Author Topic: Mutual Fund or VUL? (Read 55067 times)

omekin · « **on:** Jul 11, 2007, 04:02 PM »

the word investing is new to me...though i already read several books about personal weath management...i also started reading about MF for the past couple of months...
until i stumbled on VUL...as a new investor, i would like to seek your advise which one should i get first...

Posted on: Jul 11, 2007, 12:32 PM

i'm also a first time investor...i already called sunlife, asked some banks and reviewed some websites of big insurance companies. i made inquiries about AIG philam but i haven't received feedbacks from them for weeks na. i need some advise where to put my hard-earned 50k. should i put it in MF or VUL?

nailbiter · « **Reply #1 on:** Jul 13, 2007, 03:31 PM »

Some questions, omekin. How old are you? Do you have any dependents? This P50K that you saved up, how long are you planning to invest it? What are your investment goals? Answering these questions may help you decide for yourself what you should prioritize at this time.

AIG Philam lang ba yung hindi pa nagbibigay ng feedback sa 'yo o lahat ng tinawagan mo? Anyway, you say you already called Sun Life. Kung wala ka pang nakakausap don, I can refer you to my mom. Just PM me if you want her contact info.

ontario · « **Reply #2 on:** Jul 13, 2007, 10:02 PM »

Nailbiter is right Omekin. It really boils down to whether or not you need life insurance.
I was also asking the same question myself when I was deciding between the AIG Money Tree or the Philam MFs. But given the longer holding period of 5 years (actually, period where in you don't have to pay any exit fees) and my current status of not having any dependents, I'm leaning more into MFs right now. Besides, I have always believed that if I do need insurance, VULs provide so little coverage for the money invested that I would invariably need to buy more anyway.

Just my two cents

ginagustin · « **Reply #3 on:** Jul 14, 2007, 03:36 PM »

omekin

me din bago lang sa mga investment n ganyan, but what i did put some of my money in MF and some in aig moneytree so far happy naman ako both sa results.

rainmen · « **Reply #4 on:** Jul 14, 2007, 09:19 PM »

that is good ginagustin
but with omekin case he has 50K for his disposal ang AIG Money Tree minimum investment is just right.
and yield of VUL is better compare to Mutual Fund.
also it all boils down to the facts that nailbiter share with us. (she's great dont you think so!)

omekin · « **Reply #5 on:** Jul 16, 2007, 04:02 PM »

wow very nice advices....thanks

....both aig and sunlife already called me...i just turned 30 and single...my parents are my only dependents...correct me if i'm wrong...from what i've read, it's better to get insurance first then do invest after...as early as now, i'm thinking of having a retirement fund...probably i'll hold that investment as long as i can and plan to add more next year...it's really tough deciding between mf and vul

richpulubi · « **Reply #6 on:** Jul 16, 2007, 07:17 PM »

Question lang omekin, why are you buying insurance? You don't need life insurance because you are not married nor do you have kids. If you buy life insurance too early in your life, please don't consider it as an investment because they don't really make as much money as other instruments. And insurance isn't really an investment, strictly speaking. It is only a means of paying for the estate taxes to free your REAL investments(stocks, bonds, real estate, MF's). You can still take some risks like equity mutual funds, which have higher potential returns. Unless you want the insurance for your parents. VUL's are great if you really want both. I bought AIG Money Tree dollar and it is at 17% per annum the last time I checked.

go_mango · « **Reply #7 on:** Jul 16, 2007, 07:51 PM »

Hi richpulubi

Just want to clarify, is it true that 17% p.a. ang AIG Money Tree? I just thought that it's already an OK rate. Hirap i-open ang philam website. Thanks.

omekin · « **Reply #8 on:** Jul 16, 2007, 07:58 PM »

the younger you are, the lower the premiums. thanks for the discussions. i'm learning a lot.

richpulubi · « **Reply #9 on:** Jul 16, 2007, 08:14 PM »

You're right. I can't seem to open the site( I just tried). I usually get a printout from my agent from their main office when I ask for one. I'll ask tomorrow. Anyway omekin, all insurance agents will tell you that buying insurance early will give you lower premiums. But add up all the payments you need to do from now until you're 60 and that's a large amount, and think of all the investment oppurtunities you will miss because you need to pay premiums for insurance that you presently don't need anyway. Better get health insurance instead, because there is a much higher possibility of getting sick than dying a natual death at 30. Again, it begs the question, why do you need life insurance? Insurance for what? I went down that road when I was in high school, when my mom got me started paying of a policy. When I look back, there were so many investments that would have made more money if I wasn't obliged to settle the policy first. Now, I'm forty, and that P200K policy doesn't really account for much, even more so when I'm 60.

harley · « **Reply #10 on:** Jul 16, 2007, 11:10 PM »

^ richpulubi, i agree with that one. by the way, what are the good health insurance companies?

nailbiter · « **Reply #11 on:** Jul 17, 2007, 01:18 AM »

Off-topic na yan, harley, pero interesado rin ako sa magiging sagot.

Bukas ka na lang ng bagong thread dito to get recommendations for health insurance companies.

freedomfighter · « **Reply #12 on:** Jul 17, 2007, 09:20 AM »

wintan2006 · « **Reply #13 on:** Jul 17, 2007, 03:21 PM »

Rainmen,totoo bang mas ok ang yield ng VUL kesa MFs?
Tanong lang po ako sa inyo,let's say meron na kaming health insurance and life and accident insurance,will it be better if i invest in MFs rather than investing in VUL since may insurance na ako?
Salamat po sa sagot.