I strongly believe that everyone deserves a winning chance to grow their wealth. It is just a matter of making people realize the value of proper stewardship.
We are stewards of the time entrusted to us. How we utilize time determines the value we are able to generate for our lives.
To be better stewards of the resources entrusted to us, it is imperative that we talk about SAVINGS and INVESTMENTS. Let's first define the usual ways people save money. Generally, there are two conventional ways to build wealth. The simplest way is to SAVE it. Saving literally means that you are setting aside hard earned money by keeping it in the bank or through your own personal keepsake. However, merely saving 100% of your cash is the most inefficient way to grow your wealth. Inflation averages around 4-6% per year. Unless your investment vehicle can top that, then your money in the bank will lose value annually.
Now is there a faster way to to grow your money? There sure is! In the form of equity investments. INVESTING is the strategic placement of your money to a fund or asset that grows over time. The problem is, only less than 10% of Filipinos take the time to plan out their finances and invest. This is one of the reasons why the rich get richer and the poor remains in poverty.
Let's make it simple! What exactly are the common investments out there?
1. Mutual Funds & Unit Investment Trust Funds (UITF)
A collective pool of money from different investors. The money is invested in different assets (namely stocks, bonds, and cash) that grows in profit over time
2. Index Funds
A more aggressive type of mutual fund that is directly invested in the Philippines Stock Exchange Index (PSEI)
3. Stocks
Publicly tradable shares of companies that can be be bought and sold in the Philippines stock market
With a budget of 5,000 pesos or more, these 3 investment funds can be easily availed by anyone through a bank or an online broker platform (namely COL, BDO Nomura, BPI Trade, Timson, Philstocks). It only takes a few GOOGLE searches to easily be oriented on the mechanics. The bottom line here is that the opportunity is always there! It only takes minimal effort but is one that will go a long way in the future.
Do it for your Future
“No one succeeds overnight and no one fails overnight. Your circumstances are a result of a series of small decisions repeated over time.”
The critical truth that most people fail to realize is that the trajectory of life is hugely indicative on how you utilize the time and resources you have NOW. Not later. Not tomorrow. Not when you’re ready. Not when you feel like doing it. But NOW. If you do not plant the seed and invest, then there will be nothing to harvest in the future. So do yourself a favor and do the necessary steps to grow your finances.
Ignorance is a Choice
With the abundance and accessibility of information today, ignorance is a choice. When time is still your ally you must decide to own up to your future by establishing solid investments that will serve you well through the years.
Most people don't bother to invest because they are all after the get-rich-quick scheme. The irony here is that the more you chase money, the more it will slip by your hands. Wealth is not a status or a situation. It is a mindset. I can tell you now from my formative period of stock trading that when you get fixated on money, the more elusive it becomes. Have mercy on your future. Get it right by setting your mind and heart right from the beginning. Manage your expenses. Save money and invest. Then, be consistent and add on to your investments in the long run and you will accumulate wealth that will serve you good when the rainy days come.
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