I’m A Year Old Member Of Truly Rich Club

Time flies so fast that I’ve already invested in the stock market for a year already. I know it’s such a short time in relevance to my long-term goal of investing for 20 years. Nonetheless, I couldn’t have made it without the help of Mr. Bo Sanchez and the Truly Rich Club. I’m basically a year old as well with the club since it’s my principal aid in trading with stocks back when I was (still am now) a newbie. I’d just like to share my experience, some of the key points I learned over the months, and an interesting present that you might want to check out.

Thank you Truly Rich Club

Truly Rich Club is probably the first financial advisor of my life. Although the club is aimed primarily at educating members on financial freedom, I was essentially interested with the stock updates only. You should know that for a complete beginner as I, the club was one of those that opened my eyes on the benefits of investing. Though I’m a fan of investing way before I was a member, I appreciate the club’s unique approach, especially the emphasis on thanking the provider for the blessings, also having a positive mindset on most things.

Bo is a magnet. You can easily sense the beautiful person that he is through his newsletter and God Whisper, where he provides members regular quotes that keeps one uplifted. A person who constantly needs positivity may benefit a lot from this. He is also quite transparent with everything especially when it comes to stocks. He shares to you his trades and thoughts on what to buy and when to buy, as well as when to hold or sell. This is basically the reason why I joined the club. However, I have to admit that I appreciate the other bonuses included, such as the video seminars where you can catch up with Bo’s talk and ideas as if you are joining (and paying) those exclusive seminars.

So for a year, even if I were investing 497 pesos each month to become a member, I’d say I’m grateful for the club. The club definitely has a huge role on this investment journey of mine.

What I learned over the year

There are a lot of things I learned about the stock market in just a year. If you would think closely, I’m still a baby to this investment stuff. To add, I’m not even doing my part of research on stocks and how it really works, even not fully exploring the online broker COL financial. I acted as any regular club member would: put up a certain amount of money on a regular basis, preferably monthly, and buy the stocks as recommended by the stocks update from the club. It’s pretty much investing by being spoon-fed. That’s exactly what happened to me, well, for the most part.

Just recently however, a crash happened to the market and from all greens (positive gains ranging from 15 percent to 40 percent) my portfolio all went down to reds (negatives). This came as a shock to me, but nonetheless, a great learning experience. I learned that stock market is indeed unpredictable. I also learned, that the club does not predict much of anything too. So it’s quite a risk to day-trade where you buy and sell on a regular basis. It made me realize the valuable method of buying consistently during a low price and selling when it is high, while still setting both eyes on the end goal, which is long term. Keeping in mind that this sway is temporary and an overall upward trend is prominent when you look at the big picture. Exactly what the SAM method of the Club is doing. I would say I learned a lot and I’m expecting more of this wild coaster ride. If you should know, it’s a perfect time to buy stocks. 

Spreading the Blessings

As a member, I always tried to spread the benefits of being part of the club. I even started a blog series on stock market and about the club to give ideas to people on how the club works. Though I also understand those who are unable to invest 500 pesos a month or basically about 6000 pesos a year to be a member. I mean who would pay for something big and risking when we have our own bills and other expenses to worry, right? But this doesn’t stop me in spreading the blessings. In fact, I have something to offer you just to help you see and appreciate the benefits of the club.

If you are interested, I will email to you, without any strings attached, the previous stocks updates from the preceding months. This I may seem kind of unfair to the other members but I strongly consider this a huge help for people who are still hesitant just because they have zero idea on the matter. I’d like to share probably one or two, of course with confidentiality (I trust you on this), previous stock updates. It doesn’t have to be a recent one. It will probably be a three-month old update. Hopefully, this will give you an idea on what to expect from the club, on how the email looks like, and how you can see yourself benefitting from it. If you are interested with this offer, you can just email me. I’d try my best to respond to you and share to you this opportunity once I see you fit. Also, try to check the recommended online broker.

Thanks for reading this post and hopefully you learn a thing or two. Don’t forget to message me on this page if you are interested with my offer, and I'd really appreciate if you help spread this. I’m hopeful that I won’t get hate comments from other club members who think otherwise. Haha! 

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Mutual Fund Curious

Hey guys. Here’s another financial post regarding one more investment model called Mutual Funds. I have been into Stocks for a year now but that does not stop me from reviewing other investments models.

Mutual funds for one is a very interesting model that I’ll be joining very soon. I firmly believe that when it comes to passive investments, it is always best to diversify. This is exactly what I’m trying to do in this early stage of my life - that is is to try every investment option and eventually figure out, through a means of evaluation, what’s the most effective of them all. By then, I’ll focus on the strategies that are most effective for me. 

An American colleague called the very logical method above as the “shotgun effect.” I think it’s effective. Furthermore, at this stage of my life, it seems like I got nothing to lose. It’s not like I have people relying on me already, the thing I just worry about perhaps only include phone bills, food, gasoline, and other stuff (socially related stuff and anything in between). I guess to put it simply, this stage of life as an optimal period to try everything especially as it relates to long-haul investments. So yeah, (I do apologize for the long chitchat) let’s get on with my basic understanding of MF.

What is Mutual Funds?

From what I understand, mutual funds is where you put up money to professional stock or security trader, who in turn do the trade for you for a little and at most on a standardized fee. This works best for people who are not really into trusting themselves in picking up companies as what you do on active stocks. You just have to put up the money with someone who’s capable of making the decision for you and hope everything goes well, which is hopefully that they make the right decisions, and by then you could get a raise of your money after a length of time.

However, the option of Mutual Funds also works best for people like me aiming to diversify investments. In addition, it pays to have an option that gives people a “worry less” setting (that, if you trust your MF company’s performance enough).

Don’t get me wrong. Mutual Funds is not a fast money scheme. It’s also a long-term investment unless you place a bulk amount of money, I’m talking about millions of pesos, which could give you high gains right away. But if you don’t have that sum, then you could just, you know, drop money once a month or whenever you can, and enhance your portfolio as time goes on. You reap what you sow perhaps after 10 years or 15 years, well that depends on you already. Mainly, that’s how I think I’m going to do it.

Of course, there are a lot of MF companies/association out there. I’ve heard about PAMI and PhilEquity and other MF companies. I’ll be checking them out, and I’ll certainly post something about them once I get to join them, which includes my experience and probably some tips and how to’s.

Risk Profiles

As to any investments, there are risks involved. Although a lot of people say that mutual funds are safer than manual trades in the stock market, I don’t entirely agree with that. They also have risk profiles. It means you could settle for an aggressive, moderate or safe approach (not all companies use the same terms). Also, I heard that you could transfer from one risk profile to another to make the most possible gains. I heard this is very possible for PAMI and they allow you up to four changes free of charge in a span of a year. I’ll certainly get you more details as I join them and move along.

Basically, aggressive approach gives you the highest gains but probably the highest loss as well, while safe approach gives you the least gains while having the lesser risk of losing. You have the freedom to choose which profile to take, and also the ability to check the companies the traders invest in, including progress reports, statistics and so on.

That’s all about this topic for now. As usual, I’m hoping for the best. It’s funny. While writing this, I recall a conversation with a friend. We were saying that we all prepare for the future but what if the future becomes a bitch (sorry for the term) and you know, become unpredictable and ruin everything that we’ve done so far. Well, it’s not our hold anymore -- it’s a fact that the future is uncertain. I think the process of all these investing and managing our money is not about what you get in the end. I came to realize that the process is what really counts. The lessons are the ones lasting, the ones that stay with you - just some random thoughts. Thanks for reading.

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Investing Versus Saving In Bank

Perhaps you’ve thought of saving money? If you haven’t, you can read my previous post about savings. In this post, I will share my views on investing in comparison to saving in banks.

You may already have encountered some people who talk about investments and how it is way better than saving your money in banks. Yet, in some instances, you might also hear that investments are not worth it and it’s better to be safe and save your money in the bank. Well, the answer is, it depends. The choice greatly relies on what you see as purpose of your money.

You have total control of the cash that you carry right now. In fact, you could spend all your money down to the last cent this very moment. These days, it’s easy to buy anything and spend any amount of money. That’s how fickle money is. You may recount some news you hear on lottery winners who had poorly spent their enormous capital in just a matter of months, which most thought as impossible.

On the other hand, you also have the power to use your money wisely. For most people, using money wisely means saving it in order to allot it for a better use in the future.

However, just putting money in the bank may not entirely be a wise decision. You’re 100 thousand pesos today, might not buy as much goods in 5 years compared to what you can buy today.

Yes, inflation is real and it has a yearly average of 8 percent here in the Philippines. The annual interest gain rates for your money in the bank is about 3 percent. As you can see, money is not really growing and it definitely depreciates over time when you put it solely in the banks.

However, placing money in the banks also has its benefits. You can withdraw your money anytime and it is perfect for dire situations where you need the ready cash.

In investing, you do have a chance to increase your money significantly. This depends on what investment modes or vehicle you avail. There are lot of investment opportunities out there. It’s important to note that a considerable amount of Filipinos are not into investments yet.

Here are some of the common modes of investments:

Stocks - a very good way to invest and you can take a role as daily trader or long term trader. Gains are likely, yet risks are moderate to high. This depends on how you do your trades.

Mutual Funds - if you think stocks is not your thing but you still want to gain, then you may want to trust your money to established organizations of professional traders to do the decisions for you. This is how mutual funds work. Most banks offer mutual funds. Mutual fund organizations have their own risk profiles that you can compare and help you decide which one is for you.

Cooperatives - it’s another famous investment model. Though I have to be honest I’m not so particular about this. I know however that you trust a cooperative for your money and it will be used as a central fund for the members, optimizing it for gains, thus increasing the value of the money you put up.

What do they all have in common? They have risks. You have to note that you may lose all your money.

If you’re a person who’s afraid to risk or a person who’s not willing to lose, then investment is probably not for you. However, there’s a smart way to invest and it’s just taking a small percentage of your income for these investments. You can check this type of allocation in my previous blog.

What’s the verdict? As you can see, it really depends. If you were to ask me, I’d save in the bank and at the same time invest. It doesn’t really matter if you started small, as long as you stay consistent and set your eyes on the long-term goal.

Want more tips? Here’s something interesting I learned.

Since we’ve mentioned on the benefits of saving in the bank to use in a difficult situation such as losing a job, hospitalization and unforeseen events, there’s a way to solve this.

An interesting technique I read from a book is to save money in the bank that equals to 6 months of your monthly needs.

Assuming that your  monthly salary matches your monthly expense, then you just multiply it by 6 to come up with the money you want to put in your bank. So if you lose a job or an emergency happens, you have spare money to use. Six months is an adequate period to land a new job. Now, you have a secure amount in the bank and the rest of it can be invested.

But for the risk takers, you may just want to invest most of your money. If emergency situations arise, they think abundantly and see through it that they can find money they need, at any given time. That’s one audacious approach but very plausible.

As usual, thanks for reading. Don’t forget to leave your comments below.

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Frequently Asked Questions About Stocks

This post tries to answer frequently asked questions about Stock Market, Truly Rich Club, and COL Financial. These definitions and answers all come from my thoughts, understanding, as well as experience. Feel free to tell me if you need to add a question or even answers and/or clarifications.

What is Stock Market?

Stock market is a mode of investment that any Filipino can venture. It involves buying shares from companies by following a simple law of trade, which is buy low sell high. There are various investing strategies out there one can try. But basically, buying on enduring companies gives a higher chance of profit.

Some people may say investing in stocks is risky and they never bother to consider it. Indeed, it is risky as to any investments. Don't just be anyone, try learning more of it and rid ignorance. The choice is yours in learning more of investing in stock market today.

What is Risk Management?

Risk management is the weighing and managing of risks so that events or results turns out beneficial or in favor to you. Investing always involves risk. Therefore, you should check modes of investments and see what fits for you. Try to identify and analyze risks before making decisions but keep in mind that you have to take actions too.

In stocks, you may go with a strategy with higher or lower risks. For example, with a high risk strategy you go for daily trades involving huge-value shares. This may lead to immediate and big profit but it could also be instant loss. Low to moderate risk, on the other hand, involves investing a small amount each month or quarterly and letting it grow for the long run. It may take time but the risks of losing your money decreases.

How much do you need to start investing in stocks?

The online broker COL only requires single investors an initial deposit of 5000 php. If you have that amount then you can start right now and enroll. However, you should keep in mind that to enjoy the benefits of stock market, one should consider investing on a regular  basis. This means sparing any amount of your income flow to let your stock portfolio grow. I suggest 10% of your income flow each month (I'll talk more about this on another post).

Can anyone join?

Yes (at least from what I know). The head of Truly Rich Club even opened accounts for his kids.

Do you have to check the stock statuses/trades all the time?

This depends. If you consider joining truly rich club and get stock updates from them, you don't need to frequently check stock status. This also goes the same if you invested using EIP (Easy Investing Program) or long term investments. However, if you are a day-to-day trader, then you'd want to check your stocks status frequently.

What is Truly Rich Club?

Truly Rich Club is a good aid for your investment venture in the Philippine stock market. Learn more about it here.

Why COL financial/ CITISEC Online?

Despite the fact that they are online brokers, which means they have 24 hours access; they also have fairly priced transaction fees. Fees are only applicable after a succeeded trade.

COL FINANCIAL fees: commission fee - 0.25% of Gross Trade amount, VAT - 12% of commission, PSE Transaction FEE - 0.005% of Gross Trade amount, sales tax - 0.50% of Gross trade amount. Minimum fee of 20 pesos per transaction.

Since it is online, you can check the latest stock information anytime, make some changes anywhere or contact them anytime. Help desk are prompt in their replies for queries as well.

How to enroll to COL Financial?

Watch this video.

How do I put money in COL

You have a lot of options to do so but basically it involves depositing in the bank. Instructions are found in COL Financial Website. You might as well enroll to online bank such as BPI express online. I do this to save the hassle of going to bank whenever I need to fund my account. Enrolling is easy.

How do you withdraw?

You might be wondering how to withdraw with COL financial when you finally decide to get your gains. You can actually do so by submitting a request. They have a form for this that you get from the site. It usually requires a personal appearance in their main office in Pasig City. However, there is an option that a representative can get the cheque for you provided they authorization and proof of identification (usually including a photocopy of your ID). Take note that the cheque will only be payable under the customer account holder's name.

Tip: If you're investing in stock market you may want to withdraw your money less often and only if necessary. Letting your assets roll for a good time may give you better returns.

How do you buy shares?

Once you have a money deposited in COL Financial, you will get a an actual balance and a buying balance (called buying power). You just have to check (also called getting the quote) the STOCK Company you want to buy using their stock code. Once you know the current price of the company you then make a trade buy stating the amount of shares and the price. Make sure you do your trades while the market is open this is from 9 am to 3:30 pm Monday to Friday. I usually do my trades around 1 pm or in the afternoon so that I'd have an idea how the stock price would likely land for the day.

Stock prices are volatile and change every minute (specifically 15 seconds). Consider trading with the last price of the stock share to get a better chance of successful trade. You'll get trade confirmations the following day to let you check if there are any discrepancies or errors. Just go ahead and confirm with your password if your trade was all correct.

Take note that your trades may not push through but there's no charge for this. This happens when the price of the stock changed by the end of the day and your selling or buying price was far off.


P.S. This list is constantly updated. Please feel free to comment or even suggest answers or questions alike.

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How To Start Investing in the Philippine Stock Market

I know I’ve been telling people about stock market however, I haven't really fully, even begun, to explain the whole thing. Silly me.

Let me start by saying, “Anyone can invest in the stock market.” Yes, Anyone. Through the help of truly rich club, this post will try to define, basically, what stock market is and how it works.  I’ll try to be as brief and as lay man's terms as possible.

To explain stock market, one just has to think of 3 things
1. buying shares from companies;
2. let the value grow; and
3. selling them on a favored, later time.

First off, the only term you need to focus on for now is stock shares. Stock Shares is basically a piece of a whole. Say a slice of cake, where the whole cake is the value of the public Stock company. Imagine you bought a slice of cake worth 1 peso (because the cake is cheap like that) and the whole cake is worth 8 pesos. With simple math, you get that there are 8 slices of cake for a whole cake. Stock shares are the slices of the cake and that slice of cake is your own share or your own slice. You now have the right of it and also you are now part of the whole. Now imagine that it so happens the cake became so popular and an increase in demand occurred (this means business is growing). Now the cake is worth 16 pesos, which means it is now doubled the original price. Essentially, your slice of cake will worth 2 pesos now. That's the magic of stocks and it is actually as simple as that.

Companies with good business grow their value or worth over time. Of course, some corporations could also go down. The fun part actually comes in choosing which companies to invest in, this part is what most people conceive as difficult, challenging, and confusing. Let me tell you that is quite simple. Really.

COL (CITISEC Online) Financial, the preferred online stockbroker, offers a simple EIP program. This comes from a very simple premise that when you buy stocks on a regular or monthly basis, you eventually build a good portfolio which could then generate good returns in the long run (15 years or so). This of course is possible if you buy on COL’s suggested blue chip company, or the big companies which have very high probability of sustaining and increasing their values in the long haul. I could not further emphasize the importance of starting early if ever you consider investing in stocks.

How much do you need to invest in stock market?

Well, any amount will do. However, you will need to have at least 5000 Php to enroll to the online broker. But don't be confused, this amount is your initial investment and already considered as your trading value. You just have to set aside any amount you can every month for you to continue buying the stocks you love. In addition, I’m glad to share a strategy that will somehow automate the investing system regardless of your cash inflow.

What exactly do you need to do to start investing?

You just have to enroll in Col Financial (previously CITISEC online). You can check their site and enroll to the EIP program (Now called Starter Program), since it’s initial deposit involves only 5000php as I was talking earlier (I'll write more about enrollment process on a next post). It's rather simple and you can enroll anywhere in the Philippines or even outside the country. All instructions are laid out in the site.

The smart way around Stock Market

As mentioned above, the challenge in stock market is figuring which companies to invest or put your trust with. I'm glad to inform you that there is a smart way around this. I won't say it is a definite method since investing, from the world itself, is not a definitive thing. You should be aware that investing always involves risk. However, the truly Rich club, a group in which I am a member for a year now, offers you good financial advice on which stocks to buy. The prolific speaker Bo Sanchez and his trusted advisors head this club. These professionals offer another method of going with stocks. It’s a semi passive approach where you maximize your earnings and utilize in maximum the art of compounding interest in the long run. Here's a post I created about it.

As of now, I would like to strongly invite you and be excited about this investment program. Investing in stocks MAY give you an average of 15 to 20% growth in your money (the range could go negative to 100% to 200% or even more). This is much better than placing your money on banks where inflation easily kills your 1 to 2 percent interest rates.  Moreover, people tend to be afraid of things they are unfamiliar of. This is why NOW is always the right TIME to check on any investment programs and see where you best fit. Time is so valuable. If anyone could do it, you could absolutely do it as well .

P.S. I guess it’s a long post after all but hey, congratulations you just made a big step on your financial awareness today.

P.S.2 You could leave a comment below so that I could inform you about upcoming posts related to enrollment, Truly Rich Club and many more tips. Or you can just email me davevisaya@gmail.com if you want to talk now.

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