 2011/12

It was reported in the news that Temasek Holdings shareholders rate of return for fiscal year ending 31 March 2012 was 1.5%.

With all their financial experts and specialists, the rate of return did not look impressive, considering a Australia Dollars fixed deposit interest rate as at 6 July 2012 is 3.315% (for amount more than AUD250,000).

Notably, a CPF ordinary account interest rate for 2012 is 2.5%.

It would appear that there were some losses and some exceptional profits, giving a mediocre rate of return.

Ref: Today Online dated 6 July 2012

Wan Ton Noodle

This is another gem at Bukit Merah View Hawker Centre. It sells wan ton noodle, dumpling noodle, chicken shred etc. The shop is Wang Ji Wan Ton (Depot Road). I supposed the shop orginates from Depot Road.

The quality of the wan ton and dumpling is good. The stall owner takes special effort to cook the noodle. The effort can be commended and the result is a skillful piece of culinary. The price of the noodle is also reasonable. I have seen many air-con food courts that sell wan ton noodle. They were run by foreigners and the quality of food was left to be desired. Wang Ji sells wan ton that was cooked with a heart. The good thing is that it is not crowded and the quality maintains. Highly recommended.

Johnson & Johnson

Sold my Johnson & Johnson (JNJ) shares on 29 June 2012 (US Date) at USD67.60. I made some profit out of the transaction. I have been holding JNJ for 4.5 to 5 years and went through the financial crisis of 2009. JNJ is a matured Company, fluctuation is not substantial, neither is the net profit gained from the sale. Much of the profit was disipated by the depreciated US$ with respect to SGD over the years. Participated in shareholder dividend re-purchase scheme.

Why did I sell JNJ? Uncertainty over the Euro crisis may worsen for the second half of the year. Sell it when profit is still there.

Mitsubishi Lancer - 1980s

When I was a high school boy in the 80s, this was one of my favourite Japanese car of that era. It was a light blue Mitsubishi Lancer.

I just saw this car in June 2012 in about the same authentic condition as it was back in the 80s. Very well maintained I must say for this car of more than 30 years old. And for the fact that in S'pore, it was extremely difficult to keep an old car with issues of road tax, maintenance and of course the need to pay COE every 10 years. Well done to the owner of this car!

Gran Turismo 5 Favourite Cars

My favourite GT5 cars in terms of sleekness, beauty and well designed look.

i) Black Lamborghini Gallardo

ii) Red Porsche 911

Dow Falls Below 13000

My blog in February 2012 stated that sustainability of Dow at 13000 was questionable.

Indeed, the Dow on 18 May 12 was back in 12,369 level some 3 months later. During the past 3 months, JP Morgan had declared a loss of more than US$2 Billion, an obscene amount given that financial institutions had just came out from fecal pit not long ago. Again these CEOs were paid millions on salary and bonuses. Corporate governance are non-existence words in financial dictionary.

The jittery from Dow had affected the rest of the World's market with Greece and Euro crisis adding fuel to the burning stove.

At the same time, interest rates are at historical lows. As explained in earlier posting, the effect is inflationary across prices of food, commodities, day-to-day purchases etc.. On the property front, the similarly effect is felt in Asia. Everthing is going north except equity prices. Would I call it a paradox?

Lets look at why equity is so susceptible to flutuations:-

(1) Herd mentality - The psychological effect on equity markets.
(2) Ability to short the market - Where profit can be made by betting on a sliding market, causing it to slide further.
(3) People avoiding equities - When there are other alternatives, such as gold, silver, property. Why equity when the return does not seem to be proportional to the risk? The drop to Dow 12,369 level is equivalent to about 5% in just a few months. Traditionally, investor is looking at a return of 5% on equity market in 1 year. This is in consideration of a mild inflation.

In summary, the financial institutions and world government leaders were simply not displaying leadership with respectable conscience. Inflationary pressure reduces purchasing power of the general middle class of hardworking citizens. What a World! ..... Is capitalism good?

Chinese Mutton Soup

This shop is located at Bukit Merah View Market & Food Centre, off Henderson Road. Unit 01-51. The name of the shop is Chai Chuan Tou Yang Rou Tang (Matchstick/Charcoal Boat Bow Mutton Soup). It is usually crowded during lunch time.

The mutton soup is fantastic mixed with slice ginger and parsley leaves. Various parts of mutton are available but I usually take the meat. The strong mutton soup has covered the negative mutton smell well. Couple with rice, it makes a delicious lunch.

Pilot Custom Heritage 91 Fountain Pen

This Pilot Custom Heritage 91 comes in black gloss finished and a medium nib. While it is medium nib, it writes closer to a fine nib when compared to its Western Counterpart. The filling system uses a pump feed (not converter) when by pressing on the pump will create a suction vacuum on the ink. It is of course made in Japan. From Japanese Pilot webpage, it costs about 10,500 yen (without tax). The nib comes in 14K gold but there is no sign of gold finishes on the nib. The designer must have considered that the pen body and cap are finished in silvery gloss. There is no other significant sign showing the Pilot brand other than the carving on the centre ring.

For writing wise, it is not as smooth as the Sailor nib, probably because it is a medium nib as compared to the broad nib of my Sailor Professional Gear Prochic Vivo fountain pen. In terms of weight, it is much lighter than the Sailor pen. I have loaded the pen with Private Reserve American Blue ink.

The pen was purchased from Aesthetic Bay in Ion Orchard.

Mee Siam

I would like to recommend this mee siam. It is located at Kim Keat Palm Market via Toa Payoh Lorong 7. The name of the shop is "Delicious Satay". Other than mee siam the shop also sells Satay, not exactly complimentary but it is fine with me. The mee siam is nyonya style. The most important ingredient in a mee siam is its sauce. The sauce is sweet as I believe it had added pineapple juice. It has the right chilli hot in it. Other than the bee hoon (rice noodle), there are 2 prawns, tiny tau pok and an egg, all for S$3. Great taste!

Favourite Beef Noodle Shop

Hong Heng Beef Noodle & Laksa

I love the beef noodle from this shop at Ang Mo Kio Street 21, Blk 226H.

The critical ingredient of the beef noodle is its gravy. The chilli paste also matches the the noodle perfectly. Have been eating this since 2003 when they were located in another shop.

All these years, I only tried their beef noodle (dry). Never tried their laksa as the authentic beef noodle is just too good. Price starts from S$4 per bowl. Close on Monday.

Update August 2014 - I went to the stall again recently. Somehow the standard has dropped. The dry was not that dry anymore. By not removing the extra water presence, it somehow diluted the gravy which is important for a good beef noodle. The gravy sauce was somehow less taste than previous. Hope it will improve its standard. And if I am not wrong price starts from S$4.50.

CIMB World Mastercard

Applied for this credit card last week. Benefit of this card : No annual subscription for the life with no minimum spending.

From internet serach, credit available is 10 times current salary.

Great card to hold for retirement.

Sailor Professional Gear Prochic Vivo

Bought this Japan made Sailor Professional Gear Prochic Vivo with Broad Nib at Aesthetic Bay ~ Ion Orchard.

Initial attraction on the pen is its silvery coated body with gold trim and black top and bottom. Its finishes looks opulent. The weight of the pen is heavy among the fountain pens I had. The body finishes is nice to feel with great smoothness despite its apparent undulation. The words, Sailor Japan Founded 1911 were engraved on the middle section. The top of the cap and its nib have a engraved anchor as Sailor's company signature. From internet, I noticed that the name Sailor came from British Sailor who had landed in Japan and brought the technology of fountain pen into Japan and to the Company founder. Sailor pen is a centuary old company. I was deciding between Pilot and Sailor pens before purchased and the finishes on this pen gave the edge over its countryman.

This is is the first time I visited Aesthetic Bay. The shop sales woman gave me a different perspective of fountain pens. She had claimed that Sailor produced one of the finest nib in the world. The other highly commended fountain pen nib is from Pelikan. The Sailor Professional Gear Prochic Vivo Broad nib writes normal at first few strokes. However, I noticed that if I hold the nib at certain angle (more gentle to the plane of writing), the smoothless did come out. The sales woman also mentioned Sailor nibs were crafted by Japanese skilled craftsmen and the quality was exceptionally good. From my experience, I knew Japanese craftsmen are a respectable group and took pride in their accomplished product. She had also mentioned that knowledgeable collectors of fountain pens owner seldom purchased Mont Blanc pens (her opinion). She further explained that a high portion of Mont Blanc price goes to advertisement and the prestige associated with the brand. Reminds me of Seiko Marine Master v. Rolex Submariner comparison. Nonetheless, after viewing the prices displayed and the discount given, I noticed that the prices in Aesthetic Bay are quite competitive and comparable to shop like Mustafa. Credit must go to the fact that Aesthetic Bay is a physical shop in a prestigious location in town with reasonable service. The range of pens on displayed and sale include Montegrappa, Visconti, Namiki, Pilot, Nakaya, Parker, Cross, Sheaffer, ST Dupont, Dunhill, Pelikan, Waterman, Caren d'ache and of course Sailor. Some of these pens are in the range of $5000. Didn't see Lamy and Mont blanc though. They also carried a substantial numbers of not so common inks. For those interested in Faber Caster pens, the shop next to them is also managed by them.

Upper Middle Class Japanese

As a continuation of Upper Middle Class American and Singaporean, I have done a simple analysis of what a Japanese counterpart will face for income tax and purchase of a car.

From internet search, the income tax base on taxable income (after rebates) for year 2011 is as follow:-
6.95 to 9 million yen = 23% of taxable income exceeding 6.95 million yen plus 962,500 yen.

Base on the current exchange rate of US$1 = 81.79 yen, a taxable income of US$100,000 is equivalent to 8.18 million yen. The income tax payable by a upper middle class Japanese salary man will be 282,900 + 962,500 yen = 1.245 million yen which is equivalent to US$15,190.

From BMW Japan, we can see that a 2012 model of 640i in Japan is selling at 9,330,000 yen including tax. This is equivalent to US$113,826.

Over a 10 years period, ceteris paribus, the Japanese salary man would have paid a total of US$265,726 for income tax and the car. The US counterpart would have paid US$353,600.

According to a website, the average annual income in Japan for 2011 is 3,788,460 yen which is equivalent to US$46,219. From Big Mac Index 2011, a big mac in Japan sells for 320 yen which is equivalent to US$3.90.

I have this feeling that after years of deflation in Japan and the rest of the world inflation, the world has finally caught with the Japanese cost of living.

29 Feb 2012 / Dow Jones

Hmm..... Today 29 Feb 2012. Leap Year. Once in every 4 years. One more working/schooling day for everyone.

Back in 15 Oct 2009, I wrote that Dow Jones broke 10,000 points on 14 Oct 2009. We were out of the recession woods.

On 28 Feb 2012, the Dow Jones broke 13,000 points. The strength looks weak. Sustainability above 13,000 points would depend largely on how Europe Debt would be resolved. However, this year is American Election Year. A strong Dow Jones would likely push P. Obama to a second term.

Are we seeing a clear blue sky or dark clouds ahead?

Concept of Value

I have been thinking about the concept of "Value". What makes a Value purchase? And what constitute a waste of money.


Income, will first determine whether a purchase is a value one. If a person monthly income is $1000, then it will be fair that a purchase of a $100 watch will be be significant to him given that it is 10% of his income. Value to him is a watch that provides the function of time monitoring with minimal cost. Afterall a $100 digital watch will tell time as good as a watch that is $1000. There is no luxury content in the purchase of the $100 watch. It is also likely that the watch has no resale value once it leave the shop premises.

Value purchase should also be across boundary. For a pen purchased in country X should cost the same in country Y. With the advance in technology, pricing information should be available that enable comparison to take place. Substantial price difference is a cause of concern for the consumer. A reduction in transportation cost would significantly encourage more price equalisation.


In my opinion, depreciation and value are intertwined. A purchase which offers appreciate in value is considered a smart purchase. An asset that depreciates in value within a short period of time is least preferred. At least, an asset must maintain its value when it is put up for sale as a second hand product. Someone ever said this, if one is to purchase a Japanese watch at $300, it would possibly cost less than $100 in 20 years time. But if one is to purchase a Rolex watch at $10,000, it might still be worth $10,000 in 20 years time even though the $10,000 in future may not be worth $10,000 due to compounded interest.

Technological products may be another value trap, given that time will dilute the advantage or convenience that the product may give. Imagine looking retrospectively what early technological adopters lost when they paid more than $3000 for a LCD TV which now costs less than $1000. I wonder how iphone, ipad supporters would feel when they look retrospectively the hours they spent lining up for purchase.

In economics study, the concept of price has correlation with satisfaction or what economists call utility. Whether an apple is worth $0.50 will depend his judgment of utility. Whether he will buy another apple at $0.5o will depend on whether the extra utility will be justifiable by the money that the consumer had to give up (Concept of Marginal Utility). When it comes to luxury goods, the utility that the goods create may be superficially high to the extend it justifies for the price that it demands, especially so when all basic needs are already met. While it explains human nature, the discipline involve in getting a value purchase cannot be emphasized enough.


Consumer is always affected by other environmental factors such as advertisement, association with an admirer/hero/person of authority etc.. Purchase may be irrational and sometimes passion comes into play. So many times, we heard purchase base on impulse and found something useless after a purchase was made. Marketeer always tries to associate branding, product unique feature as compared to a value product. Branding may also be linked to quality, whether such link is substantiated is another matter. Nonetheless, association (especially wealth) affects buying decision.

Whether a person chooses to be frugal or spendthrift is his/her perogative. However, choosing the extreme end would not be wise nor reasonable.

Brunei Darussalem Detachment Camp

The above photo shows the place where I had stayed for 6 to 7 months in Brunei Sultanate, back in 1988. I was staying in the South-Eastern barrack (shown in blue roof). It was a 2 storey barrack and I stayed in the 2nd storey. The road is off Jalan Muara, possibly about 15 to 30 minutes by car from Brunei International Airport.

You could see helicopters parked on concrete ground which is a helipad. If I could recall correctly, the cookhouse was the centre block in the photo with green roof.

I could remember as a teenager, I drove for the first time in a white manual transmission toyota car around the road surrounding the green field (without license yet). I also remember where a wild snake was skinned, hanged from the second storey and later cooked into snake soup for consumption.

The surrounding of the camp was all forest, just as it was back in 1988.

Credit: Google Maps

Upper Middle Class American and Singaporean

In US, the income of the upper middle class is quite high. Assuming that the net annual income, after adjustment for tax relief, of a US citizen is US$100,000 in 2011, the income tax (from wikipedia) is 28% (for single person). The amount of tax he has to pay is US$28,000 or US$2333/month.

In 2011 Singapore, if a person earns a net annual income of SGD$100,000, the income tax that he has to pay consists of 2 tiers; first SGD$80,000 is 5.375% or SGD$4,300, next SGD$20,000 is 14% or SGD$2,800. A total of SGD$7,100. This gives an effective rate of 7.1% and monthly tax of SGD$592. Source: Singapore IRAS webpage.

While the exchange rate of SGD and US$ is different, I am looking from a perspective of a upper middle class resident in Singapore and US$ which should earn about a quantum of $100,000 in annual income, irrespective of foreign exchange.

In California USA, the sales tax is 7.25% which can total up to 9.25% including local sales tax. In Singapore, the consumption tax (GST) is 7%. Comparable if you stay in both cities.

Assuming a upper middle class American drives a BMW 640i coupe in 2012, he will have to pay US$73,600 (MSRP from BMW USA). He will need to work 0.74 year to pay for that car. For the same car in Singapore in 2012, the upper middle class Singaporean would have to pay SGD$355,800 (price from SG Carmart including the infamous certificate of entitlement). In Singapore, he will have to work 3.6 years to pay for the same car.

Comparing the income tax and the car price (and associated taxes) over 10 years, the American would have paid USD$353,600 (US$280,000 + USD$73,600). The Singaporean counterpart would have paid SGD$426,800 (SGD$71,000 + SGD$355,800) over the same period.

Additional Info, the US annual median wage in 2010 is US$26,364. The Singapore annual median wage in 2010 is SGD$2710 x 12 = SGD$32,520. Source: social security on line and salary.sg.

From the Big Mac Index 2011, the big mac in US costs US$4.07. In 2011 Singapore, the big mac costs SGD$4.41.

Hero 204 Black Ink v. Mont Blanc Mystery Black

Here is a sample of the 2 black inks I have currently. The writing is a famous chinese poem which I like.

The top section shows the poem written by Hero 336 fountain pen on fine nib using Hero 204 black ink. As I earlier mentioned, there was better control over the ink flow and I could write slower without ink smear.

The bottom section shows the poem written by Mont Blanc 146 fountain pen on medium nib using Mont Blanc mystery black ink. The ink flowed faster causing ink smear to occur easily for this paper. I have to write faster with lesser control.

From photograph, it shows that Mont Blanc mystery black ink has a deeper black. This ink is 16 times more expensive than the Hero 204.

Hero 204 Black Ink

Hero 204 Black Ink in 60ml glass bottle.

Cost only SGD$1.50. Bottle finishes is not refined. Used it on my Hero 336 fountain pen with fine nib.

As it is on a fine nib, I am not able to detect any inconsistency in the ink. I am generally acceptable to the colour of the black ink. Unlikely to use it on an expensive pen until proven otherwise.

I also saw a red ink for sale in the shop.

8 Feb 1883

Lewis Waterman started experimenting capillary feeds for fountain pen from 8 Feb 1883.

Pelikan Souveran M300 Fountain Pen

I must first say that I am not exactly sure the model of this Pelikan which I brought. The salesman at Mustafa said it is M205 which I have doubt as M205 is demonstrator model. The marking on my pen body has straight line of black green strip. From Pelikan International website, my guess is it is a M300 base on the official length of 12.9 cm long.

The characteristics of this Pelikan Souveran pen are as follow:-

(1) The word Souveran can be found on the cap base.

(2) It is about 12.5 cm long (with cap)

(3) It is made in Germany with the word Germany on the cap base.

(4) It costs SGD$202 (approx USD$161)

(5) Salesman said that the medium nib is 14K Gold plated.

My views of the pen are as follow:-

(1) It is a light pen compared to MB 146 and Waterman Expert 2. It is so much lighter that writing with cap posted is not an issue. Reading wiki shows that it is probably due to cellulose acetate body.

(2) At first look, the green looks unusual on a pen. But Pelikan has the tradition of producing green coloured striped body for its vintage model 400 pens (since 1950s). Hence I made the decision to follow tradition.

(3) My son called the green and the strip a watermelon.

(4) At SGD$202, it is more expensive than Waterman Expert 2.

(5) I like the Pelikan logo on the top of the cap. This is better than the Waterman Expert 2 without any logo but a simple gold round cap.

(6) It uses piston filled mechanism, similar to MB 146.

(7) In terms of writing, the ink flow in the Waterman Expert 2 is the most smooth as it flows readily.

(8) I am using Waterman Havana Ink on this Pelikan.

(9) Pelikan M300 is the shortest of the fountain pens I have had at 12.5cm.

(10) The way I see it Pelikan Souveran series differs in size and there is insignificant difference in the jump from one M to another. I wonder what motivation (other than size) for a consumer to choose the higher price range. It is quite difficult for anyone to realise which model he is holding, unless finding a true connoisseur of Pelikan fountain pens.

(11) Because of its light weight, handling of the pen is easy as compared to the heavy Waterman.

Waterman Havana Ink

This is a review of the Waterman Havana Ink. The ink was brought from Fook Hing Trading at Bras Basah and cost SGD$14. It is more expensive than Pelikan 4001 ink which is about SGD$4. However, it is quite rare to get a brown ink, unlike the common black or blue. The ink bottle is only 50ml compare to the 62.5ml for the Pelikan 4001. According to the box, Havana ink is made in France.

What I like about Waterman Havana? I like the darker and deeper colour of the brown. Being darker, it is readily visible. As I mentioned in my earlier post the Pelikan Royal Blue ink is lighter than my liking.

What I don't like about Waterman Havana? Obviously, it is more costly and comes in a lesser volume. But it is cheaper than Mont Blanc Ink at SGD$25 for 60ml.

The photograph shows the 3 inks that I currently have.

Mont Blanc - Mystery Black (written by a Mont Blanc 146)
Pelikan 4001 - Royal Blue (written by a Waterman Expert II)
Waterman - Havana (written by Pelikan M300)

General Household Inflation Hits +5.2% for Yr 2011

Singapore General Household Inflation Hits +5.2% for Year 2011.

This is when interest rate remains low. Saving at local banks interest rate is at 0.05%. In other words, money is loosing its value at 5.15% annually if it is to be placed in a bank.

A good explanation of the relationship between interest rate and inflation is shown in the link shown below.

Dividend in local equity pays between 2 to 6% annually, This is insufficient to cover inflation, given the risk involved in equity purchased.

This will encourage people to seek other alternate form of investment, eg property. With the interest rate going so low, money is chasing or being converted to other asssets.

Recent launch of property in Punggol Waterfront is seeing a 99 leasehold with average selling price of $1200psf, this means that a 800 sqft apartment (smaller than a 4 room HDB flat) will be selling at S$960,000. Assuming a couple has a household income of $10,000 per month and assuming that they have a total of $200,000 in CPF. They will need to borrow $760,000 if no cash outlay is used. Over 25 years loan, the couple will need to pay $30,400/year without interest or a monthly of $2535 in mortage. With interest, it will likely to be $3000/month. The couple take home pay will be around $8000/month less $3000/month on mortage, disposable income is $5000. This is on the assumption that the couple makes $10,000 per month. The couple will need to service the loan for the next 25 years, and hopefully there is no retrenchment along the way.

To make the property appreciate, the said unit at Punggol Waterfront will need to sell for say $1500 psf. The current psf of HDB flats in Punggol vincinity is only about $455 to $470 psf. This means that there is a lot of opportunity for HDB flats in Punggol to rise further. However, HDB will continue to build more flats especially in Sengkang and Punggol. Upside is limited unless there is another wave of foreigners becoming citizens.

The lower income segment of the population will continue to feel the heat in the inflation, especially for basic necessity such as food, utilities and transport.

http://plonkee.com/2007/11/27/how-do-interest-rates-affect-inflation

George Soros & His Predictions

Back in January 2006, in an interview with the Singapore Institute of International Affairs, Mr George Soros predicted the coming of financial recession due to housing bubble happening in the US. Back then Mr Soros believed that the housing bubble was about to burst and a fall in the value of US Families Homes would be a reality.

Evidence of the interview is showin in the links below:-
http://webarchive1.richdad.com/Forum/forum.aspx?g=posts&t=196697
http://www.cfo.com/blogs/index.cfm/l_detail/5380259

Back in January 2006, the Dow Jones was around mid 10,000 points. Of course, it subsequently went for a bull run reaching 14,000 before crashing into abyss.

In January 2012, Mr Soros again made his prediction in his interview at Azim Premji University in Bangalore. He predicted that the global economy would face a 'potential meltdown' as a result of Euro zone crisis. Link as below:-

http://indiatoday.intoday.in/story/george-soros-predicts-economic-meltdown-worse-than-2008/1/168104.html

There may be time lag between his predictions and the occurence of the event. Would you believe him?

Standard and Poor's Rating and Credit Rating

Before the collapse of Lehman's Brother, S&P's gave Lehman's Brother a rating of at least an 'A'. This was a relative good rating. Subsequently as each and everyone know Lehman's Brother failed and led to a financial meltdown. Did S&P's successfully give an indication of the dire situation of Lehman's?

In the current situation, S&P's had been like a frightened bird (惊弓之鸟). For the past few months, they have been downgrading credit rating of major western soverign entities, including US and Europe nations. The latest being on 13 Jan 12 downgrade of France and other nations' credit rating.

Instead of doing job when they are supposed to (as in Lehman), these credit rating agencies seem to be pressing the panic button currently, causing widespread fear and worries to the global financial markets(落井下石). It may turn out that through these negative market sendiments, it may cause the event to occur.

The question to ask is whether credit ratings are necessary, if so, how accurate they are and most importantly are they contributing to the world's financial well-being.

More Than A Decade of Negligible Growth

Dow Jones on week of 10 January 2000 = 11,722.98
Dow Jones on week of 27 December 2011 = 12,217.56
Difference = 494.58 over 12 years or 4.22% over 12 years
0.35% growth in a year. Miserable and investors were taken for a ride considering the inflation annually.