Are you investing in mutual funds already?
If you’re not investing right now, chances are you haven’t read these investing quotes yet?
Mutual funds are one of my favorites simply because everyone can get started investing in it. My 15-year old brother, my client’s two-year old son and our family housekeeper can easily start allocating funds for their financial goals hassle-free!
Why are mutual funds favorable to you? Let me count the ways:
Affordability
– For as little as P5,000, you can start investing in mutual funds. This is the same as opening your own passbook savings account, right?
– If you want to add to your mutual funds regularly, you can do so with a minimum of P1,000.
– For as little as P5,000, you can start investing in mutual funds. This is the same as opening your own passbook savings account, right?
– If you want to add to your mutual funds regularly, you can do so with a minimum of P1,000.
Added Investing Power
– In mutual funds, your resources are pooled together with other investors.
– You can take advantage of “economies of scale” by negotiating for lower stockbrokerage fees or higher interest rates for fixed-income investments.
(Read: Investing in Mutual Funds in the Philippines for Beginners)
– In mutual funds, your resources are pooled together with other investors.
– You can take advantage of “economies of scale” by negotiating for lower stockbrokerage fees or higher interest rates for fixed-income investments.
(Read: Investing in Mutual Funds in the Philippines for Beginners)
Accountability & Safety
– Mutual funds are highly regulated by the Securities and Exchange Commission (SEC) under Investment Company Act and its Implementing Rules and Regulations.
– Mutual fund companies are required to submit regular reports to SEC and to their shareholders like you.
– Mutual funds are highly regulated by the Securities and Exchange Commission (SEC) under Investment Company Act and its Implementing Rules and Regulations.
– Mutual fund companies are required to submit regular reports to SEC and to their shareholders like you.
Assortment (Diversification)
– Mutual funds in the Philippines are designed to spread and manage risks by holding several investment types or companies.
– A mutual fund is required by law to be invested in various securities. 🙂
Why hold only BDO bank shares when you can invest in both BPI and BDO in mutual funds?
Why lend money to only the government when you can lend to both the Republic of the Philippines and to stable Philippine companies at the same time in mutual funds?
– Mutual funds in the Philippines are designed to spread and manage risks by holding several investment types or companies.
– A mutual fund is required by law to be invested in various securities. 🙂
Why hold only BDO bank shares when you can invest in both BPI and BDO in mutual funds?
Why lend money to only the government when you can lend to both the Republic of the Philippines and to stable Philippine companies at the same time in mutual funds?
Adept Fund Management
– For beginners who want to make their money work for them, investing in mutual funds is preferable because full-time fund managers do all the work for you, so you can focus on developing your core skills to potentially increase your cash inflows.
Attractive Long-Term Returns
– In mutual funds, you invest your money for the long-term; you do not trade it recklessly. Opening your own mutual fund account is like starting your own business – you earn money when the companies in your portfolio earn profit or when your borrower pays you back with interest.
If you have P100,000 and you put it in bank products:
– For beginners who want to make their money work for them, investing in mutual funds is preferable because full-time fund managers do all the work for you, so you can focus on developing your core skills to potentially increase your cash inflows.
Attractive Long-Term Returns
– In mutual funds, you invest your money for the long-term; you do not trade it recklessly. Opening your own mutual fund account is like starting your own business – you earn money when the companies in your portfolio earn profit or when your borrower pays you back with interest.
If you have P100,000 and you put it in bank products:
Great, your money grew by 2.47% and 1.95%!
But you know, if you compare it to average annual inflation rate of 3.91%…
You actually lose money because you “gained” negative returns.
But if you put your money in mutual funds, you can potentially beat inflation.
Instead of negative returns, you actually gained positive earnings for your money!
(Read: How do you compute your mutual fund earnings?)
Added Convenience
– You can open your own mutual fund account by approaching SEC-licensed Certified Investment Solicitors (like me) who provide personal service.
No need for long bank lines or meticulous signing of paperwork! You can also invest subsequent investments – online.
For example, in Sun Life’s SunLink online, you can:
- add to your mutual funds investments anytime and anywhere
- withdraw or redeem your investments online; and,
- “switch” your investments from one type to another online;
Adaptability
– Naturally as you grow, so will your financial goals, so of course you need to make sure that your investment strategy is relevant to your current financial status. With mutual funds, you can do interfund transfers. (At Sun Life, you can switch/transfer between funds for 4x free of charge)
How do you get started in investing in mutual funds in the Philippines? Well, a bonus advantage for investing in mutual funds is that if you choose to be with Sun Life, I can personally assist you in opening your own account. 🙂
(Read: How to Open A Mutual Fund Account with Sun Life Philippines – 3 Steps)
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Want to get started managing your money/budgeting/investing? Contact me, your trusted financial advisor, through the following:
Email: liannemarthamlaroya@gmail.com
Twitter: @MsLianneLaroya
Mobile: 0916 737 8741
Email: liannemarthamlaroya@gmail.com
Twitter: @MsLianneLaroya
Mobile: 0916 737 8741
We can even meet personally for a FREE financial planning session! Let me know so we can finalize a schedule that works. No obligation to do anything – except share what you learned with your friends!
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Thank you, wonderful people!
Live wisely,
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