09/10/2020
MUTUAL FUNDS (Part 1)
Invest in mutual funds, they said.
It is for your future, they said.
So let us take a closer look at one of the aggressive type of mutual funds: equity/stock funds. And if you have invested PhP10,000 at lump sum, how much is it now on the average?
Invested 5 years ago, your money now is lesser by 3%!
Invested 3 years ago, your money now is lesser by 10%
Invested a year ago, it is now lesser by 25%!
It means, your money is not earning! I repeat, its negative!
Compare that to other financial market rates such as bank savings, time deposits, bonds, MP2 and others.
So what to do now? Is mutual funds still a better alternative? In this times of pandemic, bawat PISO mahalaga.
(Part 2) to be continued.