Strategies for financial assurance in a crisis

Your mattress is good for dreaming of the future but hiding your money under it because of COVID-19 jitters might push you further from your financial goals


Spooked by the COVID-19 market turmoil? Rather than abandoning your financial goals and stuffing all your cash under your mattress hoping it’ll be untouched by economic consequences of the coronavirus, why not find a safe haven for it? After all, the financial climate is likely to eventually improve. And when that happens, you’d be in a stronger financial position to achieve your dreams than if you had done nothing, or worse, made hasty decisions out of fear.

Here are our recommendations for keeping your money safe during a crisis:


Set up an emergency fund.
No one knows when you’ll need it, but it’ll help tide you through contingencies like a serious illness or retrenchment and protect the savings you’ve taken years to build. Put aside three to six months of your salary, ensuring enough for medical needs and food. Park it in a passbook savings account reserved for a crisis, and leave the bank card at home so the money is safe from impulse spending (which can sometimes be more crushing than a market crash!).


Don’t scramble to withdraw all your money.
COVID-19 market fears may make you think it’s safer to have all your cash in hand, in case a market collapse locks you out of your savings. Under the Deposit Insurance Scheme however, Singapore dollar deposits with member banks are insured up to S$75,000 per bank, so leave your money there; it’s as safe as it can be. 


Drop the panic-buying.
Access to cash helps you survive in dire times, but using it to turn half your home into a grocery store so you can go into COVID-19 self-isolation for two months isn’t necessary. Our food supply isn’t under threat and the government has repeatedly assured that we have enough essential supplies. Hoarding could damage your wallet, more so if you’ve fallen prey to inflated prices on goods – not to mention leave you with a shelf full of canned sardines that you’ll have to eat for a long time after normalcy returns. Be socially responsible, buy only what you need, and use up those unopened packs of bread flour and couscous that’ve been sitting in your pantry for months.


Consider products that give guaranteed payouts.
Economic slumps don’t always mean you have to dump your financial goals. Your money can continue to grow, just not at the rates you’d expect. While it’d be impossible to find high-yield products, you can find products that offer important guarantees so you don’t have to worry about losing your capital and can be assured of returns. Aviva’s MyLifeIncome, for instance, is a savings plan that gives annual payouts for life that you can use any way you choose. There’s a high annual payout of up to 6.35% of the sum assured, made up of a 0.95% guaranteed portion and a non-guaranteed cash bonus portion that’ll give you a cool payout of up to 5.4%. Ideal for the risk-averse, the plan gives at least 100% of your money back if you choose to surrender the policy after the end of your chosen accumulation period.

The moral of the story: when a storm like COVID-19 looms, stay calm and don’t let fear get the better of you. Acting responsibly while shoring up your defenses is the best way to protect your finances, safeguard your dreams and approach the future with confidence.


Confused about your next move in an uncertain market? For help on how to secure your finances or to learn more about products that give you guaranteed payouts, leave down your details in the form below and we’ll be in touch. 

Leave us your details and we'll be in touch to send you more information.

Thank you for your submission. 

Please enable javascript on your internet browser in order to use this form

By clicking "Submit", you consent to Aviva and Aviva related companies contacting you to provide you with information concerning Aviva and Aviva related companies' products and services. You also consent to Aviva using, disclosing or transferring your personal data in this form to Aviva related companies, third party providers or intermediaries, whether located in Singapore or elsewhere, for the above purposes and for research, audit, regulatory and compliance purposes.

For details of Aviva's Data Protection Policy, please refer to https://www.aviva.com.sg/en/pdpa/. To withdraw your consent at any time, please call Aviva at +65 6827 7988.

Important Information

Money Banter (the "Portal") is for general information only and does not take into account the specific investment objectives, financial situation, health condition and needs of any particular person. The contents of this Portal are intended merely for educational purposes and should not be construed as the giving of advice or the making of a recommendation. Nothing contained in this Portal shall constitute a distribution, an offer to sell or the solicitation of an offer to buy. We recommend that you discuss any specific matters with your financial adviser representative or legal adviser before making any decision. You are responsible for your own medical care, treatment and oversight, and any health-related content on this Portal, including, text, treatments, dosages, outcomes, charts, profiles, graphics, images, messages and forum postings are strictly information to promote general understanding of certain health topics only, do not constitute the providing of medical advice, and should not be relied upon as a substitute for professional medical advice, diagnosis or treatment. Always seek advice from a physician or other qualified health care provider regarding your medical condition or treatment and before undertaking a new health care regimen. This Portal may include information sourced from third parties and links to third party websites. We are not responsible for the accuracy or completeness of, and do not recommend or endorse such information or third party websites nor recommend or endorse any specific tests, physicians, products, procedures, opinions or other information. While we have taken reasonable care to ensure that the information on this Portal has been obtained from reliable sources and is correct at time of publishing, information may become outdated and opinions may change. Except to the extent prohibited by any law, we are not liable for any loss (including direct, indirect and consequential loss, loss of profits, loss or corruption of data or economic loss of any kind) that may result from the access or use of or reliance on the information on this Portal.  | Terms of Use | Privacy Policy

This advertisement has not been reviewed by the Monetary Authority of Singapore.