Talley

Does anyone have the figures of Sun Life's and Philam"s performances on their Peso mutual fund?

You may find the figures here : http://www.icap.com.ph/factsfignavps.asp

Congrats sa lahat ng mga may GMA shares. Up 2 pesos ang common shares and up ng 2.50 ang PDR's... Woohoooo....

can someone enlighten me about fees of uitf vs mutual funds. medyo nalilito lng ako. is sales load of mutual funds a one time thing or charged even when you make additional investment. also are they taxable? which is better investment assuming uitf A and mutual B will give a similar YTD return .

For Mutual Funds, the sales loads are charged every time you make a placement. For example, you make an initial placement of 10,000 pesos; if you're sales load is 2.2%, then you will be charged 220 pesos and your net invested amount if 9,780 pesos. Now, if you make another placement, let's say for 20,000 pesos, a couple of weeks later, then you will be once again charged 2.2% For UITF's I defer to Dr. Pepper's explanation above.

On taxes, most MF's are already taxed at the source so there are no additional taxes. (Feel free to correct me here.)

On which is better -- it would have to depend on what you are looking for. For some people, UITF's are better, for some, MF's. Assuming a similar return, a person's choice would be determined by the following:

First, accessibility. If you live near a bank branch or have a neighbor who deals in MF's, it makes investing much easier. This is because it becomes easy to deposit or withdraw if you can easily talk to your agent. Bad trip ang fund, no matter the performance pag hindi mo naman makuha pera mo. Imagine if you live in Fairview tapos taga Alabang agent mo.

Second, minimum placements. Some funds have high minimum requirements and long holding periods. Find a fund that fits your budget and your timeline. If you can't afford a fund, wag mo ipilit.

Third, risk profile. Some funds carry more risk due to the nature of their placements. So, if I had two funds that gave the same return, I would pick the one with lower risk.

Hope that helps.

Hold on to your seats. With the Dow falling another 200 points, expect the local market to fall again. GMA IPO should be interesting as spooked investors may try to unload early. Big question mark now for PNB and Anchor Land offerings.

Hi.

 

I subcribe to ATK a GMA stock ok na kaya yon??? since paano malalamn kung na grant yon subscription ko???

 

thanks!

You should know later today if your subscription was granted.

Market will surely drop today.

Bargain hunting time.

The extended versions of all 3 LOTR flicks. Watching them in sequence is an enjoyable way to spend half a day. hehehehe..

Anyone have any news regarding the bidding that took place today?

Who won? Who lost?

RLT is worth accumulating at .65 or below...

The one pesos target is realistic but it will definitely be a bumpy ride...

XDA2

Nokia E90

While the Francswiss scandal may be over, rest assured that it won't be the last. As a financial adviser, I see dozens of these things every year and all I can say is that they ALL rely on two things in order to succeed : ENVY AND GREED.

ENVY : Imagine that you belong to a group of friends. You all have similar jobs, drive similar cars and live similar lifestyles. Then suddenly, you see your next door neighbor, who used to carpool with you, drive by in a shiny new BMW series 7. Then, he invites you over to his house to watch original DVD's on his brand new plasma TV. His kids begin showing your kids their new IPODs and PS-3. Wouldn't you begin to be curious as to how he achieved it? Wouldn't you begin to ask yourself : "If he can get those things, why not me?" After all, deep down, we all feel that we are at least as good as our peers.

GREED : Once you do decide to place your money in these things and the initial returns start rolling in, it becomes very, very difficult to pull out. Take a look at all of these things and they will always encourage to keep your earnings in, if not add more money to your initial placement. Conversely, ask the ones who made money from these things and you will find that they made money because they cashed in early. They didn't let greed rule them and, once they made a nice return, pulled out and never looked back.

That then brings me to my next point : It is very hard to discredit these things simply because, at the end of the day, people do make money. Yes, in a way, those earnings are "stolen" from downlines but that's what makes it so easy to justify : You never see those people. You will never see the hardship they will then have to endure because they lost their money. Plus, you can always say that it's their fault for coming in late. And of course, will anyone truly return the cars / TV's / gadgets they buy with the money they "earn" from these things?

With all of that said, what are some of the easiest signs to check and see if what is being offered to you is a scam or not?

GUARANTEES : In most developed financial markets, it is downright ILLEGAL for a fund manager to guarantee returns for investment products. This is especially true if the investment involves stocks, forex, derivatives, options and HYIP's. Consequently, if an investment "guarantees" a return and they invest in any of the above, then that is one of the biggest red flags there is.

LACK OF TRANSPARENCY : If an investment cannot or will not tell you where your money is going, that is again another major danger sign. Legitimate investments make it a point to tell you where your money will be going so that you can be properly apprised of the risks. (This is how in countries such as the U.S., you can invest in products based on your religious and / or sexual beliefs. Yes, they have investments targeted for Jews, Protestants, Gays and Lesbians.)

UNREALISTIC RETURNS : In simplest terms, anything that offers to double or triple your money in less than a year should be looked at with suspicion. (For reference, most fund managers are considered good if they can achieve double-digit ANNUAL growth.) This becomes even more urgent if the return is "guaranteed". As many posters on this thread have said : "If it's too good to be true, it probably is."

In closing, for the people who made money here -- good for you (And I'm not being sarcastic here.) Just make sure you take care of what you earned.

For those who lost money -- learn from this. Either never go into these things again or make sure you get in earlier.

Follow on listing of VLL today...

Wonder how it will do? :thumbsdownsmiley: or :thumbsupsmiley:

Anyone here get any shares?

Nahihiya tuloy ako sa broker ko. Nabigyan ako kanina ng konting GMA shares. Finally! Its not much but at least he came through...

Congratulations... :thumbsupsmiley:

Pahirapan talaga GMA. At least this shows na your broker values your business... :thumbsupsmiley:

Hopefully, GMA performs better than AP.

Next week na listing nito...

Ang hirap makakuha ng GMA IPO!!!! Even my broker can't get any!!! Bad trip ito...

Hi,

Officially, every brokerage house will be given at least 450,000 common shares and at least 900,000 PDR's. Sure na yan. You can check the PSE's official website to see the memo.

If you cannot get any shares from your broker then it only means one of two things:

Either the brokerage house is keeping the majority of the shares for their own accounts. (Brokers are not legally required to give shares to anyone, they can choose to give it to whomever they wish.)

The brokerage has decided to give shares only to their bigger accounts. Again, it is completely up to the broker's decision who and how many they give shares to.

Bottom line : If you are not able to get any shares, it simply means na mahina ka sa broker mo kasi kung gusto ka bigyan, mabibigyan ka.

Yes, the system sucks but that's the truth. Your only other option is to apply via the Small Investor Program.

thanks for the reply,

 

i understand that all investemnet involved risk, between Mutual funds and UITF which among the two is more conservative when it comes with risk?

 

im looking for a long term investment (10 -15 years) lets say 150K pesos, am i better with UITF or Mutual funds?

Cheers,

Honestly, the risks of a bond UITF and a bond Mutual fund are quite similar since they invest in pretty similar instruments. The main difference would lie in the risk of the company running the fund (a bank or investment house) going belly up. To minimize this, go with the bigger institutions with good records. For MF's, Sun Life, Philam and the Ayala group. For UITF's, BDO, BPI and Metro.

cnong bangko ang nag oofer?

 

and how much is the minimum fund needed to open a mutual funds?

 

and also what is the interest rate?

Banks do not usually offer Mutual Funds. They offer UITF's (see separate thread). Investment houses sell Mutual Funds. Two examples are Sun Life of Canada and Philam.

The minimum for most funds is about 10,000 pesos.

There is NO FIXED / GUARANTEED return for mutual funds. You CAN LOSE a substantial amount of your principal if the fund performs badly. For 2006, if you had held your fund from Jan. 1, 2006 to the end of the year, you would have made anywhere from 6% to 76%. For this year, MOST funds are up but there is no guarantee that they can maintain their performance. ALL mutual funds carry risks and it is up to you if you are willin to accept those risks.

I started reading Robert Kiyosaki's "Rich Dad Poor Dad" last week. That's where I got the idea of investing in mutual funds. If there is a particular holding period, does this mean that I cannot withdraw my money during this period? Isn't that in contrast with the idea that you have ready access, and can therefore withdraw anytime, your investments?

Generally speaking, you can still withdraw your money during the holding period. However, you will most likely be charged a penalty depending on how long your money stayed in the fund.

Actually, if it's coffee or lunch, I'd prefer somewhere in the Ortigas area, take your pick of Galleria, Megamall, Podium, Metrowalk or any hole in the wall there. We just will not be able to indulge Jerzz' fishing adventure.

 

If your UITF is in fixed income, you should pull it out when you think interest rates are about to go up. If it is in a balanced or equity fund, pull it out if you think there will be a slump in the prices at the stock market. If you think you want to cash in on your market gain, cash it in; if you also need the money badly, redeem your UITF funds.

Hi Dr_Pepper,

Ortigas is also fine with me since I work in the area. Guess we'll just have to check when Jerzz is free.

Regards,

Talley

Merong trade na master ah Starts with F :evil:

 

Lets talk about this uitf when we meet together with my friend Talley

Hi jerzz,

Kelan at saan?

Long time no see....

Regards,

Talley

well... hmmm... honestly I smell politics in this one!

we all know that jaworski has plans of making a name for himself...

well... he's got his chance! if it was a hired hit... trust me it wld have been more efficient!

maybe gusto nya lang mapag-usapan as early as now...

after all medyo malapit na ang election...

Isn't this very much like what happened to Enrile decades ago?

Someone purportedly tried to assassinate him and that was one of the reasons for Martial Law.

What's even more disturbing is that his bodyguards fired indiscriminately into the air. Aren't they aware that their bullets will inevitably go down and they can end up killing someone? This is what happens when you get untrained goons as "bodyguards". True bodyguards fire on recognized / identified threats. They do not shoot into the air without any reason. Especially in a public area with lots of civilians. Sheesh. Irresponsible jerks.

I don't have 'my' UITFs, most of the UITFs are being managed by banks. There are several and different types of UITFs being offered, with big banks usually having several types to cover different types of investment objectives. The benchmarks for different UITFs depends on their asset composition, with fixed income funds usually having MART1 plus spread for a benchmark. For equity funds, they usually use the PHISIX as their benchmark. The object of most fund managers is to outperform the regular investment vehicles so the benchmark is also a moving benchmark. For fixed income funds, at this time a 6-8% p.a. ROI is the norm, and a lot higher for equity or balanced funds.

 

Normally UITFs do not give commissions but I heard that Mutual Funds gives commissions to agents.

Yes, the Doctor is correct in that Mutual Fund companies give commissions to licensed agents. As for referral fees, that would be between you and the particular agent. I don't think they're officially allowed to offer it though.

i have a question.

 

meron akng nakitang stock certificate sa haus namin. it as issued way back 1982 PLDT ang company at common share ang nakalagay at ang value nya P10. lang at 170 shares. Nabebenta ba ito? magkano na ito ngayon? kung ibebenta san ko ito pede ibenta? thank you

Good day,

The best way is to bring it to a stock broker para ma verify. Kung common shares nga yan, worth over 2,400 per share yan. Also, give it to a broker to have them run after PLDT for past dividends. Sayang din yung mga yun. Nag cash and stock na yan ng ilang beses since 1982.

Kung wala kang broker, PM mo ko and I'll give you some numbers to call.

Have a good day.

Talley

si villamin asan?

 

si jack tanuan may anak sa csb 2 years ago

 

nakalan ko yun sa inter school bano pa

 

nakpag ncaa na

 

si manny victorino any news?

 

ed camus?

 

botchok delos santos?

Manny Victorino works in an office in Tektite sa Ortigas...

**************** WARNING ******************

I am by no means an expert nor do I play one on TV

************* END OF WARNING ***************

 

my take on the UITF vs mutual funds issue, based on my research...

 

Mutual funds:

1. managed by an investment company

2. stricter regulations

* governed by Investment Company Act of the Philippines

* regulated by the SEC; investment companies are required to submit regular reports to the SEC

* mutual funds professionals need to be licensed

 

UITF:

1. managed by the bank

2. less regulations

* no specific provisions governing UITFs

* banks are not required to submit regular reports

* bank personell selling UITFs are not required to be licensed

 

to doc, and others more knowledgeable than I...would you say the points above are accurate?

 

thanks.

urrabi

Good day Urrabi,

(Brief intro : As a realtor, stockbroker and registered financial planner, I create financial plans for individuals. Consequently, I deal in/with stocks, UITF's, mutual funds, pre-need plans and practically every financial product available locally. I also write a column for a local business paper on how people can invest their money.)

For the most part, you understood correctly. However, I must point out that the part about who is stricter or better regulated will definitely be open to debate. The main knock versus the SEC is that it is quite slow to act plus a lot of politics goes into the selection of the commissioners. As for the BSP, the main criticism is that it protects banks more than the individual depositor since most BSP officers are former bankers themselves and thereby hesitant to drop the hammer on their compadres.

As for the two products, the Philippines is practically the only country that treats them differently. This is because both products are what we term as "pooled funds" and operate pretty much the same way. Some differences though are the following:

First, mutual funds usually charge a sales load. By this I mean that they will charge the investor a certain percentage either when the initial deposit is made or when the funds are withdrawn.

Second, mutual funds do not usually have a lock-in period. You can add / subtract funds pretty much whenever you like. However, as I mentioned, there is a fee for either every deposit or withdrawl. (In some cases both.) Quite a number of UITF's have minimum holding periods.

Third, mutual funds can be availed of for as low as 5,000 to 10,000 pesos. I am not sure about UITF's but the ones I've dealt with usually have minimums of 50,000 pesos up.

Fourth, performance wise, they pretty much approximate each other. However, I believe that in recent years, mutual funds as a whole have performed slightly better than UITF's. Not by a big amount, but enough for those people who count every cent.

Fifth, people who sell mutual funds require a license while UITF's do not. What this means is that if you believe that a mutual fund agent misrepresented the product to you, you have the legal recourse of going after the person's license. By the way, that license has to be renewed annually. As was seen by what happened earlier this year, people who felt that agents misrepresented UITF's to them had no legal recourse as the BSP essentially said that it was their fault for not reading the fine print.

Bottom line : Neither product is inherently better than the other. It all boils down to two things : The skill of the management team running the particualr fund and what your financial goals / objectives are.

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Knights of the Old Republic II

Rome : Total War Gold Ed

Baldur's Gate Collector's Ed

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Mandrake,

Try going to http://www.uitf.com.ph

You'll see a listing of the different UITF products that banks offer.

That website is pretty handy as it gives you a pretty good idea of what's available out there.

Happy investing.