Author Topic: absolute return strategy in MF (Read 3515 times)

pmtmember · « **Reply #30 on:** Jul 14, 2012, 05:09 PM »

Quote from: richpulubi on Jul 13, 2012, 03:08 PM

What if he sells it today? Is there a back end sales load? What's the net?

Might as well have FAMI. 6 months lang holding period plus very minimal ang fees. Also 5k lang pwede na mag open ng account.

PD: I have both FAMI and Sunlife

xyphrus · « **Reply #31 on:** Jul 15, 2012, 04:22 AM »

Quote from: allanmm13 on Jul 14, 2012, 11:41 AM

Now, insurance company na nagsara? Wala pa ata ako narinig here sa Pinas na nagsara. Probably, you are referring to ”Pre-need” company na madalas mabalita na nagsasara or nagkaka-issue, recently.

Sorry for the wrong term. Yup, what I mean is mga "Pre-need" companies. May mga kakilala ako na hindi na na-claim yung pera nila sa mga ganyan. Kaya minsan naiisip ko parang mas safe pa mag-invest sa mutual fund kesa sa mga pre-need companies. Kung kayo po ang tatanungin, saan mas safe mag-invest, sa MF or sa mga pre-need companies? In your opinion lang naman po.

Quote from: allanmm13 on Jul 14, 2012, 11:41 AM

They are not still safe kapag nagsara, kasi sa bank you still have PDIC to cover 500k ng iyong inipon. But probably, using common sense investing, you would choose a reputable MF company backed by a stable finance institution for your own peace of mind.

So in case magsara ang isang MF company, you can claim your funds dun sa financial institution of that mutual fund company, am i correct sir? At yung financial institution ba na yun is same lang sa custodian bank? TIA..

decapolis · « **Reply #32 on:** Jul 15, 2012, 08:00 AM »

Hindi po insured ang pera sa Mutual Funds. Ang advantage lng ng mga MF companies compared to insurance companies e:

low maintenance ito kc konti lng need na employees.

if bagsak ang economies bagsak din price ng shares yun pro sa mga insurance tuluy tuloy labas ng money kasi may mga ngkkclaim for hospital, health, education.

pero mas sure sang ayon ako kay allanmm13, may nabalita na rin na investment company na nagsara dahil inilagay yung majority ng pera sa Lehman Brothers. Marami mgsasabi ayaw nila sa BPI or BDO na UITF or etc kasi mababa returns pero for me mas ok ng medyo mababa kesa kumakain ka dinner e nasa TV Patrol na yung investment company mo

allanmm13 · « **Reply #33 on:** Jul 15, 2012, 12:38 PM »

Quote from: xyphrus on Jul 15, 2012, 04:22 AM

Sorry for the wrong term. Yup, what I mean is mga "Pre-need" companies. May mga kakilala ako na hindi na na-claim yung pera nila sa mga ganyan. Kaya minsan naiisip ko parang mas safe pa mag-invest sa mutual fund kesa sa mga pre-need companies. Kung kayo po ang tatanungin, saan mas safe mag-invest, sa MF or sa mga pre-need companies? In your opinion lang naman po.

Wala pa rin safe among those options, in my opinion. Walang insurance like banks products to cover your investments.
I have a friend who spread his investments. Two in Prudential, yung pre-need nya is now on rehabilitation while his Optima fund in Prudential is still in tack and growing. One in FAMi, One in Philam Preneed.
He’s main strategy is to ‘diversify’ his investments, mangyari man yung inaalaala nya (like what happen to his one Pre-need plan), he is still on good shape.

Ganun din ginagawa ko for my investments and insurances. And sorry to tell, agents here of VUL, I don’t believe on tying my money on one financial institutions.
I diversify my investments and my insurances in different institutions. Mahirap masabi which company will fold in the future, however stable they are today.

Quote from: xyphrus on Jul 15, 2012, 04:22 AM

So in case magsara ang isang MF company, you can claim your funds dun sa financial institution of that mutual fund company, am i correct sir? At yung financial institution ba na yun is same lang sa custodian bank? TIA..

Usually, MF companies, nilalagay nila sa ibang financial institution (custodian banks) yung pera and shares certificates ng investors, outside sa reach ng fund manager. Fund Manager only is doing trading, analysis, fund management.

bauer · « **Reply #34 on:** Jul 15, 2012, 04:35 PM »

Quote from: allanmm13 on Jul 13, 2012, 04:52 PM

If you are doing stock investing, even on that scenario, you dont have 'control' kung ano gagawin ng management sa company you invested. So either you investing directly or you use a fund manager, you have the same risk.

I do not think you will have the same risk, between your own stock pick and the stock pick of your chosen fund manager. Below are the best gauge of risk,

if you are well educated in stock investing and you select your own stock, you have LOWER RISK IN FUND LOSSES than availing the service of a fund manager.

if you are not familiar in stock investing and you select your own stock, you have HIGHER RISK IN FUND LOSSES than availing the service of a fund manager.

kasi if you understand stocks, you know when to BUY and SELL your position when you think there is something wrong with the company. In this regard, you have CONTROL on the movement and allocation of your funds.

The management controls the company's operation BUT you control your investment in that company.

allanmm13 · « **Reply #35 on:** Jul 15, 2012, 05:40 PM »

Quote from: bauer on Jul 15, 2012, 04:35 PM

if you are well educated in stock investing and you select your own stock, you have LOWER RISK IN FUND LOSSES than availing the service of a fund manager.

Will leave this to those who choice direct stock investing as their forte. I will look on other aspects as well, aside from lowering risk. Other factors such fear/greed, stress in trading and continues effort/money to educate yourself about stock investing. I “rather” find other income producing activities outside of stocks and pay someone to manage my funds.
Kahit mablack-swan ang aking portfolio, I do have alternative source for my retirement needs.

Quote from: bauer on Jul 15, 2012, 04:35 PM

if you are not familiar in stock investing and you select your own stock, you have HIGHER RISK IN FUND LOSSES than availing the service of a fund manager.

This is the path I chose.. I delegate the active trading/management of my funds to a fund manager, while passively participating for my funds. Will it produce the maximum returns if I do it myself? Probably yes or most probably NO.

Its a great feeling for some stock investor here, to beat a Fund Manager on his game. For me, though, I will use him as an ally, rather than , who's best and who's got talents in managing a portfolio. On parallel, Im preparing a contingency plans if he in case falls.

Ika nga, different folks, different strokes.

xyphrus · « **Reply #36 on:** Jul 22, 2012, 02:51 AM »

Quote from: allanmm13 on Jul 15, 2012, 12:38 PM

Wala pa rin safe among those options, in my opinion. Walang insurance like banks products to cover your investments.
I have a friend who spread his investments. Two in Prudential, yung pre-need nya is now on rehabilitation while his Optima fund in Prudential is still in tack and growing. One in FAMi, One in Philam Preneed.
He’s main strategy is to ‘diversify’ his investments, mangyari man yung inaalaala nya (like what happen to his one Pre-need plan), he is still on good shape.

So parang 50/50 rin po pala kung iko-compare natin ang mga pre-need companies at mga mutual funds in terms of safeness in investing? Tama po ba?

Yan din po ang ginawa ko, I diversified my funds. Hiwa-hiwalay na yung savings, SDA, mutual funds, and insurances. Much better na yung ganun. Mahirap kase kung sa iisang company/financial institution lang nakalagak ang pera mo..

vgal0579 · « **Reply #37 on:** Jul 23, 2012, 01:10 PM »

have mutual fund and i am eyeing for one more...

i also have VUL, UITF, Stocks and TD from different banks and financial institution... this is my way of diversification...

it is better be safe than sorry....

allanmm13 · « **Reply #38 on:** Jul 23, 2012, 03:10 PM »

Quote from: xyphrus on Jul 22, 2012, 02:51 AM

So parang 50/50 rin po pala kung iko-compare natin ang mga pre-need companies at mga mutual funds in terms of safeness in investing? Tama po ba?

IMHO, mas marami restrictions sa investing parameters ang mutual funds compared to pre-need. Those restrictions, "may" limit their full rewards but limit also their risk compared sa nangyayari sa preneed industry nowadays.

xyphrus · « **Reply #39 on:** Jul 23, 2012, 05:58 PM »

I see. Thank you Sir Allan..

mamee · « **Reply #40 on:** Jul 31, 2012, 05:40 PM »

Quote from: decapolis on Jul 15, 2012, 08:00 AM

pero mas sure sang ayon ako kay allanmm13, may nabalita na rin na investment company na nagsara dahil inilagay yung majority ng pera sa Lehman Brothers. Marami mgsasabi ayaw nila sa BPI or BDO na UITF or etc kasi mababa returns pero for me mas ok ng medyo mababa kesa kumakain ka dinner e nasa TV Patrol na yung investment company mo

Malulugi kaya ang FAMI? Ano kaya ang mangyayari sa mutual funds kapag nalugi sila?

nanashi · « **Reply #41 on:** Jul 31, 2012, 06:01 PM »

MF is a corporate entity and they will likely file for insolvency to protect them from their creditors, The court will decide how the creditor will be paid and round up all the MF' assets if there is any...

bauer · « **Reply #42 on:** Jul 31, 2012, 11:59 PM »

FAMI, in case of failure, will likely be supported by Metrobank. bankruptcy is remote, unless the parent company is in trouble. But, Metrobank is TOO BIG TO FAIL, so our own central bank will rescue it from oblivion.

In short, your funds are safe with FAMI and metrobank.

butuan_888 · « **Reply #43 on:** Aug 01, 2012, 04:30 PM »

Quote from: bauer on Jul 31, 2012, 11:59 PM

FAMI, in case of failure, will likely be supported by Metrobank. bankruptcy is remote, unless the parent company is in trouble. But, Metrobank is TOO BIG TO FAIL, so our own central bank will rescue it from oblivion.

In short, your funds are safe with FAMI and metrobank.

AIG and Lehmann....were all toooo BIG to fail too.....and still they did

ergo Big or small.....Pinoy company or foreign......there are no guarantees.....

denyx01 · « **Reply #44 on:** Aug 01, 2012, 05:53 PM »

Quote from: bauer on Jul 14, 2012, 01:05 PM

Oo wala ngang napabalitang na bankrupt na insurance companies pero TALAMAK ang hindi nagbabayad ng insurance claims.

Agree.. my friend find it hard to claim their CLAIMS sa isang KILALANG MALAKING company pa raw na naka hilera jan sa AYALA.. wala na tlgang safe na investment.. tsk tsk!!