Do you know how many OFWs (Overseas Filipino Workers) are there around the world? According to the Population Reference Bureau, around 11% of the Philippine population or roughly 11 million Filipinos are working as OFWs. This number keeps on increasing as more and more Filipinos seek greener pastures outside of the country.
But there are several Filipinos who apply for work abroad who also end up as victims of fake recruitment agencies. Everyday, hundreds — probably even thousands — are duped by false promises of overseas employment.
How can you check if an agency offering a job abroad is legal or licensed by the Philippine Overseas Employment Agency (POEA)?
Low-risk investment: Manila Water’s 8.25% fixed rate bonds
If you missed the Retail Treasury Bond offering of the Philippine government back in July this year which offered 8.5% and 9.0% interest per annum, you currently have a chance to earn a similar amount of return at the same low level of risk through Manila Water’s 8.25% fixed rate bonds.
The Php 3 billion corporate bond issue pays a fixed coupon rate of 8.25% per annum. The interest are paid quarterly or every 3 months. The bonds mature in October 2013 but investors can redeem their investments by as early as October 2011.
Global stock markets down 30-40%
Almost everyone knows by now that the US economic crunch is hurting stock markets worldwide. Huge losses are currently the trend and stock prices everywhere are plummeting.
How big are these declines, you ask? Check out the table below which summarizes the year-to-date losses of major global stock markets as of October 8 this year.
Any update on College Assurance Plan (CAP)?
What’s the latest on CAP or College Assurance Plan, the failed pre-need firm that left millions of Filipino pension and educational plan holders with nothing when it went down several years ago?
That’s what a few PMT members want to know in the discussion thread CAP Insurance, any experience?
Member foolcha said that CAP Pension is still liquid with enough assets in cash while the CAP Educational Plan has assets but are mostly illiquid, which means they cannot be easily converted to cash. Both CAP Pension and CAP Educational Plan are being managed by a trustee under the supervision of the Securities and Exchange Commission (SEC).
Prudentialife cuts interest rate of Pension Plan products
PMT member shobe recently disclosed that Philippine pre-need firm Prudentialife is lowering the interest rate it is offering to its Pension Plan products.
In the discussion thread Prudentialife Pension Plan to cut pension interest rate from 12% p.a. to 6% p.a., shobe shared that her mother received a letter from Prudentialife saying the interest rate applied to monthly pension benefits will be cut by half.
The pension plan product used to offer 12% interest per annum but starting October 1, the new adjusted rate is 6% per annum.
Excerpt of the Prudentialife letter below.
Subprime Mortgage 101 – A simple and funny Powerpoint
With all the buzz going on about the collapse of Lehman Brothers, the $700 billion AIG bailout plan, and the US financial crisis and its impact on Philippine banks, the word “subprime” suddenly gained notoriety in mainstream media.
What exactly is the subprime mortgage problem?
Why AIG was bailed out but not Lehman Brothers
There is a theory in finance and economics called the “Big Bank Theory” which asserts that governments — through the Central Bank or the Federal Reserve (in the case of the US) — will not allow a “big bank” to collapse because the economic impact of such occurrence will surely be great.
That was exactly the rationale behind last week’s bailout of the American International Group (AIG) by the US Federal Reserve (Fed).