Which Is Better UITF or Mutual Funds?

I tend to get asked this question a lot. And the common answer is neither, both or it depends on the fund.

You can actually compare a Unit Investment Trust Funds against a Mutual Funds as long as they're both invested in the same asset class (ex. they're both equity funds). It doesn't seem helpful at all to draw a line between these two types of investment vehicles.

In reality of course, each has their own advocates. It's nothing like debating VUL vs BTID, which can be contentious. But usually people do have their own preference.
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Is this a good investment for me?

The most common questions I get are variants of “Is this a good investment for me?”

Where can I invest my money? Should I get an MF or UITF? I got a VUL is that ok? Which investment is better? Did I make a good (the right) choice?
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How Can Students Invest?

One thing I like about having a personal finance blog is that I get to think about different perspectives and situations I normally would not have considered.

One such case is when a student asked me about investing.

On one hand, it's great to start early. On the other hand, there are practical concerns.
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Stock-picking - The Semi-Easy Way Out

I like direct stock investment. It's exciting, it gives you a sense of control (well, only a little bit), the sense that you are making money is enhanced (compared to "just" investing it in an equity fund) - and again, it's exciting.
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Philippine Stock Brokers (Or Lack Thereof)

I guess that one of the biggest hurdle to investing is how to actually start investing.
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4 Stock Perils And What You Can Do To Keep Yourself Safe

Stock investing is profitable - and risky. I've written before how you can reduce your investment risk.

But some risks are beyond your control. Fortunately, you aren't totally unprotected and don't have to just accept them.
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How Actively or Passively Should I Manage My Equity Fund?

This is something I struggle with myself. And I think every new investor in an equity fund also struggles with this too at some point.

And someone asked me about this in the comment section. And I've read this in forums too. What if I sell my UITF/MF when it reaches a high and then buy back when it falls to a low? Is this a good strategy?

Yes, that's a profitable strategy; but it really depends on your execution.
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So I've Got A VUL, What Now?

One of the most read posts of this blog is the one about my personal opinion why people should not get a VUL.

Which feels really great. I wrote that specifically to make a dent against the constant barrage of VUL salestalk. There's practically an army out there pushing VULs. Which is not bad, people need insurance and investments. It's just that most of the time, in my opinion, it's recommended and sold not because of the client's best interest but because it gives higher commissions than the other insurance products.

The relatively minor downside, is that I might be alarming or maybe even panicking some people who already bought a VUL. I've already gotten several comments, emails, and facebook messages regarding it.

So in this post, I'd like to share what you can do it you already have a VUL.
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You vs Warren Buffet

I came across this infographic and while I don't think its productive to measure up your finances against a billionaire, some of the investment advice at the bottom is insightful or at least useful.

(warning: It's a huge file. It may take some time to load. ...or cost you a lot of money if you're on a mobile without an unlimited data plan.)
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How Can You Passively Invest In The Stock Market?

My new year's resolution is to simplify - cut down on things I have to do so I can free up time for things that increase my knowledge or earnings.

For stock investors, that normally means investing in pooled funds (like UITFs and MFs) rather than directly investing in or trading stocks.

That's not the only way though. And for people like me, who either like direct stock investments or somehow find it more profitable, there's a way to do so without having it take up too much of your time.

So if you're a full time employee (or a busy freelancer) but want to invest in stocks directly, how do you do it?
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Metrobank UITF

I had to pay a bill at Metro bank. And while waiting for my turn, I browsed through some of the pamphlets they have.

I just love bank pamphlets, they're such riveting reads. Yeah ok, I was bored to death.

I got through a couple and saw one about UITFs. I read through it and felt like I was in the twilight zone.
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Why Go Local?

If you've been browsing personal finance sites (or even just news sites - or almost any site, really), you've undoubtedly come across ads about Forex.

It's a high-rick investment and before getting into it, you should definitely learn more about it. And today, guest blogger Bwayan Jordison is here again to share more info about forex trading
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Risk Reward Ratio

In an earlier post, I talked about position sizing. Basically, if you don't want to lose your shirt in the stock market, you have to buy "smartly" - never placing a good portion of your money on a rather risky stock.

That tells you how much of a stock to buy. But how do you know if that stock was worth pursuing in the first place? That's where the risk/reward ratio comes in.
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My Twin Towers Appraoch To Stock Market Investing

A couple of years back, I read Fitz's post/quiz on how to tell if you were an investor or a trader.

It was a great article. You can make money either way - as long as it suited your strengths. Sure, I advocate long-term, "safe" investing; it would be irresponsible of me not to. But plenty of people make money by actively trading.

The next day or so, Burn wrote a post inspired by that quiz. After reading his 3-guard combo stock investing strategy, I thought to myself "That's a great strategy!"

I tried implementing a similar strategy. And that's when I realized investing involves creating a strategy that fits your personality and situation.

And so I'm sharing my own investing strategy. (True to form, it took me one year to react when it took someone else just one day to do the same.)
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7 Non-traditional Investments You Can Start Even If You Don't Have SSS, TIN, or a Birth Certificate (yet)

First, it's very important to note that having an SSS and TIN is... well, very important.

SSS will improve your future, and it's important to pay the proper taxes. And a birth certificate is usually required to get either one.

For most, if not all, employees that is not a problem. Employers often help them acquire these, or at least give them time to do so. The self-employed, freelancers, enterprising students, and the less affluent residing in provinces (or even in the metro) aren't as lucky though.

However, just because you don't have the right documentation right now doesn't mean there's not much else you can do in the meantime.
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When Should I Sell My Stock?

Probably the hardest part of investing is knowing when to sell.

Think about it: It just went up 3% today, should I sell now because there's probably a correction tomorrow? Then it goes down 2% the next day; should I sell before it goes down further? But the short/medium/long-term trend is still going up, should I sell later? But if the trend is trading in range, should I wait until the break-out? What if it doesn't brake-out and instead breaks down?



This dilemma is caused by one of two reasons:
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Is it ok to invest in stocks while still learning?

That's the question one reader asked me via the comment section. I've already provided an answer, but I thought this was actually a pretty "universal" question and wanted to give it a more thorough answer via it's own post.

But first, here's the question:

"...But as a beginner, do you think it will be wise to invest in UITF like the BDO equity fund while learning? I can see from your comment above that it is wiser to learn first before investing into stocks. You mean UITF or the one you personally invest? Can you share some tips please... Thank you :)"

- Janine

Now for my answer: 
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Why Trade Currency?

One of the limitations of blogging about personal finance without becoming an expert first, is that there are a few topics I probably shouldn't touch. Like Forex.

It's a perfectly legitimate investment vehicle, and people do invest in them. However, since I don't trade currencies myself and it's a high-risk investment, it's reckless for me to recommend it.

Luckily, today we have a guest blogger who can tell us about the advantages of currency trading.
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How To Teach Yourself To Manage Your Investments

Sometime ago an anonymous reader asked me a pretty good question (I'm paraphrasing to make it more concise):

"I'm planning to invest in UITF but I have very basic info about investing in general. Since I don't have any prior experience in investing, I'd rather be a passive investor. But then I also would wish to learn how to manage my investment by myself. Could you please give me advice? Thanks"

Although I already answered his/her question I realized it was actually a very good topic worth sharing. I didn't have any earth-breaking advice, but that's the point.

I think it's something that's going to be very relevant to a lot of beginner investors. And everyone who went through it would have great ideas on how to pull it off. So I'm posting this for all of us to chime in and give what worked for us (and even what didn't work).

I'll start and give my answer, and hopefully I'll read your ideas too in the comments section.
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How To Trade Stocks during Bull Markets, Consolidations & Bear Markets

The are quite a number of different stock investing strategies. We can choose which ones fit us best. But sometimes the choice isn't all about what we want.

The stock market is a chaotic place. A lot of things can happen. And, like most other things in life, different situations call for different actions.

To be honest, cost-averaging over the long-term is still the best approach. It's easy, simple, hassle-free, and - best of all - emotionless. Emotionless until the euphoria of finally pocketing your gains, that is.

But there are times when your goals are not so long-term. And times when, after a long-term investment, you may be looking to end on a "high" note, so to speak. Or perhaps your goals are just too steep, and by necessity are forced to maximize your earnings.

If one of those is the case, it pays to adjust your strategy to the situation at hand.
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