Early last year (or I think as early as 2013), I began to take an interest in Personal Finance and Money Management. These are something that wasn't taught in schools (yet) nor from your parents but rather these are learned online (mostly) supplemented with some books authored by experts in Personal Finance like Robert Kiyosaki (Foreign), Francisco Colayco (Local) and the like.
While I took my sweet time (almost two years to learn the basics (and I'm still learning), I didn't realize that I am slowly wasting time to start investing early. While I'm used to save (and spend) my paycheck with all the basics, I wasn't able to start ahead. Why? I guess I set my first target too high that eventually I had to make some changes (for the best). Anyway, I was able to spread-out half of my savings to some financial instruments that will help me achieve my goals in the years to come.
During the last two months, I started investing in the Stock Market. Even with a little background on finance, I took the plunge and opened an account with COL Financial (Stocks). Why COL? Because its where most financial bloggers are entrusting their money with. While there are other reputable Online Trading Platforms in the country, I guess I'll put my trust with COL for the next couple of years. I won't divulge any information how much I invested but it grew by about 4% and I hope It earns more. While there are two (or more) ways to let your money grow in the Stock Market, I'll let the experts do their sharing (I'll do mine really soon) for now.
Taken from Google
After having my feet get wet in Stocks, the next is to choose which Mutual Fund Company should I trust my money with. Initially, I am sold with First Metro Asset's Save and Learn Equity Fund (better known as FAMI's SALEF) because of its high return rate and low charges. But when I checked Philequity Management's Philequity Fund Inc (better known as PEMI's Philequity Fund) and compare it with the former, I got so torn I instead opened an account for both. As of writing, I have opened an account with PEMI and put my initial investment already (with some returns already) while with FAMI, I had to wait for my account number before I can place my initial investment (I have submitted all my requirements with them already. Anyway, we'll see who performs better for the next 3, 5, 10 years or even longer. In the end there can only be one.
Taken from Google
Even before I opened an account with COL, I am already in contact with one of Sunlife's agents regarding their Variable Universal Life Insurance product (better known as VUL). They gave me a proposal (Sunlife Maxilink Prime) which was hard to refuse (or even resist). Their offer was like a part of your payment will be placed in stocks or in bonds (or a combination of both) for the next ten years but I prefer to have it placed in Stocks for a more better return. I just needed some time to think about it before saying yes to their proposal. I also asked for a modified version which of course the payement changes as well (didn't matter much to me anyway). I also checked what Insular Life has to offer (their VUL is similar to Sunlife's) but I was more convinced with what Sunlife. Well I thought after signing with Sunlife, its all a done deal.
Taken from Google
But I have to undergo a Full Medical Exam to see if I am fit for their product (this means that my application is still pending and could possible be rejected and have my inital payment refunded). I only realized that its really best to get a VUL (or any life or term insurance) while you're still young and very fit to work. Just to be sure, I'm checking Philam Life's VUL as well as AXA and others. Its better to be protected than sorry.
When we went home to my folks over the weekend, I also considered putting my money in Unit Investment Trust Fund (Better known as UITF). Since we have an account with BDO for the past couple of years, I got to check what they offer. Under high-risk and high-return, I was able to take a brief review on BDO Equity Fund, BDO Sustainable Dividend Fund, and BDO Focused Equity Fund. Their returns are all good and at the same time, the NAVPU for Sustainable Dividend Fund and Focused Equity Fund are still affordable. I'll take time (not that long) to choose the best and at the same time, check other banks who has the best performance for Equity Fund.
Taken from Google
This year would also be my redemption against the 52-week peso challenge (50-peso version). Mid-way last year, I lost my battle as I wasn't able to temper myself back then and squandered all of what I saved from this challenge. But now I have already learned from my mistake and I have already revised my battleplan to conquer this challenge. It would still be the same mechanics like the one I posted a year ago.
Not taken from Google XD
Wait a minute. Except for the 52-week money challenge, all financial instrument that I am venturing into entails high risk (since its focused more on equity/stocks). This may not be for the weak of heart especially there is a possibility of losing all money that I invested. But, I hope it would be the other way around as I learned how to control money instead of the money controlling me.
I look forward to make my money grow not just for a year, but for the years to come. I hope you would try at least one of the financial instruments I'm venturing into, and this is for the long run. And also, sorry for the very long post. ^_^
Since early last year, I got interested with anything that has to do with savings, investment and anything that has to do with money. This was due to the fact that where I work right now gave me more than enough to save first for my daughter's expenses for the next 2-5 years.
Then it dawned on me? Why I did take this seriously only now? Why not ten years ago or 15 years ago or even earlier when I was still single. Even my dad taught me on how to save money in a bank even before highschool, yet I was on and off with having a savings account in banks.
The only reason I could possibly think of is because the amount of money I earn way back was not enough (in my standards) for me to allocate some savings. Also, I was in a stage where I wanted to enjoy more and make sure I have done that before settling down.
Although I was able to save several times, I have only end up to spend it until the last centavo. I did this so many times that I thought I won't be able to recover financially. Good thing I did recover and I was able to start saving up (seriously) last year.
When I got married to a Manilena (with an Ilocano Heritage), I had to make some little adjustments on saving as she kept reminding me to be thrifty and save. Although we had a joint account that we opened even before we got married, it was my wife who kept us afloat even there was a time that I didn't have a job and a daughter to raise for a few months.
Well, I'm not yet a Financial Genius nor an Expert but I'm starting to learn the ropes and hopefully, gain more than enough knowledge for me to grow old and happy and I'll make sure to pass on what I'll be learning to my daughter.
Actually, I've seen this challenge as early as last year but I wasn't able to give some thought into at and had my way of saving money for last year. Based from the person who started this idea, all you need to do is save up every week until you complete 52 weeks (equivalent to a year). You can do this every year until you were able to save-up for something that you really want or until you retire. Sounds Good? Wait till you see the results.
This challenge (52 week money saving) is really a great idea to start the year. The good thing here in this challenge is that the money you put in is compounded weekly so imagine how much you would be able to save in a year. Since I started working again last year (2013), I made sure to save up for my daughter's future that I almost forgot saving for myself =P (Well, my daughter's account is my account too until she's of legal age).
Just early tonight, I saw Kuripot Pinay's version of the 52-week money challenge. She has a point that there is no reason for us NOT to try this challenge and gain a lot from it. The only problem that I see is that not all of us earn the same. That means I'd add some variations to this challenge that suits almost all income brackets (I'm sure she's thinking of ways for this).
Here are some of the ways I've think of (versions) for the 52 week money challenge.
1. Kuripot Pinay's Version: In this version, increments of 50 pesos must be added on the succeeding week until you'd be able to save 2600 on the 52nd week (and 68900 over-all). That's a good amount of money which allows you to buy the things that you really want or put it in investment (or savings). However, you must be prepared for the 2nd half of the year as the amount you need to put in is a bit high (1350 pesos on week 27 onwards). Given that you really save and do minimize unnecessary expenses (plus making ways to earn extra), I'm sure you'll be fine. This bracket would be for me definitely.
2. The Student Version: Since you'd still be dependent on you parents (or legal guardian), I set the increment to as low as 5 pesos per week. Even workers earning minimum (or below minimum) can start here. This version puts everyone (almost) a chance to save-up.
3. The 10-peso Version: This one also covers students and low-income earners as its slightly higher than the Student Version. Looking at the the table below, I believe this is also doable and everyone should give it a try. ^_^
4. The Manager's Version: Or should I say I'd call this The Insane Version. This version is ideal for managers (I think) or those with lots of money to save while still contemplating whether or not they should start playing with the stock market. Businessmen can try this as long as their income stream won't be affected (Good Luck!)
I still have a table for 20-peso, 30-peso and 40-peso increments but I'll reserve it for now just in case ^_^. I'm sure the four options given are more than helpful for you to start.
And after 52 weeks, you already have the desired amount that you have been saving-up for the entire year. Its up to you on what you wanted to do with it. You may want to spend it on the dream gadget you've been eyeing for the entire year. Or a long vacation trip to recharge your body and mind and soul, knowing that you've been working long and hard for the entire year. Or better yet, you could do some readings on investing the stock market and put it there.
Whatever you choose, it's your money and you deserve to do anything with it. ^_^
