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Hi. Im in the 18-21 age group. I don't have much money and don't know anything about money aside from what it can buy and how important it is to an individual. But, having said that I would like to change things a bit and start investing on something aside from sports betting. With a budget of PHP 12000-15000 what are the possible investments one can venture into? Please go easy on me mates, I just want to put some money aside for the provebial rainy day.

 

After doing some research, I came up with the following options:

 

1.) Time Deposit

2.) Buy and sell of Pound Sterlings/Euro

3.) The staple Savings Account

 

Will be looking forward to your input. Also, I hope you keep the "business terms/language" on the low because the chances of me understanding them don't seem to look bright.

 

Thank You very much.

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Hi. Im in the 18-21 age group. I don't have much money and don't know anything about money aside from what it can buy and how important it is to an individual. But, having said that I would like to change things a bit and start investing on something aside from sports betting. With a budget of PHP 12000-15000 what are the possible investments one can venture into? Please go easy on me mates, I just want to put some money aside for the provebial rainy day.

 

After doing some research, I came up with the following options:

 

1.) Time Deposit

2.) Buy and sell of Pound Sterlings/Euro

3.) The staple Savings Account

 

Will be looking forward to your input. Also, I hope you keep the "business terms/language" on the low because the chances of me understanding them don't seem to look bright.

 

Thank You very much.

 

First off, what is your time horizon? In other words, how long are you willing to keep your funds invested without using it for some other purpose? Another thing is your risk appetite. The bigger the risk, the higher the potential return. What kind of risks are you willing to take. Forget the savings account, if ever, for the major banks, they only give you a measly .75% per annum interest. For the buying and selling of Pound Sterlings/Euro, what exactly is this? Is this a derivative or a straight trading of forex? Considering the amount, your best bets are Time Deposits, Special Savings Account, Retail Treasury Bonds, UITFs and Mutual Funds.

Edited by Dr_PepPeR
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First off, what is your time horizon? In other words, how long are you willing to keep your funds invested without using it for some other purpose? Another thing is your risk appetite. The bigger the risk, the higher the potential return. What kind of risks are you willing to take. Forget the savings account, if ever, for the major banks, they only give you a measly .75% per annum interest. For the buying and selling of Pound Sterlings/Euro, what exactly is this? Is this a derivative or a straight trading of forex? Considering the amount, your best bets are Time Deposits, Special Savings Account, Retail Treasury Bonds, UITFs and Mutual Funds.

Thank you for replying Mr. Dr.Pepper.

 

By time horizon do you mean how long am I willing to part with said ammount? Well Im thinking of 3 months short term/ 5 years for long term. The Php 12-15k are funds just for savings and invetments. Whatever profits I getr from it I will just invest it again and again. I think it's safe to say my risk appetite is "moderate". All my agressiveness goes to sports betting but that's a different story.

 

When I said buying and selling of Pound Sterling/EUROs what I ment was I will exchange my pesos to let's say EUROs when the rates go up, I sell it back to pesos and so on...

 

Allied Bank was offering me this "Allied Top Saver" thing. .80% interest + bonus interest if you don't withdraw funds. Withdrawals are limited to 2 times per month....

 

China Bank's time deposit have the best interest rate of 3.50% for 90 days but it's subject to 20% tax...

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man, you may want to check out uitfs. there are products in banks that can be interesting. some products have a minimum 30-day holding period (meaning, you have to at least "part" with your money for at least 30 days) and a minimum "investment" of 10K. then it's up to you if you want to "re-invest" it withdraw. i think doc pepper here is the main man regarding uitfs...

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dude, BDO (banco de oro) got some products (uitf) that requires a minimum of 10 gran. you might want to check out their PFIF & PBAL products.

thanks mate. I was having a chat with someone this lunch aout UITFs and he todl me that "hindi o lang basta pwedeng pabayaan yan parang time deposit kasi mauubos bigla yan" can someone shed some light into that statement? Was he implying that UITF are like stocks? You can buy or sell it at anytime to gain profits or cut your losses?

 

And whats a PFIF & PBAL?

 

cheers!

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First you have to ebar in mind na there is no investment that dont have risk. In IUTF and Mutual funds, parang stock market, nag babago value araw araw. If you invest now, there are chances na bumaba yung value ng fund mo or tumaas, depende sa performance ng fund managers.

 

Sa stock market you are actively placing orders to the company in which you want to invest. Sa Mutual funds and IUTF, you are giving your money to fund managers/ bank, and sila ang mag invest nun kung san yung sa tingin nila ay kikita yung pera mo, may it be bonds, stocks or t-bills.

 

if you plan on investing with IUTFs and Mutual funds, it will be better kung patutulugin mo sya ng 2 years above. Kasi kahit na nag flu-fluctuate daily yung rates, fundamentally it will go up in the long run.

 

BDO have IUTF starting at 10k min

Philequity mutual funds starts at 5k

other Mutual funds starts at 10k

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First you have to ebar in mind na there is no investment that dont have risk. In IUTF and Mutual funds, parang stock market, nag babago value araw araw. If you invest now, there are chances na bumaba yung value ng fund mo or tumaas, depende sa performance ng fund managers.

 

Sa stock market you are actively placing orders to the company in which you want to invest. Sa Mutual funds and IUTF, you are giving your money to fund managers/ bank, and sila ang mag invest nun kung san yung sa tingin nila ay kikita yung pera mo, may it be bonds, stocks or t-bills.

 

if you plan on investing with IUTFs and Mutual funds, it will be better kung patutulugin mo sya ng 2 years above. Kasi kahit na nag flu-fluctuate daily yung rates, fundamentally it will go up in the long run.

 

BDO have IUTF starting at 10k min

Philequity mutual funds starts at 5k

other Mutual funds starts at 10k

thank you for the information sir.

 

May naisip nako na strategy. maybe 1 year sa Time Deposit then UITF na.

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When i had the money like you, i invested it with Philequity funds. 10k miminum. That was around 4monyhs ago. right now value ng fund ko according to my agent is 10,850. not bad for 4 months no? Me increase na agd ng 850pesos.

 

Highest TD interest right now is PSbank at 6% per annum. thats 600php for 1 YEAR TD. Highest rural bank i've seen so far is Rural Bank of Paranque, double your money for 5 years, with interest of 20% P.A, but minimun is 50k, plus lock in period na 5 years.

 

Mas maganda Mutual fund, well at least para sa kin.

 

Better yet, attend Citisec Online, How to invest in the Stock market today seminars. Every Tues and Thrus 2pm - 6pm. You'll learn alot, they have student promo account minimum is 5k only.

 

check them out dude :)

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When i had the money like you, i invested it with Philequity funds. 10k miminum. That was around 4monyhs ago. right now value ng fund ko according to my agent is 10,850. not bad for 4 months no? Me increase na agd ng 850pesos.

 

Highest TD interest right now is PSbank at 6% per annum. thats 600php for 1 YEAR TD. Highest rural bank i've seen so far is Rural Bank of Paranque, double your money for 5 years, with interest of 20% P.A, but minimun is 50k, plus lock in period na 5 years.

 

Mas maganda Mutual fund, well at least para sa kin.

 

Better yet, attend Citisec Online, How to invest in the Stock market today seminars. Every Tues and Thrus 2pm - 6pm. You'll learn alot, they have student promo account minimum is 5k only.

 

check them out dude :)

thank you ver much mate. WOW! 5k and Im a student. Sounds bloody perfect to me. I can already fulfill my Boiler Room fantasy. :P

 

The Philequity sounds nice. Do they have a site so I can read about it more?

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Hey Alex, thanks for all the useful info. By the way, the PSE website has an investment game where anyone can play. You're given P1 million play money yata and can invest in any stock that you want. It's a good way to learn the ropes of the stock market.

 

When i had the money like you, i invested it with Philequity funds. 10k miminum. That was around 4monyhs ago. right now value ng fund ko according to my agent is 10,850. not bad for 4 months no? Me increase na agd ng 850pesos.

 

Highest TD interest right now is PSbank at 6% per annum. thats 600php for 1 YEAR TD. Highest rural bank i've seen so far is Rural Bank of Paranque, double your money for 5 years, with interest of 20% P.A, but minimun is 50k, plus lock in period na 5 years.

 

Mas maganda Mutual fund, well at least para sa kin.

 

Better yet, attend Citisec Online, How to invest in the Stock market today seminars. Every Tues and Thrus 2pm - 6pm. You'll learn alot, they have student promo account minimum is 5k only.

 

check them out dude :)

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ang gusto ko lang sa mutual fund pag sumadsad ang stock market di ka masyadong mayayari. subok ko na yan nung 1997 nako huwag na sana ma ulit ay talagang marami na dale, yung mga malalaki kumpanya nag ka pilay pilay... yung mutual fund ko buhay pa rin. matagal na philequity at matindi yan kahit pa sad sad ang market eh kumakana yung iba pag maganda ang stock market ok ewan ko lang pag bagsak ng market (huwag naman sana).

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Hey Alex, thanks for all the useful info. By the way, the PSE website has an investment game where anyone can play. You're given P1 million play money yata and can invest in any stock that you want. It's a good way to learn the ropes of the stock market.

I tried that pero kailangan sabay ka sa takbo ng markets. umaga palang naglalaro ka na hanggang noon-ish.

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Again, much thanks to all those who contributed to this thread. I am already imagining saying to my future son/daughter : "you know what all we have now just started with Php 12000, some calculated risks and help form some mates at MTC."

 

 

I realy want to start investing at a young age. I don't know about your lot but both my parents are not good financialy. Yes we have a wee bit money but, I believe that if both of them die right now (*knocks on wood*) I am lucky to have 1m after all the expences and what not. We don't live the frivilious lifestyle, we (mum,dad and me) don't have OUR own house nor even a car. Another reason why I hate extended families. So at a young age I learned how to, as the african americans call "hustle" in order for me to have some spending money and stuff but most of what I've done was PROFITABLE but Im NOT proud on what I did to earn "a quick buck". Now Im of leagal age its very risque for me to go back on my "hustle" because most of what I did is heavily punishabe by law. So now Im trying to do my best to make honest living and make some profit. Am quite a bit ashamed that I told you lot where Im standing up but I believe its part of the process of establishing ones self.

 

 

For the nth time, thank you very much for those who have imparted knowledge, tips and tricks on this thread. I hope others who are at the same page as I am pick up a couple of things while browsing this. Cheers mates.

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  • 2 months later...
Again, much thanks to all those who contributed to this thread. I am already imagining saying to my future son/daughter : "you know what all we have now just started with Php 12000, some calculated risks and help form some mates at MTC."

 

 

I realy want to start investing at a young age. I don't know about your lot but both my parents are not good financialy. Yes we have a wee bit money but, I believe that if both of them die right now (*knocks on wood*) I am lucky to have 1m after all the expences and what not. We don't live the frivilious lifestyle, we (mum,dad and me) don't have OUR own house nor even a car. Another reason why I hate extended families. So at a young age I learned how to, as the african americans call "hustle" in order for me to have some spending money and stuff but most of what I've done was PROFITABLE but Im NOT proud on what I did to earn "a quick buck". Now Im of leagal age its very risque for me to go back on my "hustle" because most of what I did is heavily punishabe by law. So now Im trying to do my best to make honest living and make some profit. Am quite a bit ashamed that I told you lot where Im standing up but I believe its part of the process of establishing ones self.

 

 

For the nth time, thank you very much for those who have imparted knowledge, tips and tricks on this thread. I hope others who are at the same page as I am pick up a couple of things while browsing this. Cheers mates.

 

 

10 to 12 K is good money to start a trading sideline. Buy any low price product and sell it. (just make sure that you monitor your money and don't spend it)

 

As this accumulates you might want to consider putting excess money for capital growth thru Pag-ibig bonds 10K min @ 8% per annum for 5 years.

 

Then as you continue your business regularly buy additional Pag-ibig bonds, until such time that you have a opportunity to use it for business or a more aggressive investment instrument.

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  • 2 months later...

pwede pa ba mag-invest dun sa Pag-ibig housing bonds ngayong 2008?

 

Yung sa Pag-ibig, LBP and DBP offices pwede pa ba?

 

 

10 to 12 K is good money to start a trading sideline. Buy any low price product and sell it. (just make sure that you monitor your money and don't spend it)

 

As this accumulates you might want to consider putting excess money for capital growth thru Pag-ibig bonds 10K min @ 8% per annum for 5 years.

 

Then as you continue your business regularly buy additional Pag-ibig bonds, until such time that you have a opportunity to use it for business or a more aggressive investment instrument.

Edited by D. Sanchez
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  • 2 weeks later...

hello redshirt,

 

regarding where to invest your money of 12k-15k, there are a lot of places where you can place that for it to earn a bit more money.

 

I believe that for a starting investor who really doesn't have much knowledge about financial instruments yet, you should place your cash into foolproof investments while you are learning the other types of investments available in the market. If i were in the same situation as yourself, i'd place the cash in a Time Deposit first while i am learning, then move myself up to UITF, Bonds and eventually stocks as i learn more and move forward.

 

and finally, since you mentioned that you're in the 18-21 age group, i suggest that you take your time. Don't rush things because you might make an uneducated decision and lose your red shirt

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  • 2 weeks later...

Hi. I don't know anything about investing. I want to save but I don't want to simply put my money in a savings account. Also I want something that is low maintenance, something that I don't have to frequently check. Which would be the best instrument - UITF, Mutual Funds or Treasury bonds? And what is the best bank to transact business with? Im planning to start with 10-12K.

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Hi. I don't know anything about investing. I want to save but I don't want to simply put my money in a savings account. Also I want something that is low maintenance, something that I don't have to frequently check. Which would be the best instrument - UITF, Mutual Funds or Treasury bonds? And what is the best bank to transact business with? Im planning to start with 10-12K.

 

"If you can wait and not be tired by waiting" --- try treasury bills/bonds..

"If you can make one heap of all your winnings And risk it on one turn of pitch-and-toss" --- try speculative stocks, forex, commodities.

 

if ur a newbie / apprentice like me... try to research muna. not much good news driving the market this year.

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There are RTBs or Retail Treasury Bonds that are offered by the Philippine Gov't. These are rarely issued, the last one had a 10% annual interest rate and 5-yrs holding period. Minimum investment was P5K. I think this was issued way back in 2006. But keep your eyes open and grab the opportunity if you can. Gov't bonds are supposed to have the lowest risk.

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  • 2 months later...

Hi Redshirt,

 

The time deposit rates are so low at present that you will hardly earn anything. I suggest that you invest your money in the fixed income or at least the balanced funds. Check the mutual funds association of the Philippines website (pls search for its website in google) for the definition. Afterwards, I would recommend that you talk to some guys from Sunlife. Sunlife has some of the better performing funds. But first, I urge you to check the definitions of the different funds (from the site) and choose the type of fund that you'd like to invest in prior to making an appointment with the guys from sunlife of manulife. Why? These people have a number of products (insurance, specially) and they will try to make you invest in insurance that is bundled with guaranteed returns. That will defeat the very purpose of your investment and make you spend more money than what you have. These salespeople are out to make money and commissions are higher on the insurance business, as far as they know.

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