Mutual funds creating your portfolio
- 1. Mutual Fund 10 February 2015
- 2. “ ERIC” Ericson Menor Business Development Officer Rampver Strategic Advisors (02) 894-1811 / (02) 812-1995 0917-718-0325 Unit 2202, 22nd floor, Antel 2000 Corporate Center, Valero Access Road 3, Valero Street, Makati City.
- 3. Financial Intermediary Mutual Fund Distributor Money and Asset Management Advisory Training, Consulting, and other Financial Services
- 4. Agoodinfluencer. Rex Mendoza Senior Adviser AIA Group
- 5. • Winning the lotto • Getting a huge inheritance • Marrying it • Working hard for it
- 6. • to cope with inflation •To attain a financial goal
- 7. - General increase of prices of basic goods year after year 2011 2012 2013 2014
- 8. Year 2003 P25.00 Year 2006 P45.00 Year 2009 P55.00 Year 2012 P69.00 Year 2014 P79.00
- 9. When are you going to act to increase your financial value?
- 11. Man'sEconomicLife MAN AT WORK! MAN AND MONEY AT WORK! MONEY AT WORK!
- 12. THE MUTUL FUND CONCEPT
- 13. MUTUALFUNDS Investment Companies (Investing, Re- Investing, Trading of Securities). Pools money from various investors having the same investment objectives.
- 14. MUTUALFUNDS Investor 3 Fund Manager Investor 1 Investor n Pool of Funds Investor 2 . . . . Investment 1 PLDT Investment 2 Ayala Land Investment 3 BPI Investment n
- 15. • Invest in (Philippine) Stocks Equity / Stock Fund • Invests in Philippine Government and Corporate Bonds and Stocks Balanced Fund • Invests in Philippine Government and Corporate Bonds Bond Fund MUTUALFUNDS
- 16. TYPE INVESTMENT COMPOSITIO N OBJECTIVE AVERAGE EARNING BOND FUND fixed-income instruments stability plus reasonable growth 6% MONEY MARKET FUND short-term fixed- income instruments stability plus minimal growth 2% STOCK FUND shares of stocks; "equity funds" long-term capital growth 18% BALANCE D FUND stocks & fixed-income medium to long -term for moderate investors 12% MUTUALFUNDS
- 18. Benefits Diversification (≤10%) Low capital requirement Liquidity Potential for higher return Professional Management Tax-Exempt (RA 8482) BenefitsandRisks
- 19. Sample Composition Cash Bank Holding IT Telcos Mining Media Real Estate BOND FUND BALANCED FUND STOCK FUND
- 20. Cannot invest more than 10% of its assets in any security other than the government.
- 21. Benefits Diversification (≤10%) Low capital requirement Liquidity Potential for higher return Professional Management Tax-Exempt (RA 8482) BenefitsandRisks Risks Not guaranteed by PDIC (RA 3591) Fees associated with investment Risks of negative return or loss of capital
- 23. Fund Name NAVPS YTD SALEF 5.8109 4.26% SALBF 2.9209 4.41% SALFIF 2.2232 1.71% OWN 1.0866 4.58% This is the percentage growth in NAVPS over the indicated time frame. Net Asset Value Per Share as of February 5, 2015 AUM : Php12,600,000,000.00 (September 19 , 2014)
- 24. Fund Name Net Asset Value Per Share* - February 5, 2015 YTD Returns Philam Bond Fund 4.0965 1.85% Philam Dollar Bond Fund USD$ 2.1314 2.70% Philam Fund 17.5134 4.36% Philam Strategic Growth Fund 570.68 5.57% Philam Horizon Fund 3.9047 4.57% * - Annualized Returns ** - Formerly known as GSIS Mutual Fund Inc. AUM : Php 46,150,558,271.26 (September 24, 2014)
- 25. AUM: Php 13B September 2014 Performance as of: February 5, 2015 FUND NAVPS YTD Performance Philequity PSE Index Fund, Inc 5.078 5.44% Philequity Peso Bond Fund, Inc 3.6699 4.26% Philequity Fund, Inc 38.1378 2.55% Philequity Dividend Yield Fund, Inc 1.3076 4.04% Philequity Dollar Income Fund, Inc 0.0554578 1.36%
- 26. Fund Name NAVPS YTD ATRKE Philippine Balanced Fund 2.4086 2.53% ATRKE Equity Opportunity Fund 4.5089 2.33% ATRKE Alpha Opportunity Fund 1.6481 -0.92% This is the percentage growth in NAVPS over the indicated time frame. Net Asset Value Per Share as of February 5, 2015. AUM : Php85.37B (September 30, 2014)
- 27. Fund Name NAVPS YTD SOLDIVO Strategic Growth Fund 0.9849 4.87% SOLDIVO Bond Fund 0.9720 1.38%
- 28. WHY LONG-TERM? To maximize the potential return of your investment, you need to let it grow over time.
- 29. Year Amount Actual Returns Current Market Value 2007 100,000.00 20.09% 116,187.08 2008 -38.13% 71,884.94 2009 47.41% 105,965.59 2010 55.81% 165,104.99 2011 2.66% 169,496.79 2012 29.19% 218,972.90 2013 10.68% 197,075.61
- 30. Year Amount Actual Returns Current Market Value 1994 1,000,000 14.00% 1,117,200.00 1995 20.80% 1,349,577.60 1996 58.50% 2,139,080.50 1997 -5.30% 2,025,709.23 1998 30.00% 2,633,422.00 1999 35.90% 3,578,820.50 2000 6.90% 3,825,759.11 2001 2.90% 3,936,706.12 2002 -5.20% 3,731,997.41 2003 35.60% 5,060,588.48 2004 28.40% 6,497,795.61 2005 15.25% 7,488,709.44 2006 52.24% 11,400,811.26 2007 18.33% 13,490,579.96 2008 -40.71% 7,998,564.86 2009 65.05% 13,201,631.30 2010 54.08% 20,341,073.50 2011 6.12% 21,585,947.20 2012 33.69% 28,858,252.81 2013 0.87% 29,109,318.00
- 31. MONEY IN BANK VS. MONEY IN MUTUAL FUNDS Year Amount Mutual Fund Actual Returns 2009 100,000 65.05% 2010 165,050 54.08% 2011 254,309 6.12% 2012 269,872 33.69% 2013 272,219 0.87% Year Market Value Time Deposit Rate 2009 100,000 *2.5% 2010 **102,500 *2.875% 2011 **105,446 *1.625% 2012 **107,159 *1.125% 2013 **108,364 *0.750% *Average Time deposit rate of PH banks for 100,000 capital. ** Still Subject to 20% Withholding tax.
- 34. 9,281 SHARES x 38.1378 NAVPs of Feb 5, 2015 = 353,956.92 Current Market Value 353,956.92 Current Market Value - 25,000 Initial Investment = 328,956.92 Capital Gains 328,956.92 Capital Gains / 25,000.00 Initial Investment = 1316% Return on Investment (ROI)
- 37. 959,140 SHARES x 4.0965 (NAVPS as of Feb 5, 2015) = 3,929,117.01 Current Market Value
- 39. 19,948 SHARES x 38.1378 NAVPs as of Feb 5, 2015 = 760,772.83 Current Market Value 760,772.83 Current Market Value - 215,000.00 Initial Investment = 545,772.83 Capital Gains 545,772.830 Capital Gains / 215,000.00 Initial Investment = 254% Return on Investment (ROI)
- 40. RecommendedAssetAllocation Risk Profile Recommended Asset Allocation Conservative 40% Stocks, 60% Bonds Balanced 60% Stocks, 40% Bonds Aggressive 80% Stocks, 20% Bonds The above recommended asset allocation is only a suggestion and would depend on what you are comfortable with
- 42. End of Slide.