$10 million by age 65 sounds out of reach for most Singaporeans. But Mr Loo Cheng Chuan’s latest 10M65 goal isn’t really about hitting eight figures. It’s about the habits, investing principles and long-term thinking that can help Singaporeans build greater retirement security.
When the 1M65 movement first gained attention more than a decade ago, many Singaporeans dismissed the idea of becoming a CPF millionaire by age 65 as unrealistic.
Today, the concept is far more widely accepted. Many followers have demonstrated how disciplined CPF planning, combined with time and compounding, can potentially build significant retirement wealth.
Now, 1M65 founder Mr Loo Cheng Chuan has raised the bar again with a new goal: 10M65.
The Goal Is Meant To Inspire, Not Intimidate
According to Mr Loo, the purpose of setting ambitious financial targets is not that everyone must achieve them.
When 1M65 was first introduced, critics argued that it could not be done. Yet over time, many members of the community eventually reached the milestone. A similar pattern emerged when the 4M65 concept was introduced several years later.
His view is that setting a higher target encourages people to aim further than they otherwise would.
Using the analogy of climbing Mount Everest, not everyone needs to reach the summit. Even reaching base camp or a lower peak can leave someone in a far better position than if they had never started the journey.
In that sense, 10M65 is less about the number itself and more about adopting habits that improve long-term financial outcomes.
CPF Remains The Foundation
Although the strategy is closely associated with CPF, Mr Loo does not view CPF as the only component.
Instead, he sees CPF as the foundation of a broader wealth-building plan. He also highlighted the role of the Supplementary Retirement Scheme (SRS), which he believes remains underutilised by many Singaporeans.
At the core of the approach is the belief that CPF provides a powerful platform for long-term compounding. Rather than viewing CPF purely as a retirement scheme, Mr Loo sees it as a financial safety net that supports other investment activities.
This emphasis on building a strong foundation before taking investment risk remains one of the defining features of the 1M65 philosophy.
Why Building A Safety Net Comes First
Many young investors believe they should take as much risk as possible early in life because time is on their side. However, Mr Loo takes a different view.
Having experienced significant losses during the Asian Financial Crisis, he believes investors without a strong financial foundation may struggle to stay invested during major market downturns.
His approach is to first strengthen CPF balances and build a safety net before pursuing higher-risk investments. The reasoning is partly psychological. Investors who feel financially secure may be less likely to panic during market crashes and more willing to take advantage of opportunities when valuations fall.
In other words, the sequence matters. Building financial resilience first can make it easier to remain disciplined later.
A Layered Approach To Wealth Building
Mr Loo describes his strategy as a “Kueh Lapis” structure, with different layers serving different purposes.
The first layer consists of CPF savings, particularly higher-interest CPF accounts that benefit from long-term compounding. The second layer involves investing surplus Ordinary Account (OA) savings and spare cash into globally diversified index funds.
Only after these foundations are established does he consider taking on additional investment risk.
The key idea is simple: prioritise stability before chasing higher returns. By creating a strong base, investors may be better positioned to weather periods of market volatility.
Housing Decisions Can Have A Bigger Impact Than Many Realise
One of the more controversial aspects of the strategy involves housing.
Mr Loo argues that keeping housing costs manageable can significantly improve long-term wealth accumulation. He believes starting with a subsidised Build-To-Order (BTO) flat allows more CPF savings and cash flow to remain available for retirement planning and investing.
This does not mean private property is necessarily a poor financial decision.
Rather, he frames it as a lifestyle choice and a financial trade-off. Someone who values living in a condominium or landed property may decide that the lifestyle benefits justify the additional cost.
However, he cautions against assuming that upgrading property will automatically lead to better financial outcomes. In some cases, directing large amounts of capital towards housing can reduce the funds available for retirement savings and investments.
Keeping Investing Simple
When it comes to investing, Mr Loo advocates a relatively straightforward approach.
Instead of trying to pick winning stocks, he prefers globally diversified index funds that provide exposure to a broad range of companies and markets. His objective is not to outperform the market but to participate in long-term market growth while reducing company-specific risk.
He also favours investing more aggressively during market downturns. While nobody can consistently predict market movements, he argues that investors can usually recognise when markets are experiencing significant declines.
Having a strong financial foundation can make it easier to take advantage of such opportunities rather than reacting emotionally when markets fall.
Of course, investing always involves risk, and past performance does not guarantee future returns. Diversification can reduce risk, but it cannot eliminate it entirely.
Financial Goals Should Reflect Life Goals
Perhaps the most important message behind 10M65 is that personal finance remains personal.
Mr Loo repeatedly emphasised that individuals should not blindly copy someone else’s strategy. Every household has different priorities, responsibilities and aspirations. For some people, a comfortable retirement may require far less than $10 million. Others may place greater value on housing, travel or other lifestyle goals.
Whether someone reaches 1M65, 4M65 or 10M65, the broader lesson remains the same: start early, harness compounding, build a strong financial foundation and make decisions that align with long-term goals.
Read Also: The Ultimate Guide to CPF: 5 Ways to Optimise & Become a CPF Millionaire (1M65)
