Mutual Funds
what's in it for me ?

Hosted by Mr. Josef Panerio
Presented by Mr. Ericson Menor



           I am a new trader/investor in the Philippine Stock Market and I just started trading last September 2014. A friend introduced me to COL Financial group and offered me some videos presenting the ways and means in investing through stocks and decided to process my application for the said broker.

               When I started my investment in Philippine Stock Market, I felt the addiction in adding up funds to my account and to increase my portfolio stock positions. But after sometime of trading with my broker, I soon realized that my effort is still not enough to go with the flow of the other investor. It is true that the market is unpredictable. So unpredictable that keen observation and focus is needed to secure my portfolio, stability and assurance of profit.

               Then I told myself, I need more of this. More of the knowledge I need to use to combat the changes in the market. The effects of external factors, the effect of other investor doing the trading, the effect of other factors. A lot of them to be specified. To make it simple, Josef sent another invite for another webinar, this time was meant for Mutual Funds.

              After the seeing the invite, I immediately review on my risk profile.

      And again, this was my risk profile from my online banking's profiling for the mutual fund subscription.

         My bank subscribed my account under the ALFM Peso Bond Inc. For the past 7 months, my portfolio has gained a 1.23% and as of writing this blog, it still remains the same. Its quite confusing for me why am I not gaining that much compared to my COL's portfolio; since I already have a fund manager to do all the works for me, the fundamental and technical analysis. Or maybe is because it was of my limited fund. lol

The Webinar Started

         The webinar was again organized by Josef and I did not hesitate to grab the free registration. But again, I was unfortunate to attend the webinar due to time zone differences. However, Eric was kind enough to provide the materials and the recording of the said event.

           As I was listening to Eric's presentation, I was amazed how the mutual funds work. "Ang galeng! ganun pla un?" was my reaction. While listening, I was keen with his table from his existing client and projected return for different funds available in the market.

             It was after I tuned in to the recording when I got in touch with the speaker, Eric Menor. It was actually a casual convo on Viber. But it was very informative conversation. At one point, I even consulted him with my existing mutual fund and asked him why the gain is not quite ample compared to my expectation. Then he asked me to what fund am I subscribed to. And it was the ALFM Peso Bond Inc. Eric, told me that this funds are recommended to Moderately Conservative investors, which made me review my risk profile. And Eric was right, my profile was evaluated under the Moderately Conservative investor. As per Eric these types of funds really have low return

             I then realized that I have to re-evaluate my risk profile if I want to avail a fund with highest return and face the risks it come along the way. We cannot get the best of both worlds. Suffer the high risk and enjoy the promising high return or play it safe with minimal fixed gain. As for an investor like me, I would rather face the consequences for the return I am aiming for. Besides, my investments will be under a professional fund managers

Mutual Funds

            Have you heard of mutual funds, government bonds, equity funds, trust funds, growth funds, etc? If not yet, I would assume that you are still new in financial world. I suppose you are a financial savvy wannabe, like me before but is only good at savings on a monthly basis. I wanna share that I was able to master the art of savings by cutting off 50% of my monthly salary for my savings account. Baffled? of course, it took me some time to be able to implement this attitude and to attain my savings goal. And that includes mainly moving away from unnecessary expenses.

            Moving back, I then realized that savings is not enough to attain financial goals, putting your savings to move, like investments or in business or property acquisition is a good step. Making a passive income is even better. Like buying shares of stocks form brokers ( in my case is COL Financial ). But if someone does the job for you I think is the best move for a long term investment. So, how can we attain that?

              So how does a mutual funds work?

            From the word "mutual" which refers to the agreement of different people. Like in a couple's "MU" ( mutual understanding ), where two people agree on the same feeling towards each other. And "funds" which basically means capital or money.

         In other term, we can say that mutual fund is also "same money". But same money of whom?

       These are money of people with same goal in their finances handled by a professional fund manager that provides strategies and analyses on where to invest in and when to invest in the capital collected.

            With the permission of the speaker ( Eric Menor ) I was allowed to post on this blog the materials he used during the webinar. Please go through the presentations used below for a good start and understanding on how a mutual fund works. Personally, I can say that this webinar actually changed my view on long term investments.

My Verdict

         I am not an established individual on this field, I just have started my journey in investing in the local equity. Nor a registered financial planner like the others giving their recommendation and analysis online.

            But for me, availing a mutual fund is the best strategy for a long term investment. I can continue my day trading without worrying on what stock position to move and when to execute a strategy. I can do cut loss with out worrying in the long run. No need to consider long time of waiting for trading. And at the same time, enjoying and learning the hassle, ups and downs the market.

            Let's say a different allocation of my capital will be dedicated to mutual funds. Or I may consider taking the profit from day trading to be invested in the equity or bond funds. I think this will be a good application of R. Kiyosaki's principle from "Who Took My Money". Where he emphasized on OPM ( using other people's money ) and the velocity of money. Though Kiyosaki ( on my point of view ) is not a fan of long term investments. He shared that his rich dad gained the wealth through these principles. Maximizing his available resources to gain maximum return.

            This is a big challenge for a beginning investor like me. But just like any other individual who wants to win in the game of money. I am willing to take the risk. :)

Portfolio Update

               Please follow me as I open an account with this group. I will keep on updating posts on how will I set up my account with them and how will my account work for me.

About Me

             They call me Doms at work. I was a BPO employee before I left home to work abroad. Undergrad of BS ECE from Mapua Institute of Technology and has been out of school youth for 10 years now, an OFW for 4 years and a new investor from September of 2014. As of the moment I spend my free time on part time learnings such as VA webinars of Jomar Hilario, aiming to work from home one day to replace my source of income and to fulfill my dream of serving and taking care of my parents and help to spread and maintain Catholicism by helping Filipino family to be united by ending the OFW effect ( thanks to Jomar Hilario for opening my mind into this matter )

I dream of acquiring a farm land for my father and put up an organic resto. Soon! :)

Thank you for your time!


  • The author does not intend to promote anything or anyone on this site. The above mentioned names and broker were included to support the content of the writing. These are all based from real life experience/s of the writer. This site intends only to provide and relay feedback and information. The writer is not liable for any losses that may occur if the sample portfolio is followed.

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