Singapore’s new voluntary CPF life-cycle investment scheme, set to launch in 2028, offers members a structured way to invest their CPF savings with an automatic glide-path that reduces risk as retirement nears.

Li Huijing, Head of Investment Management at MoneyOwl, mentioned that the simplified set of options under the new scheme will be useful for members who wish to take some market risk, but lack the time or expertise to actively construct and manage their own portfolios.

However, they should have longer investment time horizons to be better positioned to ride through market cycles and benefit from compounding.