I received so many messages from people who want to put money away for retirement but are hesitant to invest in the stock market for different reasons. Many simply don’t know how, while others are scared of the stock market’s volatility. Luckily for us Filipinos, the government is implementing programs to help those who want to prepare for retirement. So far, we have the Personal Equity and Retirement Account or PERA, the SSS Flexi Fund for overseas Filipino workers, SSS PESO Fund for all SSS members, and Pag-IBIG MP2. In this article, I will compare two of these
How much should our investments grow each year? Most of us would answer that our investments should, at the very least, beat inflation. Despite the simplicity of this guideline, many investors do not really understand what it means. Or if we understand what it means, we do not know how to apply it to our investment strategy. For many of us, as long as our investments have positive returns, we’re good. Never mind if the said returns are barely able to cover inflation. In this post, I will reinforce why we should target to beat inflation
If you’re a parent like me, one of your most important financial goals is to save and invest enough for your child’s college education. Even though there is an emerging trend in western and developed countries of people opting out of college, we in developing countries do not have the same luxury. If we ever want to ensure that our children stay out of poverty, have high paying jobs (if they choose to), and receive a modicum of respect from society, they need to attend and finish college. Periodt. Not saving enough money for your child’s college education is the
After the initial excitement of having a US-based online brokerage account, readers messaged me asking what else they need to do to actually start investing through TD Ameritrade. They needed additional information and guidance on how to proceed. This post is to bridge that knowledge gap from account activation to buying the stock or mutual fund of your choice. I wrote this post because I thought that if there are people who took the time to write me and ask these questions, there must be others who have the same questions but didn’t bother to write. If you’re one of those
A great way for OFWs to maximize their earnings abroad is through investing. Instead of just putting their money away in a regular bank savings account, OFWs can instead make that money earn more money by investing. But not all investments are created equal. Depending on several factors, one option may be great for you while it is not so for another. In this post, I will share my analyses of common investment options for OFWs. I mentioned in the post How to Build a Strong Financial Foundation As An OFW that you need to be prepared, mentally and financially, even before
I think most of us would agree that Pag-IBIG MP2 is a great investment. It is one of the most popular investment instruments for both OFWs and workers based in the Philippines. Its popularity is due to the fact that Pag-IBIG MP2 is guaranteed by the Philippine government and has a higher dividend rate compared to other safe investments like time deposits, retail treasury bonds, and money market funds The MP2 is a boon to Filipinos who want their money to grow but are afraid to put their money in other, riskier investments. If you’re one of these people, this
A few months ago, I opened a TD Ameritrade account to invest in US index funds because I believe this would help me achieve my financial goals faster. I have my been buying Vanguard ETFs regularly since and plan to hold these investments for a long time. I’m also glad to say that my TD Ameritrade post received a lot of feedback from my readers and some of you were able to successfully open accounts while some were not due to restrictions set by the government of your country of residence. After sharing with you how to open an online
A lot of people are so excited to grow their money that they just jump into the game without proper planning and without laying a strong financial foundation that will ensure investing success. I know a lot of people (not excluding myself) who will immediately find a way to “invest” as soon as they have some spare money, without proper planning and due diligence because they want to grow their money right away. This is usually how people become victims of investment scams, become cash cows for the fat commissions paid to unscrupulous financial agents who take advantage of people’s
Those of us outside of the USA can only wish on the sidelines when Americans and those who have access to the US securities market talk about their plans on investing in some famous blue chip and/or tech stock or how they plan on putting their retirement money in a low-cost index ETF like the VTI (Vanguard Total Market ETF). Well, I’m not about to just read about these amazing investments and be content with my lot in life. So I scoured the web and intensely researched how I, too, can invest in the USA even though I am a
Updated on 03 September 2019 Many of us are already aware of the advantages of investing in index funds but are having a hard time choosing which fund to invest in. We are enticed by a dizzying array of index fund options, ranging from mutual funds, UITFs, and even an ETF, with their respective pros and cons. Although there are a lot of information available online, it is hard to sift through the hype. So I decided to conduct my own extensive and thorough research (I hope) and create the ultimate guide to Philippine index funds that is easily accessible and
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