Are you financially better off now than last year? (with lots of helpful tips for an abundant new year)


Photo credit

This season is a perfect time to assess what financial group you fall into by answering this quick question. What did you do with all the money and bonuses you've received at this festive time? Choose one.

A.You saved some of it.
B.You spent all of it.
C. You spent even before you got it.

At this time of the year, do yourself a favor by having an honest check: 

"Am I financially better off now than the previous year?

I love times like this. It gives us the chance to reflect on the past whole year and pick up the lessons we can use for a new beginning. So I offer this blog for those who are just starting now and are motivated to  change their financial life forever, starting this year. Below are some initial points I want to share with you so you can start right away and kick-off your financial journey this coming year!


Saving doesn't make one a winner
Saving is a good habit (and a must at that), but that doesn't make one a winner in the financial arena.
At some point in your life, you'd need to learn not only how to save, but more importantly how to let your money grow over time.  

And that's where investing comes into the picture.

Until you take your money out of your savings and put it into an instrument that can offer much more returns if you're willing to take the associated risk, then your money becomes an investment waiting its right time to grow. All that's left for you is to take that decision and commitment that next year will be much better financially for yourself and for your loved ones. (Also read related post - The Key to Your Great Wealth: Money Machines)

INVESTING HELPS YOU WIN OVER ENEMIES OF WEALTH
There are various reasons why it's important to start investing your money as soon as you can.

1.First is to beat inflation.
If your money parked in the bank earns an annual interest of less than  one percent,  but its  purchasing power decreases by five percent due to the effect of inflation, that immediately makes you an automatic loser. There's just no way of growing your money's worth if you only stick to saving.
(Find out here how inflation makes you an automatic loser ... and what you can do about it)


Hey, it's not bad  to put money in the bank, but if your goal is to increase its value over time (for your long-term purposes), banks is certainly not a good place to put your money in. Better buy banks (by investing) in that case.
The effect of inflation

2. Second reason why invest is to take advantage of compounding
Compounding happens when earnings from your investments start generation more earnings itself. Time is your best ally when it comes to investing so it's better to start as early as you can.

Still have excuses of delaying?
Then when do you think is the right time? Choose one again.

Age 18 to 25
"Me invest? Are you kidding?I'm just getting my education. You can't expect me to be able to invest now.I'm young and I want to have a good time. After all, I'll be in college for a year or so. If and when I get out of college, I'll start investing." 

Age 25 to 35
You don't expect me to invest now, do you? Remember I've only been working a few years. Things will be looking up soon and then I'll be able to invest. Right now, I have to dress well in order to make a good impression. Wait till I'm a little older. There's a plenty of time." 

Age 35 to 45
"How can I Invest now? I am married, have children to care for, I have so many expenses in my life. When the children are a little older, I can start thinking about investing."

Age 45 to 55
"I wish I could invest now, but I just can't do it. I have two children in college and it's taking every cent and more to keep them there. I've had to go into debt the last few years to meet the college bills. But that won't last forever, and then I can start investing.

Age 55 to 65
"I know I should be investing now, but money is tight. It's not so easy for a man my age to better himself. About all I can do is hang on. Why didn't I start to invest 20 years ago? Well, maybe something will turn up."

Age over 65
"Yes, it's too late now. We are living with our eldest son. It isn't so nice, but what else can we do? We have Social Security, but who can live on that? If only I had invested when I had the money. You can't invest when there is no income."

Will you start now, or will you procrastinate?
In investing, TIME is more important that TIMING.

3. The third reason why you would want to start investing is to make your money work for you.
What you're most probably doing now is you working for money. Whether through an employment, self-employment or a small business, a part (or a lot) of you is working for money. But time will surely come when you can no longer afford to do it, but your NEEDS will remain (and probably would be even  bigger). Having enough investments which you can use for your retirement will certainly give you that financial peace even at your old age. 

EVEN MAIDS CAN START INVESTING
Trying to come up with hundreds of thousands of pesos of starting capital for an investment is the major reason why people keep away from starting their investments.  In the past, investing in a vehicle that offers a much higher yield was usually available only to rich. But those days are gone, and that reasoning is now just a lame excuse.

Today, equipped with the right guidance and financial education, one doesn't have to have big chunks of cash to start investing (both in mutual funds as well as in the stock market). In fact, for as low as Php 5000, one can readily buy shares (or stocks) of the biggest local companies we have in the country (Jollibee, SM, BPI, Ayala Corp. Meralco,  etc). You can read here a short account of the first time I invested and why I liked it!

You can also read this free ebook by Bo Sanchez - My Maid Invests in the Stock Market... and Why You Should, Too! - about his maids being investors in the Philippine Stock Market. If household  helpers can do it,  there is no more reason for you, who probably earn much more, not to start investing your money. Also read this big news - Bo's Maid is Now  A Millionaire!.
CHOOSE THE OPTION RIGHT FOR YOU
There are different vehicles you can choose from where you can invest. But the most common are investing directly  in the stock market, or indirectly via mutual funds.

1. Philippine Stock Market - To start investing in the Philippine stock market, you'd just have to open a stockbroker account. Whoa! Nosebleed na ba? Well, this is very similar to opening a bank deposit account.(Think of your payroll account.) What's better news is that there are now online stockbrokers which allow you to manage your stock investments via the web (yes, internet).  That means you don't have to be in the Philippines to be investing! (Even OFWs can invest!) And do you know that you can open a stockbroker account even with zero capital?

Popular options for online stockbrokers here in the Philippines are COL Financial, BPI Trade and First Metro Securities. This is just a one-time application process after which all your subsequent transaction can be all online. Just submit the required forms and documents to their office (or submit it via courier) and wait for your account details (log-in username and password) to be emailed to you in at most three days.(You can check this comparison for some tips in choosing your online stockbroker in the Philippines)

Once you have an online stockbroker account and enough cash,you can now start buying your first company. But since you're doing this directly, you'd  also need the time  and knowledge to monitor your investments personally.

Below are some dedicated pages for click-by-click tutorial that can help you start investing:
How to Choose What Stocks to Buy and Sell
How to Withdraw Funds and Enjoy your Profits 
When to Place Your Orders - Trading Hours


If you're just starting, investing in mutual funds can be your initial option so you'd know how investing works while letting someone do the hard work for you. (You can also join us in our How to Win in Stock Market Seminar this coming January 25 so you get answers to all your other questions personally and meet other investors.)

2. Mutual Fund -  If you don't have time to actively monitor your investments as in the case of stock market, you can then just let a fund manager do it for you in a mutual fund. 

Briefly, in a mutual fund, money from several individual and institutional investors are pooled and a professional fund manager manages it for everyone. All you need to do is to invest your money in the mutual fund company and let the manager do his job of growing the money. You can then monitor its performance from time to time, which is also now possible online. You can get more information on mutual fund option in the Philippines as well as the historical performance of each fund of each fund of all mutual fund companies available here.


PLEASE REMEMBER
The above points are just some of the key ideas to consider for your starting point and do not cover  the intricate details of each investment . In any case, make sure that you have your solid financial foundation first (protection/insurance/healthcare, emergency funds, no debts) before making your money grow. This will make sure that you're at peace with your financial life no matter what happens.

Please also bear in mind some basic foundational tips:
1. High-yield = High-risk
2. In relation to the first, just because you earn in an investment doesn't mean it's already safe.
3. Only invest an amount that you can afford.
4. Don't be greedy and learn to diversify (You'll learn more about this down the road!)

The key to success in investments is (right) persistence. Don't give up too soon.  Investing is not a get-rich-quick scheme, and will never be. Please don't attempt to be millionaire in days playing stocks. 

One thing you should remember once you have  started investing your money is not to expect immediate results. I've seen so many people in our facebook group - Investing in the Philippine Stock Market - Tips & Tricks, who seem to be trading rather than investing and, worse, NOT knowing about it. They want quick bucks not knowing what they're really into and how stock market really works. They seem to forget that RISK is always present in any investment, much more in stock market. That's the common mistake most people have. They are impatient. Soon enough, they sabotage their plans and resort to their poor old ways of thinking and action. If you want to be very clear in this important aspect of differentiating investing versus trading, you can watch this short free interview of Edward Lee, COL Financial Chairman, and learn lots of practical insights from it.

There you go! 

One last thing - the importance of your DREAMS. Sa tagalog, PANGARAP. 
Envision yourself that you have enough money to live on your chosen lifestyle. Or enough money so you'd have enough time for your family and loved ones, you being with them at this season of the year.  Maybe right now, a majority of your time is allotted in working to make money, but just be patient, keep educating yourself and be faithful to your investments, and you'll eventually reach that point where you'll never have to work again unless you choose to, while nurturing and seeing your family grow.

Yun na! 'Twas like I summarized this whole blog.

I pray and wish you and your loved ones an abundant new year.
Thank you so much for blessing my year with your presence! 

Happy investing (in what truly matters)!
PS: In case you want some questions answered by me, drop me a quick email here

PS2: Have a SUPPORT system for your investment journey, and be guided in every step of the way with Truly Rich Club.
 
Truly Rich Club is a membership Club that Bo Sanchez had created to help people achieve Financial Wealth and Spiritual Abundance.  It provides its private members with the right tools, principles, and strategies to grow their mindset and thinking and, in turn, their financial and spiritual life. 

To get to know more about the club, its current recommendations and other wealth-building lessons, click here - Easy Investing the Truly Rich Club way!

PS3: Join us in our upcoming seminar this January 25 - Practical Money Management + How to Win in Stock Market! Meet awesome speakers and change your financial life this year for the better!

Why invest in YOURSELF this time?
"Becoming rich isn’t as much about getting rich financially as about whom you become, in character and mind, to get rich. I want to share a secret with you that few people know: the fastest way to get rich and stay rich is to work on developing you! The idea is to grow yourself into a successful person. Again, your outer world is merely a reflection of your inner world. You are the root; your results are the fruits. " - T. Harv Eker

Limited slots only so reserve your seat now!
Click here to get more details and bonuses!
See you there! 

http://www.smartpinoyinvestor.com/2013/05/midyearstockmarketseminar2013.html

You're invited - Practical Money Management + How to Win in Stock Market Seminar


CHANGE YOUR FINANCIAL LIFE THIS 2014! 

You're invited to our powerful Practical Personal Finance + How to Win in Stock Market Seminar this January 25 2014 (Saturday). It will be held at Max's Restaurant Gateway from 9:00AM-5:30PM.

Joining with us are Mr. Randell Tiongson, RFP and Mr. Marvin Germo, RFP.

Randell is one of the country’s most lauded speaker, writer and coach on personal finance. He is the author of the book  No Nonsense Personal Finance: A Step by Step Guide and also the mastermind of the annual Investment Conference (ICON) which features the biggest names in financial industry in the country. 

With his 25 years of experience in the Financial Service Industry – Banking, Mutual Funds, Insurance and Financial Planning, and Management Consultancy, he has become one of today’s most respected personal finance coaches in the country.
 
He is also a Director of the Registered Financial Planner Institute Philippines and a strong advocate of financial education for the OFWs.

Randell regularly appears on TV as  resource person for various shows like TV Patrol, Bandila, 700 Club Asia, Mornings at ANC, Shoptalk, Business Nightly, Failon Ngayon, On the Money, Umagang Kay Ganda, Unang Hirit, Aksyon TV, and News to Go among the few.

He also hosts the personal finance radio talk show Money Talks (Usapang Pera) every Saturday.
 


With the the recent performance of the stock market, where is it now headed to? This and other investing lessons he will share will teach you how you can invest more profitably this 2014.

Marvin Germo, owner of the stock market site www.marvingermo.com is one of today’s most popular stock market educatorHe is the author of the book Stock Smarts - Stock Investing Made Easy.



He will share and discuss in easy-to-understand terms some trading strategies and answers questions including

  • 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! 
Photo credit

This will be followed by a  talk on proper personal financial planning and practical money management by Lyndon Malanog, one of the mentor of Bo Sanchez in his Truly Rich Club, and a director of IMG - World Financial Group. 

He is also 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 mission and advocacy of educating people. 

This part will help you see the whole picture of financial planning and not just investing. If you do not have a financial plan at this point (which is crucial!), expect to bring home one that will serve as the blueprint of your financial life.

You'll also learn

  • The Six Steps to Financial Freedom
  • How to Prepare for your Financial Future
  • How to Build and Grow your Wealth
  • The Enemies and Allies of Wealth
  • How to Make Money Work for you
  • and a whole lot more!
You'll also learn how you can  invest in Mutual Funds, Insurance and other investment products you can use in building up your own portfolio. If you want to avoid the mistakes lots of newbies do in their financial life, this part will also tell you how.



Sign-up Bonus
Once your seat is confirmed, you'll also have exclusive access to our Investing in Philippines Private Mastery Group to help you prepare yourself more for the topics (days before the seminar itself). 


It's a compilation of materials, lessons, articles and tools that aims to give an overview of what stocks investing is all about.

And you will have a three months access to that.
Any additional helpful learning I'll have in the future will also be added there, which means you'll also get to have the lessons I  learn myself from my other mentors.

That way, you can also prepare your questions beforehand.
If you think you're not yet ready for this seminar, this will solve your problem. 

So register now to reserve your seat.

To register, send an email pinoyinvesting@gmail.com for reservation.

Have your payments on or before January 9 and you can avail the Early bird fee of 1497.
Have your payments from January 10-16 and you have the regular reservation  fee of 1997.
Have your payments after January 16  and you have the walk-in fee of 2497.

You can make your deposits to either one of below savings accounts:
Account Name Romer Tawid.

    BPI Account # 4339300157
    BDO Account # 006960030969
    Metrobank Account # 6363636082407

Once done, please confirm your payment here.

The fee will already cover your lunch and snacks with free-flowing coffee to keep you awake. But more importantly, this small investment will be your golden ticket and opportunity to meet like-minded people and expand your network while taking charge of your finances for the rest of the year with all the info in store for you.

Hope to see you there!
Have fun investing!
Omeng \(",)/

PS: You are your most important investment. 
So don’t be cheap on yourself.
Invest in yourself. In your self-growth. And whatever you spend will be nothing compared to the profits you’ll earn because of the quantum growth you’ll experience.
Your money won’t grow if you don’t grow. 
Grow YOU and your money will grow too.

PS2:Don’t delay. We'll have limited slots only! We don’t want to reject your reservation because we’ve reached the maximum number of participants. 

Email your reservation to pinoyinvesting@gmail.com now.
You can make your deposits to either one of below savings accounts:
Account Name Romer Tawid.
BPI Account # 4339300157
BDO Account # 006960030969
Metrobank Account # 6363636082407

Once done, please confirm your payment here.


PS3: Be the first 10 to register and get the Act-Quick-Discounted-Reward Fee of 997 only. Email your reservation to pinoyinvesting@gmail.com now.


GRAB YOUR FREE LESSONS. JOIN 3919+ MILLIONAIRES

GRAB YOUR FREE LESSONS. JOIN 3859+ MILLIONAIRES

You might also like

Related Posts Plugin for WordPress, Blogger...