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If you have idle cash sitting in brokerage accounts waiting for buying opportunities, you might be missing out on yield you could be getting from cash funds. With inflation running hot (Singapore’s inflation rate was +6.7% yoy in Oct 2022) and expected to remain high, the purchasing power of that cash is being eroded pretty quickly.

Source: Trading Economics

You could consider putting that idle cash to work in cash funds, which are available through most online brokers and robo-advisors. Here I’m talking more about cash earmarked for investments. You would still need to have some cold hard cash you can call upon immediately in case of emergencies or unforeseen expenses.

Note that the yield on cash funds changes daily and you’re not locking in the yield at the point of fund purchase/subscription, unlike fixed deposits, SSB, and T-bills.

I can’t list the yields for all brokers or robo-advisors, but I can share on the ones I use – namely Tiger, moomoo, Webull, Syfe, and Endowus. Here are the projected yields (as of 21 Dec 2022, varies daily) of these platforms:

Broker / Robo-advisorProductYield SGD (projected)SGD fundYield USD (projected)USD fund
TigerTiger Vault3.99%Fullerton SGD cash fund3.76%Fullerton USD cash fund
moomooCash Plus3.98%Fullerton SGD cash fund3.61%CSOP USD money market fund
WebullWealth3.98%Fullerton SGD cash fund3.73%Fullerton cash funds
SyfeCash+3%70% LionGlobal SGD enhanced liquity fund, 30% LionGlobal SGD money market fund––
EndowusCash Smart Secure3.4-3.7%50% LionGlobal SGD enhanced liquity fund, 50% Fullerton SGD cash fund––

For most of these platforms though, you would need to opt-in for your funds to be invested into these cash funds.

Tiger & moomoo

Tiger and moomoo even offer auto-sweep features (moomoo calls it SmartSave) that can automatically invest your SGD and USD cash balances into the cash solutions Tiger Vault and moomoo Cash Plus respectively.

Source: Tiger Trade
Source: moomoo

Webull

For Webull, these cash funds were only recently introduced and doesn’t have automation yet, so you would have to manually invest into the cash funds offered.

Source: Webull

Syfe

For Syfe, bank transfers go directly into Cash+ which can then be automatically moved to other Syfe portfolios by setting up recurring transfers.

Source: Syfe

Endowus

Endowus works similarly, where funds are directly channeled into goals, one of which is Cash Smart – Secure. So far, I’ve only been using SRS as source of funds.

Source: Endowus

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Disclaimer: This is not financial advice. I am not professional financial advisor nor do I work in the finance industry. Anything I write here is purely my personal opinion. Please do your own research and due diligence before investing into anything. All investments come with associated risks. Best to consult a financial advisor if you’re still unsure.

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