How to grow your money faster the easy way

Two weeks ago, a friend came up to me after reading an ebook I wrote back in 2011 - Investing in Philippine Stock Market - A Quick Start Guide, which is designed for newbie investors.



She also knew about Truly Rich Club of Bo Sanchez being an attendee of The Feast and has actually already have investments in the form of mutual funds.

However, not satisfied with the growth of her mutual funds, she's now considering going one level higher - investing in Philippine stock market directly.

But as with the case of many, she doesn't know what to expect investing in stocks. When she told me she just wants to try it out, I asked her how long she considers doing it.

"Six months", she answered, adding that if it performs well, then she'll move the rest of her investments into stock market.

Geez.

As much as I wanted to encourage her to start stocks investing directly, I told her the truth that having such a short-term projection may not be a good plan. I shared that there's a possibility that the Philippine stock market can perform really bad in the next six months, but if she keeps investing even during those bad times to sound giant companies and have a longer projection, those bad times can turn out to be great opportunities. The difference basically lies in the time horizon of the investor.

I used to believe that stock market is a good place to park your money if you'll never need it within the next 10 years. In fact, in comparison, one chief operating officer of a mutual fund investment company in our country tells its prospective clients to consider at least five-year holding period for their mutual fund investments to grow. Obviously, this idea is not compatible with what my friend wants to do.

Now there's a way.

Thank God, Truly Rich Club style of investing has a way of doing it relatively quicker with its Strategic Averaging Method (SAM), still with not so much efforts for people who don't have the time to do all the analysis and just wants to focus on their day job or business. (You can read this blog for a description of this method.)

For example, in below latest update from the club, it tells of its profitable recommendation to buy one stock - DNL - for fifteen months after which was already advised for selling last May 9 after reaching near its target price. (You can check at the end of this post how it performed within this period .)

Result? 30-40% growth for those who followed.

This is notably a much better growth within a much shorter period compared to average returns and holding period of mutual funds.

Now you see one of the reasons why the Club shifted to this SAM from its previous passive way investing - to get the benefit of choosing faster giant companies to make your money grow faster than if you were doing totally passive investing (which takes years).

The shorter period - with selling after few months once target prices are reached - also allows the investors to secure and lock-in profits. This multiplies the earnings nicely.

So going back to the story, I shared this same note to my friend to give an option in her stage of "trying it out" (of course with the risks involved). I also said that I'm going to share to her the stock picks I receive from the club (through its stocks update) just in her experimental period. After all, the mentors and brains behind he club see incredible growth this coming 2015, so I think she could possibly ride on it. (If you also want to just try out investing in stocks, I invite you to join our seminar this June 28 and receive free stocks update too until the end of 2014 as BONUS to help you during your experimental stage).

In our facebook investing group forum - Investing in the Philippine Stock Market - Tips & Tricks, one will not take a long time to notice the main problem of many after already deciding to invest and opening a stock brokerage account: knowing exactly what to buy, when to buy, and when to sell. And all this "initial excuses" I believe can be solved by the stocks update of the club minus all the efforts of analysis. With this, people can just look at the buy below price and target prices to help them in their monthly buying activity (and selling when it comes). You can check this blog talking more about stocks update and stocks alert.

Read below update from Bo Sanchez:

***

Congratulations, TrulyRichClub Members—You’ll Get 30%+ Profit In One Stock!

My members are happy.

Last February 2013, I recommended to our TrulyRichClub members to buy the stock of a relatively unknown but great company that produces food ingredients. My simple advice was, “Buy small amounts each month.”

Since a lot of people didn’t know the company, they asked, “Jeepers Bo, I’ve never heard of them before. Why will I invest there?”

I explained, “Yes, you don’t know this company, per se, but you know the clients of this company. They’re the country’s biggest food ingredients provider, serving companies like Universal Robina and Jollibee.”

When we recommended this very profitable company last February 2013, its stock price was P6.45. After 15 months, it’s now P9.25. That’s a whopping 43% growth. (Note: To compare, your money in the bank grows at less then 1% a year.)

Some analysts believe that this amazing company will still go up, because it’s got a fantastic future; BUT because we’re very conservative, last week, I already asked TrulyRichClub members to get ready to SELL very soon if it reaches (or almost reaches) our Target Price. And I asked them to transfer their money to our other recommended companies that we believe still have lower prices, especially one specific company that’s into power-generation.

Oh yes, in the past 15 months of buying this great company, there were “terrible” months when the stock went down, and some asked me, “Bo, I’m freaking out. Gosh, I’m actually losing money!”

I smiled and said, “You may be losing on paper, but if you don’t sell, you’re not losing. Just close your eyes and keep buying small amounts each month!”

Today, my TrulyRichClub Members are a happy bunch. Because now, they see their nice profits and understand how this entire thing works.

They realize that investing in the Stock Market isn’t a quick-rich scheme. They realize that there will be terrible months when the Stock Market is really down and they’ll be terrified—but they also now know that it’s during those terrible months when they earn the most terrific profits IF they buy during those terrible months. And all they have to do is “close their eyes and keep buying small amounts each month”—and they’ll come out as big winners in the end.

My message? You have to invest every month for YEARS, and in due time, you’ll earn your MILLIONS.

Here’s why: Moving forward to 2015, I see incredible double-digit growth for MOST of our recommended companies. Oh yes, there will be the usual “terrible” dips along the way, where you’ll be scared and want to strangle my neck for getting you into this, but in due time, you’ll realize that these dips are when you make the biggest profits if you buy during that time.

May your dreams come true,

Bo Sanchez

***

There you have it. Exciting times is coming.

Hope this helps in your "aral muna bago invest" stage.

To end this, I always say that knowing what to buy is just a tiny component of investing and thus in designing one's financial life that's why I constantly urge people who ask me to really sit down and see the bigger picture of personal finance planning.

Did you know that going into investments is actually one of the last steps in drafting a comprehensive personal financial plan? At delikado pag puro investments lang??? Now you know!

Have fun investing (for faster growth),

oMeng

PS: Not yet too late for you.
Join us this June 28 (SAT) and INCREASE your financial literacy to make your own roadmap in achieving your life goals. Also find out how to PICK WINNING STOCKS with Pesos & Sense's Aya Laraya.

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PS2: Reserve your seat before May 25 and receive free Truly Rich Club's Stocks Update until the end of 2014 as added BONUS to help you in your "trying it out" stage.

Limited seats only so email pinoyinvesting@gmail.com for reservation.

Deadline of super early bird discounted fee of 2997 2497 1997 is this May 24 na so reserve your seat now.

PS3: See how DNL performed in the last 15 months below. Enjoy easy investing!

Should you avoid Buy-and-Hold?

Below article is the continuation from the last post - What ANIMAL are you in the stock market? - taken from Bo Sanchez' book The Turtle Always Wins.

This time, we'll learn about the ""Typical Investor" which basically covers those investors following a Buy-and-Hold strategy, represented by the animal Sloth.

Photo credit

At the end of this post, you'll also find out some inherent weaknesses of this strategy and how to address these limitations.

***

Sloth is an animal that sleeps 16 hours a day.

That's why I picked Sloth to represent the Typical Investor.

His main strategy? Buy and hold.

The Sloth Investor parks his money in a stock or mutual fund - and forgets about it. Usually, it's a huge amount of money.

Let me introduce you to Eddie.

When Eddie was a little boy, his mother taught him how to save in a piggy bank. When he grew up, he never forgot this lesson. At the age of 31, Eddie was proud to have P500,000 safely kept in a time deposit in a bank.

But one day, he read my book, 8 Secrets of the Truly Rich. In that book, Eddie learned about the world of mutual funds.

Eddie learned why he shouldn't put long-term investments in the bank. He learned that whatever little interest the bank gave, it would be eaten by a monster called inflation.

Inflation means what you can buy with P1.00 today, will cost you P1.05 by next year. Because the purchasing power of money decreases over time.

So Eddie called up a huge mutual fund company. He learned that there are generally three types of mutual funds: equity fund, bond fund and balanced fund. 

That week, Eddie plunks in P500,000 into the equity fund.

And he forgets about it. If it grows at 12 percent a year, in 30 years, when he's 61, Eddie's P500,000 would have become P15 million.

Not bad, right?

Eddie is the Sloth. He's your Typical Investor. Or what you call a but and hold investor. He buys and holds stocks for the long haul.

It's a good strategy.Not the best, but good enough.

Do I recommend it?

Only with certain conditions.

First Condition: Obviously, you need to have a sizable chunk of money to do this.

Second Condition: You need to buy a basked of great companies that you believe will be great for the next 20 years.

Third Condition: You have to buy when the market is down or flat. 

You see, the stock market is like a roller coaster. If Eddie invested his P500,000 at the "peak" of that roller coaster, his earnings would be much lower.

Fourth Condition: You have to reinvest the dividends.

If you reinvest the dividends, that's like adding to your investments over time, which is a bit like the Turtle Strategy.

The solution to the inherent problems of the Buy-and-Hold Strategy is the Turtle Strategy.

What's that? 

I'll explain it in more detail in the next chapter, but here's a sneak preview: 

If Eddie invested his P500,000 in the equity fund and it grew by 12 percent a year, he'd have P15 million after 30 years. But if he added P5,000 each month for the next 30 years, he's end up with P31 million!

Stock prices don't climb up in one smooth line. It climbs up in a jagged line, going up and down like the peaks of a rocky mountain range.

And some giant companies, because of unexpected turn of events, don't climb up at all.

But if you follow the Turtle Strategy, you'll still earn.

****

In our next post, you'll find out why the Turtle (Trained Investor) beats Sloth, and why Turtle can beat the Rabbit (The Trained Trader). You'll also learn the lifestyle principles of a Turtle investor you can follow.

Hang around for that future learning!

Have fun investing (with training),
Omeng

PS: You can also read this short account of Bo Sanchez sharing his actual experience of this Buy-and-hold thing. Click here to find out his reasons why he's not a fan of being a Sloth/Typical Investor.

 
PS: Our premier seminar loved by many is back!
Meet Aya Laraya of Pesos and Sense as one of our speakers in a unique blend of Personal Finance Management + Picking Winning Stocks seminar! Get more info here.

Biggest discount ends this Friday so reserve you seat now and avail the Super Early bird fee of only 2497 1997 1497! Send an email to pinoyinvesting@gmail.com to reserve your seat now! 

 

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What ANIMAL are you in the stock market?

Below is an excerpt from the book The Turtle Always Wins. It's a tiny book by Bo Sanchez relating a story about four animals pointing to four types of participants you  see in the stock market. It's also his second book tackling the specific subject of investing in stock market, the first being the My Maid Invests in the Stock Market... and Why You Should Too!

Find out what animal best fits you.

***

The Four Animals in the Stock Market

Let me introduce you to the four competitors in the race.

1. Squirrel, the Typical Trader

2. Rabbit, the Trained Trader

3. Sloth, The Typical Investor

4. Turtle, The Trained Investor.

Let's start with Mr. Squirrel.

Squirrel, the Typical Trader

Squirrel represents the newbie who gets into the stock market without understanding what he's getting into. 

Squirrel also represents the old-timer in the stock market like the uncle of Julius. He's never learned his lesson. He earns some and loses some. It's true that this uncle of Julius is a wealthy man. But Julius never asked this important question: Where did his wealth come from? He presumed it came from the stock market.

But that wasn't true. His uncle was a businessman. He earned his money running a big hardware store for the past 25 years. Here's the truth: if he wasn't trading foolishly, he would have been richer.

Squirrel represents the 85 percent of people who get into the stock market - and lose their money.

On Hot Tips and Penny Stocks

Squirrels want excitement.

They look at their stock portfolio every day. Usually, many times a day. They're ecstatic when they see their money go up. And they're depressed when they see their money go down.

Like the squirrel in my story, they have so much energy, these typical traders buy now and sell few days later. Sometimes, they buy and sell within a day.

And like the squirrel that doesn't follow the road, typical traders don't follow the rules. Because trading for them isn't a science but an art. It's all about gut and feeling.

At the end of the day, most traders are really gamblers. Sadly, they're using the stock market as their online casino.

As I mentioned above, 85 percent of people lose money in the stock market. (And that's a fact.) Because most people who get into the stock market are squirrels.

Squirrels also try to take a lot of shortcuts. They want to make a quick buck.

They hear a hot tip from an uncle or an officemate or a friend and buy the stock.

Sometimes, they earn a lot. When that happens, it feels like they're winners in the race.

But that's not really true.

Because growing your money isn't a sprint but a marathon.

At the end of the day, all that they earned in the past, they lose in a couple of bad trades.

Nothing is left.

Some Traders Are Devious

That's not all the bad news.

A few of these traders, like the  squirrel in the story, are devious. They fool other traders. He told the rabbit to sleep and he pretended to sleep, too - only to escape and run.

Some bad traders tell their friends to buy a certain hot stock, just so that the price will go up. Once it's up, they'll sell, leaving the others to hold an empty bag.

Yes devious squirrels may become rich.

But what kind of wealth is that? In the end they lose all their friends.  That doesn't sound very wealthy to me.

Here's the truth.

In the story, the squirrel got lost in the forest and was killed by a bear. Typical traders also get lost in their trading and get killed by a bear market (that's what you call a market that is going down).

And then there is Rabbit...

Rabbit, the Trained Trader

Rabbits are also traders.

But they're trained traders.

Most of them do nothing else but trade. Trading is their full-time job. For them, trading isn't an art but a science. They follow very strict rules.

Like what rules?
Trained traders don't touch penny stocks with a 10-foot pole. They only buy the stocks of giant companies.

Another rule? Trained traders don't put more than five percent of their money in a specific stock. So if it sinks, at least it's only five percent of their money.

Another rule? They never end a trading day with more than 30 percent of their money in the market. They don't like to be surprised. Trained traders are very conservative.

These very strict rules prevent two things: big losses and big gains. Buts that's fine with them.

That doesn't mean rabbits don't do foolish things. Even if they're trained traders, once in a while, some of them break thr rules. After all, they're still human beings. The temptation to gamble is still there - and with all the tools at their fingertips - they occasionally break the rules to earn the fast buck.

Are There Really Trained Traders Out There?

Is it possible to become a very good trader? Like the rabbit who actually finishes second in the race?

Yes. Sightings of these very rare creatures have been reported on planet Earth.

I know of a few of them myself.

For example, my stock market mentor has trained 40 plus highly skilled traders. He cherry-picked them from the best schools. He made them go through rigorous training.

My mentor gave his team of traders a modest goal: To earn 5% a month or 60% a year.

Why such a "small" goal? I mean, if these are great traders, shouldn't they be earning more - like 200 percent a year?

Because they're Rabbits. Not Squirrels. They follow rules - rules that prevent big losses and big gains.

I'm sure you know by now that I discourage anyone to become a trader, especially a Squirrel Trader.

But if some of you really want to enjoy the excitement of trading - to be able to brag about your stock market exploits to your friends - then be sure to be a Rabbit Trader.

Some of my friends have what they call "play money." It's 20 percent of their total money in the stock market. That's what they use to trade. But the 80 percent is what they use for long-term investments, using the Turtle Strategy.

So they're a crossbreed. They're 20 percent Rabbit and 80 percent Turtle.

If you want to do that, go ahead. But I urge you to study about trading seriously. Your play money is still money.

***

In market times like this, many are tempted to be trading.
Just like what's mentioned above, make sure you have the skills and knowledge that will make it work for you.

Have fun investing (or trading with strict rules).

Omeng

PS: January 9 is the deadline of  super early bird discount to our Practical Money Management + How to Win in Philippine Stock Market Seminar! seminar. Learn

• How You can PROTECT your capital in these times
• When You should take PROFITS
• When You should cut your losses
• How to Hunt BARGAIN stocks
• Know the STOCK PICKS for the year
• and a whole lot more! 

Click here for details and bonuses.

PS2: We'll have our free newsletter coming. Hang around for future announcements. :)

PS3: For beginners, start reading this book Bo Sanchez' My Maid Invests in the Stock Market... and Why you should, too!

What Kind of Future Do You Want?

Below is an excerpt from Bo's book Choose to be wealthy.
May this story remind us that we have the power to create the life we want.

Let's all use that power.
May the force be with you!
Enjoy the end of this week!

Photo credit

***

“Bo, we’re torn between loving my mother and loving my kids.”

My friend Pam was talking about her aging mother and her two daughters.

Her mother was 63 years old and very sickly. Since her father died, Pam’s mother has been living with her for the last two years.

“Bo, we’re not rich. But last month, we spent more than P12,000 for my mother’s medicines. Again! I wish my two brothers and other sister take care of her, too,” she

said, her voice trembling. “My husband doesn’t complain but I’m sure he doesn’t like it. We have two daughters and we sometimes can’t buy them things for school because of Mom.

Yesterday, my daughter asked me again if I could buy her a computer — but I told her, ‘Sorry, we can’t,’” she paused to breathe, fighting back her tears, “‘because grandma needs our money.’”

“Have you asked your brothers and sister to help out?” I asked.

“We fight about it a lot. Over the phone. Emails. I tell them to let our mother stay in their homes. That it’s their turn. But they tell me they can’t afford it, too.”

“I see.”

“Bo, the sad thing is that Mom feels it. She knows wedon’t like her at home.”

“Why do you say that?”

“I just know. Perhaps she overheard us fighting. Sometimes, she talks about dying so that we won’t be burdened anymore.”

 What If We Can Go Back in Time?

What if this 63-year-old grandmother read this book when she was in her 20s, 30s 40s? The situation would have been totally different.

Dramatically different.

Because she and her husband could have saved 20 percent of their income every month and invested it in the stock market, mutual funds and other investments.

By age 63, she would have had P10 million.

She’d be living comfortably in her own simple house.

She’d be paying for her own medicines and doctor’s fees.

With her own money, she’d have hired a full-time caregiver and house help.

Every weekend, her children and grandchildren would visit. The grandkids would love going there because there’s always delicious food prepared for them.

During those visits, her four children would “fight” for grandma to stay in their home. “Mommy, you always  stay with my sister,” the younger one would say, “ Why don’t you also stay at my house?”

Once a year, grandma pays for a big family vacation for all her children and grandkids. Last year, they went to Vigan. This year, they’ll be going to Batanes.

Thanks to grandma, everyone looks forward to this big break.

Now I ask you: What kind of future do you want?

 ***

Have fun investing (and creating the future we want)!
Omeng

PS: You asked for it, you got it!

As some have requested, we're extending the Super Early Bird discount to our Technical Analysis seminar until Sunday July 21.
After that, price will shoot up from 1997 to 2497. This seminar aims to teach you how to forecast stock price based on charts formed from historical prices.
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The Key to Your Great Wealth - Money Machines

In science, we define a simple machine as something that multiplies a force (its magnitude) or change its direction.

In below powerful story by Bo Sanchez (take from his book Choose to be Wealthy), you'll have an idea how you can start creating machines that will multiply your money and give you more money.

When I think of it, the richest people here on earth became very wealthy because of their one great skill - that of creating various money machines.

One good thing about machines is that once it starts running, it can keep on running.

This is one of the obvious reasons why the rich become richer: they can simply create more money machines with their money to create more money that will create more money machines that will create money that will create.. (you get the point).

As one premise of this blog, I suggest that you start making other cash machines than just relying on one source of income. (clue: Think of your talent & hobby).

Worse, you might be wasting your time doing all the analysis about stock market that you forget the main reason why you've started investing in the first place.

Ask: Do you have the Size (amount of fund)?

Ask: Do you have the Expertise?

Ask: Do you have the Time?

Unless you have a clear paradigm of your investing plan, one simple external tip can destroy your plan in achieving your goals if you don't have a well defined plan and acts on just anything that comes across your way.

At the end of that day, it's all about goals, time and risk.

Have fun investing (while creating more money machines)!

Omeng

***

Do You Want Golden Eggs or Golden Chickens?

One day, a huge alien ship arrived on planet Earth.

The aliens on the ship surveyed humankind and were so moved by the poverty they saw. They pitied the poor so much, they decided to help. They left behind one of their

very special chickens.

 

Photo credit

Looking around, the aliens chose Mang Pong, a very poor farmer, to receive their wonderful gift. And in the middle of the night, they teleported this chicken to the backyard of Mang Pong. And in a blink of an eye, the ship rocketed away to a far, distant galaxy.

When Mang Pong woke up the next morning, he discovered the strange-looking feathered creature at the back of his little hut.

“Where did that weird animal come from?” Mang Pong asked. “It’s extra-large and has golden-colored wings!”

But then something even weirder happened. When the chicken stood up, Mang Pong saw a shiny egg underneath it, glimmering under the sun. The chicken just laid a golden egg!

Boy, was Mang Pong excited.

He rushed out, sold the golden egg and bought lots of food, new clothes and new furniture for his tiny house.

Life was great that day!

The following month, Mang Pong couldn’t believe his eyes. Because the chicken laid another golden egg! So he ran to town, sold again the golden egg, and bought an iPod, a laptop, a Jacuzzi and a 60-inch plasma TV. Ah yes, life was becoming very sweet for Mang Pong.

And when the third month came, he already expected the egg. And he sold the golden egg and bought more stuff.

But the next day, Mang Pong grew very impatient.

He realized that he had to wait for another month for the next egg. But he wanted buy his own personal helicopter and his very own private helipad. He badly needed more golden eggs.

And then he had a brilliant idea — or so he thought.

You see, Mang Pong wasn’t very bright. He said, “Where are these eggs coming from? From

inside the chicken!”

So he grabbed the alien chicken, got his sharpest knife, and cut it open.

But alas, Mang Pong didn’t find a single golden egg inside.

And the alien chicken was now dead!

Mang Pong cried at the loss of his chicken and all her golden eggs.

And slowly, the farmer had to sell his clothes, his furniture, his iPod, his laptop, his Jacuzzi, and his wide screen TV.

And in a year, the farmer became very poor again.

One day, as he walked around town depressed, he met one person who had become very rich.

And the man was thanking him profusely.

“Why are you thanking me?” he asked.

“Remember the golden egg you sold me?” he said.

“Yes, of course,” Mang Pong said.

“Well, the egg hatched…” he said.

“What do you mean the egg hatched?” the farmer asked.

“I placed it in an incubator. After 12 months of care, it hatched and out came a chicken. A very special chicken. It’s extra-large and has golden wings. But more importantly, it lays golden eggs!”

Mang Pong could only stare in disbelief.

Every egg he sold — given the right conditions — could have become a chicken.

Oh, if only he kept the eggs and made it hatch — then he would have had many chickens laying golden eggs for him every day.

After many years, the alien ship returned to planet Earth.

They were happy to discover some had become wealthy.

The rich were those who owned chickens that laid golden eggs.

But they were also sad that many remained poor, including Mang Pong.

Money or Money Machines?

This is the story of many poor people.

The poor prefer golden eggs (money) rather than the chicken that lays them (money machines).

Remember this lesson: Every golden egg has a chicken inside.

Do you have money right now?

Inside every coin and paper bill is a money machine.

You just need to “incubate” it for sometime.

So you always have a choice.

You can “spend” the egg or you can make the egg become a chicken.

***

PS: A MESSAGE FROM MASTER AYA LARAYA...

Just the other day, I saw a post on a Facebook group telling that he followed the advice of selling his stocks at a LOSS because the stock market has entered the bear market. If you are a long-term investor, why do that? Shouldn’t you be happy and buy more shares at a bargain price?

Please remember that this is YOUR money that we are talking about. You worked hard for it. The people giving tips have nothing to lose even if they give you wrong recommendations.

I highly advise that you do not blindly follow tips from people you do not know.

You don’t just ask for medical advice from anyone on the internet right?

YOU make the decisions about your investments.

Do not be impressed with photos of portfolios showing impressive results or technical charts showing that it’s the end of the world of stocks.

Go back to basics. Do your research. Ask questions. Learn. Make sure the research and recommendations that you get come from experienced and licensed professionals and organizations.

Always, always be a smart investor!

PS2: Be a smart investor and know the proper way of building and growing your wealth in the stock market!

Click here to get more details about our next premier seminar - Practical Personal Finance + How to Win in Stock Market
Super early bird rate of 2497 1997 1497 ends on January 9 na!

 

Limited seats only so  reserve your seat now.

Get more details and bonuses here.

PS3: Share your thoughts about the story above.
What were your insights?  Anything you realized?  Let me know okie okie? :)

PS4: For beginners, start reading this book Bo Sanchez' My Maid Invests inthe Stock Market... and Why you should, too!
Isang upuan lang yan kaya go na.

Dream big  then start small.

Email mo ko dito pag may tanong ka pa. :)

Stocks are now falling down.. and I'm rejoicing!

In case you're feeling incredibly sad with the market happening yesterday, I thought of sharing this consoling message from Bro Bo Sanchez.

See times like this more as an opportunity than a curse.  More importantly, stick to your long-term goals and not be easily swayed by temporary market mood swings like this.

Sabi  nga ng isang forumer, 
"Nakakabother lang yung long -term investors dito. Panic kagad sila kapag namula ang ports. Yung totoo long term ba talaga horizon mo or short term?"

Totoo naman.
In fact, I think there are better opportunities coming than what we have now. 
So.. so.. so.., nail your eyes on your ultimate goal at bawal ang sabihing long-term tapos tapos eto ka, namula lang ng konte,andami mo nang naiisip gawin. Alam ko yan kasi ganyan din ako dati. hehe.

But don't crucify yourself.
It's very normal and I'm confident that it will just be a matter of time before you get used to it.
Once you have that mindset, you'll feel more peace with your investments.

So eto na update from Kuya Bo para dagdag peace sayo.


***
At last!  After a long wait, our Stocks finally went down.

I’m so happy.

It’s soooooo nice to see some of my SAM Stocks go “Red”!

Whenever you see that red number beside your Stocks, that’s YOUR signal to KEEP putting small amounts of money into these same Stocks.

Why are our favorite Stocks going down?   Because we have an “overbought” market. This is common.  This always happens.  And this is temporary.  The people who are selling now are doing so because of various reasons: (1) They’re traders—they bought some weeks ago when the prices were low and want to make a quick buck; (2) Or they’re long-term investors who are panicking.  Crazy.

TRC Members, you know better!  We don’t panic.  And we’re not after a quick buck.  We’re after the slow but sure bonanza!

By the way, the Philippine Stock Market isn’t the only one that’s down. The world markets are down.  The Japanese Stock Market is down too—by 10%.

When people are panicking, that’s the time to buy our SAM Stocks.

Stay the course.   Remain faithful to our strategy.  Invest each month your small amounts of money into the Stocks we recommend—and in a few years,those small amounts will become big amounts.

***

Gets?
So wag nang sad.

Have fun investing (and fun lang po)!
Omeng

PS: For beginners, read this story of Gina (that's the name of the maid of Kuya Bo)  who have just become a millionaire and now inspires many! Read the account here!

Download this free ebook of the complete story  here.

Ready to invest? Two Simple Lessons that will Make You Safe

Volatility in the stock market is pretty normal and nobody could really time it. So continuously plant into your investment portfolio. If you are looking for the perfect timing on when to get in or out, then you are indeed gambling.

Time is our greatest ally not timing, because over long term, the number of shares you have accumulated is still much more powerful than the price per share.

All the ups and downs of the market will also be corrected if your investment horizon is long-term. Your goal should be to accumulate as many shares as you can, as fast as you can while you can. This is the reason why you need to set up your “Investment Safety Nets” first because during a downtrend all of the three asset categories (paper, real and business) will be priced cheaply.

Part of our financial strategy for wealth preservation and transfer is to avoid selling any shares or any of the three asset categories during times like this.

Set Up Your 2 Investment Safety Nets

Before taking any further risk in building wealth, remember always to set up 2 Investment Safety Nets:

1. Long-Term Medical Savings
Building wealth has no shortcuts so it means that we really have to deal with the uncertainties of life and at the near-end of our life, all of us will need more medical attention whatever our lifestyle is today.

In order for us to build a solid financial foundation, we need to make the right preparations because the most expensive part of our life is not sending our children to college, but sustaining our life during retirement amidst the continuously rising cost of medical expenses.

Before we allow our team members and investors to invest on mutual fund equities (90 percent stocks and 10 percent government bonds), we make sure he/she will not spend it all for his medical expenses when he/she gets old and sickly.

Why? A major medical crisis can wipe out everything that you have labored for in your lifetime if you don’t have a separate savings allocated for your long-term medical expenses. This is what happens to a lot of people who retire from their job very rich but die very poor because they consume everything that they accumulated in their entire life for their medical treatment.

Why Have Long-Term Medical Savings?

This is a part of our Financial Strategy to Wealth Preservation and Transfer. Let us not forget that the cost of medical expenses doubles every 5-7 years and considering major surgery today which will cost half a million pesos, then 30 years from now, it will already cost P4 million if it doubles every 10 years.

This long-term medical savings should be our first investment so as not to burden our children or relatives with the expenses in the future.

Again WHY Do We Need This?

During downturn of the market or correction, and worst, during recession, all asset classes (paper, real and business) will be priced negatively. In the last 20 years, the annual returns of stocks and equities has hit negative four times and two times, it hit 5 percent and lower. If your equity investment will only earn 2 percent to 5 percent per annum, then your money is not growing because our average inflation is 5 percent to 7 percent per annum. Just like what is happening with your money in the bank, it loses value year after year.

So, during these times, you can’t sell your shares of stocks and equities or any investment at a negative or losing value. What if you need the cash for a major medical treatment or surgery? Will you sell at a loss?

Financial planning means having a separate investment instrument that will cater to your medical needs so that you will not dip into you investment and only sell when the market is up or when it gives greater positive returns.

Don’t be a beggar to your own children. Be a responsible parent. Make sure to preserve your wealth for your future generations. Have sufficient long-term medical savings.

***

 PS: The above piece is a short section of a sample Wealth Strategy article of Truly Rich Club from Lyndon Malanog. (Click here for the second investment safety net all investors should have.)

Lyndon Malanog is an Entrepreneur and the Financial Coach of Bo Sanchez, Inc.. He continuously gives “Financial Discipline and Wealth Management” seminars to companies and groups as part of his noble mission and advocacy of educating people.

PS2: Meet Lyndon in person in our Philippine Stock Market Premier Seminar this coming September 28 at Gateway, Cubao!

Get also an exclusive bonus lifetime access  to our Investing in Philippines Private Mastery Group to help you maximize your learning from the seminar.  

Get more details here.
Super early bird rate of 2497 1997 1497 ends on Aug 23 so reserve your slot now!