Ten Principles of Investing

Here are the Ten Principles of Investing I've got from freeinvestmentreport.com which I found very useful to new investors.

1. Start investing now. You could be getting better returns on your money today to prepare
yourself financially for your future.

2. Make a financial plan. You must know what your goals are to be a successful investor.

3. Do not follow the crowd. When investing, do what the wealthy do and look for opportunities to
get in before the masses.

4. Don’t overpay for stocks simply because the companies behind them are large and well known.
Too many large companies are overvalued, and their prices will eventually fall back to earth.

5. Have patience when investing. Wait for the right time to enter and exit your trades.

6. Research, research, research. And if you can’t do your own research, seek advice from
experienced professionals who specialize in the markets.

7. Remember that all big companies were once small companies. Look for high-potential
opportunities in the micro cap and small cap sectors.

8. Be cautious when investing borrowed money. Your investments can fluctuate in value, whereas
the money you borrow must be paid back in full.

9. Don’t put all your money in one place. To protect yourself, make certain your portfolio is
diversified across a number of unrelated financial instruments.

10.If necessary, close out losing investments to cut your losses. Stocks do not always bounce
back.

FINANCIAL ADVISOR – A Must For Newbie Investors

How important are financial advisors to new investors? Can anybody start investing directly even without the aid of professional stock traders?

Financial advisors or experts especially in the field of stock market were of great advantage in investing. They not only provide best stock picks to invest in but rather warn investors when there’s bad news of a particular company. That way there’s good chances to exit early by selling outstanding securities before an even lower price will overtake one’s capital investment. Thereby, allowing us to control the safety of an investment portfolio.

Seeking a good financial advisor could be availed by joining an investment club or group because some of them had organized it. By searching the net, several investment experts offer personal advice (even one-on-one tutorial) about stock market investment but with pay. Another place to get superb advises if from Citisec Online. Personally, I’ve got it freely by joining in investment forums.

It Only Takes Two-Peso Daily To Become A Millionaire

To become a millionaire one must follow a consistent plan backed by constant action. Ordinary people realized that it’s very hard to acquire even a million peso during their lifetime. In this post, I’m going to show how simply a two-peso saved daily (or 2 dollar if your not from the Philippines) could be turned into a million.

Take a look at the figure below.

Annual Savings : P730.00
Starting Age of saving : 14 years old
Yearly Interest : 10%

15 years later (29 yrs old) :P 26,243.30
30 years later (44 yrs old) :P 132,818.71
51 years later (65 yrs old) :P 1,029,613.45

Two peso daily savings will reach 730 a year. You need to open up a time deposit account in a bank. The best place to do it is at your local bank because they accept minimal amount requirement upon opening an account with them.

It’s just like saving like a kid by putting the said amount in a piggy bank daily and after a year it should be transferred to a time deposit account so that it will earn 10% yearly and compounded annually. Time is the most precious asset when doing this kind of savings. Its better when you start young. Maybe you plan to make it a five-peso daily savings so that you will be rewarded more with the savings later on when you retire.

Forbes Magazine’s Year 2011 List of Filipino Billionaires

Here are the new list of Pinoys who were included in Forbes magazine’s latest statistics in wealthiest people in the Philippines. This year there are eleven of them:


1. HENRY SY
Networth: $7.2 billion
Age: 86
Marital Status: Married, 6 children


Owns SM retail-chain of store’s in the country. SM Prime, the Philippines’ largest shopping mall developer, run by son Hans, plans to list its China operations. Shares in SM Investment, family’s largest asset, up nearly 40%. Banco de Oro Unibank, country’s largest bank, run by daughter Teresita Sy-Coson. Listed property developer Belle Corp., expected to open its first casino in Manila in2012.

2. LUCIO TAN
Networth: $2.8 billion
Age: 77
Marital Status: Married, 6 children

His biggest asset, Hong Kong-based Eton Properties, is enjoying a big boost in property values. Has taken in PAL Holdings, which controls the Philippine Airlines. He also owns Fortune Tobacco, the largest tobacco company in the country.

3. JOHN GOKONGWEI JR.
Networth: $2.4 billion
Age: 83
Marital Status: Married, 6 children

He founded JG Summit Holdings which line of business includes airlines (Cebu Air), telecoms, real estate, banking, hotels and power generation.

4. ANDREW TAN
Networth: $2.0 billion
Age: 58
Marital Status: Married, 4 children

He owns Alliance Global, a holding company which business includes food and beverages, real estate and gaming. Another firm he owns, FDC Utilities is a power
generation company where his wife is a member of the board.

5. DAVID CONSUNJI
Networth: $1.8 billion
Age: 90
Marital Status: Married, 8 children

He was the major stockholder of DMCI Holdings and Semirara Mining. He also owns a construction company which expanded into infrastructure, real estate, mining, and power.




6. JAIME ZOBEL DE AYALA
Networth: $1.7 billion
Age: 77
Marital Status: Married, 7 children

Chairman of Ayala Corporation. Interests include real estate, hotels, financial services, telecom, utilities.

7. INRIQUE RAZON JR.
Networth: $1.6 billion
Age: 51
Marital Status: Married, 2 children

Controls the operation of International Container Terminal Services Incorporated.

8. EDUARDO COJUANGCO JR.
Networth: $1.4 billion
Age: 76
Marital Status: Married, 4 children

Manages San Miguel food and beverage company.

9. ROBERTO ONGPIN
Networth: $1.3 billion
Age: 74
Marital Status: Married, 4 children

He has investments in property, mining and telecom.

10. GEORGE TY
Networth: $1.1 billion
Age: 78
Marital Status: Married, 5 children

He owns Metropolitan Banking and Trust Corporation and Federal Land.

11. TONY TAN CAKTIONG
Networth: $1.0 billion
Age: 58
Marital Status: Married, 3 children

The founder of Jollibee Foods which now has 2,300 branches worldwide. He bought Mang Inasal from Edgar Sia II. He planned to put up a factory in China to supply Jollibee outlets there.

Mutual Funds Investment

 Mutual Funds Investment is considered to be as Level I of investment type. Joining the Stock Market is a Level II. Planning a mutual fund investment is also a good alternative way of investing your savings. Better returns than banks’ time deposit offers. This way you have no hassles of doing the trade personally unlike in the stock market investing which burden is all done by the investor-- yourself.  

          Mutual funds in managed by a professional financial advisor called the Fund Manager. Its duty is to buy shares stocks for you in the stock market by using your invested money in the fund. The fund manager pooled together the total funds of all the clients he/she handles in order to have huge investment portfolio. It is advisable for those newbies investors to stick to mutual funds rather than directly investing in the stock market.

Some Profitable Mutual Funds Companies in the Philippines are:

1.     IMG – International Marketing Group

2.     Sunlife  Financial

3.     Cocolife Asset Management

As I have known, it is better to join IMG. Accordingly they cater to major financial institutions here in the Philippines including Cocolife. But this is a multi-national company with branches in other parts of the world.

Sunlife Financial, a Canadian conglomerate is also an international company which had diversified financial services such as insurance plan, educational plan, mutual fund investment, forex, and others.

I assure you that these two competent companies is a must in Mutual Fund in the Philippines. Their branch offices are located in various key cities in the country in order to serve the provincial areas.