Should I withdraw my OA after age 55

 Please see video in link below.  On speaker take on using CPF Fund after age 55.


He mentioned 2 investment possibility:

1. Payout from Annuity ILP

2. Payout from MSCI ETF 


On MSCI: He encourages investing in MSCI.

Here is comparison of MSCI vs S&P500. Ah Loo wins.

~~~

On ILPs: He discourages investing in annuity ILPs, comparing Prud n AIA ETF returns.

But he may have missed the points, talking long term 20 to 30 years returns. Since inception, both returns are 2%+ to 3+%, and funds incur fees charges.

My Takeaway:

I ever spoke with people Ah Laus who bought these ILPs;  They (Ah Laus) bought because:

* Annual payout promises 6% to even 8% p.a. (better than OA 2.5% or SA 4%).
 
* Even if long term payout drops to 4%, it is still better than SA interest rate!.

* They are looking at Bequest payout of 100.01% principle guaranteed. 

* They are aware their units will drop, perhaps to even by 50%! due to annual payout from their units. No matter, the Principle sum is still guaranteed upon bequest.

* So long as policies are held and payout upon death, they still enjoy high payout, even better than our SA or RA!

Ah Lau Caveats:
Don't surrender your ILPs!  Hold it till death as a inheritance. 


video on use of CPF funds after age 55:
https://www.youtube.com/watch?v=Th9K8zCyo74

https://curvo.eu/backtest/en/compare-indexes/msci-acwi-vs-sp-500

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