I find this very interesting. Why are these "investors" willing to pay above par value for the bonds?

From Channel News Asia website.

FRANKFURT - Germany paid a negative return to investors at a debt auction for the first time on Monday, highlighting the status of Europe's biggest economy as a safe haven in the current debt crisis.

The Bundesbank, which handles German federal debt auctions, sold 3.9 billion euros (US$5 billion) of six-month Treasury bills at an average yield -- the return earned by the investor -- of minus 0.0122 percent.

Negative yields effectively mean that investors are willing to pay the German government to take their money, rather than more normally earn a return.

Unlike most longer-dated bonds, treasury bills do not pay interest by way of a coupon but are usually issued at a discount price and then redeemed at par.

That means investors pay slightly below the par value and receive the full face value back six months later, pocketing the difference as interest.

But this time, investors paid more than they would receive when the bills mature -- the weighted average price was 100.00616 euros to receive 100 euros in six months' time.

There was strong demand for the issue, with investors submitting a total 7.08 billion euros in bids for the 4.0 billion euros in bonds on offer.

"It's the first time that a placement has seen a negative yield," said a spokesman for the federal finance agency.

At the last auction of treasury bills at the beginning of December, the yield was practically zero.

"People just want to make sure they get their money back. German debt is in high demand because buyers are also looking for high-quality collateral," said Lloyds Bank Corporate Markets analyst Eric Ward.

Investors have flocked to German debt throughout the sovereign debt crisis, sending borrowing costs in Germany to their lowest ever levels.

Elsewhere in the euro area, the Netherlands also paid a negative return to investors on three-month bills last month while US and British bond yields have also fallen sharply.

By contrast, other eurozone countries such as Italy and Spain are now facing their highest borrowing costs since the 1990s.

Germany is one of five eurozone countries, alongside the Netherlands and France to enjoy the highest possible debt rating of triple-A.

Germany plans to raise 250 billion euros via the bond markets this year, including 80 billion euros in short-term issues.

- AFP/ir

Hi

May I know which websites am I able to find historical price record for a list of commodities in China? especially so for PVC resin?

Thanks

Churn is good for SGX, of course, but not necessarily so for retail investors!

(As usual, the word "investors" and "speculators" is again used inter-changeably).

The Straits Times
Dec 30, 2011
Commentary
Drumming up retail buzz in SGX
Whetting investors' appetites proving to be a significant challenge

By Anita Gabriel

SINGAPORE Exchange (SGX) chief executive Magnus Bocker is on a tireless crusade to woo retail investors.

His latest suggestion is to revamp the decades-old Central Depository (CDP) system to give retail shareholders the option of letting their brokers see what shares they hold. The CDP holds the shares of about 1.4 million investors.

The idea is to put brokers in a better position to advise clients on tweaking their portfolios and thereby add some sparkle to retail trading.

The proposal is aimed at a deficit that has long niggled the local bourse - the lack of any real 'retail buzz'.

That's a tough nut to crack, especially at present, considering the risk-averse climate which has engulfed much of the world as a result of the financial turmoil in Europe and the United States.

A healthy dose of retail buzz does wonders for a stock market. It raises liquidity - the amount of funds swishing about in the bourse. This, in turn, draws in more investors and perpetuates a robust and vibrant trading cycle.

This is evident in Hong Kong, where about 35 per cent of the adult population dabbles in the stock market and in the United States, where 50 per cent of households own stocks.

Based on comparative data provided by the World Federation of Exchanges (WFE), as of 2009, only 12 per cent of Singapore's population owned shares either directly or through mutual funds.

Both the US and Hong Kong stock markets enjoy relatively high share turnover velocity - a measure of a market's liquidity based on the ratio between trading volume and market value. In stark contrast, SGX's share turnover velocity underscores the gap between the local market and the other developed markets.

The Singapore market's turnover velocity for the year to last month was 38 per cent, well below Hong Kong's 58 per cent.

But the figure was even further shy of the turnover velocity of the Nasdaq and NYSE Euronext in the US and the Korean, Australian, Tokyo, China and Taiwan stock exchanges, which far exceed 100 per cent, based on WFE data.

This is 'far from satisfactory for a developed market' such as SGX, Mr Bocker has lamented.

'A bourse loses its charm if it lacks liquidity,' said Tokyo Stock Exchange president Atsushi Saito. In fact, the planned merger of the Tokyo Stock Exchange and Osaka Securities Exchange - creating the world's third-largest stock exchange - is predicated on the all-encompassing liquidity factor, indeed, a powerful gauge of a market's appeal.

In a recent interview with The Straits Times, Mr Bocker revealed that of the 1.4 million CDP accounts, only 200,000 conduct one transaction per quarter and a mere 20,000 execute a trade a day. (When contacted, the SGX said it has no further information on retail investor participation in the local bourse.)

The local stock market boasts of having the highest composition of listed foreign companies - about 40 per cent of all listed companies, to be exact, in the region. In comparison, of Hong Kong's total 1,477 listed companies as at last month, only 1.6 per cent were foreign.

But as far as being a magnet for retail investors is concerned, there's much to be done.

Compared to Singapore, Hong Kong has a thriving and high level of retail investor participation.

Mr Bocker has frequently admitted that there's room to lift retail participation in the market here as well as boosting liquidity.

Another issue is size.

Hong Kong's Hang Seng Index has more than twice the market value of the Straits Times Index and has about eight times as much daily total share volume.

NUS Business School finance professor Joseph Cherian points out that Hong Kong derives much of its retail buzz from its proximity to mainland China.

Mr Bocker has boldly introduced a slew of measures centred on stirring up retail demand and raising liquidity since he took the top seat at the exchange two years ago.

He has tightened the minimum bid-ask spreads for selected counters, cut transaction costs for investors, extended trading hours by doing away with the lunch break, enabled trading of Singapore bonds and launched a new trading engine touted to be the world's fastest.

But none of these has whetted retail appetite in a significant way.

Courting the notoriously hard to entice retail investor, who has long tended to snub stocks in favour of a sexier option - real estate - is proving a significant challenge.

Securities Investors Association president David Gerald said the stock market does not have sufficient pulling power.

'We do not have sufficient number of big stocks to provide sufficient liquidity. We also do not have that many products for investors to trade. SGX will have to embark on more marketing efforts to boost investor interest,' he says.

It is also hoped that the introduction of high frequency traders in Singapore will drive liquidity in the market - as has been done fruitfully in other markets.

Thanks to its proximity and access to mainland China, Hong Kong draws in the mega businesses such as the Chinese banks, telcos, petrochemical companies which, based on their scale and weight in the regional indices, enjoy a significant share of regional attention.

Therein lies the urgency of linking the SGX with other Asean markets through a common trading platform.

For starters, Singapore, Thailand and Malaysia will be hooked up via electronic trading links to allow for cross-border trades sometime next year. Eventually, it is hoped, other Asean markets will join.

This would benefit SGX tremendously, given its potential as a cross-border trading hub for large regional investors and traders.

If Mr Bocker stays on for another term, he may get the chance to see his plans play out (his initial three-year term ends on Dec 1 next year).

But if he doesn't and very little changes in the next year, his tenure may face the risk of being unfairly defined by one major blip - SGX's failed A$8.4 billion (S$11 billion) takeover attempt of its Australian counterpart ASX.

Personally, I think these people have way too much money (and are willing to splurge!). I have a young daughter and the first month birthday was celebrated at home with a budget of about $300. First-year birthday was celebrated in a restaurant at about $500. Nothing in the 4-digit range, much less $10,000!

The Straits Times
Dec 18, 2011
$10,000 first-month party
Parents think nothing of splurging at a hotel to celebrate their kids' milestone birthdays

By Jane Ng

Just a generation ago, the only party one's offspring threw in a hotel was when they grew up and got hitched.

These days, however, Junior is holding his first birthday or even full-month party in a swanky five-star ballroom.

Stay-home mum Joan Phang, 34, decided to celebrate her son Darryl's first birthday at the Singapore Marriott Hotel three months ago to save herself the hassle of organising the nitty-gritty details herself.

'I'm looking after my baby on my own, so I don't have time to go around coordinating logistics with different parties for catering or decor.'

She called up different hotels for price quotations.

'I simply liaised with one co-ordinator who tied up all the arrangements for me.'

Mrs Phang and her husband Adrian, 41, a director in a research company, eventually chose the Marriott for its kid-themed birthday package and shelled out $3,000 for their only child's do for 70 people on Sept 18.

'It was comfortable for our guests,' she recalls. 'Everyone had a seat and proper cutlery to enjoy their meal, with staff serving drinks, instead of having to stand around and eat out of paper plates while trying to balance a paper cup.'

Here they come, the glam tot revellers. Some hotels are now making it easier than ever for parents to mark their kids' merry milestones at function rooms decked out with balloons, flowers and bowls of candy.

Throw in optional services, such as magic shows, face-painting and balloon sculpting, and you are set for some happy - and possibly hyperactive - under-fives living it up in style.

More than half of 20 hotels LifeStyle checked with offer birthday packages - similar to those for weddings - tailored for little ones, from month-old babies to five-year-old preschoolers.

The Marriott started offering them in 2009 after parents began calling about celebrating their children's birthdays there.

Other hotels, such as Parkroyal on Kitchener Road, have also rolled out child-themed lunch or high-tea packages this year.

Prices range from $40++ to $78++ a head for adults and $27++ to $33++ for children. A minimum number of people - it varies between 30 and 50 - is required. For those prices, one usually gets an international buffet with finger food and desserts.

The hotels say they receive, on average, five inquiries from parents a week, and hold up to five such parties a month.

Ms Anne Arrowsmith, director of marketing at Regent Singapore, says these parents range from those in their late 20s to mid-30s, some of whom had held their weddings at the hotel.

Other hotels have hosted parents, mostly from dual-income households, in a range of executive and managerial jobs.

Aiming to please their customers, hotels differentiate themselves by offering a range of add-on services.

Changi Village Hotel, for instance, opens its swimming pool to party guests if the event is held by the pool.

Orchard Hotel and The Regent provide free flow of soft drinks and complimentary carpark passes. The Regent also does bespoke packages with special touches such as plates and cutlery with cartoon characters on them.

The Marriott provided a playpen for Madam Priscilla Tan, 31, when the finance manager held her only son Jovan's full-month party there in June this year.

Madam Tan and her husband Sky Lee, a 34-year-old executive producer in a visual effects and film company, spent $10,000 on the event.

It was 'worth it', she says, as their guests thoroughly enjoyed themselves. There had also been a television and DVD player to entertain the kids during their high-tea reception for 183 guests, with 20 tables.

Hotel venues are not limited to ballrooms and function rooms.

Another mum, manager Teo Puay Tin, 32, celebrated her daughter Eve's full month at Goodwood Park Hotel's Min Jiang restaurant.

'I wanted to have it out of the house because of space constraints. I had my elder son's party at home and it was too much of a pain to organise and clean up. There is also ample parking at the hotel,' says Ms Teo, who is married to a photographer and lives in a private apartment in the eastern part of the island.

She spent about $2,000 for the get-together for 50 friends and relatives. As for Eve, she slept through the whole thing.

Parents who have hosted such events say guests at kids' hotel birthday bashes tend to bear gifts that are more expensive.

To ensure her guests did not feel obliged to splurge on presents when she invited them to her two children's first month and first birthdays at various hotels here, Madam Loh H.H., 36, a business development manager, told friends in an e-mail invitation: 'It is not like a wedding dinner where you feel a need to compensate the bride and groom. Please just come and enjoy yourselves!'

Still, some parents feel that there is no need for extravagance when it comes to first-month or preschoolers' birthday celebrations.

Sales executive Jan Tan, 30, celebrated her two sons' first month in her five-room HDB flat in Ang Mo Kio with a simple catered spread. The party cost not more than $300.

The mother of Dan, one, and Dave, three, says: 'It's cosier to have it at home, especially when the baby is so young. They would be sleeping through the party, so is there a need to go to such an expense?'

Madam H. Ang, 65, a housewife and grandmother of three, says: 'During my time, we just prepared red eggs and cooked mee sua. Our children still grew up well.'

janeng@sph.com.sg

Business model seems flawed........

The Straits Times
Dec 18, 2011
Coupon sites losing sheen?
Online coupon sites offer huge discounts, but some customers and merchants are put off by the poor service and bad deals

By Kimberly Spykerman and Jessica Lim

Bargain hunters' love affair with online coupon sites offering deep discounts may just be over, with complaints of stale deals, bad service, and unclear terms and conditions.

Some merchants are also complaining that they are getting the short end of the stick, when deals they offer on such group-buying sites cause them to bleed money.

Restaurant owner Edwin Ng, 33, sold about 500 set lunches on several coupon websites at 70 per cent off last year. Each meal originally cost $15.

For each meal sold, he lost $3. Despite this, his Munch chain of restaurants in the financial district has not seen any substantial rise in business.

'We mostly attracted students and housewives who never came back,' he says of the promotion, which he ran on three group-buying websites last year. He says the owner of a group-buying site, whom he declines to name, pushed him to give the huge discount to lure customers, and adds that established players who turn to such websites can end up devaluing their brand.

'It was a very expensive lesson,' he says. 'Would I do it again? A big, loud 'no'.'

Never mind that coupon-waving customers were coming through their doors in droves, at least 15 companies that LifeStyle spoke to said they ended up making a big loss on the deals, which include cheap travel packages, beauty products and car waxes.

Photographer Luvin Lim, 33, has a backlog of jobs, such as touching up photos for customers, for the photography business he runs from home, Pictures & Pixels. Since September, he has sold 520 coupons through Groupon for an outdoor shoot at $18, down from the original price of $375. He says he would have been more comfortable with 200 fewer coupons.

He says he had not capped the number of coupons as the site's merchant manager advised him that, as a new merchant with a relatively less popular service, he would not be likely to sell many coupons.

Booked with Groupon customers until the end of March next year, he says: 'I am coping and maybe it's the Christmas rush now, but I am feeling tired and it would be a major loss if I have a full-paying client and I'm already booked with Groupon clients.'

Coupon sites here, however, say there is help for merchants who have difficulty coping with clients.

Groupon, arguably the biggest player here, says that account managers meet merchants to help them plan how many customers they can cope with, and to ensure that their service to regular customers is not compromised. They also offer solutions if there are any problems, such as advising a restaurant to designate extra staff to deal with the increase in phone inquiries and bookings from Groupon customers.

Mr Karl Chong, CEO of Groupon Singapore, says: 'We approach each merchant with a tailored, individual approach based on the prior history of similar deals. While we do consult merchants based on our experience, the final decision for the sales goal rests with the merchant.'

Mr Raj Datwani, 30, co-owner of another deal site here, UrbanJourney.com, says: 'We try to go for merchants who don't hop from deal site to deal site. The cut has to be something that they are happy with.' This also means his site sometimes takes a lower cut of the revenue generated by the coupons.

There are now at least 70 such sites in Singapore.

These work by e-mailing subscribers daily alerts about attractive, pre-negotiated deals with local merchants. Using the principles of bulk-buying, the deals go ahead when a minimum number of people jump on board. Discounts can go up to 96 per cent. In return, the site takes from merchants up to 50 per cent of the revenue they generate from each coupon sold.

Civil servant Richelle Teng, 26, who has been buying from various coupon sites for about six months, recently stopped doing so. 'Some places that offer manicure and pedicures, as well as hair salons, are quite unknown. When I looked up reviews of these places, some were quite bad,' she says.

Similarly, Ms Liza Kwek, 26, who works in the finance industry, found it difficult to fix an appointment to get her car polished after signing up for a half-priced car polishing package as many slots had been snapped up. The package originally cost more than $100.

The New York Times reported in October that dozens of coupon sites in the United States have closed, were merging or reinventing themselves as merchants struggled to cope with high customer volume and losses.

In Singapore, some of the more popular players are Groupon.sg, AllDealsAsia.com, VoucherWow.com, Deal.com.sg and BigDeal.sg.

Marketing guru Bernd Schmitt, 54, director of the newly created institute on Asian Consumer Insight at Nanyang Technological University, notes that larger companies have an advantage when working with these coupon sites.

He says they tend to have wider profit margins and can afford to give heavy discounts.

Typically, these companies also know when their lull and peak periods are, he adds, so they can use these sites to their advantage by pulling in people during specific times.

CTC Travel, which offers between 30 and 60 per cent off for tour packages to regional destinations such as Hong Kong, Bali and Bangkok on sites such as Groupon, Streetdeal.sg and Deal.com.sg, says it does not lose money on such deals - its profit margins are simply slimmer.

Ms Alicia Seah, its senior vice-president of marketing, says: 'It helps us to increase business during a lull period and when airlines and hotels suddenly offer special fares to us.'

Still, some merchants will continue to use coupon websites as a relatively inexpensive way to get the word out about their business.

Mr Euntae Chun, 32, who owns two-month-old The Corner Place Korean BBQ in Marina Square, starting selling set meals at half price on Groupon recently. To date, he has sold about 5,000 coupons. At least they bring customers into the restaurant, he says.

'My main concern was getting exposure. There is a cost involved, but you have to accept that. If I don't get customers to come and dine here, how can they make a choice about whether to come back?' he adds.

kimspyke@sph.com.sg

limjess@sph.com.sg

Additional reporting by Lim Yanliang

For the portion in BOLD, sure or not?

The Straits Times
Dec 15, 2011
Big revamp of CDP system under way
SGX to allow stockbroking firms access to clients' accounts

By Goh Eng Yeow

THE Singapore Exchange (SGX) is embarking on a radical overhaul of its Central Depository (CDP) system, which holds the shares of some 1.4 million individual investors here.

The revamp, which will take three years to complete, will make big changes to the way shares are bought and sold here and hopefully, raise the quality of advice given by stockbrokers.

One key change will be to enable Singapore's stockbroking firms to gain access to a client's CDP account to find out exactly what stocks are in his portfolio - if he gives them the permission to do so.

With this information, brokers will be in a better position to advise clients how to tweak their portfolios in response to market movements.

The move will reverse a longstanding policy which was first introduced in 1987 when stock trading went paperless.

The rationale then was to offer assurances to investors that their shares would be safe with a central depository specially set up to hold them, rather than with a broking firm that might trade the shares without clients' knowledge, or lend their shares out and expose clients to unnecessary risks.

But this system has since gone out of sync with the practice in most developed stock markets worldwide, said SGX chief Magnus Bocker, revealing details of the revamp to The Straits Times in an exclusive interview.

'In most other countries, you keep your stocks with the broker, so that your broker can see what you have and tell you what to buy and what to sell,' he explained.

'In our market, if our shares are kept in the CDP, the broker doesn't know. This is negative for the equities market.'

The CDP's overhaul will also see the introduction of computer hardware and software that will cut down the considerable paperwork generated each time an investor buys or sells shares.

Currently, an investor receives at least two mailers from the CDP each time he makes a transaction. In future, he can choose to get the statements online.

Mr Bocker said he hoped the revamp will allow investors to develop much closer relationships with their brokers and allow them to assess whether dealers were offering good advice.

'I also think there is an opportunity to grow the retail participation in the stock market,' he added.

'Out of the 1.4 million accounts, we only have 200,000 doing one transaction per quarter and 20,000 doing a trade a day. Stocks should be a natural part of anyone's long-term savings.'

The investment in a new CDP system also marks a further step in SGX's efforts to boost its ageing infrastructure. The CDP uses technology which is already more than 20 years old.

In August, SGX installed a new $250 million trading engine - reputedly the world's fastest - that can execute trades 3,000 times faster than the blink of an eye.

Phillip Securities' managing director Loh Hoon Sun said the overhaul will be good for both investors and dealers.

His view was echoed by veteran stock investor Denis Distant, who pointed out drawbacks of the current system

'In the United States, you will know right away if you key in a sell order whether you have the shares or not,' he explained.

'Here, with all shares kept in the CDP, you have to remember exactly how many shares you own. Otherwise, you may end up over-selling and the mistake can be costly.'

engyeow@sph.com.sg

I start this thread to thank all the faceless but kind folks who poured out words of consolation after learning about my retrenchment. I don't wish to hijack the other thread which is mostly about money issues and not retrenchment.
http://www.valuebuddies.com/thread-8-page-41.html

I Wrote:To fellow engineers on this forum, I think engineering can still be financially rewarding if you are in the right industry (not Electronics in Singapore). Electronics has been in a steady decline in Singapore since the Asian Financial crisis. During my days as an engineering student, the best students studied electronics engineering because of the hype generated from the tech bubble in telecoms and dot.com IPOs. The industry in Singapore went into decline after the tech bubble burst and never really recovered. For young graduates like me then, it was terrible -> Smart competition in a shrinking pie. It was a terrible industry to work and compete in.

My point is that if you are at the right place at the right time, you can be less smart and less hardworking and earn more $$$ than someone who is very smart and very hardworking but happens to be in the wrong place at the wrong time. In my case, even though I got along very well with my boss and my boss's boss commented that I am an honest and diligent worker in my appraisal this year (and I got retrenched), I was not promoted all this while despite being well-liked by my superiors. I worked in a business unit in an industry which either did not grow in a "good" year or was shrinking badly in a bad year. How can my boss be promoted if the company does not grow? And how can I be promoted if my boss was not? The whole business unit shut down this round. All my colleagues and me will be retrenched.

Moral of the story: Doesn't matter how hardworking or how smart you are. If you are at the wrong place at the wrong time, failure is very likely.

BlackCat Wrote:Working in IT since 96, I've twice seen my capable colleagues retrenched (both time overseas). And in S'pore, seen the industry become more and more cut throat - to the point of any project you work on you expect it to be losing money. I've had a lot of lucky things in my life, but career choice is not one of them

wsreader Wrote:Sad to hear that even when someone want to create more value to society as an engineer, opportunity was taken away.

touzi Wrote:Sorry to hear that you have been retrenched. I have lost my job twice in the IT industry since the dotcom bubble burst. The first time was under circumstances quite similar to yours -- whole department had to clear our desks. The second time was when the company went belly up and even owed me salary. Quite an experience to see the bailiff notice being put up. The 2 incidents were less than 2 years apart. While it hurts financially, due to my zero gearing I was never in a desperate situation where money is concerned. However emotionally it was difficult as weeks became months. You know you still has much to contribute, the lack of opportunity was frustrating and demoralizing.

My personal opinion is that we should not take corporate hierarchy too seriously. Frankly corporate world is full of sh*t.

It is true that if you are at the wrong place at the wrong time, the outcome could be unpleasant. However being retrenched should not be seen as a failure, especially in your case. Hope you find resume your career soon ( be it another job or starting something on your own ).

yeowiki Wrote:Yes. The time and place is wrong for you now. But, for a diligent and hardworking person like you, it is just a matter of time to find yourself a new niche. Don't be dishearten.

Keep up your fighting spirit!

piggo Wrote:Completely agree with that. Can only stand up, and continue the race... it's experiences like these that makes you a tougher man

Musicwhiz Wrote:First of all, I would like to say I completely agree that Engineers are way under-paid. I've dealt with many engineers in my line of work and feel they are very technically competent and know so much! Compared to me lah - I only know numbers, accounting, addition, subtraction.... Tongue I really respect engineers for knowing everything from civil stuff, structural works, M&E and IT-related. Kudos to all engineers!

On a related note, hyom, sorry to hear of your situation. But perservere and apply for jobs and wish you all the best for your career!

Big Toe Wrote:Hyom, you are exactly right. You cant fight a rising tide.
Many years back, I realized that what I was doing is not sustainable(Contract manufacturing/Mechanical/electronic engineering related).
That's when I figured I needed extra passive income/build an alternative active income.
The goal was quite daunting, to survive w/o a job, it's quite unthinkable at that point in time.

Looking back. I did survive. Business grew and life is better now not working for someone else.

To the folks who are really unhappy where they are now;
Quit. Do something else.

I'll be blunt(not meant to offend anyone) to say that it is a complete waste of time complaining about
bosses and colleagues and how unfair work is, and we hear it all the time. If someone really thinks he/she is worth
more, prove it, talk is cheap.

I worry for my child growing up in an environment where grades are all that matter! What is Singapore coming to?

The Straits Times
Dec 2, 2011
Tuition boom as kids prep for Integrated Programme
Parents feel competition is now keener, and IP schools and JCs will be tougher to get into

By Sandra Davie

BUSINESS is booming for tuition centres that promise to help good students excel in the Primary School Leaving Examination (PSLE).

The reason: More parents want to help their children score 250 aggregate points or more at the PSLE and secure places in secondary schools offering the Integrated Programme (IP).

More are sending their children to tuition centres that charge $100 to $300 for four two-hour lessons a month. Some fork out upwards of $500 a month for tuition in two or three subjects.

One of the most sought-after tuition centres, The Learning Lab, has opened a second branch, while the Mind Stretcher Learning Centre has gone from 15 to 18 branches this year, and will be opening another three. Growan Learning Centre in Marine Parade has 50 pupils on its waiting list.

Several centres conduct entrance tests and examine the children's detailed academic records before placing them in their tuition groups.

The boom has extended to private tutors as well, and parents have been known to offer tutors handsome bonuses if their children succeed in making it to an IP school.

The IP allows secondary school students to bypass the O levels and go straight to the junior college (JC) level. It is offered at several top secondary schools and JCs, with more in line to introduce it over the next two years.

While the PSLE has always been a high-stakes examination for Primary 6 pupils aiming for a top-rated secondary school, parents say the game has changed significantly.

They feel competition is keener, now that entering an IP school secures a six-year ticket all the way to the JC level.

Business development manager Alan Lim, 40, an old boy of Raffles Institution, wants his Primary 5 son to also attend the premier boys' school, which has an IP all the way to the A levels.

His son has topped his level for two years running, but Mr Lim has enrolled him for tuition and motivation camps to ensure he aces the PSLE next year.

He worries that if his son fails to enter RI at Secondary 1, it will be too difficult to get in at the JC level, even if he does well at the O levels at another school.

Learning Lab manager Ling Cheah said the vast majority of parents who send their children to its centres are aiming for places on the IP. 'It is their holy grail,' she said.

Parents give two reasons for their anxiety. First, as more top secondary schools offer the IP, they believe these schools will become more difficult to get into.

Cedar Girls' Secondary and Victoria School, which will offer the IP from next year, take pupils with PSLE scores of at least around 240. Parents expect that minimum to rise because other IP schools have cut-offs above 250.

Most parents who spoke to The Straits Times were also worried about the JCs their children would attend.

With the IP already running in several top JCs, they feel that students who do the O levels elsewhere will find it harder to get in because most of the places would go to the colleges' IP students.

The Ministry of Education (MOE) has given repeated assurances that these JCs are offering just as many places as before to those coming in via the O-level route.

But in the absence of hard numbers from the schools, parents have resorted to doing their own checks, and cite figures to explain why they worry.

Store manager Celia Lim, 38, who has high hopes for her Primary 5 son, said she checked on Hwa Chong Institution and RI: 'Each school has 1,200 Junior College 1 places every year, and only 250 places go to O-level students. Previously, all their 800 to 900 JC 1 places were given out based on O-level results. So, of course I worry.'

She spends $800 a month on tuition for her son. Next year, she expects to spend even more by enrolling him at The Learning Lab.

Responding to parents' concerns, MOE said yesterday that the expansion of the IP to more schools would mean opportunities for more students to benefit from the programme. Schools with the IP now have just over 3,000 places in total. There will be 5,000 places when seven more schools offer it by 2013.

The ministry said: 'Opportunity for students to enter the JCs offering the IP after taking their O levels has not diminished after the IP was introduced, because MOE has expanded the enrolment at the JCs offering the IP, as well as created new JC places for students.'

It was referring to schools such as Anglo-Chinese School (Independent), Dunman High and River Valley High, which now offer JC-level classes. They formerly stopped at Secondary 4.

A spokesman for Hwa Chong said yesterday said students who enter the school after the O levels come from 50 secondary schools across the island.

An RI spokesman said that in terms of A-level performance, those who join at the junior college level perform just as well as those who have been on the IP since Secondary 1.

sandra@sph.com.sg

Wow, nation-building through car-pooling?

TODAY
Try a softer, incentive-driven approach in traffic managementLetter from Philip Kwek 04:45 AM Nov 28, 2011

CAR ownership is both a necessity and a status symbol. Despite the cost, many people aspire to own one, if the wallet permits.

With the car population increasing, roads and car parks are being expanded, for a freer flow of traffic.

Measures such as Electronic Road Pricing and Certificates of Entitlement, introduced to supplement the existing "deterrences" of import duties and road taxes, have only added to government coffers, though, with minimum effect on traffic management.

While car ownership is not discouraged, the use of cars is. The latter contributes to pollution, congestion and economic costs from time lost in traffic jams and rising demand for parking spaces.

While there are no one-glove-fits-all solutions in traffic management, there are some socially acceptable ones.

Ideally, public transport should be as seamless, reliable and punctual as possible. If it is convenient and reasonably priced, many will switch to public transport.

Apart from this, incentives such as ERP discounts should be given for car pooling. I notice that most cars, during congestion, only contain the driver. Car pooling would help and may enhance social interaction, build cohesion among people and, who knows, increase the number of marriages.

Co-ownership of cars between two or more families should also be allowed, without the constraints of co-operative rules and sub-leasing regulations.

As for parking, the cost of full-day parking should be lower at all Mass Rapid Transit stations and bus terminals.

Incidentally, the buildings in our shopping belt (Orchard Road) and business district (Shenton Way) are not all linked, nor are there sheltered walkways. It is not uncommon, in our weather, to drive down the road instead of walking to another building.

The above suggestions are non-exhaustive but it is noticeable that our traffic management has been based on disincentives and are punitive in nature. Why not try a softer, more incentive-driven approach?

It would not only lower the cost of living but also build a happier, more cohesive society.

Hi all

I have recently started a website which will be an archive of my investing journey.

There will be updates on my opinion on general market sentiments, valuation method or just general thoughts on investing. But mainly, I will be including stocks which I have researched on. Will be posting on the site so as to allow others to uncover any blind spots which I might have missed out in my research.

http://thevaluethought.wordpress.com/

Thanks!