Hello everyone! We have a very nice weather today and I am drinking my coffee while checking on my stocks. I really love stocks! I’ve got some gains as of this writing but it just doesn’t ends here! I’m an avid fan of long-term investing but I also trade from time to time to take advantage of the opportunity and to maximize the profit.
Speaking about the profit from trading, Yes, it is astounding! I have stocks for long-term, mid-term and for short-term trading and they are executed according to my financial plan.
Why you should invest ? There’s an urgency on this and I want you to start now! Here’s why…
1.You are still young.
In investing, your ally is time. If you are young, you can still maximize the power of compounding and the dividend. Start buying stable and big companies like Ayala, Banco de Oro, Universal Robina Corp. to name a few… Do it regularly for long term and you will be amazed how far your savings can go. It has long been proven that the Stock Market beats all other assets in terms of returns.
I am still working in a BPO company but I made sure that every time I earn something, I set aside something that goes to my investment. It is my long time-practice and I’m still doing it. I set my mind that I have to pay myself first and that I have to invest it in my future. I know it’s very challenging at first but doing it with diligence could go a long way.
If you are single, I challenge you to make this a habit and you cant be wrong with it!
2.Price are much cheaper.
Our market is trending down and the advantage of it to long term investors is that you can buy blue-chip stocks at a lower price. Bearish market is the best friend of the investors and can maximize the amount and you can buy bigger shares.As a long-time investor, I’m investing in MPI ( Metro Pacific Investment) and SMPH (SM Prime Holdings) and good thing about it is they are stable and performing companies.
Today, Metro Pacific Investment (MPI), only cost 7.10 pesos per share. If you’re not familiar with it, MPI is a unit investment holding corporation that provides water, sanitation, and sewerage services and also operates in real estate, and infrastructure projects. It also invests in some hospitals in the Philippines. In their bucket is the tollway system and expressways, MERALCO and Maynilad. It is a Giant company!
On the other hand, SM Prime Holdings (SMPH) only cost 27.20 pesos per share today and no need to ask what is this company. Just look on their gigantic buildings and ask your kid where does he want to go. SM Prime is the parent company of the SM Group’s shopping malls. It is the largest shopping mall and retail operator in the Philippines.These stocks are even cheaper than your plane ticket to Bora.
By looking on its 10 years performance, I can say that the price of these stocks are going uptrend with very promising future based on our present administration. I believe that these companies will always be part of the lives of the Filipino people 50 years from now. PLDT today costs 1,752 per share but few years ago, it was only few hundreds. Can you imagine if that time, you were able to have it in your position? That’s a real fortune!
Based on two stocks above, even they are so affordable looking on the actual price per share, if we compare them to other stocks and its P/E ratio; they are already considered expensive. Cheaper stocks which are very promising are BDO, FGEN,and ALI which have very good fundamentals and are undervalued.
3.You still have your day job.
That is an big advantage If you are working and earning well. I encourage the OFW to start investing in your retirement. The more you are earning, the more are the opportunities that you can invest according to your goal. In my previous blog, I wrote an article about an OFW who worked as a baker in Saudi, invested 500,000 and hold it for 10 years. Now the value of the stocks are almost 5 Million pesos. Yes, that sounds too good to be true but that is the truth. You can check it here..
4.There are more resources now. Learning investment is easier than before.
Through the availability of online resources, learning is almost for free. Take advantage of what are available that you can find online. Since day 1 up to now, I’m still enjoying reading and learning new things about stocks. Learning is a continuous journey. If you need guidance, you can read my blog and follow the easy steps to start investing in the Stock Market.
5.More Pinoy are are already investing today..
Stock Market has now become popular and local books have been available. Before, only Millionaires and foreign investors are the only people who were taking advantage of it. Even a kid can invest through stock market. So no excuses, I have a thousand reasons not to go in this field but I was able to do it.