Personal Development, Finance and Investing For Filipinos
An investment in knowledge always pays the best interest. Financial Education is your best investment.
If you're looking for a shortcut to build wealth, you have the wrong spirit. It's built gradually, layer upon layer.
As what Warren Buffett said, "Never depend on a single income. Make investment to create a second source." In fact, there are three types of income you can generate:
Earned or Active Income
A type of income that is generated by working or trading your time.
A type of income generated by selling an investment at a higher price that you paid for it. It is also know as "capital gains."
A type of income that you get from assets you have purchased or created. An income you earned without trading your time for money.
Remember, it's not your salary that makes you rich, it's your spending habits. Learn how to save and then invest your hard-earned money. Here are some of the investment options that you may consider.
Although the interest rate from a bank savings account is low (Gross Interest Rate Per Annum 0.25%), it is still better than keeping your money on a Jar or a Piggy Bank.
Time Deposit Account
It is almost the same with bank savings account. The difference is it has a certain timeframe also called maturity when you withdraw your money. You need to wait the maturity period to earn the interest.
Stock is a type of security that signifies share/ownership in a corporation. History proven that investing in quality stocks can provide greater returns than most investment instruments. You can make money in stocks by "Price Appreciation and Dividends."
It is the practice of funding a project by raising monetary contributions from a large number of people. If you are looking for a crowdfunding here in the Philippines, you may consider Philcrowd, Cropital, and Farmon PH.
It is a debt investment in which an investor loans money to an entity (corporate or governmental) which borrows the funds for a defined period of time at a fixed interest rate. Visit your trusted bank for more information.
It is a pooled funds, affordable investments, invested in a basket of securities, professionally managed and instant diversified. You can choose where to invest your funds: Equity Funds, Bond Funds, Balanced Funds and Money Market Funds.
Exchange-Traded Funds (ETF)
A Mutual Fund that can be traded in a stock exchange. It is a marketable security that tracks an index, a commodity, bonds, or a basket of assets like an index fund. Unlike mutual funds, an ETF trades like a common stock on a stock exchange.
Stands for Personal Equity and Retirement Account under Republic Act No. 9505. It refers to a voluntary retirement account estalished by and for the exclusive use and benefit of the contributor for the purpose of being invested solely in PERA investment products in the Philippines. For more information, visit BDO, BPI or your trusted banks that are already offering UITFs for PERA.
SSS P.E.S.O. Fund
The SSS P.E.S.O. Fund (Personal Equity and Savings Option) is a voluntary provident fund offered exclusively to SSS members in addition to the Regular SSS program.
Through this program, members who have the capacity to contribute more are given the opportunity to save more in order to receive higher benefits in the future.
Modified Pag-IBIG II (MP2)
The MP2 Savings Program is a voluntary savings program for members who wish to save more and earn higher dividends than the regular Pag-IBIG Savings Program.
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ABOUT THE BLOGGER
Hi Ralph here! You can also call me, "Rap." I was born and raised in the Philippines. I am a Personal Finance Advocate. An I.T. by Profession. An Investor. A Business Minded. An Introvert. A Photography Enthusiast. A Travel and Personal Finance Blogger (Lakbay Diwa and Kuripot Pinoy). A Traveler. An Adventurous. A Mountain Hiker. A Dreamer.
Currently, working my way towards time and financial freedom.