MUTUAL FUNDS: where to invest?

Where to invest? Which investment vehicle?

Where to invest depends on your investment goals.

If you have short-term goals, then invests short-term instruments and 

if you have long-term goals, then invests in Long-term instruments.

Short term instruments may give lesser return.

1. Less than 1year               Save on Bank Savings Account or ATM 

2. 1year to 7years               Save on Banks, Time Deposits, Bond Fund, Treasury bills/notes

3. More than 7 years          Mutual Funds  and Stocks

Types of Mutual Funds

1. Bond Fund (Government Securities 90%, commercial paper and cash accounts 10%) you can invest in BPI, BPO, Sunlife and etc. Average return is lower.

2. Balance Fund (portfolio allocation in balance fund : 50% in Stocks and 50% in fixed income securities) Average return on investment is more than 12%

3. Stock/Equity Fund (portfolio allocation in equity fund: Stocks 90% and fixed income securities 10%) Average return on investment is more than 18%

In MUTUAL FUNDS there is a professional fund managers (full time experts) who focus in growing your money and investing your money in Stocks. Example mutual funds in Philippines with higher return are PhilEquity Management, Inc., ATR Kimeng Asset Management, Philam Asset Management, Inc.

STOCK MARKET makes a small initial amount of money to grow in large sum by investing in big growing companies through Capital Appreciation and through Dividends.

Take Charge of your Future, take responsibility of your life.