Anything with monetary value: cash, investments, property, vehicles, valuables. Productive assets generate income; consumption assets don't.
An asset is anything with monetary value — something that can be sold for cash or that produces income. In personal finance, your total assets are the resources you have at your disposal.
Net worth = total assets minus total liabilities. The asset side of that equation is what we're describing here.
Liquid assets: cash, savings accounts, money market funds, fixed deposits with short maturities. Available within days without value loss.
Investment assets: stocks, bonds, ETFs, REITs, unit trusts, gold. Value fluctuates daily.
Retirement assets: CPF (OA + SA + MA + RA), SRS, private retirement funds. Restricted access until certain ages or conditions.
Real assets: property, vehicles, jewellery, art, collectibles. Physical objects with intrinsic or market value.
Insurance-linked assets: cash surrender value of whole-life and endowment policies. Counted at the current surrender value, not the death benefit.
Productive: generates income or appreciates in value. Examples: shares, rental property, bonds, businesses.
Consumption: provides utility but loses value over time. Examples: car, electronics, jewellery for personal use.
Wealth building requires building productive assets. Consumption assets are necessary for life but don't contribute to long-term financial growth.
Mixed: an HDB flat is both — it provides housing (consumption) and typically appreciates (productive). Same with a car used for ride-hail income.
Use market values, not sentimental or purchase values. A car bought for S$120,000 5 years ago may now be worth S$50,000.
Illiquid assets discount: a private business or unique collectible can take months to sell. Discount its 'book value' by 20% – 40% to reflect liquidity risk in net-worth tracking.
CPF balances: count at current statement values — they're real assets, just illiquid.
Property: use the latest valuation from a recent transaction in your block, or HDB / SRX valuation tools. Don't inflate based on optimistic agent estimates.
Insurance cash value: surrender value only, not death benefit. The death benefit belongs to your beneficiaries, not your current net worth.
Anything with monetary value: cash, savings, investments, CPF balances (OA + SA + MA + RA), SRS, property at current market value, vehicles at depreciated value, jewellery, and cash surrender value of whole-life policies. Net worth = total assets minus total liabilities.
An asset (at current market value), but the mortgage on it is a liability. Equity = market value − outstanding mortgage. Don't treat the gross property value as 'wealth' without subtracting the debt. Some authors (Robert Kiyosaki) frame consumer homes as liabilities because they don't generate income — pick the framing that works for you.
Yes — at the full balance across OA, SA, MA, RA. CPF is illiquid but it's real money that earns interest, can be tapped for specific uses (housing, medical, retirement), and contributes to your net worth.
Use current market value where reasonably knowable (property, vehicles, investments). For business interests or unique items, discount by 20% – 40% for liquidity risk. Don't sentimentally inflate values — the point of tracking net worth is honest measurement.