I did it. Finally. After a year of planning, researching, and saving up to no avail, I have finally made my first mutual fund investment at Sun Life. It’s crazy ’cause the money I have used to open an account at Sun Life came from a personal loan from Citibank. Hahaha! Yes, I loaned from my aunt’s credit card again and I haven’t even paid up my previous loan in full. But I have a sort of stable part time job now, so I thought “What the heck, can’t wait for my previous loan to end in September. I need the money badly now!” Right now, I’m not really sure if it’s the stupidest or the smartest financial decision I have ever made, but I guess only time will tell.
I was supposed to buy my Papa a new LED TV for Father’s Day, so I asked my Tita to get me a loan through her credit card. He and my mother made the request about three weeks ago and I felt obliged to fulfill their wish. The thing is it’s the first gift they have ever asked of me and most importantly, I know how much my Papa desires to have a big screen where he can watch the pirated DVDs he kept on buying from sidewalk vendors. Unfortunately, for some personal reason, they changed their mind and asked if I could lend them the cash instead. Of course, I said yes. It’s my gift to them and I’d rather present them something they need most. My other reason for getting a bank loan is I was also planning to finally have a ceiling constructed in my house, so it would stop looking like a refugee camp. Unfortunately again, ceiling construction costs more than P15,000 including labor and I just can’t allow all the money to be spent on something that can wait.
Anyway, enough about the backstory. I’ve been eyeing to start an investment at Sun Life ever since I have read a Bo Sanchez article about how his maids invest in the stock market. Yes, the title alone made me think, “If they could, why can’t I?” And then I started reading about mutual funds and stock trading online. I remember stumbling upon an article that says how there are a lot of money-making vehicles in the country to make every Filipino more financially stable, the only problem is they do not know about them and many of those who do are blinded by the fears of getting scammed. I don’t blame them. I saw the worry from my parents and friends’ eyes whenever I bring up the topic of investing in mutual funds, stocks, and insurance to them. All they can think of are the pyramid scams, the bankruptcies of insurance companies, and the risks of losing it all in the stock market. I can’t blame them and I understand where they are coming from. This is a third world country. Taking financial risks is very dangerous. That is why I’m starting with mutual funds and not stocks. Mutual funds are meant for people who are willing to take risks that they think they can handle and for people who do not have the expertise to get involved in stocks yet. In mutual fund investing, a financial advisor manages your money for you. All you have to do is add more funds to it when you can, let it grow by letting it mature for years, and pray that the market performs well by the time that you need to redeem it.
Now, why did I choose Sun Life? It wasn’t the top performer this year but my heart is in it. Probably because of Bo Sanchez and because it does belong to the top ten mutual fund companies in the country. On Monday, I will visit Philequity in Ortigas to place some of the funds I have left from my loan to their mutual funds. And yes, they are one of the more well-performing mutual fund companies. I just feel safe knowing I have two mutual fund companies and I feel assured that one will always perform well than the other if not both.
And here I go again with a long post. I’ll end it here. Wish me luck and may God bless my plans.
Thanks for reading.