See you at KCon 2013!

See you at the Kerygma Conference (KCon) 2013!

This is now your chance to meet Edward Lee - founder of COL Financial, Dean Pax Lapid - a terrific businessman, Rex Mendoza - President and CEO of Philam Life and many more speakers (there are 67 of them!). Edward, Dean Pax and Rex are all mentors of Bo Sanchez at work behind the Truly Rich Club so it will definitely be an awesome experience for your life hearing this people talk What's unique about this seminar is that it also has great entertaining value. (at least the kind I like HAHA.) It's a hybrid of learning + laughter. Especially Rex Mendoza, the first time I heard him, I was an instant fan! So stress-debriefing na rin.

But it's actually more than that.

One day sa office namin,  while I was busy doing something in my laptop, my office-mate, to whom I shared my planned career move in our company, asked me if I had already sent an email to the person I'd need for that plan to get started.

Then it dawned on me!
Woah,I totally forgot about that thing. Well, not really the plan, but the actions I needed to make to realize it.

That's where I doubly realized that being surrounded by essential people is a MUST for anyone who wants to persistently succeed simply because that's the same group of people who'll remind you of your goals when the time comes you get stuck somewhere in your journey (which happens to me many times). Imagine a group of people you meet regularly asking you how well you're doing in one of your goals. For sure, that will push you into action.

It's also a different vibrant feeling to be in a large crowd with people who have same interest as yours.
Conferences like this is like a giant filter of all the people in your place who may just be the people you need to make BIG in life.

See you there!
For more information, visit www.KerygmaConference.com now!

Have fun investing (in yourself)!

 - oMeng :)

PS: Updated Stocks Table for your reference below.
If this seems quite overwhelming, read this guide  in understanding this table.

Make sure to also subscribe in our newsletter for the latest stock market updates for free. Click here.

PS2: I'll be attending below classes for this year's KCon:
Day 1: G - B
Day 2: B - A
Day 3: C - A - A (This is where you can meet Edward Lee and Rex Mendoza)
Day 4: D - D (for Singles!)

If you can't afford the learning fee, you can attend the Grand Feast!
The Grand Feast is an expanded version of The Feast, the weekly prayer meeting of the Light of Jesus Family. (I for example attend the weekly Saturday Feast in Quezon City).
During The Grand Feast there will be Holy Mass, worship, entertainment and an inspirational talk by a guest speaker and Bo Sanchez. The Grand Feast is open to everyone so invite your friends too!
 
PS 3: Below is the invite by Bo Sanchez!

***
How To Fill Up Your Spiritual Tank To The Overflowing In 4 Days

       Face it. 

There are days when you feel powerless.

       When your spiritual tank feels very empty.

When you can’t say NO to temptation—and you fall again and again and again…

       When you can’t change stubborn areas in your life.

When you lack the inner fire to bring your life to the next level, to conquer new ground, to grow to greater success.  (You want to grow but you don’t.)

       When you don’t have the personal resolve to change your life.

       What do you do?  How do you change?  How do you get out of this rut—SO THAT you can start blessing your family, your friends, and your world? (You know that they’ve been suffering because of you!)

       I’d like to help you with newly discovered strategies that can change all these…

Don’t Just Face Your Pain—Desire It!

       I’ve been in ministry work for 34 years.  That’s a pretty looooooong time.  For 34 years, my entire life has been entirely dedicated to finding the BEST METHODS to help people change their lives.

       Everyday, I ask myself this big question: How can I help people remove the stubborn blocks that prevent them from reaching their dreams?  This big question fuels my day.  This big question wakes me up in the morning—and each day, I go about my happy search for better, more effective, more powerful tools for personal change.

        And recently, I’ve stumbled upon a gold mine.  A treasure chest.  And I’ve been so excited.  Thrilled beyond measure!  I can’t contain my joy.  Because I was able to discover one of the most amazing strategies I’ve ever seen to EMPOWER people.

In fact, I’ve discovered a number of revolutionary strategies.  But let me share with you one of them now: I call it the Pain Strategy.

       I know—it sounds so negative, right?  But that’s the point!  I realized many people are stuck where they are—feeling totally powerless—because they’re afraid of pain.  Pain is their monster.  I’ve met so many people who never leave their comfort zone, it has become their prison.  And they stagnante.  All because they can’t face the pain of changing their lives, doing something new, or reaching for their dreams.

       Here’s the point of this strategy: I want to help you attack the pain by not just facing it, but desiring it.  (I know it sounds crazy; but believe me, it works!)  I’ll teach you how to do this with a very simple spiritual exercise that will transform your life forever.  At any time, you can use it—and this will be your daily connection to God’s Power available within you.

       I’m excited to share the Pain Strategy with you—PLUS one more strategy that’s equally transformational.

       I’ll be sharing these two strategies at the Kerygma Conference 2013 from November 21 to 24 at the PICC and SMX. 

Our theme for the Conference is Be Empowered.

And I know that will happen to you!

63 Other Speakers Will Bless You

       Your life is multi-dimensional. 

You’ve got to take care of your career and you’ve got to take care of your family.  You also have to take care of your physical health and you’ve got to take care of your financial health too.  If you’re single, you’ve got to care for your life choices too that will impact the rest of your life (like who you’ll marry).

How can you WIN in each area?

       That’s why the Kerygma Conference 2013 has 63 other powerful Speakers, holding various Classes that will address each of these specific areas in your life.  YOU CHOOSE what Class you want to attend.  These Classes will blow you away with practical wisdom for the various areas of your life.

       Here are some of our amazing List of Speakers:

o   Cardinal Tagle will be our main celebrant on Sunday.

o   Andy Comiskey—a former homosexual who has led a ministry to homosexuals for the past 32 years.  (He was also a Pastor who recently converted to Catholicism.)  Incredible story!

o   Fr. Eric Santos—one of the funniest priests I know.

o   PLUS Miriam Quiambao, Fr. Anton Pascual, Fr. Manoling Francisco (Composer of Hindi Kita Malilimutan), Tony Meloto (Gawad Kalinga Founder), many, many more!

Join Me In This Fantastic Retreat

       The Kerygma Conference is really a Spiritual Retreat on steroids.  It’s the most powerful spiritual event in town.

       I’d like to personally invite you to join me.

       If you can make it for 4 days, do so: November 21 to 24.  If your job will prevent you from joining me for 4 straight days, then join me for the last 2 days—Saturday and Sunday.

       You’ll never be the same.

Sign up by clicking the link below: www.KerygmaConference.com

For those asking when to start investing...

A note I found moons ago... When will you begin investing?
 

Photo credit: Will you start now, or will you procrastinate?

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?

Have fun investing (while you can!),
Omeng

PS1: If you’re a beginner investing in the Philippine Stock Market,  download your investing book here – Investing in the Philippine Stock Market for Beginners! If not, share it to your beginner friends!

PS2: For constant real-time updates, like us in Facebook and follow us in Twitter!

How to win in the stock market

With some major moves were seeing now in the stock market, below is a helpful quick market update from Sir Gus Cosio, one of the respected fund managers in the country. It's interesting to note his emphasis on the need of fundamental investing skills and less focus on foreign activity.

At the end of his note is another excerpt from Wealth Strategy of Truly Rich Club regarding the importance of knowing your objective in investing and focusing on one's proper investment objective. 

Personally, I sometimes wonder if I'm already focusing too much time and all about managing my finances, and if I'm forgetting my objective why  I'm in the stock market in the first place.

And the Gospel yesterday seems to be a good reminder on that:

(Luke 16:11) "So if you have not been trustworthy in handling worldly wealth, who will trust you with true riches?"

 

Photo credit: Now I live in the principle that whatever life presents to me, no matter how small, I'm called to give my best to manage it

You see, before I have this fixation that thinking about this our worldly life is simply not in line with following God's will in one's life. I still didn't have this clear notion of offering whatever you do for the glory of God. And I'm thankful that God has changed it through time. I realized I don't have to wait for heaven to come down before I give my best. Now I live in the principle that whatever life presents to me, no matter how small, I'm called to give my best to manage it, because "the person who is trustworthy in very small matters is also trustworthy in great ones; and the person who is dishonest in very small matters is also dishonest in great ones (Luke 16:10)"

In the end, the challenge is to have a proper perspective, so we don't fall to the trap of  serving both God and money. And in the few years of managing my own financial life, I can say that money is indeed a very great servant yet can be a terrible master.

May we always be faithful (and great) stewards of God's gifts to us!

Have fun investing (and making money serve you),
Omeng  \_(",)/

***

Most markets closed lower on Friday. Perhaps, the euphoria over the postponement by the US FED has waned. In some investors minds, tapering will eventually come, and it is just a matter of time. I hope everyone of us gets real on this issue of FED tapering. Did you ever believe that the U.S. central bank would do this Quantitative Easing forever. If you ever did, you should pick up your old Economics 101 textbooks and learn some economics all over again.

The monetary solution to averting recession was a master move by the FED, but do not forget that it was simply that - a policy solution. For as long as I can remember, the U.S. central bank always carried out the policy response which the underlying economy needed. Any mature fund manager or investor should know that. This is why we should not have such an exaggerated reaction to any of this tapering action. It is but a normal step that a central bank would take after many years of easing.

I venture to say that in the next round, investors will be able to differentiate among markets with strong fundamentals and those whose are shaky. While I do not really want to see a strong PHP, the recent strength of the Philippine currency highlights that hedge funds and carry traders have recognized the local markets strong support. Even as local stocks declined sharply in the past 3 months, there had been enough participation of domestic investors when stock prices turned cheap. This is an encouragement to external investors because it reflects the significance of local investors in providing depth to the market.

Yes, the Philippine stock market is still small by global standards, but the fact is that it is growing at a very strong and deliberate pace. I think Filipino investors must improve their fundamental investing skills and be less influenced by what foreign funds are doing. We should be the ones buying the market cheap rather than the foreign investors. They should be the ones buying after the locals have accumulated their positions. When we learn to do this, we will be the greater beneficiary of the wealth which the stock market is creating.

Have a good week ahead.

-Gus Cosio

***

If We Have a Big WHY Then We Will Find the HOW - Lyndon Malanog

Why do we save and invest? Is it to earn high interest rate at the end of the year? Technically, an investment can be categorized as a good investment if it can outpace the effect of inflation and taxes. But there should be something more than just the technicalities.

A clear windshield is one of the factors a driver needs to drive a vehicle safely.

But this was not my situation five years ago. One evening on my way home while driving my “old reliable” 1980 “Toyota Tamaraw Jitney,” heavy rain suddenly poured. For those who are not familiar with the vehicle, it looks like a passenger jeepney with no built-in windshield washer (sprinkler). I kept this delivery car after we closed our wholesale and retail business in 2000. To clean the windshield, I always bring with me a bottle of water with a hole on its cup so I could squeeze the water out to the windshield to clean it while the wiper is in motion. I find the HOW because I have a Big WHY should I continue simplifying my life and delaying gratification.

The driving condition worsens when moist filled up the inside of the car because of the absence of an air conditioning unit. I now have to wipe the moist every now and then to have a better view of the road. As a result, I have to drive very slowly because my hands are now so busy performing multi-tasking in addition to the heavy rain. I find the HOW because I have a Big WHY should I continue on my way back home and enjoy the warm embrace of my wife and children.

Now, why I am telling you this story and how is it related to “Wealth Strategies?” Friends, our greatest investment in this world is our RELATIONSHIP with GOD, family and friends more than our own earthly desires.

We build wealth to provide a better life for our family and to improve the life of our brothers and sisters. This is our Big WHY.

Today the market is undergoing correction which is only normal because we are already overbought. Nobody could really tell when we will experience an uphill climb again and what we see with our eyes is just like the moist windshield. The investment weather is not so favorable for many and that’s why a lot of people are asking if we are now in the bear territory. These are the times when the men will be distinguished from the boys.

Friends, focus on your Big WHY and then invest for the long term. Our Big WHY is to fund our dreams for our family. Whatever the weather condition, we will always find the HOW to continue our journey because this will mean a better life for our family. Let’s continue putting in something every month. Remember that “Habit is more important than Skill.” Next, we must invest for the long term because if we do all the up and down of the market, it will always be corrected. What we are experiencing today should not change our investment perspective if our investment period is long term.

Today our country’s fundamentals remain strong amidst the correction and sooner or later, maybe and just maybe eight to nine months from now, the foreign investors will realize that it is indeed more fun in the Philippines. Happy investing everyone.

***

PS: The above piece is a short section of a sample Wealth Strategy article of Truly Rich Club from Lyndon Malanog.

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.

Meet Lyndon (and other awesome speakers) in person in our powerful seminar this coming Saturday (January 25 2014) at Gateway, Cubao! Know how to avoid many mistakes people commit in their financial lives and learn how to win in the stock market!

Get more details here.

Email pinoyinvesting@gmail.com to reserve your seat now.

PS2: For beginners, download your free copy of My Maid Invests in the Stock Market... And Why You Should Too. Click here to download!

Your First Major Investment

Sharing to you another article from Truly Rich Club's Wealth Strategy tackling the importance of learning. 

Why learning?
Case in point:The recent correction of our stock market obviously has surprised many, bringing first hand (unexpected) lessons to those who didn't prepared themselves and just entered probably because of the rumor or news they got about the stellar performance during the first quarter of the year. Now these people have learned that stock market is never a quick-rich scheme. And that we should not expect an easy growth of money in a short span of time.

So before putting your first peso into any stock, be sure you're equipped with proper financial education.You can also watch these free video lessons from Pesos & Sense covering not just investing but the concept of financial planning as a whole.

Enjoy reading!

 

Photo credit: The best leverage you can have during this “Information Age” is the kind of information your head contains and how timely it is, so take time to learn first.

***

Learning Is the First Step and Your First Major Investment by Lyndon Malanog

I heard about the word “savings” from my parents when I was very young but never about Investing. I can still remember my parents telling me the following words of wisdom: “You need to save for you to have a brighter future. Your savings will earn interest and it will be able to fund your dreams for your future.”

For this purpose, they bought me a “piggy bank” so I could save some of the money from my allowance and the money given to me by my ninongs and ninangs on special occasions. So I started putting in coins every day of whatever is left from my merienda allowance because I always had packed lunch daily. I’m also very proud to tell you that until now, I was able to carry on the habit of taking a pack lunch and breakfast for 22 years now as a corporate person.

Anyway back to my story…

The Story of My Piggy Bank

I was also excited to SAVE for my future because I really wanted to travel and visit a lot of places. Most of all, I wanted to visit the United States to meet Captain America, Green Lantern, Spiderman, Incredible Hulk, Thor and the rest of the heroes I read daily in my comics collection.

But four months after, I sawmy mother with a puller in hand. The puller that is being used to remove the hair from her armpit and my father’s mustache is now being used by my mother to remove some coins from my piggy bank. And when I asked her, “What are you doing Mom? I thought that money is for my future?”

She simply smiled and said, “I’ll borrow some of your coins because wehave ran out of budget until the next payday.” And she promised to repay it when we had extra cash next month but of course most of the time, it never happened. As a child, I really wondered about the real definition of future and why is it too soon?

The same thing happened over and over again so my parents decided to solve the problem...

One sunny summer day, we decided to cut open my piggy bank and with all the coins inside it, we rushed to our town’s Rural Bank and opened an account.

You never can imagine how proud I was to own my first ever savings account. I felt so valued by the way the bank personnel smiled and greeted me. I walked out of the bank feeling taller with all the pride and honor inside me.

But after a year, the same thing happened. My parents ran out of cash for more important things so we had to get some from my account. And once again, my future was cut short. My account never reached my future because by the time I went to college, we had to close it to fund some of my initial expenses.

Funding Our Dreams

For a common Filipino the word savings is “normal” but the word “investment” is an alien word.

I’m a grown-up person now and thanks to my mentors in the spiritual and financial industry for all the wisdom, literacy, coaching, mentoring and most of all for their patience until these days.

Now, I understand that our savings must be invested in legal investment instruments to achieve positive growth over the years so as to fund for our dreams.

Any investment in the three asset categories can be beneficial and can make dreams come true but we need to take time to learn first because:

Learning is the first step and your first major investment.

There are a lot more to learn before you actually invest to any investment instrument. Among these are the “Right Investment Concepts” and the “Basic Techniques in Investing.” We need to learn the technicalities and equip ourselves with the tools to manage our own investments.

I don’t recommend anyone to get into any type of investment instrument without fully understanding its nature and purpose. It’s for our own protection and guidance. SCAMS in the Philippines will always come and go because of three main reasons: 1. Financial Ignorance 2. Greed and 3. Fear

Remember that we are the best person to manage our hard-earned money that’s why we need to learn first.

The best leverage you can have during this “Information Age” is the kind of information your head contains and how timely it is, so take time to learn first.

***

PS: The above piece is a short section of a sample Wealth Strategy article of Truly Rich Club from Lyndon Malanog. 

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.  

Meet Lyndon (and other awesome speakers) in person in our Philippine Stock Market Premier Seminar this coming January 25 at Gateway, Cubao! Know how to avoid many mistakes people commit in their financial lives and learn how to win in stock market!

Get more details here.

Limited slots only so email pinoyinvesting@gmail.com to reserve your seat now.

Investing Tip #4 – Make your investing tasks automatic

In this post I'll be sharing another tip that caters more for investors. The premise is that as long-term investors, we try to invest as less time and attention as possible in building our investment portfolio. This, of course, doesn't mean that we don’t monitor how well our investment is doing. (The third tip - easy monitoring of your stock transactions - actually talks about it.) But if we could find ways to make our assets work hard for us without doing any additional work, we better grab it.

The key is the reason why we want to be investors – we want to make our money work hard for us, that is, to generate more assets that will in turn produce even more assets. We want to be masters of the power of compounding and layering of work, or doing multiple things at the same time. But that's not enough. We want to achieve that same thing without having a drastic change (or none at all) in our current lifestyle.  Unless you’re really for it, we don’t want to make our profits by fixing our eyes on that computer screen for six straight hours every trading day. While that can be done at times, it will without doubt become impractical in the long run especially if you're not doing this full-time.

So if you notice yourself spending too much of your time monitoring your portfolio in a single day, you might want to take a step backward and see if you’re devoting more time than what’s really needed which could otherwise be spent more productively to address more important areas of your financial life.

So how can you make investing automatic?

Photo credit: Simplify by automatic investing

First, make the funding automatic.

This is pretty obvious.
If you have a bank account in BDO, Metrobank or BPI (or any bank that has online facility), make sure you create an online account. This way you can make your financial transactions all online, like paying your bills and funding your investment fund. This is much better and efficient than going to and lining up in a branch and depositing manually.

To eliminate one step further, you can schedule a fund transfer of fixed amount to your investment fund from say your payroll account to make it automatic every after payday. Once it is set-up, paying yourself becomes automatic.

Second, make the buying of stocks automatic.

If your strategy consists of regularly buying every month with a limit stocks price in your mind, then you can use your online brokers' order options. One example will be that of COL's GTC options. GTC (or Good-till-cancelled) is basically a limit order you can place in the market that is going to be valid for sixty (60) calendar days. 

How does GTC work?
Let's say you want to buy a stock but you want it at a price lower than the current market price, you can use this GTC option to place an order that will wait for that stock to go down to your desired price (your buy below price for example) resulting to a matched order for you. This is much better than placing the same order every single day.
(You can get more details about COL's GTC option here)

Using this GTC option, five minutes is the only time you'd need to devote every month for your stocks investments. That includes logging in to your account and setting up this GTC order. After this, you can go back to your normal life. 

Take note that this task assumes you have a desired price and stock in mind - which leads to a third task that can be also made automatic.

Make choosing your stocks automatic

You can also make picking of your stocks and setting your limit prices automatic, and that is by having a mentor do it for you. While you can definitely do all the analysis by yourself, leveraging on someone better than you doing it is not a bad idea either.

Truly Rich Club for example is one way of making this step automatic.

This club, through its Stock Updates and Stock Alert, advises its members whether it’s buying/selling time for some of the club’s stock picks, and that’s the only time I log-in to my trading account and put that buy/sell order.  Its team also does the analysis and gives an already screened list of stocks and limit prices for buy below price and target price.

With this set-up, I just keep buying the selected stocks while it’s still at the buy below price and sells once they reach their target prices (or near them). All these reports and updates are sent to my email which makes me updated at all times.  If there's any change or sudden news, the club will also take care of that.

By the way, Truly Rich Club primarily uses Fundamental Analysis with some sort of timing. If you're the lazy member, you can go straight to the SAM table that summarizes the stock picks and do your monthly routine. Below is a sample of that easy-to-follow table.

Truly Rich Club's SAM (Strategic Averaging Method) Table

If you're the more curious type, you can digest the explanation of the picks at the second part of the report.  For example, in the last Stock Update sent, Mike Vinas talks about some of its Stock Picks' performance. So whatever investor you'd want  to be, the club is surely a big help.

Focus on your cashflow

As a last advice, do not to focus too much on your stocks but keep an eye more on your cash flow. Find ways on how you can earn more and multiply your streams of income and put a portion of that increase back into your investments. This will maximize the power of compounding in your wealth building.

Start by thinking what you have now that you can offer to the world. Think of your talents and gifts. They can be your natural and automatic way of becoming wealthy!

Have fun investing (with less to-dos),

Omeng

PS: For beginners, download you perfect starter -My Maid Invests in the Stock Market ,  and start your journey to your millions.

Sweet Rewards of Delaying Gratification

Lots of advices have been said about the importance of delaying gratification especially in handling our own finances. While this is true, I believe that this principle is not entirely new to us. In fact, I think this is inherent within us.

In my own experience, while I'd definitely want to enjoy the present, I'd  naturally choose and yearn more to enjoy the last stages down the road. For me, it's simply illogical to enjoy now knowing I'd suffer later on. I'd rather do the opposite and delay gratification now and have the enjoyment in its fullest sense at the end. The gospel yesterday seems to have something related to say:

Which of you wishing to construct a tower does not first sit down and calculate the cost to see if there is enough for its completion?  Otherwise, after laying the foundation and finding himself unable to finish the work the onlookers should laugh at him and say, ‘This one began to build but did not have the resources to finish.’ (Luke 14: 28-30).

I remember one time when I celebrated my birthday with some officemates. We've decided to celebrate it at Vikings( whow bigtime!)  We've two options: to do the lunch-out during (an extended) office lunchtime or do it after office time and have a dinner buffet instead. And I recall naturally pushing for the second choice for the main reason that it simply didn't appeal to me to enjoy the buffet when I knew I'd go back to my desk and finish a job. I'd rather finish the job and have the celebration later on (without thinking when it should end) then go straight home  for a good rest.

Investing is actually a concrete example of delaying gratification. While we can readily spend the money we have now and experience the joy it brings, we're delaying that experience to have a much better version of it in the future (hopefully giving it a better meaning and fulfillment for us).

Below is another excerpt from Truly Rich Club's Wealth Strategy acticle  discussing another good point about this value. For those thinking to buy your own house someday (I do!), let this help you see that decision more objectively.

Photo credit: Investing is actually a concrete example of delaying gratification.

***

The Price of Delaying Gratification (Lyndon Malanog)

When my wife and I started our life together, our first goal was to have our very own house to raise our family. In our culture, having your very own house is a major dream of every young couple.

For many of us, a house is not just an investment but a symbol of success and security. But in reality, a new house is only a facility for you to be tied up with a 20-year loan. And because the title of the house is still with the bank, SSS, or Pag-ibig, this only means that you are actually staying in a house you never own for 15 or 20 years. On the other hand, your house depreciates in value and only the lot where your house is located is actually appreciating. In short, unless your house is rented and is putting money into your pocket more than what you are paying the bank monthly, then it is not an asset but a liability.

The bigger the house, the bigger the need for maintenance.

Now let me share to you my first real estate venture.

Getting a Loan for a House

Last 1994, right after our wedding, we decided to buy our own home. It’s a simple home built on a 240-square-meter lot in the area of Rizal with a total price of P300,000. One hundred fifty thousand pesos was the amount that we needed to pay in cash to the first owner and the remaining half will be an assumed SSS Housing Loan.

The P150,000 SSS Housing loan was to be payable in 15 years at a fixed monthly amortization of P3,800 per month. To stress the point, this means that the original amount that I owed SSS was only P150,000.

Let’s do some simple math:

P3,800/month x 12 months/year x 15 years = P684,000

Which means that I am paying 4.5 times the original amount that I owe from SSS.

Here’s the surprising thing: If we opted to start our life together by renting a house and invested our cash out money of P150,000 in an equity fund for 15 years, then today I could have an amount close to P5 million. This means that our money could have grown 32 times vs. my debt, which have also grown 4.8 times. With P5 million, I could have bought an upscale house and lot in an exclusive subdivision plus some extra cash to fund my business plans.

Now or Wait a Bit?

Now you decide if it pays to wait and delay gratification. Don’t make the same mistakes I did. This is the very common problem of people today. “We want something fast and soon” and that’s why we result in debt.

We are living in a culture of consumerism. We earn then we spend. This is a cycle that goes on and on until a person realizes that he will be retiring very soon without a sufficient savings, because all his savings is used up to pay the monthly amortization in the bank.

Make time to learn by reading books and attending seminars. It’s your greatest leverage during this Information Age.

See you very soon and God bless you abundantly.

 ***

Have fun investing (for a better and greater joy),

Omeng

PS: The above piece is a short section of a sample Wealth Strategy article of Truly Rich Club from Lyndon Malanog. 

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. 

Meet Lyndon (and other great speakers Randell Tiongson and Marvin Germo) in person in our Philippine Stock Market Premier Seminar this coming January 25 at Gateway, Cubao! Know how to avoid many mistakes people commit in their financial lives and learn how to have winning investments in the stock market!

Get more details here.
Discounted rate of 2497  1497 ends this January 9  so reserve your slot now. 

Email pinoyinvesting@gmail.com to reserve your seat now.