She Bought Her First House With Casino Tips

Source : The Sunday Times, Dec 30, 2007

From the age of 16, fitness firm CEO realised real estate was where the money was, and has stuck with it since

AT THE age of 30, Shanghai-born Annie Sun was already the owner of a string of properties in Melbourne, where she had been a student.

BORN IN SHANGHAI, EDUCATED IN MELBOURNE, the jetsetting Ms Sun still recalls the heady times she spent as a spa manager at the Crown Casino, where high rollers and big tips were the order of the day. -- ST PHOTO: AZIZ HUSSIN

Her belief that real estate investments offered good returns over time sprang from her observation as a student that many rich people had made their money from property.

The lesson stuck. Now, the chief executive (CEO) of fitness and wellness firm Dynaforce - which distributes high-end gym equipment - has 80 per cent of her investments in property.

In a recent interview with The Sunday Times, Ms Sun, 38, recalled how, even at 16, she had wanted to own property.

'Even then, I decided I needed to be smart and invest well, instead of relying on a monthly salary. I figured I could make more money from investing and collecting properties,' she said.

Armed with a degree in hospitality and health sciences, Ms Sun hobnobbed with international celebrities and high rollers during her stint at Melbourne's Crown Casino complex, where she managed the spa and fitness club. She worked in Hong Kong and Shanghai before coming to Singapore.

She never imagined that she would be a high-flying CEO herself one day, but the opportunity presented itself when there was a mass resignation at the Dynaforce Singapore office two years ago.

As a result of the 2006 crisis, the company's chairman promoted her and put her in charge. She had become a design and spa consultant at one of Dynaforce's units in 2004.

This year, the company generated a turnover of $15 million for the period to Oct 31. It manages 11 gyms in Singapore and has helped conceptualise the gyms in St Regis Residences and at various hotels including the Ritz-Carlton, Mandarin Oriental, Fullerton, Shangri-La and Hyatt.

Ms Sun, who is single, works out in the office gym three times a week and practises power yoga once a week.

Q What are your money habits?

A I save two-thirds of what I earn. Although I enjoy the finer things in life, I have learnt to moderate my needs these days, so I spend much less than when I was younger. I don't carry much cash around, maybe $300 at a time, so I rely on credit cards. Since I eat out most days, I think hotel cards are a great invention.

During my Crown Casino days, money came easily. The high rollers gave generous tips when they came to the spa. I quickly saved up enough money to buy my first house by the sea in Melbourne.

Those were heady days. There was no financial planning. It was almost a given that if I showed up for work, there would be big tips and money coming in.

Q What financial planning have you done?

A I'm not a risk taker. Currently, about 80 per cent of my investments are in property and the balance is in a stock portfolio managed out of Melbourne. It is invested mainly in the Australian stock market and includes telecoms shares. I seldom monitor it.

I know I need to be more proactive in my financial planning, but I have been too busy to think about it. My bankers have been hounding me and I think next year will be a good time to sit down with them to work out a better plan. That will be my New Year resolution.

Q What about insurance planning?

A I have an investment-linked plan with AMP back in Australia. I'm insured for about $1 million. Apart from that, I have medical and travel insurance. My annual premiums top A$5,000 (S$6,340).

Q What are your property investments?

A At present, I have four properties, three in Melbourne and one in Singapore. One of my Melbourne properties is being rented out. This is a one-bedroom apartment in the prestigious St Kilda residential area. I bought it for A$380,000 in the late 1990s, for tax planning purposes.

Q Moneywise, what were your growing-up years like?

A I was never short of money. I always got what I wanted as I was the only child. My father's family owned a textile factory in Shanghai. My mother came from a wealthy family. When money is handed to you easily, you don't see its value.

My perception of money changed when I was alone in Australia before my family migrated there. I learnt how to live independently and had to take financial responsibility for myself. I learnt to budget and worked as a part-time waitress.

The experience taught me to believe in hard work. It is through making my own money that I enjoy real financial freedom.

Q What has been a bad investment?

A At Crown Casino, I saved up so much money that I was itching to try something new. The entrepreneur in me kept trying to emerge. The opportunity came when a relative in Shanghai asked me to join him in setting up a wine bar and fusion restaurant along the Shanghai Bund.

It was 1999 and Shanghai was starting to boom big time, so I thought the timing was perfect. I packed my bags and sold my beach house in Melbourne and moved to Shanghai. I bought that two-storey beach house in 1994 for A$300,000 and sold it for almost A$800,000.

After six months of fighting red tape and being cheated by my main contractor, who was also a distant relative, I threw in the towel and returned to Melbourne - A$400,000 poorer but much wiser. I learnt not to trust people easily and to read the circumstances and the business environment much better.

Q Your best investment to date?

A My best investment came when I was invited to become a shareholder in Dynaforce. It is an investment that I can take active control of to produce results for my team and myself. I have a 30 per cent shareholding currently and there are plans to list Dynaforce at a later stage.

Another good investment was my first apartment in Singapore, at 8 @ Mount Sophia, which I bought for $800,000 in 2004 and sold for $1.5 million this year. It is 1,100 sq ft in size.

Q What retirement plans do you have?

A I want to retire within 10 years, with $50 million in hand, so I can do more charity work and learn other things that I did not have the time or the opportunity to do before. I would be interested in charities that involve children and might even set up one if I can't find a suitable one to contribute my resources to.

I plan to spend time in Melbourne, Singapore, Thailand, Bali and Shanghai.

Q And your home now is... ?

A I invested the profits from the sale of my apartment this year into a 1,400 sq ft, 99-year leasehold apartment, also around Mt Sophia. It cost $1 million.

Q And your car is... ?

A A dark-grey Porsche Boxster.


More value for money

'I decided I needed to be smart and invest well, instead of relying on a monthly salary. I figured I could make more money from investing and collecting properties.'

MS SUN, on how she decided back in her student days to build her fortune


High returns secured

'A good investment was my first apartment in Singapore, at 8 @ Mount Sophia, which I bought for $800,000 in 2004 and sold for $1.5 million this year. It is 1,100 sq ft in size.'

MS SUN, listing just one of the properties she has made big bucks on