James Ryan Jonas

Why Buy Bonds with Negative Yields?

Why would you buy an investment with a negative return? Did you know that back in 2012, the yield of the 2-year government bond issued by Switzerland … Read More

Why the BSP restricts foreign funds in SDA investments

SDAs or Special Deposit Accounts are a favorite investment choice of relatively risk-averse people, Filipinos and foreigners alike, looking to park their money in safe, highly-liquid, but high interest-earning instruments.

Such benefits made special deposit accounts very attractive products, which paved the way for more than P1.658 trillion being parked in the central bank’s SDA facility as of June 15, 2012. How big is this amount? Well, this is almost the size of the Philippines’ 2012 budget of P1.816 trillion.

Such humongous amount of peso placements have both advantages and disadvantages.

PSE leaps to another all-time high (July 2012)

Philippine stocks closed at another high note today, ending at a new all-time high of 5,365.70 points, up 1.24% from yesterday’s close. Advancers easily outnumbered decliners, 122 to 52, with 33 stocks unchanged. A total of 1.75 billion shares were traded, valued at P7 trillion.

SkyBroadband internet trial review

After more than a month of posting hibernation, I’m finally back online. I recently moved to a condo at The Fort and, although I have already applied for an internet connection weeks ago, until now PLDT has not contacted me for an update. I followed up my application two weeks ago and PLDT told me my internet application is still being processed. If their slow processing is an indication of how slow my internet connection will be, then I think I’m better off looking for a new internet service provider.

Millennium Bank, Rural Bank of Tagkawayan closed

Two separate rural banks in Cabanatuan City and Quezon Province were again ordered closed by the Monetary Board of the Bangko Sentral ng Pilipinas (BSP) less than a month after a big commercial bank, ExportBank, declared a bank holiday due to liquidity problems.

On May 24, Millenium Bank of Cabanatuan City was ordered closed and placed under the receivership of the Philippine Deposit Insurance Corporation (PDIC) by virtue of MB Resolution No. 817.

A few days earlier, on May 17, the BSP placed Quezon-based rural bank New Rural Bank of Tagkawayan, Inc. under the receivership of the PDIC by virtue of MB Resolution No. 772.

FGEN’s 7.808% Preferred Shares

Here’s an investment option for those interested in diversifying their portfolio.

First Gen Corporation (FGEN), the Lopez-owned independent power producer, is issuing to the public up to 100 million Series G perpetual preferred shares for P100 each. The shares guarantee a fixed dividend rate of 7.808% per annum.

What are Preferred Shares?

2012 Dates of Official Philippine Holidays

Here’s a summary of the dates officially declared by the Philippine government as holidays for the year 2012.
Unlike in the past years when “Holiday Economics” was implemented, holidays are not anymore moved to the nearest Monday or Friday when they fall during the middle of the week or during the weekend. As a result, “long weekends” are now a rare occurrence.
Christmas Day, December 25, this year falls on a Tuesday. Christmas Eve, December 24, is a Monday and is not declared a holiday. Will the government give this as a Christmas gift to Filipinos and declare Christmas Eve an official holiday?

ExportBank closed, now under BSP receivership

Export and Industry Bank, more popularly known as ExportBank, is now closed and has been put by the Bangko Sentral ng Pilipinas (BSP) under receivership effective today, April 27, 2012.

Yesterday, April 26, ExportBank informed the BSP that it is insolvent and might be unable to meet maturing obligations and may be forced to declare a bank holiday. The Monetary Board of the BSP swiftly issued a resolution placing the bank under receivership.

The Philippine Deposit Insurance Corp. (PDIC) has taken over the bank and promised depositors refunds will be issued upon complete verification and validation of bank records.

James Ryan Jonas

Pinoy Money Talk