How to become a Millionaire in the Philippines in 5 Years

How to become a Millionaire in the Philippines in 5 Years? Can a Taho vendor become a millionaire in just saving P2000 periodically? Can a regular employee who earns 10,000 to 15,000 a month become a millionaire in 10 years? Can you earn 5 million pesos in 5 years? The answer to each question is YES. Take note networking and is not involved on this. I’m gonna share about becoming a millionaire here by investing in stocks using the Peso-Cost-Averaging method. There are other ways to earn millions but I’m NOT gonna talk about the ‘others’ here.

How to become a millionaire in the stock market?

Why invest in stocks?

Yes, invest not trade. There’s a difference between the two. I’m talking about investing in stocks for a long term here. Like 10 years or more. Trade is buying and selling stocks in a day or few. Investing involves long term. If you will be investing in stocks every month for let’s say 10 years, you’ll surely accumulate millions of pesos because your fund will grow through capital appreciation and dividends.

Time is Money

To understand it better, imagine you have an apple seed and you will plant it now. After many years, the seed will become a tree and will bear fruits. It will extend more branches and bear more fruits year by year. Soon you can have thousand of apple trees. Imagine the profit you have earned after few years. Time is money.

time is money

To understand it more, speaking of Apple, do you know the traded stock price per share of Apple before iphone came along on June 2007? It was trading around $200. In March 2013 it was trading around $444 and it was even trading around $700 at some point in September 2012. If you had hundreds of share and you do the math, you gained so much.

This kid has an ipad and wants some more....
This kid has an ipad and wants some more….

To get it even better, for example you became one of the major stockholders of Jollibee and owns now 10% of capital and Jollibee was worth 2 billion that time. After 10 years, it expanded globally and now worth 20 billion. Hey, remember you own 10%?  That’s 2 billion now. That’s just an example. See the stock chart of JFC (Jollibee Foods Corporation) below

stock chart jollibee

JFC Stock Chart (5 Years) taken from Bloomberg

Ok, I’m just trying to make a point there. Time is the most precious asset and choosing the right company to invest with is so important to earn profit in the future. Don’t just invest, be part of a huge company which will obviously be here after 10 years or more.

Another example why time is money:

sss gsis retirement

Why do we contribute to the SSS or GSIS every month? Simply because to have a generous retirement fund in the future. The more years of contributions, the more our pension would accumulate. It’s kinda same thing with investment earnings through compound interest. As Einstein said,

Compound interest is the greatest mathematical discovery of all time.”

In pension, age is a big factor because your pension will be computed based on your CYS (creditable year of service) and some other factors like monthly salary or contributions.

So time value of money makes sense there right? The earlier you started investing, the more you will receive in the future. If you still can’t understand it, I suggest have a short break and indulge with Jollibee hot-fudge sundae. It makes my brain work well…perhaps it could do the same somehow. Besides, I have stocks at Jollibee (smiles).

Why Peso-Cost-Averaging?

  • Because you don’t have to monitor the market constantly and you’re not an expert
  • Because it’s not too risky
  • Because reality is – trading in the stock market is dangerous. One day, economic growth could be amazing; the other day there could be crisis. In order to avoid losing your money and risking it, choose investing in stocks by using the Money-Cost-Averaging method. We call it peso-cost-averaging here since peso is our currency.

Peso-Cost-Averaging method involves investing a fixed amount of money at regular intervals over a long period of time. Example, you set aside a portion of your income, let’s say P5000 every month in a period of 10 years. You use that P5000 to buy stocks from a certain company that you believe will still be performing well after so many years. Companies like:

  • Ayala Land, Inc.
  • SM Prime Holdings, Inc.
  • Jollibee
  • PLDT (TEL)
  • BDO

and many more. Choosing the right company is so important. Make sure you practice buying your stocks regularly from the chosen company regardless of the stock price. Choosing the right company will give you high returns in the future.

peso cost averaging method stock market

This graph demonstrates how peso cost averaging works. Whatever the status of the economy, whether stocks price are high or low, buy still and keep practicing the PCA, you will profit anyway.

2 Ways to Invest in Stocks using the Peso-cost-averaging Method

  • Via online broker

Nowadays, we don’t have to call someone to invest or buy stocks from companies participating at the Philippine Stock Exchange. We can do everything online. Just choose your Online Broker and open an account with them. It’s so easy and much convenient. See the accredited online brokers in this page. BPI Trade and COL Financial are one of the well known online brokers. Personally, I follow the stocks from DailyPik coz I find them so effective and profitable. You can also choose brokers’ Easy Investment Programs that use Peso Cost Averaging or if you want, just open an account and practice the method yourself.

  • Via UITF Equity Fund or Mutual Fund in Equity

Some banks like BDO offer Easy Investment Plan through UITF Equity Fund. That kind of UITF involves stocks. With this route, your investment is handled by a fund manager which monitors everything. They are experts and professional fund manager meaning they are already familiar with the economy and the market.  They have their smart strategies for good results. Holding companies are also very good. You can always see your Equity Fund Performance Report every quarter anytime.

Mutual Fund in Equity is also another way to invest in stocks as it also focus on stocks. Know more how to invest in mutual funds in the Philippines.

Now answering the questions one by one:

Can a Taho vendor become a millionaire in just saving P2000?

taho vendor millionaire

Let’s say a Taho seller earns P300 a day and he works 26 days a month. That will give him 7,800 a month. And he may have a family to feed and support so let’s say he could just save 2,000 a month. If he could invest his 6,000 every 3 months regularly for 20 years, our Taho seller can surely have approximately 5 million or less. Since some online brokers require minimum of 5,000, he could just invest 6,000 in the stock market every 3 months and practice that up to 20 years. So the answer is YES. If you don’t believe me, you better read Bo Sanchez and learn the ways how her maids invest in the stock market.

Can a regular employee who earns 10,000 to 15,000 a month become a millionaire in 10 years?

Let’s say your salary ranges from 10,000 to 15,000 a month. You less your expenses, maybe 5,000 will remain. If you are a shopaholic, please stop reading this. If you love buying the latest gadgets and just earn this salary range, please forget about this. If you are not really serious in saving money and are not disciplined enough, just try something else.

Literally, 5,000 a month for 10 years would give you 600,000 if you save them on hand. If you save them in a bank, they would earn interest but that is not much. If you want to earn millions out of it, invest your 5000 a month in the stock market. If the Taho vendor earned less than 5 million from his investment, what more you? 🙂 So the answer is YES. Take note, time is money. If you want to earn more millions, extend your target period from 10 years to 15 years or more. How to become a millionaire starts with your mindset.

how to become a millionaire in the philippines in 5 years

Can you earn 5 million pesos in 5 years?

I assume now you know the concept of this thread. I assume you are not a Taho vendor and you are earning more or double or triple of those salary ranges discussed before. Maybe you are an OFW so your salary when converted to pesos will amount to hundred of thousand every month. 5 million pesos in 5 years is so possible for you then.

If you will still try the PCA method 40,000 every month for 5 years could give you close amount to 5 million. But then again, I expect you are earning more than the average bracket mentioned before so hey, I’m sure you know other channels on how to get your millions in just a short time – not just thru stocks but also thru business, interest income, trust funds and other vehicles.

investment stocks computation sample

Assuming the examples above grow by 10% per year. This is only an example.

How to become a millionaire in the Philippines in one year?

How to become a millionaire in one year? That question is easy for you to answer now.

Conclusions:

  • The earlier you invest, the more money you will earn in the long run
  • Time is gold and time is money.
  • The key to Peso Cost Averaging technique is choosing the right company where you will buy stocks, choosing to invest long term and following your chosen time and amount to invest regularly.

Remember, money is not everything. There are far more important things than money – love, friendship, health and faith in God. Have all of them and you would be happy a billion ways.” – Fehl

Want to start investing in the stock market? Go to our Stock Market Tutorials and Complete Guide page.

About Fehl Dungo

Licensed Career Service Professional, trusted Fund Manager, Founder of Philpad and published author of poetry book at Barnes&Noble.

386 thoughts on “How to become a Millionaire in the Philippines in 5 Years”

  1. hello good morning. May tanong lang po ako, what if nag invest ako ng 5000/month then after 3 months eh hindi na ako makainvest dahil natangal nako sa work anu pong mangyayari?

    Reply
    • Hi, Jon 🙂 The present value of your investment will be equal to the present value of stock (total shares X the price of the stock)

      Reply
  2. Hello Ms Fehl,

    I guess I found the initial answers to my first question to you. Ok lets say I am a taho vendor making 500 peso/day thats 15,000/month now I want to invest my 5000 peso in a stocks market. So my question now to you do you know any online broker that has a long term portfolio and a good track record of companies in the Phil stock market that I can sign up in order for me to invest my 5k/month that will give me lets say atleast 7% or more return/year? I hope we can chat in the future i am really interested to learn how to invest in the PSE in long term.

    Thanks.

    Reply
    • hi Fehl,

      I came accross your website and it’s so informative! I started investing just last year using PCA. I hold 3 stocks, MEG, ALI and SMPH investing qrtrly for Php15k. I have a question hope you can shed light. I am wanting to sell MEG so I can only focus and have more budget with just the other two. Do you think it’s a good idea po? Salamat.

      Michael

      Reply
      • Hi, Michael 🙂 Congrats with your investment! Yes, you can sell your MEG shares and realize the profit already, then buy other blue chip stocks. You can rinse and repeat the strategy as long as you choose the “best” companies that always grow over time. God bless!

        Reply
      • Salamat sa reply. I’m just thinking not to add any more stocks as I have MF as well (xpeif).. But with only 2 stocks will I get the benefit of the PCA in the long run or is it preferred to have more than 2?

        Reply
  3. For US based OFWs, residents or even citizens, there is one best way to invest your hard-earned money, and that is through putting it to an indexed universal life insurance that covers not only your life but all unprecedented life events such as accident, chronic and terminal illnesses. At age 60, if everything is good (you have not used the money in any of the mentioned events) then you have the option to convert the policy into a lifetime income based on the accumulated cash value.

    Reply
    • Hi Jill, How can we chat? I will disagree to this.. that is really a bad/wrong way to invest your money if you are in the US.

      Reply
  4. i’m from davao city, i want to invest my money..my question is how and where to address this transaction here in davao city. Please help me.

    Reply
  5. When you invest or trade in the stockmarket, invest only monies you can afford to lose! You will have losses in the stockmarket no matter how good a stock picker you are. I suggest saving a sum you can comfortably risk in the stockmarket. Peso cost averaging is actually a bad idea because stocks can go down for a long period of time and even go bankrupt. You do not add monies to a losing position. A better strategy is buying stocks establishing new highs and trading it and putting stop losses on that stock. I think you do not have the stop loss feature in the Philippine Stockmarket so, you have to use a mental stop or write it down in a piece of paper and stick it to your computer. It is the price you will sell your stock if it is hit. Buy high and sell higher! It is called trend following here in the US and I believe can be used profitably in the Philippine Stock Market as well! You only buy stocks going up and establishing new highs! Hedge funds with billions make a lot of monies doing the same thing here in the US. For the record, I trade stocks and options in the US stockmarket. I learned on my own and made a lot of mistakes. Learn how to trade stocks and I believe you will be better for it!

    Reply
  6. Good day po..tanong lang…let say bumili ako shares ko sa stock sa araw ng execution date..then kinabukasan sell ko din agad..entitled din po ba ako sa dividend?thanks po..

    Reply
    • Nope..i have that experienced before. Not owning the stock on declaration will not earn you dividend. Its a basic one.

      Reply
  7. Thank you so much for this informative post!
    I have a question. I have 2 years left of college and I want to have at least 500k waiting for me after I graduate. I’m investing long term. How much should I invest monthly? Thank you so much!

    Reply
    • Hi, Thierry.

      Following are the required monthly investment amounts depending on the projected rate of return per year over the next two years:

      @ 10% return per year – P18,750 monthly
      @ 7% return per year – P19,357 monthly
      @ 5% return per year – P19,770 monthly
      @ 3% return per year – P20,190 monthly
      @ 0% (just keep it at home) – P20,833 monthly

      You may have noticed that the differences are not that big. It’s because 2 years is too short. If you are investing for the long term, you should be looking at at least 5 years.

      Thanks.

      Reply
      • Hi Thierry,

        I have few question that i need to be certain.

        Let say, i have 2,000,000 and i want to invest in maybe for 2 years but i want to withdraw the interest every month. What should i do and what investment would you advice for my needs and how much a maximum interest can i get.

        Thank you.

        Reply
        • Hi, you may invest on Retail Treasury Bonds, fixed income will be given to you every quarter. The longer the maturity, the higher the rates

          Reply
  8. That is sound advice…BUT the problem with this hypothetical investment plan is that mutual funds dont earn 10% or more anymore. Back in the 80’s yeah, but now? It’s really more like 1 or 2% if you’re lucky.

    I’ve been invested in different mutual funds for the past 3 years and so far I’ve averaged 0.65% return on my investments.

    So No, you cant be a millionaire with initial investments of P5,000 per month. Besides, who saves P5,000 pe month these days?

    Reply
    • I have to say the Golden Era for Equities has passed already but that doesn’t mean it won’t happen again. The concepts above can still work but we should not have big expectations

      Reply
    • Investing in Stocks and Bonds would be an alternative from Mutual Funds. If you want to know more on how AXA does its Investment Portfolios, Feel free to message me

      Reply
      • Magkano ang percentage of ROI ng AXA at papaano mag-avail? I heard and see AXA like life insurance. i don’t know meron po pala na investment sa stock market at bonds.

        Reply
    • Ive found that investing directly on stocks using online brokerage has more chance of growth than leaving it in a mutual fund though it is riskier. I have just been investing for 9 months thru BPITrade directly to the PSE and my portfolio has already gained by 20%. Do your own research and learn tips from the experts. Financial knowledge/experience can minimize the risks.

      Reply
    • 10% annualized return is still possible. Back in May 2016 the 3-year return of many stock mutual funds were in negative territory. A lucky few managed a measly 0.7%-1.5%. However, as of August 1, 2016, the 3-year returns of the best performing stock funds have gone up to more than 6% per year. And if you look at the 5-year annualized return of the top three stock funds, the rate is 11%-12% per year.

      So yes, 10% annualized is still very much possible. Hold your investment long enough and you will realize better returns. Three years, to me, is somewhat short.

      Thanks.

      Reply
    • There are different types of mutual fund i guess you are investing in bonds or government securities kind of mutual fund which offering low risk…

      Reply
  9. Good morning ms Fhel,

    ganda nmn ng page mo nakakainspire at parang gusto ko na agad maginvest, isa po akong OFW pabakasyon po ako ng October 2016 balak ko po mag open ng account sa BDO at invest pwede po ba na mag laan ako ng isang bagsakan na 100k and leave it there for 3years (alin po maganda kuning investment na mas malaki ang kita yung Mutual Fund or UITF) i need your advise madam para po mas malinawan ako sa papasukin ko na investment.

    Maraming salamat po at nawa ay palawigin pa ng Panginoong Dios ang buhay nyo na nagbibigay pag-asa sa mga taong naghahanap ng mapaglalaanan ng kanilang pinaghirapan na di masayang kundi ay lumago.

    Reply
  10. hi ms.fehl, been reading your blog for the past few days snd nksksinspire talaga..though my mga paghihinayang ako that i did not start early..can i clarify if i use the PCA for 10yrs buying stocks without selling it would there be a problem selling it coz sobrang laki na? hope mclarify nyo po..thanks and Godbless

    Reply
    • Hi. Thank you. I don’t see a problem selling, check out the daily transaction at your broker’s platform to have idea how big do you want

      Reply
  11. Hi po! bago lng po aq at Gsto ko po sana magregister sa COL Financial, ung 5k/month ung longterm PCA.tanong ko lng po,every month po b ako bibili ng shares s
    napili ko pong company katulad ng JFC??? at gaano po katagal ang long term investment??pg tumagal po ako ng 10years kilangan ko po ba ibenta ung shares ko para makuha ko ung ininvest ko lahat lahat??? salamat po ms. fehl matulungan nyo po sna ako about d2.

    Reply
    • You can schedule the 5k monthly in Col Financial. You will just look on how to do it using the Col Financial website. But be sure that you can put 5k monthly in col financial. I usually do it using my BPI account where in I schedule 5k to be transfer monthly from my BPI account going to Col Financial. Try iy.

      Reply
  12. Hi Good day.! Ms fehl Ask ko lng po f pwde po ba 2 or 3 compnay na nsa blue chips stock ayun nag pag iinvesan ko for 10 to 20 years tnx..!

    Reply
  13. Hi fehl what happens to my earnings in stock market will this be rolled over every month to buy more shares for the same stock investment? Or can i use my earnings to buy other stocks to diversify my investment? Thanks

    Reply
    • Hi. It’s up to you how will you gonna spend it but I recommend buying other quality stocks that are cheap at present and selling them when they reached your Target. Keep the money rolling

      Reply
        • Every investor has his own choice of target kasi iba iba tayo ng risk profile and objective so iba iba din ang Target. Your Target can be:

          Target Price (of the stock)
          Target Profit (% gains)
          Target Term (years)

          Reply
  14. Hi fehl… i am interested to enter this kind of business under peso cost averaging investment.. may i know how much starting capital in its share? to whom i approach to make my plans possible..

    Reply
    • Hi. You must decide what investment suits you. Is it mutual fund, stocks, or UITF. Then invest monthly or periodically and aim to do it for long term

      Reply
  15. Hi Ms Fehl,

    I am an aspiring young professional with mind in business, and heart in passion and arts. I am honestly enlightened by your financial techniques and guides, cheers.

    I just wanted to ask something, I’m 21 years old and just got my first job, I am seriously considering doing the col starter investment plan, but as you have mentioned, investing on stocks is for long term. What if I wanted to get gain something within the span of less than 3 years, are there other alternatives?

    I mean, I want to build my wealth for the future; but is it also possible to have an alternative, that while I’m investing for long term, I also have something that I could get gains within a year or 2, and maybe use the profit there for establishing an alternative form of income aside from employment?

    I am also scared because if my long term investment is going to consume 5000 a month, and then I am also investing on a short term basis, I am doubtful that there’ll be anything left for my fixed expenses.

    Hope to hear from you soonest,

    God bless and more power.

    Regards,
    Joshua

    Reply
    • Hi. Yes, Equity Funds from Mutual Funds and UITF are also suitable for 3 years. You’ll likely see income already for that period. They maybe risky but they are professionally managed by investment experts. Invest regularly and you can redeem in 3 years or so, or any time you plan to. The longer, the better

      Reply
    • My father and lolo were business men, shop keepers in USA. Middle class. Six children. I leaned 3 things that have turned out to be true. I am now 67, little time left for me.
      1) NEVER use your HOME as collateral…NEVER!
      2) Figure out, to the Peso, how much money you will need to open your shop, then double it. It has worked out EXACTLY for me seven times in my life.
      3) You will never get rich until you have lost it ALL, 3 times. It is in the losing that you learn you best lessons, and never make them again. The good times are the SMALL REWARDS, for the LOSING you went though to make you who you are TODAY>..never belittle your lose, they are you BEST TEACHERS.
      In the PSE, five years ago, I started out with 350,000 P…I know have 125,000P. ARE MY LESSONS LEARNED? I feel I have GROWN, but lessons MUST BE APPLED, REMEMBERED.
      Maybe you will have 5 million in 50 years, but what it the VALUE of that money in 50 years. MY mother was forced to sell out family home 40 years ago…for $20,000…a good price. I just saw our same home on the market for $450,000. It will now take me 20X the money to buy the same house as I grew up in…My mom had a teachers job, starting 4800 US year…40 yrs ago…it now pays $50,000 starting pay…same job. So when you go for million in 50 years, YES, you can, and you WILL if you work hard at it…but…WHAT IS THE VALUE OF THAT 5 MILLIION in 50 years?. Maybe you got NOWHERE. THINK ABOUT IT. the VALUE of your money is SHRINKING in VALUE each year by inflation…the IMF world wide money people tell us that the US DOLLAR has lost 97% of its VALUE, BUYING POWER, since 1930..what was ONE DOLLAR 86 years ago. Now buys 3 cents worth of product.
      THE RICH GET RICHER, the POOR GET MORE POOR. In the past 8 years, in the US, the largest money shift has taken place…30% of the wealth of the nation has moved into the RICH PEOPLES HANDS, and left 30% less for the common citizen. Now, 1% of the people in USA hold 60% of all the money…more Millionaires have been made in the past five years than any time in history…yet, 5 as many people have become POOR.
      The Catholic Church of Manila is now the richest Catholic Church on earth. If it were a nation, it would be the 17th largest valued country in the world. They did not get that away by GIVING the money away. IN Yolanda…the Manila Catholic Church GAVE NOT A SINGLE CENTAVO to Yolanda victims. Very much against the teaching of Jesus Christ…who tells us that what you GIVE, you get returned to you 10X…what you TAKE, you lose 10X over time.
      As President Nixon used to say years ago…’get em by the Balls and their heads and hearts will follow.
      WHO DO YOU WANT TO BE?
      Poverty, IS NOT ABOUT MONEY>
      Tithing is NOT ABOUT MONEY…10% of what GOD HAS GIVEN YOU, is to be GIVEN BACK TO COMMUNITY…God has Given you TIME>

      Reply
      • Very well said and thank you for sharing. If only people spend more time having conversation with people like you, I think life would be better. God bless!

        Reply
  16. nakalock in ang pera ko ng 5 years? pano kung 6 months lang ang gusto ko for now???? may chance ba na lumago ang pera ko? pano -kini-claim ang perang lumago?

    so pano yun, 5k every month ako maghuhulog? tama ba?

    Reply
  17. Hi Ms.Fehl,

    I’m a beginner po in investments and still studying its foundation. Would you advised to invest in UITF,MF and to buy stocks freely ng sabay sabay? Thanks po and God bless you more. Dame nyo po naeenlighten sa blogs nyo, especially to those who are willing to learn. 🙂

    Reply
    • Hi, thanks for visiting. I advise to start with either MF or UITF then study about stocks. If you’re ready then invest in the PSE. You can also follow our guides at dailypik.com. We share about tips in investing stocks and MF there

      Reply
  18. I just turned 20 last March and I’m already working. I’m into our family business. Aside from our business, I really wanted to invest into other business. I want to try the PCA method and would like to invest sa JFC. Can you help me?

    Reply
  19. Hello madam. I have here a series of questions 🙂
    1. If I’d do the PCA, is it advisable that I buy twice the usual number on September to October to take advantage of the market. I plan to invest monthly. Or should I just stick the same amount so that it won’t disrupt the routine?

    2. For example, I’d do the EIP for for a company for 3 years then I’m happy with my stocks, then can I stop buying and hold them “forever” or no? Situation: The stocks are playing well.

    3. Is it hard to withdraw money from Colfinancial?

    4. Which is better fund manager or broker?

    5. Are equity funds encouraged for starters?

    6. Suggestions for short term financial plans.( 6 mos-1 yr)

    Thank you.

    Reply
    • 1. It’s still your decision. Your profit will still average. You can take that opportunity to buy more shares since the prices of stocks are lower.
      2. Yes, you can hold them and keep them until you want to keep them
      3. It’s very easy in my experience
      4. Fund managers are different from brokers. Fund managers manage the fund so that they will perform well. Brokers get clients or investors.
      5. Equity Funds are encouraged for all investors who understand and can take bigger risks
      6. Money Market, Bond Funds, Balanced Funds

      Reply
  20. Hello.I’m still a student and I plan invest in stocks. However, I’d just like to know if investing in stocks would also mean that I should pay taxes annually? I am of legal age atm. Also, I’d like to know which one is better, Colfinancial or BPI? Thank you

    Reply
    • Hi. If you’re into stocks listed in the PSE, taxes are handled and reported by the stockbroker already thus they require TIN when opening an account. I can only comment on COL as I’m using it. It’s been excellent and I like their research and updates. BPI is also great according to users.

      Reply
  21. Hi Madame Fehl,

    I am an OFW working here in QATAR and I am not growing any younger. I have read your advises about investing on PCA and I am very much interested. Please advise me on some points as follows;
    1. If I want to invest for a long term of 5 years and on the end I want to earn 5 million pesos, which company would you recommend and how much amount would I use to buy every month to reach my target;
    2. Suppose I have already chosen the company(the one you will recommend), Is it advisable to get one single stock for the whole 5 years or I could buy different stocks under the PCA to reach my target; and lastly
    3. Could my monthly be variable, I mean instead of a steady P5,000 per month or P10,000 per month, It could vary depending on the availability of funds. Maybe P10,000 for the first month, P5,000 for the second month and so forth.

    Thank you in advance for your great advise. God blessed you to be a great blessing to others.
    Have a nice day.
    3.

    Reply
    • Hi. Thanks for visiting. 1. There are many good companies to invest with but the decision will still be from you, as how much do you believe in that company. Supposed the value of the stocks grows around 15% per year, you need to invest 60,000 every month to make more than 5 million in 5 years. Of course that is a very conservative approach.
      2. Like I said, the final decision and strategy will be on you because you are the investor. Yes, you can invest on different stocks your choice 🙂
      3. Yes, you can do that in the stock market. God bless! 🙂

      Reply
  22. hi Fehl, stocks prices are very high nowadays (psei at all time high?) do you have idea if there’s a correction coming? from your experience do prices go down or up during election year… i’m waiting for prices to go down before buying… is this a good idea? thanks a lot!

    Reply
    • Hi, PSEI is going down these days so prices are lower. Market forecasts say it won’t move up faster anytime soon. It’s because of market correction and high interest rates

      Reply
  23. Hi Fehl,
    If I invest say in Jollibee or Ayala Land through PCA 30K per month just for one year (360-400k total investment), how much return do you think I will gain? I know its not long-term, I am just trying to save for my masters degree.
    Thanks

    Reply
    • It depends upon the performance of each company. No one really knows but estimated 1-year return for ALI is around 28% while JFC around 30% looking at Bloomberg right now

      Reply
  24. Hi Fehl,

    Salamat at unti-unti ko na din naiintindihan ang concept ng investment. Pero ang diko na lang naiintindihan ay kung paano related ang sinasabing compounding interest ng investment sa PSE? Karaniwan kasi ibinibigay sa mga examples ang rate of return compounded annually, meron bang ganoong concept sa stock?

    Thus, I only learned investment dealing with the appreciation of stocks and dividends and yet no compounding interest being mentioned here.

    Thanks in advance.

    Reply
    • Compound interest is a very broad subject and you must not base your stocks on it. I only mentioned it as an example how it relates to time value of money and how something appreciates in value over time. Stocks in the stock market are very unpredictable.

      Reply
      • Ma’am Fehl, i also have read about compounding and simple interest upon investing in the stock market but there is no further explanation on how to get profit on this. If my investment will earn interest, either simple or compounding, how often it will be? tnx

        Reply
  25. Can you blog about variable life insurance as an investment? I invest in stocks and variable life insurance and I have got good returns in 2 years. A lot of people don’t seem to know that it is also investing in government bonds, Philippine stocks and managed by professionals. Thanks.

    Reply
  26. Hi Ms Fehl, I am confused about how compounding works in instruments like stocks. And is it true that compounding does not work in UITFs? Please enlighten me. Thanks.

    Reply
    • Compounding is a very broad term and it will only confuse you if you base profit of UITF to it. UITF profit is based from the UITF performance. There is no specific percentage of compounding rather your gains will be based from NAVPU which is of course based from the performance of the fund

      Reply
  27. Hi Ms Fehl! I have read on some other blogs that UITFs unlike stocks don’t have compounding interest. Is that really true? And some says the compounding in UITFs does happen yet it is “within”. I can’t recall the exact phrases. I am now confused. Can you enlighten me?

    Reply
  28. Hi! I’m so interested and desperate now in investing stocks. Actually, i’ve been searching for articles about stock investments to gain more knowledge and, of course, to earn profit. But the thing is, I’m only 18 years old, will i fit with this kind of business? i have no stock market experience yet, but im eager to involve in any transactions about stock market, especially for good investments. any thoughts? what should i do first?

    Reply
    • Hi. Yes, you can start investing stocks now. You’re 18 and you have so much time to earn more than those who didn’t do it earlier 🙂 Read all our guides at the STOCKS tab to how to start. God bless!

      Reply
  29. Hi fehl!

    I’ve been reading your articles and I’m very interested in investing. . However, I would like to know more about investing before jumping into it. . Do you have an in depth article about PCA? If I will chose COL as my online broker, what are the requirements needed to start? What kind of documents do I need to prepare?

    Thank you so much for giving us a lot of value through your articles. . I love them so much. . I read one article per day. . 🙂 Take care always and God Bless you. .

    P.S.
    Have you read about intelligent investor by Benjamin Graham? It’s the same book that warren buffet studied for many years. .
    rose:)

    Reply
    • Hi, yes we shared PCA and COL requirements in opening an account and easy guides on our STOCKS page. You can go there by going to our STOCKS menu. Thank you and God bless. 🙂

      Reply
  30. i dont know how to invest when to start but i’m very saving man when it comes in money. sorry for me ucpb shares can’t claim coz dont have insurance person who holds stockholders.

    Reply
  31. Hi Ms Fehl. Way back 2013 may natanggap na check (actually 2nd check na nya ito) ang mother-in-law ko galing sa PLDT. Pinagtatawanan pa nga namin at binibiro ang mil ko na share holder cia ng PLDT. Wla naman dw kc cia matandaan na nag-invest cia dito.

    My question is pwde pa kaya namin malaman if active pa ang share nya sa PLDT? Pano kaya namin malalaman kung cno ung broker na may hawak ng acct nya? TIA

    Reply
  32. Some of your information regarding Apple stock is incorrect. After checking NASDAQ, Apple share prices never even breached $120 at their highest close in Nov 2014. In March 2013, the highest close was $69.

    Reply
    • Yes, because those were the prices of Apple stocks when I wrote this post. I didn’t put the exact figure but I mentioned “around”. I remember it went around 700 on Sept. 2012

      Reply
  33. Hi Fehl! Thank you for your very informative blog. I invested in Security Bank’s UITF Equity Funds. I heard that Security Bank was the best performing bank on Peso Equity UITF funds last 2014. However, i haven’t noticed anyone commenting about Security Bank. Have you heard about this bank’s performance? I am aware that these kinds of funds are not covered by PDIC.

    Reply
    • Yes, there are comments about Security Bank’s UITF from our Mutual Funds posts here. 🙂 We post the best MF every year in Philpad. Check out the latest for 2015, it’s also posted already

      Reply
  34. good article, i’ve been investing in stocks since 2005 (when i was 20). Been using PCA since i’m not into technical analysis and I never intended to trade. Started investing via citiseconline then moved to bpitrade

    Started investing monthly with the very little extra cash i had then (my starting salary in 2005 was 18,000). The best stock i bought to date was Jollibee – JFC (it was just P26/share then).

    I didn’t know much about stocks pero i loved Jollibee products and i know a lot of Filipinos also feel the same, so it’s only logical to think that the company will grow eventually, so with this very basic principle in mind, i accumulated a generous amount of shares over the years (like your advice here, i invested monthly and never stopped). Today, JFC share prices are at the P210-211/share 🙂 i have a diversified portfolio of companies, i never sold any shares since then and I plan on holding on to them til I’m in my retirement.

    My monthly income had increased tremendously (from fees from my consultancy and the income from the 2 companies i started) pero di nagbago yung prinsipyo ko of really investing monthly. 🙂 I have a diversified portfolio of investments now which includes long term government bonds and other instruments and real property.

    So yes, if you really want to get “rich”, ditch your plan of replacing your iPhone 5S for an Iphone 6 Plus and start investing (and starting a business to grow your basket of investment money)! anyway, good luck to everyone 🙂

    P.S

    Fehl, Is your article based on your own investing experience?

    Reply
    • Wow, congrats on starting so early. I’m sure your portfolio is looking so good right now. Yes, this post is based from my personal experience and personal lessons I learned. Cheers and happy investing to everyone!

      Reply
      • Thanks Fehl! Your post is inspiring. i have my share of really bad losses pero that’s the beauty of long term investing and PCA, makakabawi ka for sure in the long run, unless you purchased a really bad company.

        Just felt that i also needed to share from experience as I really am advocating smart investing, and investing in stocks as it may sound complicated at first and very risky, pero at the end of the day, if you have the right reasons for getting in the market (investing not short term trading) e you can really beat the yearly inflation and also profit. Hindi siya kasing kumplikado as it seems. cheers!

        Reply
        • Thank you Momoys. Yes, it’s all about patience and not being greedy 🙂 Why not share you experience here in a post. Would be happy to guest post you so it will also inspire many Filipinos and hardworking people. I’m sure they will be thrilled because you have invested so early 🙂 Contact me and I will assist you everything you need. Cheers!

          Reply
  35. In the Philippines, you really would have to start your own business to be able to reach financial freedom. Employment is a stable, but limited source of income and usually would not suffice to really save-up. In my case, I have an online business with same coming from free classified ads site such as OLX AYOS and MYBENTA. I do not have to maintain high fixed costs, since I do not have a brick and mortar store. I suggest those in employment should also start doing business, its an additional source of income on top of their stable wage.

    Reply
  36. Fehl ,

    Pano malalaman kung anong companies is the best para mag invest?
    if i only have 10,000 php
    ilang stocks makukuha ko? 10k im sure un na pnakamaliit for investments.

    please do help me i want to know more about it 10k for me is quite big.

    tsaka ung divident is 5 years pa?
    or some companies offered one year para makakuha ng divident?

    email me nman po

    thank you! your a big help

    Reply
    • Hi Theo. You mean 10K a month? You can start buying 3-4 companies from the 10K every month. You’ll surely build your stock portfolio then. As to dividends, you can earn them as long as you have shares of stocks on the ex-date (can be tomorrow or any day NOT after 5 years) 🙂 Coz bluechip companies always issue dividends every now and then

      Reply
  37. Hi Madame Fehl. I am interested in this investment in stock market. I am however working here abroad. Is there a way that I could invest in stocks while I am working here? Please advise how. Maraming salamat po.

    Reply
    • Hi. Yes, you need to open first your stockbroker’s account. I recommend COL Financial because you can open one even if you live abroad. Go to their website and select to open COL Plus account. You can fund it using iRemit

      Reply
    • I prefer investing than trading because trading is for active traders whilst investing is buying stocks and selling them when they earned on your target. For newbies, EIP is advisable. God bless!

      Reply
  38. Hi, 🙂

    What company should I go to regarding the investment of 5k a month and will get 20m in return after retirement. 🙂 please reply. thanks

    Reply
  39. Hi there fehl,
    I just bumped to your blog because of searching of investing my 10k earned from my bonus. I want to change my life. Would you give me some advice about this cause I dont have any idea about these things. I want also want some reliable broker that I can invest my money because I’ve been a victim of pyramiding scam and takes a hard time of trusting others. But I want to take an investment for my future and for my family. Thanks

    Reply
    • Hi James. It depends upon what type of investment you are, your goal and your financial status. Are you aggressive and can take risks? Are you investing for long term? Is that 10K is all you want to invest and do you have regular source of income?

      Reply
  40. Hi Ms Fehl, your post is very liberating suddenly I felt I could have much control over my future. I have few questions though I’m hoping you find a time to answer. 🙁 I am a business owner, I’d say a small scale at this point..only been up for almost a year now but just opened an office for like 5mths now. The business is running about 250k worth of transactions on a good month, where 35-40% of that will be the income. With all the business expenses, such as office rental, transportation of goods (pickup and delivery), home expenses, debts, miscellaneous, basically we are not saving anything. At this point that the business is still new, all our money are out. I am positive that the business will grow, but, I’d like of course to find ways too to save and it seems like with investment that is possible even if it’s clear I dontwhave the means yet. So my question is, how will I invest in a way that I am not required to put in the same amount of money or none at all on months where money is tight? And, currently, what should be the best company to buy stocks from? Thank you in advance for your reply. Cheers and Merry Christmas!

    Reply
    • Hi Angel. Well, you can invest on stocks by buying directly at the PSE through online stockbroker (choose 1) like COL Financial, Philstocks, BPI Trade etc. whenever you wish: every month, every other month or whenever you have the money. Invets in long term so you can build more money. If you want to know the bets stocks to invest daily, join dailypik.com Merry Christmas!

      Reply
  41. and totoo po bang kahit 1 thousand lang po daw po ung inilagay sa stocks ng jollibee magiging 20 thousand after a year? thanks! 🙂

    Reply
    • If you will invest at Jollibee, you’ll get around 20% return in a year. So P1000 will not become 20K in a year because that’s around 2000% growth. Unrealistically too big

      Reply
  42. i’ve been reading blogs and books about investments, because I really wanted to learn. As of now, I started investing in UITF EIP in BDO, and I’m planning what will be the next… Which is better to go first, MF or Investing in the Stock Market? and what do you think about cooperative? Is it a good way of investing too?
    thank you for your response..

    Reply
    • Hi. It’s better to start with either MF or UITF before you invest directly in the stock market because the latter needs enough knowledge and awareness about stock investing and trading. MF and UITF already have fund managers while in stocks trading, you’re in full control of everything.

      Reply
  43. I really like your blog. I learned so much from it. It add knowledge aside from my Colayco & BoSanchez reading materials. I am now ready to invest 🙂

    Keep it up!

    I hope you don’t get tired of sharing you knowledge…because it will touch and help improve the lives of the Filipino people.

    Reply
  44. ms fehl,cge po cgro try ko subukan ung snsbi mong philam strategic growth fund ok lng po ba un as a beginner na gya ko?..nbsa ko dn kc ung comparison between mutual funds and uitf. kpg nginvest po ba ako dun ms fehl every month po ba obligado akong mghulog every month? kc every 3 months lng vacation ko plgi pno po kng nkskay nko ulit sa susunod? tnx po ms fehl pls advice me po..

    Reply
    • Hi Rex. For Mutual Funds, great reputation ng Philam (PAMI), Sun Life, Philequity, ALFM here in the Philippines. It depends upon the investments you have chosen: you can invest single placement or do periodic (monthly) placements. Mutual Funds companies usually require personal appearance when clients open an account. Once you have an account, you don’t need to be here physically to make periodic placements or additional placements. It’s usually set up as ADA (Automatic Debit Arrangement). All you have to do is make sure your source bank account has enough funds so every time your Mutual Fund gets money from your account, you’re sure you have enough funds.

      Reply
      • ok po ms fehl..tnx po for the info…dmi ko pong ntutunan..nga po pla pno ko po mlalaman na nkakuha na ung mutual funds ko sa account ko? may confirmation dn po ba akong mrereceive sa mutual funds na nag bwas cla ng pera gling sa account ko?

        Reply
        • Yes, you will see the debit on your account (source fund). I suggest you have online banking instead of relying on personal bank updates from your bank.

          Reply
  45. ms fehl, mg iinvest sna ako sa bank, sa BPI premium bond fund..s tingin mu po ba ok dn un na idea pra mplago ko ung pera ko? sa ngayon po kc nsa barko ako bnbalak ko snang gwn un pgbaba ko..pls pa advice nmn po..tska ok lng po b kg hndi ako monthly mkpg invest kc 9 months po ang cntract ko bgo bmba sa barko.tnx po ms fehl..

    Reply
    • It is a good buy if it’s a monopoly business or the first ever to have that kind of business. Like Facebook, Google, and the like.

      Reply
    • There are Mutual Fund products that use PCA and there are others that don’t. Philequity that is on Equity Fund involves and focused more on stocks.

      Reply
  46. tnx 🙂
    let say fehl i decided to choose bdo or sb uitf equity fund,
    1. then i decided to do it a monthly of 5000php after initial of 10kphp;
    – option din ba to pay monthly in cash sa bank?
    – cash or auto debit, what if magfail ako magbayad on agreed date? may fine ba?
    – pag nagagreed ba na 5000php/month meaning dapat lg 5000php/month babayadan? or pwd lower sometimes?
    – pag agreed ba na monthly 5000php pwd magbayad ng above let say may pera ka that time?

    🙂

    Reply
    • Banks have 2 options of funding of UITF: 1-time placement or single placement and the second one is periodic funding. If you want to invest monthly in BDO UITF, open EIP (Easy Investment Plan). It’s auto debit arrangement. Read our post and review about BDO EIP to learn more

      Reply
  47. Hi Fehl. Good afternoon! I would like to ask your expert opinion on retirement planning. I am 37 years old. I am a working single mom. Right now, this is what I have for my retirement portfolio.

    1. Philam Asset Builder – 5 pay policy. I opted to pay for six years to grow my money.
    2. SLAMCI Equities – I invest monthly and have accumulated more than P100,000 already.
    3. FMETF – I started investing on FMETF this year every month and have 830 shares already.

    I won’t be making any additional payments anymore to my Philam Asset Builder. Would it be
    better if I solely invest in the stock market? Currently, I am allocating P16,000 monthly (FMETF and SLAMCI equities) for my retirement. If yes, which stocks would be good for my retirement portfolio? I am in a catch-up stage for my retirement.

    Reply
  48. hi fehl; 🙂

    ano magiging pagkakaiba na maginvest sa UITF Equity Fund ng BDO by

    100k pesos(isang bagsak ng peraone time) in 10 yrs period vs. ung

    magbibigay lng ng monthly dun sa UITF Equity Fund ng BDO?

    Reply
    • The answer to your question is found in our post entitled, “Lump Sum Investing vs Peso Cost Averaging” We provided comparison of the two methods and real time examples

      Reply
  49. hello po magandang gabi…tanonong ko lang po…if i have already an online broker ..lets say philstocks.com..which requires 5,000 to open this account…kailangan pa po bang maglaan pa ng another amount of money para makabili na ng stocks?…*** pasensya na po student pa lang po kasi ako at wala pa talagang full knowledge in investing ( i am an accountancy students pero curious po ako on how to invest earlier)..because it might be helpful for me if start investing at a young age..im 17

    Reply
    • Hi Nina. The money in your online broker platform is like your wallet. It is all yours and you can use it to buy stocks. Of course it depends upon the price and the fees for every transaction. You may need to add more funds in your account if you need to buy more stocks. Yes, you can already use the 5000 to buy stocks but you need to maintain enough funds in your wallet. Read our STOCKS post here coz I share some posts for beginners. God bless!

      Reply
  50. Hi i need your suggestion/advise where to focus my investment:

    currently im investing in stockmarket through col almost 2 years and the stock i choose is LRI.

    also im currently investing capital contribution through psslai (applicable only for pnp) which gives dividend 18% interest per year

    im confused if i focused on stock market or continue the capital contribution which gives 18% interest per year or focused both of them? my stocks presently is LRI which gives dividend but the gain is still little. hehe.

    tyvm

    Reply
    • I suggest you have them both. 18% per year is already impressive. A smart investor have different money wheels. In your case you already have 2 wheels. 🙂 You can have more like Mutual Funds, UITFs, apartments, business

      Reply
  51. ms fehl,sa loob ng 20-30yrs andito kpa kaya sa blog mo?inisip ko kc sa mga binigay mo na mga advised sa lahat at higit sa lahat sa akin about investment,time will tell darating ang panahon sa mga taon na yan na binanggit ko kung maganda ang takbo ng investment ko cgurado milliones na ang investment ko,hehe paano kita pasasalamatan o kayay mabigyan kita ng shares sa blessings ko sa investment ,na sa puso ko kasali ka sa mga ito dahil ikaw ang inspired sa akin o sa iba na mabuksan ang isipan pra sa investment na ito,alam ko hindi mo a kailangan ng balato pro may kasabihan nga tayo na,masamang tumanggi sa grasya..hehe kung maging millioners ako bigyan mo ako ng acct no.mo at depositohan ko…at kung malugi man ako sa investment ko ito yong acct.no.ko balatohan mo nalang ako sa mga investment mo..hehehe…salamat ms fehl..mas lalo akong naging korepot ngayon.hehe

    Reply
    • Yes, my website is still here in 20 years or so I will be adding posts every now and then. I’m currently making a series for Stock Market Tutorials and Tips which you can find here: http://philpad.com/stock-market-tutorials-philippines-complete-guide/ I also created a Facebook page about Stock Daily picks where I post my personal stocks picks. Equities and stocks are down right now and are expected to be down for this month since there were recent typhoons and Mayon Volcano is one hot expected calamity LOL This is a perfect time to buy shares and stocks. 🙂

      Wow, thank you for the gift. I appreciate it already LOL Can I say I appreciate your visits and all my readers’ visits, comments more than anything else? I’m sure as chocolates we can all be muti-millionaire in 10 years or so if we continue to invest the way I always share here.

      Reply
  52. Good day Ms. Fehl! As of now, i’m trying my best to gain knowledge regarding investing in stocks. Way back years ago, i kept on searching in the web on how can i invest in stocks. While establishing my knowledge about investing in stocks, i set aside certain money on savings account,then by the time i had equiped my self of such i will invest my money on my saving accounts. A little knowledge in stock market is risky however i am willing to take risk-the higher the risk the higher the return. That’s why just want to be sure of myself before investing my money in stocks. Here are the things i want to clarify:1. What web-site should i look into to know the best performing company in 5 years, 2. How can i buy stocks of international company like apple,3. What advisable month to invest. Thank you so much Ms. Fhel for very informative web-site you have. Although i’m always busy at work and taking care of my 1 year-old baby, i find time to finish reading your article.i even wake -up late at night until morning just to read your article 🙂 . More power.

    Reply
    • Hi Clara. Thank you for reading my investment posts here. I actually just created a special series of posts recently for my readers like you which contains concepts, tips, strategies for beginners and intermediates to investing. I know in the long run, we can be experts too 🙂 Your questions will be answered per post there. I made the posts chronological since I believe we all go through to every stage. You can bookmark this page coz I will be putting posts every day and week. http://philpad.com/stock-market-tutorials-philippines-complete-guide/

      Reply
  53. Hi Ms Fehl!

    I just love your blog! Very informative and educating especially for beginners like me. But still I have some follow up questions po, say for example with COL Financial.
    1. Is COL Starter (5K) the same as COL EIP?
    2. Will I be required to invest 5k monthly under this program?
    3. What if i wanted to have the COL plus (25K) as starting. Will that be allowed and will it still be considered as EIP?

    Thanks,
    Lucky

    Reply
    • 1. COL Starter requires minimum of 5K initial fund and yes, it has EIP feature.
      2. No, you have the option when and how much to invest periodically under your EIP account. You can also invest quarterly instead of monthly if you don’t have 5K every month for example.
      3. If you opened COL Plus like I did, you can also invest EIP or invest just the way you like (own strategy) 🙂

      Reply
  54. Hi Fehl,

    Which method do you think is the best? Via UITF Equity Fund or Mutual Fund in Equity or Via online broker? Is one riskier than the other? I would love to earn millions by investing in stocks. Btw, thanks for this great write-up. Enjoyed reading it and has inspired me to be a millionaire someday.

    Reply
    • All of them are best investments since they are all involved with stocks. As a beginner, I recommend Mutual Funds and UTIFs in Equity because you don’t need to monitor or manage your funds using financial knowledge and skills as you have experts already who manage the funds for you. If you have either MF or UITF, it’s about time then that you go for direct stock market investing by opening your broker’s account. I recommend COL Financial since I personally use it although you can use other brokers. I’m making a step-by-step guide here about stock market investing which I personally adopt and use even when I was a beginner and until now. Happy to share money-making tips 🙂

      Reply
    • You can earn dividends when you have stocks, when companies declare them. In the Philippines, you can also earn dividends when you are a member of the GSIS. Dividends are not huge money if you don’t have huge investment in a company.

      Reply
  55. Good afternoon Ms.Fhel, ask ko lang ano po mas malaki ang roi ng investing sa PCA vs Build plus peso ng Bpi philamlife? Im currently investing sa Bpi philamlife my annual premium is 101k php… Long term investment din ang gs2 ko para mas high return. Sa BPI Philamlife kasi insured pa ako, nde ko lang alam kung sa COL financial kung insured din ang mga investors… thanks po madami ako napulot sa thread mo.

    Reply
    • Some investments have also tied-up insurance like VUL. Those from COL Financial or other online brokers, has no insurance coz you are investing in stocks.

      Reply
  56. Ms. Fehl, can you do me some kindness by just explaining more about Peso cost average. on this article it said, Whatever the status of the economy, whether stocks price are high or low, buy still and keep practicing the PCA, you will profit anyway. how come po? how can i still get profit if the stocks are low? thank you in advance po, Ms. Fehl.

    Reply
    • “how can i still get profit if the stocks are low?”
      John, the idea is you buy low and sell at a higher price for a profit. I personally do not advise PCA, but it can be beneficial, depending on how you invest.

      Reply
  57. Good morning Ms.Fehl, pano po naddetermine ung gain/loss pagkabli ng stocks? example 30 ung bli ko tpos ung last price pagkaclose ng market ay 31. Thank you

    Reply
    • By means of the fees we pay and don’t forget our money are being held by them MF companies so it’s rolling out and generate income we never imagine :p

      Reply
  58. Hi Ms. Fehl,

    I’m sorry if my questions will seem so dumb, but I’m quite confused about something.

    I was wondering if investing through a bank means i’m investing my money to the bank’s stocks? Or does it mean if i invest through a bank, they will manage and invest my money to other companies stocks?

    Also, is buying/trading stocks different from investing in stocks? And lastly, is it possible to invest/buy stocks directly from big companies like Jollibee or SM for example.

    Reply
    • Hi there! UITF investments are available in major banks but that does not mean you invest in that bank’s stocks. Please read our posts about UITF to know more about it. Can’t tell you everything in the comments here as we have easy guides available which you can read now 🙂 If you invest on Equity Funds, you are also (in some ways) investing in stocks as these funds have usually stocks involvement. Of course there are differences with investing with UITF, Mutual Funds and directly investing in the stock market.

      Yes, you can also invest directly to big companies if you open an online broker. You’ll learn more about it by going to our posts categorized as UITF, Mutual Funds, Stocks. Just browse them. Have a frappe when you read so you’ll enjoy and learn more 🙂

      Reply
  59. Hi, may I ask how did you compute the 20M for 40 yrs of investment for 5k per month? Do you have an excel template for it? Thanks

    Reply
  60. hey this is cool. . i want to start my investment plan too. . i think i’ll see more a lot of this. .i want to learn this stuff. .

    Reply
  61. Good morning! Hi Ms. Fehl may I ask for an advice on which broker to choose for starters in stocks? COL or Philstocks.ph? Thank you.

    Reply
  62. Hi Ms. Fehl.. i just funded 5k thru COL and recently buy stock MWC for 100 shares. i want to use PCA 5k a month, how can i use all the 5k to buy in MWC since you can buy only per board lot. naguguluhan ako..can you please clarify it for me..thanks.

    Reply
    • COL has EIP feature for PCA lovers. You can either automatically assign 5K or manually do it. They have video guide on their homepage. It will be helpful if you watch it to know how it works. God bless!

      Reply
  63. Hi Ms. Fehl, I downloaded the Bloomberg app, pero I don’t understand how to use it.
    Can you guide us on how to monitor PSE. There was an option for Holdings, when I try to add PSE to watch list, with the fields, Position ____ and Purchase price ______… What do I put in there?

    Reply
    • It’s up to you really. 🙂 Assess yourself if you are conservative or aggressive type of investor, how long you want to invest, what part of your income you want to invest. Then, you can invest.

      Reply
  64. Hello. i have here 67 shares of the capital stock of legaspi oil company, inc. The question is i dont know how to claim this shares or sell it. how to sell this? it is worth millions? this shares owned from my great grandfather.

    Reply
  65. Hi Ms. Fehl! Stumbled upon your website when i was researching about the CS exam. I thank God that i found this. 🙂 I just want to ask if i start an investment of 20-30k in Equity funds and then deposit about 10k/month, is it possible for me to accumulate 200k or more in 1 year? Actually, i plan to try investing in stocks and also trading. do you think it is a good idea?

    Reply
  66. Hi I’m 21 years old graduating student this October 2014 and we have our own family business which is doing great , I want to invest in stocks as early as possible when I graduate and stumbled on your blog and get inspired, thank you !! 🙂 new reader here!! 🙂

    Reply
    • Hi Alyssa! Thanks for dropping by and reading our Investment posts. You are always welcome here! Best of luck and happy investing!

      Reply
  67. Hi! I’m john and I’m still studying in high school. What tips can you give me because I’m now trying to venture in more about stocks using my own savings. My parents are actually also helping and encouraging me not only to save but to invest.

    Reply
    • Let your parents open trading account for you so you can invest or trade stocks. If you reached 18, they can update your account in your name so you have all the power and control

      Reply
      • but I’m still confused about the whole system…
        When you invest to a company does it require you to pay like every month or could it be like “isang bagsakan na”.

        Reply
        • Ang ideal every month dapat para lumago ang investments mo. ang importante marami kang shares na nabili para when time comes you will reap your gains in stocks ay worth multi millions. Kung isang bagsakan lang tapos 5k lang capital mo forever, don’t expect you will be millionaire in 10 yrs or 20 yrs,

          Reply
        • You can do both – invest at once or periodically. It’s your choice. I just highlighted the periodical investing here because it’s what most people can afford and I see it as more convenient no matter what the financial status of the person is.

          Reply
  68. maam ano po ba ibig sabihin ng splits sa dividend, and yong preferred stock, FGEN kasi nagbigay ng preffered tapos may cash then splits sa dividend chart

    Reply
    • Shares of stocks in a company can be Preferred or Common. If you have preferred stocks, that means when the company or corporation has excess cash or earnings, they distribute them in the form of dividends. If you have preferred shares / stocks, you will be prioritized.

      Reply
  69. Hi fehl are you familiar to Life Extreme Protect of BPI-Philam? I just enrolled with them for 20k annually. This is my first time to invest. What can u say about the product mam?

    Reply
    • I’ve read about it before but has no personal experience about it yet. I know it’s Investment + Insurance rolled into 1. The investor can make placements to their available peso funds professionally managed by BPI-Philam and paying insurance premiums too. With investments like this, you’ll pay for premiums + you put funds to your chosen investments. You’ll earn and you’ll be insured at same time.

      Reply
      • Hello mam fehl. Thanks for your prompt reply. Nabasa ko rin sa mga blogs mo gusto ko rin sana mag invest sa BDO equity ang problema d pa sila pwd online application sayang ung time next year pa po kasi ako mkakauwi sa pinas. Again salamat Ms. Fehl. -Jay

        Reply
        • Hello Jay! If you have account in PNB, you can also open UITF Equity Fund wherever you are. PNB has online UITF account opening unlike BDO. Choose PNB High Dividend Equity Fund.

          Reply
  70. Hello Ma’am Fehl, After reading your blog, I decided to invest today but I’m still a contractual and a totally beginner so, I invest in ALFM mutual fund but I cant decide if what mutual fund should I choose. THERE IS GROWTH FUND, PESO BOND , DOLLAR BOND AND EURO BOND IN BPI ALFM MUTUAL FUND. WHAT SHOULD I CHOOSE?

    Reply
  71. i’m 19 years old and I can save 2k per month is it possible to increase my monthly investments if someday ill have my job?

    Reply
  72. Hi Ms. Fehl,

    Thank you for this informative blog. And can I ask you for some advice?

    I already got a VUL insurance in sun life, but I still want to invest more. My financial advisor told me to open a Mutual Fund in Sun Life…but I’m a having a second thought because I’m kinda interested in BDO UITF… and para maiba naman hindi lang sa Sun life ung investment ko.

    Do you think it’s a good decision to just open a UITF in BDO? UITF and mutual funds both have charges right? Ano ba ung may lesser charges? Which fund is better? Equity, balanced, or bonds? I’m planning to invest for 5 years, 10k initial and monthly 1k.

    Thanks.

    Reply
  73. Hi Fehl!

    Thank you so much for your posts. I just started reading books, talking to people re their experiences/accounts and everything with their banks (lucky me because i have someone who is really doing it for the past several years). There are blogs out there but not like this one. A newbie like me can get the info, (which at first I really have no idea nor clue). After reading your post over and over (lol), when i went to the bank…at least i have a little “baon” of information na. Even the comments really helped a lot.

    We have an account in Bdo but i opened an account in Bpi instead (equity index). M planning to invest on both banks (equity and index) kahit pakonti-konti lang. I already opened a “settlement account” in BPI and just waiting na bumaba ng konti the the price as per bank officer’s advise. I’m positive about these and M looking forward to read your posts.

    Thanks so much for reading my mahabang comment and may God bless you always…

    Reply
    • Hi Mon! Gosh, thank you for the nice message here! BPI has very good investment products too. I’m posting upcoming page about the best UITFs in the Philippines. Hope to see you there. Cheers!

      Reply
  74. Hi Fehl!

    I have an account in BPI and very much interested to invest my extra money, but don’t know where to put it exactly.

    I was advised to go to Mutual Fund as I don’t have any idea about stock market.

    Can you please give me your honest opinion?

    Regards,

    Jhojo

    Reply
    • If you want to invest Mutual Funds with stocks participation, choose Mutual Funds in Equity. I recommend 2: Sun Life Prosperity Phil Equity Fund and Philam Strategic Growth Fund – Equity

      Reply
      • Thanks for the recommendation Fehl, will try to enquire both.

        Just want to get your opinion about BPI ALFM Peso Bond Fund, I appreciate to hear your response…

        Thanks and God bless…

        Reply
  75. A cousin of mine works at sun life.
    She conducts seminars..
    i texted her right after i read your blog and she called me a minutes ago 🙂
    she is setting an appointment with me…
    i need a mentor dw.
    if you want to be rich,you need to talk to someone rich
    If you are thinking about business,talk to a businessman..

    Fehl,you are a mentor 😉
    Tnx sa blog mo.
    May money ba sa blog making? Wala lng naisipan ko lng itan0ng,(Sideline!! haha) i might write one sa progress ng pangarap kong millions… to help inspire din.

    You’re very helpful
    Keep it up 🙂

    Reply
    • Wow it’s gonna be a brighter future for you now Yhanzky. This is the start. Enjoy it! Thank you for the kind words. Regarding to your second question, yes there is money in blogging. However, it would take years of learning the curves and how the online world works. You need real bloggers who have real experience to teach you how. *Hint* I shared some ways if you find some of my posts in the MONEY section of Philpad. I’m currently putting up a complete guide for blogging and the launch will be soon…

      Reply
  76. Hi fel,i was browsing the net,googling how to start a business with10k capital and i found your blog.
    im working 9yrs and wala ako naiipon.
    Lately ive been thinking working abroad nalang pero kulang educati0n background ko sa salary bracket na gusto ko
    May 25t ako sa atm ko ngaun and gusto ko sana mag business uli.kaso ive tried it already last year burger stand xa,hndi nag click kc panget ung locati0n.Ska wla pa aqng katul0ng mag operate.nasayang ung puhunan q..
    Thats why im thinking of alternative kung pano lalago ung pera ko.
    Honestly i dont understand stocks.
    And shy to approach the bank regarding buying stock..
    il just read m0re of your post.
    Thank you sa ideas.

    Reply
    • Hey Yhanzky! Thank you for dropping by. You did the right thing by thinking of putting up a business however it needs right timing and location. Maybe you can try again when you’re fully ready. Best of luck and I hope our MONEY post will help and guide you through your financial journey

      Reply
  77. How I wish to become a millionaire someday, and since I have already an account to one of the Best Bank you mentioned, I want to make it sooner! I am an OFW, glad to know that you have this kind of blog to enlighten us where to put our hard-earned money. Thank you very much!

    Reply
      • Hi Fehl, thanks so much for the reply. I’m 42 years old and 7 years here abroad. I don’t wanna be greedy Fehl, I just want my life a bit easier when I get older. I just finished building my house, that’s why after reading your article about money, I had lots of thoughts running through my mind. I plan to invest 30k a month via the BDO EIP. Thanks a lot and more power to you!

        Reply
        • You must also consider Sun Life Strategic Growth Fund in Equity. It’s a Mutual Fund not UITF and can give you dividends.

          Reply
  78. Hi, I’m turning 18 on August and I really want to invest already for my future. I’m planning to use my saving which is about 30k. How much do I have to pay monthly? Please help me. Thank you!

    Reply
    • It depends with your situation. You have to consider if that 30K is all you’ve got for now. Consider your needs and do something to have steady and regular income like a regular job and business so that your fund would grow and you’ll have extra money for your needs. Make sure you are really prepared to invest not only mentally but also financially. Before you invest, ask about these things:

      Time
      Money
      Goal
      Risk

      Reply
  79. hi fehl
    your articles are very helpful.just want to ask if you know some companies in our country that offers direct investment plan.i am having trouble in searching about it.does it exist?

    Reply
  80. Hi Fehl,

    Thank you very much your website really helps me a lot. I know its not too late for me to invest because Im 22. I will start the Easy Investment Plan through UITF Equity Fund. Ill inquire first for me to have more knowledge and start investing. Thank you very much.. 🙂

    Reply
  81. Hi Ms. Fhel,

    Wow! Thank you very much for awakening me from sleeping for too long. I and my husband are OFW for 6 years and have not saved any penny at all. We’re both bread winners and still supporting both sides.
    We have a house purchased thru bank financing in BDO for 15 years term and we are still on our 2nd year of payment. Got 2nd hand car but still thru loan, purchased farm lot but still not completely paid (with 200k balance). We invested in a condo but we got the wrong sales agent and we wasted almost 300K for nothing. We did this strategy as we thought that it will be rewarding for us to see where we are putting our hard earned money. We joined lots of investments scheme but none of them succeeded. We failed so many times but still we keep on believing to some word of mouth. Recently we joined PRULIFE UK (sort of insurance with savings). Working abroad is not that easy and sometimes you feel like quitting but you have no choice. Been hearing too much about stock market but don’t know how to start wit it. Like you and Mr. Al was saying, knowledge or learning is the most important thing to do. Well at least now I know that I can rely on BDO for UITF and Mutual Funds.
    Thanks once again Ms. Fhel…more power to you and I hope you will have more blog regarding investments. God bless!

    Reply
    • Hi Fen! I admire you and your husband for working so hard to have a bright future. I’m sorry about what happened. I think you quite have more than what you need in life but you had mistaken few things like getting loans. Loans are obligations and you have put a lot of them as you mentioned. I hope it’s not too late for you to start saving and investing. Yes I will share more stuff about investment here. We have 2 new posts if you wanna checked them out. I’m sure you will be glad 🙂

      Reply
  82. Hi I have been investing to Mutual funds since 2007 and I am really grateful to my profits my husband is investing on stock market since his college years and he’s very good also! We invest when the market goes down we buy shares! I have shares of metro bank and Ayala land!

    Reply
  83. thanks a lot for sharing this inspiring articles!..
    -by the way i would like to ask…what you mean that you have you invest reqularly???..

    Reply
    • It’s my pleasure 🙂 Investing regularly means, you invest periodically. Example, every week or month for many years. Some invest every 15th and 30th of the month, others every month.

      Reply
  84. Hi Fehl,
    Sa pagbili po na Stock sa paraan na Peso-Cost Averaging ay everytime po ba na bibili ako (kapag bumaba ang graph) ay may fee din po ba? Or depende sa anumang kumpanya iyun? salamat po…. 🙂

    Reply
    • Yes there are always transaction fees involved like redemption. Check your Online Broker’s associated fees. They are different, depends upon the Broker.

      Reply
  85. Hi,

    Thanks for this post.. I have a question, if for example sa Mutual funds ako mag iinvest, advisable ba na naka 100% EQUITY ang fund ko? Thanks!

    Reply
    • Thank you for finding this helpful 🙂 Equity Funds are the most risky and but they usually produce higher earnings / income. For funds and investment like Mutual Funds and UITFs, always put this concept in mind: – the higher the risk, the higher the earning potential. It is advisable IF the investor is aggressive and wants higher returns eventhough there’s risks involved

      Reply
  86. Hi Fehl,

    thanks for this website and for the sound investing advises.

    My question is – can i buy JFC stocks in the bank itself? I cannot seem to find my friend’s advise that i can buy them on metrobank online.

    I am going home next week and id like to invest my ofw hard earned money 🙂

    thanks/rgds,
    Juni

    Reply
    • Hello Juni 🙂 Thank you for reading. You can buy any stocks listed in the stock market here in the Phil. if you have a broker’s account. You can choose from the accredited online trading platforms in the Phil. The link is mentioned in the article above. Then you can start buying or selling stocks using your trading account/broker’s account. Yes, some banks have trading platforms. Just check out the list from the link in our article. I will post online trading account sample here soon. Take care always and welcome back to the Phil. 🙂

      Reply
  87. Hi i would like to ask one question. Im planning to start investing on stocks for a long term of 5 to 10 yeas.
    Im still researching and learning how it works. If a certain company’s minimum board lot is 10, is it possible just to buy a minimum board lot for a particular company for 5 or 10 years? Or do they require more shares as time goes. Thank you and more power.

    Reply
    • They require different board lots. everything in the stock market is unpredictable. Change is the only certain thing

      Reply
  88. Hello i just want to ask if anung magandang company ang pweding mabilhan ng stocks? nasa BPI trade kasi ako kaso yung 10k na inilagay ko d ko alam kung san ko pweding ilagay di ko naman alam kung ilan kikitain ng 10k ko after one month…

    Reply
  89. Hi Ms. Fehl,

    I am really happy to know most pinoy’s are now aware about investing. I started investing when I was 26 yrs old. Each year I follow my investing strategy by putting 200k of my savings from 2 investment vehicle UITF/ MutualFunds/T-BONDS. I want to do this up to age 55, that’s my target age retirement. I’m just an ordinary OFW currently 35yrs old. Over all I have 18 investments now, which are now increasing year by year. I also trade forex currency for about 3 years now and accumulate extra income aside from my monthly salary. I just learn that in order to be free from financial problems (rat race), do what the rich people do. I also avoid getting unwanted expenses like having new phone new car, new house, etc, which most people acquired by applying loans from the bank. I share my simple investment strategy so that ofw just like me realized the power of investment and avoid being poor when they retire from working abroad.

    God Bless,
    Marlon

    Reply
    • Hi Marlon. 🙂 You are doing the smart way of securing your future and the future of your sons and daughters perhaps and I’m sure it would benefit their sons and daughters or the next… I salute you and other OFWs who really think about stability and security. Geez you have so many investments already. Have you tried stocks investing from international markets? Cheers! God bless!

      Reply
  90. whoah this blog is magnificent i love reading your articles.
    Keep up the good work! You know, a lot of people are searching around for this
    information, you can aid them greatly.

    Reply
  91. What i don’t realize is actually how you are not really
    much more well-liked than you might be right now. You are so intelligent.
    You realize thus significantly relating to this subject, made me personally
    consider it from numerous varied angles. Its like women and
    men aren’t fascinated unless it’s one thing to accomplish with Lady
    gaga! Your own stuffs nice. Always maintain it up!

    Reply
  92. Hi Fehl,

    It’s my first time to invest in UITF – BDO. I just want suggestions where to invest best that would bring higher return among the types of UITF: BDO Peso Fixed Income Fund , BDO Peso Balanced Fund or
    BDO Equity Fund (10,000 initial investment)? Can you explain the differences of those three? Many thanks – christian

    Reply
    • Hi there. When it comes to Trust Funds and Mutual Funds, the higher the return = the higher the risk. Equity Fund has the highest risk among the other types. I’m making a post about the answers to your questions and hopefully, you’ll see it this week. 🙂 I want to share a lot of details about it and the steps in opening an account on that post. In the mean time, I recommend you read our post about Mutual Funds vs UITFs – Similarities and Differences which you can find at the related articles below or by going to our MONEY category. Cheers!

      Reply
  93. ma’am fehl, gud pm po…nalilito po kasi ko. san po ba maganda maginvest ng PCA sa UITF/EIP ng BDO, Mutual Funds, or sa COL/eip…target ko po 10 yrs and high returns…salamat po..

    Reply
    • It depends. If you want direct control on your account, invest personally through COL/EIP but you must know what you are doing. Stock trading is very risky. If you want easy access and don’t have effort and don’t know so much about strategies in stock investing, try UITF and Mutual Funds because they have their own fund managers. These managers are experts and will be the one who will manage your fund. You can learn more about UITF vs Mutual Fund on the related articles here at Philpad. We discussed the important concepts about them. God bless and thank you for commenting 🙂

      Reply
  94. Is COL Financial will require you to at least 5000 PER MONTH to buy worth of stocks?

    Because anyone can buy stocks below 2000. For example Jollibee as of of August 15, 2013 12:29 PM Last Price is Php 177.00 with the minimum board lot of 10. You can only pay as much as 1770 Pesos plus tax and commission it will not reach 2000 either.

    Thank you for answering my question.

    What I know First Metro Securities does not require a minimum amount if you have a Metrobank account.

    Reply
    • COL Financial has currently 3 account types: COL Starter which requires a minimum of P5000 suitable for beginners, COL Plus requires P25,000 suitable for active traders and COL Premium suitable for premier traders which requires P1 million. Each account has different features. The higher your level is, the more features you’ll have.

      For First Metro and BPI I think they require you to have an account with them and of course that account has funds already.

      Reply
        • For starters, I recommend Sunlife Financial Mutual Fund po. Learn the concept about Mutual Funds and UITF so you’ll know more. If you think you’re ready na po, you can invest at the stock market by trading real time po.

          Reply
  95. mr fehl, have you heard about manulife? is it good to invest my money there? please give me an advise before i start to invest my money.

    Reply
  96. owel your call 😀 you can set the chat box naman 😀 anyway, i’ll start playing forex this week. hope you’ll have a blog regarthing that too.

    Reply
    • I did a page about forex somewhere else then I deleted the thing to update it more but I misplaced it. I’ll try to find it and post it here soon. Forex is another money wheel like stocks. It’s too volatile 🙂 How’s your experience with it?

      Reply
      • none so far. i’ll open an account palang. prolly tomorrow. depends on my sched 😀 but ill do it this week. since i have no experience yet i did some research about it. what i found out is that 95% of traders lose money. 4% successful and 1% earns really good. i agree that it is too volatile but i’ll try it anyway 😀 i think forex is all about INFORMATION. i love forecasting 😀 i hope you can find your forex blog 😀 might get info and ideas hehehe have you invested in tbills?

        Reply
        • I don’t do forex online. I do it manually hehe. Sometimes I keep hundred of dollars and wait for the time when the exchange rate increased by 3-4 pesos per dollar. I earn only few thousands though. It’s not too much but it’s fun. It really takes a long time if you’re only taking few hundred of dollars. I think if the money you exchange is 5 digits or more, Forex would be so cool. :p Treasury bills are cool and safer since they are fixed and issued by the government. I’ll be trying it in 6 months time after the official offer from PNB. Any suggestion about T-bills?

          Reply
          • oh so you buy dollars then exchange it? hhehehe i think that is risky haha. good thing about that is you still have your dollar (regardless of the value) anyway in forex we talk about dollars against other know foreign currency (eg. yen, brit pounds, australian dollar etc.) im excited to do it actually, i might start with e few hundred dollars. i want to get to know it first 😀 about t-bills, well they are the most secured money making investment (they’ll print you money if they cant pay you :D). since you transact you with the govt. is is actually a question of HOW MUCH money can you invest. for example: you buy a 3 month t-bills at 5000. Essentially, our government (and its nearly bulletproof credit rating) writes you an IOU for 5,162.50 that it agrees to pay back in three months. In this case, the T-bill pays a 3.25% interest rate (162.50/5000 = 3.25%) over a three-month period. 😀 so lets say you have a 500,000 the government will pay you 516,250.00 not much earning right? but the best thing about t-bills is actually the assurance that your investment will earn assured interest. (its our government, yehey!) besides it is better than lending money to the banks (you dont save in the bank. you lend them your money :D).

          • I don’t buy dollars, I receive/earn them so I just keep them and wait until the exchange rate in dollar to peso satisfies me. There are some Dollar High-Yield time deposits from banks here but I prefer my personal management hehe :p I agree with you about T-bills. Less risky and advance interest income is cool. :p Will surely try it soon. 🙂

          • high-yield time deposit but the problem is the exchange rate (you cant withdraw your dollar if its in time deposit :D) if the rate goes up good for you 😀 if not 😀 you pray hahaha. anyway, i have an account it forex already 😀 ill just try the virtual money first. wish me luck 😀

  97. if i may 🙂 i suggest you guys extend effort in studying the flow of our stock market 🙂 it is fun to do and the fulfillment is priceless. 🙂 happy investing!

    Reply
  98. hi… i just wanna ask for instance i invested 5000pesos continuously every month in 5 years.. and my share grew for 5million pesos.. is it encashable? or should i sell my share first before i get money?

    Reply
    • Yes your shares will be converted to cash if you trade and sell them. Even if they are not yet cash doesn’t mean they are not part of your equity 😉

      Reply
  99. Dear Mam,

    Can you help me to choose 3 companies (stock) for long term. 10 yrs putting money every month, then additional 10 yrs to let the money grow.

    Thanks!

    Reply
  100. Hello,

    I have this question, what if majority of the people invest on a particular well known company -is there a downside if the investors are not equally or at least fairly divided with the stock market? Because if not, maybe it is always an option to invest on this companies rather risk your money on a new comer or not so familiar company, if no one invest on them they could not work well in the industry.

    Reply
    • There is always downside and upside in investing since there is always risk. It’s like a big ocean – you decide if you swim, dive or float or even ride a boat or maybe a ship. It may be safe to invest with big companies but then investing with a new comer could make you big time too. Like those penny stocks for example, some risk takers buy them because they only cost a penny but one day unexpectedly they cost a hundred. That makes one an instant millionaire.

      Reply
  101. Hi, Fehl.

    Nice to read your articles. Understand the we could enjoy the earnings of our investment from mutual funds once we redeem them of course. I’m 42 now. I have an equity fund since 2010 for my retirement plan. You’ve mentioned not to be greedy. If I redeem my investment after 3 years what do you suggest I do next? Re-invest?

    Upon my retirement, I wish to “live on interest” from my investments as this will be my only source of monthly income by that time. Could you share your insights how I could do this with mutual funds?

    Thanks a lot!

    Reply
  102. First of all, i want to thank you for the information you’ve been posting here in the internet. It’s the only source without complexity that I could find in the web to learn how to invest particularly in the Philippines and the reason why it is important. If olny I had knew about compound interest when i was in my childhood, my working years in my entire life would be cut in half. Well anyway i’m only 22 and its not yet too late to start investing. I’m working here in abroad but with only a small amount of salary but that would change soon! 🙂 I’m currently in the road of changing my lifestyle by nourishing my self with a positive mind set. And for the change, i would like to make my hard earned cash to work for me. I’m sick of my money always controlling me. So tell me, if I started with a small base amount to a mutual fund, let’s say P10,000.00 then i will deposit a regular amount of P5,000.00 per month, can I increase my base amount and my monthly regular deposit after several months when I got a better paying job?

    Reply
  103. kung meroon akong usd2000/monthly investible fund for 3yrs, saan ko pwede i invest sa pilipinas.. usd ba o peso investment accounts… ty

    Reply
    • You can try Mutual Fund or Trust Fund. It also depends upon your risk level. Are you aggressive or conservative… If you’re in the Philippines, I choose peso account coz it’s easier to monitor though the dollar is doing good these days.

      Reply
  104. Hi tanong ko lang po sana kung may tagalog site kayo na pede tumulong para makapag-invest kasi madami tayong mga kababayan na mahina sa wikang ingles.. Para po mas maintindihan ng ating mga kababayan. Salamat po… -coco

    Reply
    • I honestly wanna do one someday pero la pa budget as of now. Creating a website is not that simple. I hope you still learn from my articles here. I try to use simple English as much as possible. Thank you 🙂

      Reply
  105. Hi,

    I just recently got employed as office staff. I didn’t sign any contract but I’m currently on a minimum wage of 10k net monthly income. I’m just renting a house along with a friend for 2k/month. Our house is walking distance to the office so fare is not part of my budget.

    On my case, will I be able to save enough money for investment. I’m planning on signing up to BPI trade EIP or COL financial EIP. I’m quite worried since my job is not permanent. I want to save and invest money for future and establish even a small business of my own. I’m not really sure where can I start. I’ve been reading about stocks for a year now, still I’m quite scared.

    Reply
  106. Hi fehl. Im jessica, 23 y/o, I wanna start to buy a stock in. Jolibee or SM PRIME HOLDINGS INC. Currently I’m in Los Angeles, and I wonder if how can I buy stock online andhow can I monitor it. Can you recommend things that I need to do? I am so grateful that I found your blogs about investing and I wanna try it as soon as possible. Its inspire me to try investing while I’m reading your post and its always better to have back up plans for the future, working alone are sometimes not good enough specially if your helping your family. And can you help me to pick a great companies to invest with? Or to buy a stock? Its gonna be my first time trying this things so I will need your help. 😉 thank you so much…

    Reply
    • Yes, we shouldn’t put our eggs in just one basket. Diversification and wise spending are good keys in building wealth. Yes, you can invest and buy stocks online by opening an account to accredited online brokers. I have also posted the list of accredited brokers here in philpad. Just see them in the MONEY category. These brokers allow foreigners too. If you are not in the Philippines, I think you can still open an account by providing them the requirements. I suggest you choose an online broker now and contact their support as they know the complete requirements and conditions if you are abroad. They will be happy to assist you. If you will go home in the Philippines that is much recommended too so you can sign papers and fund your account easily. If it’s hard for you to open an account while you’re in LA, you can ask a family member or relative (you trust) here in the Philippines to process things on your behalf maybe.

      There is also another way (alternative) to invest in stocks. It’s through Equity Funds. Mutual Funds and UITFs in Equity Funds are purely in stocks. So you can try them too while you still learn about directly trading in the stock market. In MF and UITF, you don’t need to monitor and choose the companies you will invest stocks with as these funds are already managed by experts (fund managers). Their performance I could say are safer and produce higher returns since you don’t need to be confused and monitor things anymore. Maintaining an account long term (3 years or 5 years) could give you much profit. In millions if you really invest that good. Oh sorry my reply went so long here. LOL I’ll put more post about UITF and Mutual Funds here soon. Thank you for reading. I’m glad to share useful stuff here. 🙂 Mabuhay!

      Reply
      • I will be happy to read your post 😉 even if how long they will be… 😉 I’m so grateful to you because your helping us “newbie” in this investment stuff. And your helping us so much. Thank you for sharing your ideas… I’m jut a bit late reading your post cause I just went for my vacation there in the Philippines a month ago… and I’ve been there for 2 months. O well but its never too late to invest. 😉 I will try all your recommendations while I’m starting and learning. Thanks a lot… god bless you fehl for doing a good deeds for us.

        Reply
  107. Hi Ms. Fehl! Much as I want to invest I cannot since I do not know the workarounds of the business world and of the stock market. Well not until I read your article. I have a question though, if for example my initial investment in a certain company is P5,000.00. Does that mean that I have to pay the company P5,000.00 every month until I sell the stock I own? Or can I just pay P5,000.00 and come back say after 10 years? I don’t know if once I own a certain stock I’ll have a monthly/yearly obligation to pay the company. You see I’m still in my second year of med school, so my only source of money is my monthly allowance. if ever I could only pay P5,000 every 8 months or so, depending on my expenditures. I hope you could help me with my dilemma.

    Reply
    • Hi Henry 🙂 Thank you for the great comments here! If you choose the PCA or EIP in investing in stocks, investing 5000 is not required every month although it is recommended you continuously do it to let the PCA work for you. Investing is not an obligation, it is an opportunity. You are not required or obliged to invest an amount every now and then but it would be smart and wise to know how and where you put your money. If you will invest 5000 every month in a blue-chip company or well proven company in 3 years then stopped, your stocks are all yours and you can do anything you want. After 5 years or so, you can see they have increased their value so you may sell them. In investing you should have 3 things – knowledge of the thing you are getting into, time (as to when you will buy or sell) and money.

      Reply
        • There are many ways to invest money – through stocks, UITFs, Mutual Funds, Real Estate and etc. If you chose stocks, you have to know the basic knowledge about it before you invest. I suggest you open an EIP account in Col Financial or BPI once you are ready. Then experience would teach you more. 🙂

          Reply
          • read books first 🙂 knowledge is power. ms fhel might give you insights which company you’ll invest with but u MUST know how to position yourself. information is important too. about the company you’re going to invest witt might as well the track record of the company. i suggest you buy books. or watch online. 🙂

          • Investing is a serious business. It needs a mountain of knowledge and experience to start one. I’m glad to share something about the concepts to encourage everyone it’s not that scary to invest. Thanks for your tips. God bless 🙂

          • agree 🙂 what is scary is the lack of knowledge. hey madeloiselle thanks for this site 😀 honestly most of the site that ive been reading is not that applicable in our country 😀 glad you started this one. tip: try mining industry guys 😛

          • It’s a pleasure. 🙂 We live to learn and learn to live 🙂 Mining companies are interesting too since they are only few. 🙂 Have a great day AJ!

          • gotta good news for seaker of short term higher yielding investment aside from banks. 🙂 our gov’t have issued a 20b T-BILLS. effective on aug 5 2013. you guys can start buying them now 🙂

          • Please Advise which 3 stocks should i acquire for long term, 10 yrs putting money and additional 10 yrs to grow my money.

          • i have questions,

            1. can i invest in stock market one time only. like 5000pesos this 2013, and then 5000 again in the succeeding years?

            2. then for instance i invest in stock continuous consecutive months for 5 years, lets say 5000pesos per month, can i get back my share including the interest or dividends in cash?

          • in response to question # 1. yes. you can do that. you see stocks is like putting your money into a bank. the difference is stocks will give you limitless possibilities of earning (not like most banks which offers you .25% only) . the down fall is: you might lose all your money (but the good news is: you can buy books on how to invest PROPERLY) 🙂

            for question#2 you can have your money back. if you didnt lose ha 😀

            hey miss fhel i suggest you have a chat box for this site 😀

          • 1. Sure you can invest whenever you want to as long as you have the fund and you know what you’re doing.
            2. You have the full control in your shares and funds if you have an account and you have the control too when you want to redeem your fund. You can sell your stocks at the time you already want them to. If you are eligible for dividends, you can get them too.

  108. Hi Ms.Fehl! You wrote a very good article. It opened up a lot of minds when in comes to financial literacy. I’ve thought a long time ago to invest my money in the stock market but I don’t know how to start. I really don’t have a clue what to do first to invest my money. I’m still a student now but I can save up my money to buy a stock. I hope you direct me in some way Ms.Fehl. A response would be appreciated and very helpful for me. Thank you.

    Reply
    • If you read my article about “How to Buy, Sell and Trade Stocks in the Philippines Stock Exchange/Market” you would know some idea. I think I’m gonna make another post about it here soon for beginners as there are lots of queries like yours 🙂 And I’ll do my best to make it easier for y’all to understand. I hope I’ll see you there soon. In the mean time, read my post under the MONEY category so you can learn more. Thank you and God bless 🙂

      Reply
  109. hi Fehl, first time kong nakapagbasa ng tungkol sa investment, cost-averaging, mutual funds and UITF na naintindihan ko. you did great in showing examples, and it was more effective with “images”. even the thread of question and answers are helpful in building knowledge about investing. I would like to start investing next month with BDO UITF, that is my first choice and I am glad that you have also tried it. my questions are:

    1. for example i am investing via UITF with BDO on a monthly basis, say 5000/month for 3 years, and i failed to deposit once, or twice, what will happen to my investment? is there any penalty?
    2. is it possible to withdraw your investment in case of emergency? what are the risks?
    3. first time ko p lang mag-iinvest, and syempre may takot din ako, so i would like to ask: wala bang insurance ang peso-cost averaging?

    Thanks so much Fehl, i’ll wait for your reply. =) God bless!

    Reply
    • Hi, Girlie 🙂 I’m so glad you find this article so useful. Yup, I’ve opened UITF EIP from BDO last Feb. and I’ll open one again of their Equity Fund (not EIP) this June. For your questions here, these are my replies:
      1. Right now, that’s called EIP (Easy Investment Plan) as you can invest monthly. You don’t need to deposit personally to the bank for your monthly investment because the money will be debited automatically. It’s ADA, auto debit arrangement so you cannot miss a thing. All you need to do is make sure you have enough funds in the savings/checking/or payroll account you maintained that is tied to your UITF account.
      2. You can withdraw/redeem your funds anytime but make sure not before the holding period unless you want to pay early redemption fee. Always check the NAVPU so you know if you incur profit or loss upon redemption. NAVPU is available on BDO’s website.
      3. Not that I know of. In investment, unlike savings, you may win huge money or lose some. Nobody really knows what the economy and companies will be. It’s always risky. You must be brave and patient.

      Reply
      • hi Fehl,
        wow, ang bilis mong mag-reply. i like it… i have read your blog about the procedure in opening your UITF account with BDO. maybe i’ll try the EIP first, testing muna… parang learning while experiencing. then next year when my finances are a little more stable, siguro mag-e-explore ako ng iba, pwede namang marami at iba-ibang UITF diba? basta kayang pondohan. thanks ulit, ha. sana lagi kang available to answer our questions, you’re so nice. =)

        Reply
        • Hello again Girlie 🙂 I try to reply even things get busy… It’s a way of thanking you guys for always reading my posts here. I’m glad you will try UITF in Equity. I believe in it so much so I’m planning to maintain the EIP for 5 years. I know it would give me more than SSS or other retirement benefits as it is involved with stocks. UITF in Equity Fund and Mutual Fund are advisable to be long term anyway 🙂 Cheers! Yup, pwedi madami as long as you can maintain them and don’t forget about the risk. I’m gonna post about Mutual Funds and UITF more in the coming days. See you there! 🙂 Have a nice day, sis!

          Reply
  110. Hi

    had a great time reading your post, much easier to understand 🙂

    ma’am, im still troubled with some questions in my mind…. hope you can help me…

    1.is it posible to lose all your invested money in MF or UITF(and you cant get kahit single penny sa ininvest)? or the worst thing could happen lang ay hindi kumita yung money?

    2. Yung sample nyo po above? Monthly investmest of 5ooo for 10 and more years and become a millionaire…. Sa MF po ba yun or UITF? kasi, parang nakikita ko po , 1 , 3, and 5 years lang usually yung may percentage sa mga MF and UITF?

    3. PCA… applicable lang po ba ito sa UITF? how about sa MF

    4. Bakit po mas mahal ang unit sa sa UITF kesa sa MF? ex 6 pesos sa MF tapos sa UITF 3oo plus na po value ng isang unit

    5.for equity fund po ba, ako ang pipili kung san ko like ibili ung money? or bahala na po yung fund manager kung sang company nya like invest yung money ko

    6.. if i will start investing 5000 per month for 10 years by investing it UITF (without widrawal) will give me millions in the long run? tama po ba?

    hope you still have time to answer my querries to enlighten me… Thank you in advance ma’am Godbless

    Reply
    • Hello there. I’m glad you like the article here. I’ve just shared the concept of how to be a millionaire by investing stocks. Here are my answers to your questions. These are just my insights 🙂

      1. Investing can incur profit and loss however to Mutual Funds and UITF, it is less likely to happen to go bankrupt because as an investor for sure you choose the proven companies with great track records. Fund managers are experts and they monitor the market and the economy. There may be crisis every now and then, but as an investor, you invest anyway. 🙂 The secret is to invest to proven companies where they will exist rain or shine.

      2. My sample from that you were referring was investing in stocks, assuming you invest to big and well performing companies and assuming it grows by 10% per year

      3. You can apply the PCA method on UITF and MF offering easy investment plans.

      4. It depends upon the Fund. See their historical graph so you know how they appreciate and depreciate in value. Look for the fund performance in Bloomberg or the PSE

      5. Yes, the fund managers do that task. As an investor, you should know what, why and how things work. So it’s important you check about the fund itself and their past performance reports. Those reports are available online or you can ask your fund manager. From those reports, you can know the strategies, graphs, and participating companies where your money is invested.

      6. You are investing and trading, not saving. Meaning, there is no guarantee. However, choosing the right companies to trade with can really give you that profit. If you’ll choose UITF, there are many kinds of them. I just gave Equity Fund as an example because the topic was about STOCKS.

      I hope you find this useful. What can I advice is, investing and trading can really provide wealth and profit however you must have 3 things aside from money: basic knowledge, risk tolerance and target time as to when you will redeem your fund or sell your stocks. Don’t be afraid to invest and don’t be greedy too.

      Reply
      • Hello maam my wife and i just opened an account on BDO Equity UITF . Is it wise that we will drop down 100k pesos each or just do a monthly. Both of us enrolled for bdo equity uitf. we’re leaning on having a one time payment of 100k eac im an ofw btw. Thanks for the advise

        Reply
        • I must say it’s wise because you invested this Sept. when the market is down and you chose Equity Fund which is performing very well. Just follow your plan and target time (5 years or so) when you wish to redeem them and you’re good 🙂

          Reply
  111. I have read Bo Sanchez’s book entitled: 8 secrets of the truly rich and Colayco’s book: Pera mo palaguin mo.
    Now as I embark to manage my money well I am searching for best mutual fund to invest my not so huge amount of money saved through working for months…. any suggestions??????

    Reply
    • I like the concept and strategies of BDO Equity Fund. Plus the companies they participate with are well known and have impressive performance. I suggest you try UITF in Equity for it involves stocks. It is so easy to apply because you apply on the bank and you can redeem then on the bank too. I also suggest you must have a target period when you will redeem your money. Don’t be too greedy. Try 6 months at your first time or if you are more aggressive, try a year. If you want more, try 3 years 🙂 Anyway, the stockmarket has been doing very well now. Try 6 months at first 🙂

      I opened an Equity Fund account. I’m gonna make a post about it here soon. I hope to see you there 🙂 God bless!

      Reply
  112. hi, i am just wondering while reading your post. I dont have any idea how to invest stocks and everything here. i wanna try and make money on it but really not sure how to do it. pls help me. tnx

    Reply
    • Yes, I’ve made another post about trading stocks in the Philippine Stock Market. Check out the Related Articles at the bottom of the post. You can also subscribe to us to receive our latest posts as we will add more topics under that subject. Thank you and God bless!

      Reply
  113. Hi Fehl,

    My wife and I are both 48 years old now and have about a million peso in the bank sitting in the special savings account for one year now (it started as a 100k-peso monthly deposit until it grows to a million), started a US$5000 in investment fund last September 2012 with PhilAm Life and 500K-peso investment (50K-peso-a-year investment for 10 years, maturity:10 years) but have a managed fund with Pru Life UK for almost 10 years now which have an almost 4-year arrears of around 100K pesos ( the account is still ‘IN FORCE’ ). We also bought a 2-bedroom condo unit along Shaw Blvd., Pasig payable at zero-interest for 5 years which we hope to be rent out after it is finished constructing in 2015. We’re not really sure if we are doing it right. Do you think it is still a good idea to invest in stocks? We need help from people like you who knows a lot about managing investment. Can you refer us to a trustworthy one?

    Rey

    Reply
    • I think you are so in good hands 🙂 Philam Life has been one of the best companies for investment and insurance. It sounds like you are in the stage of your life when your kids are all stable and you and your wife are just enjoying everything. You diversify your money so well and I adore you both for that. The condo investment is a smart move too since Shaw Blvd is a business spot and the place is accessible and near to other active places in the metro. You can just use the rent income to pay the monthly dues when it’s been occupied. I know lots of people are doing that 🙂

      I think it’s always a good idea to invest in stocks, just make sure you pick the right companies. Trading is always dangerous so the trader needs to know more of the stock market and the economy, monitor it regularly. It’s a full time job. So I suggest just invest and just trust the strategy of your fund manager whoever that is. I honestly am no expert but the big banks in the Philippines are always reliable. Ask about their Trust and Investment products. Try BPI, Metrobank, BDO and oh PNB (because it acquired Allied recently). You can also check out their Monthly Performance Reports online to know more of their holding companies. You have tried Philam, Sun Life is also an ace. If you wanna be aggressive and love to dare something new, start to invest alone by buying stocks online from a trusted broker and just build your own portfolio. 🙂

      Have a fantastic day, Rey 🙂 Thank you for sharing your experience in building your millions. 🙂

      Reply
      • it seems like visiting philpad becomes a habit whenever i try to surf over the Internet 😉
        ms fehl, do all the companies who are listed in the PSE or any other company who offer stocks/shares give dividends? can you give an example & exact figure? for example with jolibee, how much did you get let’s say last year?
        i also have a query about my grandfather’s (still) active stock in a company (Marcventures), which i only found out a week ago. do we as grandchildren have a right on those stocks? can we claim it? thanks a lot!

        Reply
        • Wow, I am so thankful visiting Philpad became a habit for you now. Please subscribe to us so you wont miss any of our new posts. Dividends are only given when the company decides to give them. It’s not every year though. It depends upon your stocks too. For a starter, maybe just hundreds of pesos. haha Regarding claiming of stocks, yes you can claim them if they had been given or handed on to you. You can ask your grandpa to transfer them for you too on your account so you can start trading them too.

          Reply
          • howdy?! ms. fehl, my grandapa already passed away more or less than 20 years ago while my dad had died on 2009… it just means that my grandpa’s stocks is approximately 20 years old. i only found out about it just recently over the Internet when i searched his name (wala lang kasi ako magawa nung time na yun hehe)..
            i think his stocks if i am not mistaken is 120. how much do you think its worth at present? how can we claim it? my father by the way has 2 sisters…

          • It depends upon the company where he got his stocks. You can check the value of stocks at PSE official website or check it at some sites like Bloomberg. You can see there useful information like stock graphs daily, monthly, yearly. Company losers and gainers and other stuff like Stock Market and Financial news. Should you wish to claim it, you need them to be transferred to you or you can just ask a broker’s assistance with everything you need. If the stocks are big and the company is well known, why not keep them still and let them appreciate in value more? hehe If you wanna keep them, start to transfer them on your account. You need a broker 🙂

  114. Wow, this is awesome, Fehl . Cheeky Girl has stocks in Apple already. She is not stupid. Stocks can be tricky and go down, as her Apple shares dipped recently, but they are still incredibly high, by recent standards. Saving and compound interest, they are a beautiful combination. And money lets the investor do many good things in the future. Time is everything.

    Well done on yet another wonderful fact laden article, Fehl 🙂

    Cathy

    Reply
    • Hi there beautiful lady! Wow she has stocks in Apple? I’m not surprised hehe Curly works in a Hedge Fund company and she knows a lot of stuff and people in the field of finance. She is so financially literate honey. I made this post to open the eyes of people especially Filipinos to know more about investing and building their wealth. There are a lot of people here who just depend on their savings and little pension; some even don’t have one. Many Filipinos only earn the minimum wage, but that’s not an excuse to stay like that forever.

      I hope they read the post from start to finish. 🙂 Thank you for visiting and leaving your comments. Mwah!

      Reply
          • i dont mind if im the second one to post this..
            will you marry me too..XD
            this may be easier to be a millioner,,hahaha,,

            thanks for the post,,now im pumped..been reading a lot about investment and now ill have a go…

            P.S. will you marry me too?

          • Holy shake! hahaha Thank you for reading my money articles. I hope you’ll come back to read more coz I will be posting more this week. Cheers to making millions and millions!

        • Hi there. If you read the article, you can either invest in stocks directly by having an online broker or by being an investor of Equity Funds because they focus on stocks. If you’re gonna choose online broker, it is important that it is accredited by the PSE. See the list of acceptable online brokers on the link I provided in the article above. Also it is important that you have basic knowledge in stock trading and stock market. If you’re gonna choose investing in Equity Funds, there are funds available on local banks here like BDO, Metrobank, BPI etc. All you have to do is open an account UITF Equity Fund or Mutual Fund in Equity Fund. This option doesn’t need you lots of expertise in knowing stock trading because the fund manager do the tasks or strategies.

          Reply
          • hi fel,..just want to ask if ever i open an account whether its trading or long term investment, how can i convert my account into cash or sale the shares that i have?in case i want to change stop on investing stock?…tnx for the article,..

          • If you sold your shares, they will reflect on your account and portfolio. You can link your bank account so your proceeds will be credited on your bank account hence you can withdraw them. Everything can easily be done and everything is safe as long as your online broker account/trading account is accredited by the PSE.

          • tnx again fel, i hav another question. since my job is contractual, and it might not be possible for a continous payment monthly, is there any chance that i can make an adavance mode of payment, lets say for a 2 yrs or 3 yrs.? and in case i want to sell my shares, is there any specific length of time before it can be sold and link it to my account?are there any deductions on the side of the broker, like commisions or something.?

          • You can also invest in one-time (single payment) not using the PCA or per month strategy. You can either do that on trading directly in the stock market or investing in Mutual Funds and UITFs. To learn more, read our posts about them. We have separate posts on those topics here at Philpad 🙂 Just browse under the MONEY category.

            There is no specific time as yo when you should sell or buy shares. Only an investor knows that. It’s about one’s own strategy and timing. And it all depends on your goal. Like I said, every investor has a target. As to fees, yes brokers charge small fees on different transactions. You can see them on your broker’s account. There are also small fees like redemption fees for Mutual Funds and UITFs. You are welcome to ask anything here. 🙂 I’m happy to help the best way I can 🙂

          • Mraming salamat sa reply Ms. marifel…i’ll try to understand the best i can…appreciate ur help with beginners like me…many tnx again..gb…sna lng hindi ka mgsawa sa pagsagot…slamat

        • That is a worst case scenario. I don’t think a huge broker like COL would close. If they would, they would surely transfer their services and accounts in the hands of PSE or other brokers

          Reply
        • Hi Eman! I recommend you study first about these investments and then decide 🙂 I suggest you start with Mutual Funds then study about investing in the stock market

          Reply
    • Hi po! I am motivated talaga. Hehe. Can we be friends? Dami mong alam. Hehe. Continue to share your knowledge! God bless.

      Reply

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