In my other blog Financial Planning Philippines, I have shared a lot of articles regarding Mutual Funds. Articles ranging from personal experiences investing in mutual funds as well as experiences of other people. I even made a compilation of all frequently asked questions on mutual funds.
Way back then, there are only few local articles that you can search. Good thing, now with technology advances, everything can be learned just by simply watching.
Here’s a video series with Matteo Guidicelli discussing “Investing and Mutual Funds” for those who are just starting with this kind of investment vehicle.
In this video, Matteo explained the idea of Mutual Funds. He shared that initially, he thinks Mutual funds are complicated and scary. A mutual fund pools the money of different people or investors. That’s why it’s called a MUTUAL Fund, which means TOGETHER.
Together, mutual fund investors put their money in different securities depending on the kind of fund.
Think of it like travelling with your barkada. You share the highs and lows of the trip and you share the risks and potential rewards. You don’t figure out your travel plans alone. Sometimes you get a travel agency to help you out.
Mutual funds are the same way. They are managed by professional Fund Managers to make sure your money grows over time. Just like how travel agencies handle messy travel details so you don’t have to.
All mutual funds have the same thing in common. They’re all designed to grow your investment.
Most mutual funds are designed for the long haul. That’s because, the value of mutual funds goes up or down depending on where the funds are invested in.
But you’ll earn more from your mutual fund investments than leaving it in your bank account.
This makes mutual funds great for that trip to Europe you have always wanted to take.
Or that car you’ve always wanted to buy.
Or that house you’ve been dreaming of.
And here’s the best part. You can start investing in mutual funds for as low as P1,000 (not P5,000 as mentioned in the video). And you can add to it, anytime.
Remember, the earlier you invest, the faster your money will grow. But you have to plan for it, just like travelling.
Start investing today! #MakeitMutual
Garry De Castro is a personal finance advocate, Financial Advisor, Certified Investment Solicitor (Mutual Fund Representative), investor, stock market trader, blogger, and IT practitioner. He started sharing and writing financial articles 2008 just to share his financial learnings to friends, relatives and anyone who wishes to be financially independent.