Only the rich will get richer in Singapore?

By: KW Ang

Based on what the Mathematician (who had never stayed in a HDB flat, hold a commercial job had highlighted that we will only be ‘enjoying’ 1%-2% growth hereon, it is going to be exceedingly difficult for our country’s middle class to move up the millionaire ladder.

Yes, excellent academic achievement will probably earn you a decent livelihood that includes an Executive Condominium, a BMW 4 series or maybe a squirreled account for retirement; a Coca Cola bottle, one no indifferent to another. For Pete’s sake, don’t hurl molotov cocktail, I didn’t say ants.

Adam Smith will tell you our economic structure is a diamond shaped one whereby the upper tip comprises the ultra rich and the lower tip are those who can barely make ends meet. Most will be hovering in the middle segment.

An illuminating example is REITS. They use other people money. They manage. They pressurize. They charge an exorbitant management fee. But they don’t own anything. They are just ‘professional managers’. Does the Remora suffer when the retail sector is suffering low occupancy rate? The worst case scenario is a piece of termination letter. Everything to gain and nothing to lose.

Unless you are a Khoo, Shaw, Tang, Ng, Lee Foundation, you had better review your next step forward. Remember, you do not own this world but merely borrow it from your children. For thousands of years, there was an old saying; family wealth does not survive beyond the third generation 富不過三代.

For example, banker Wee Cho Yaw bought all 45 unsold units at The Nassim for $411.6m.

Osim founder Ron Sim, Straits Trading Company chairman Chew Gek Khim, Fragrance Group boss Koh Wee Meng (oh, he brands Fragrance an Empire now), polo player and upscale property developer Satinder Garcha participated in City Developments’ S$977.6 million deal to ‘unlock the value’ of its completed Nouvel 18 condo.

10 bungalows on Pearl Island in Sentosa Cove were sold for $120 million to a company owned by the co-founders of Evia Real Estate, Vincent and Leslie.

Don’t get your panties in a bundle, save for a few of the above mentioned, most are old rich. And mind you, only the rich can spit in face!


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