Welcome to the Financial Filipina!
February 17th, 2010 by leialorica Posted in Business, Finance
Mabuhay!
Welcome to the Financial Filipina - a column dedicated to empowering Filipino Americans to take charge of their financial futures.
As you all know, the economic events of the past two years have taken a toll on our wallets, our bank accounts, and our confidence in the financial markets. We’ve watched unemployment double, while housing prices plummeted, and millions of people saw their life savings disintegrate. At times we all felt cheated, outraged and helpless. As Filipinos however, it is in our nature to take action, to persevere and to succeed.
But what can we do?
We can learn.
Financial literacy is key to our stability and prosperity. We cannot control the stock market, the government, or the actions of reckless bankers. But we can control our savings, our spending habits, and our measures to protect ourselves from the world’s uncertainties. Armed with education and confidence, we can make the smart decisions necessary to guard our hard-earned wealth and legacies.
Personal finance is like chess. From an outside perspective, it may look like silly wooden pieces moving pointlessly around a board. However, after learning some basic rules and a few strategies, we can evolve from confused observers, to active players.
Consider this column your playbook and refer to it whenever you are unsure what your next move should be. And feel free to contact me specific questions and concerns.
Mamaya, I will be traveling around the country, interviewing Filipinos from all walks of life to discover what is driving them, what scares them, and what they want to know. Until then…
Ingat!
-Financial Filipina
9 Responses to “Welcome to the Financial Filipina!”
By Michelle on Feb 21, 2010
Hi Financial Filipina,
What in your opinion are the best investments to make for Filipinos living abroad? Is it a good time to buy land/Filipino stocks etc? Would love your opinion on it.
Thanks,
Michelle
By Financial Filipina on Feb 22, 2010
Michelle, that is a great question! The simplest answer is : it depends.
By “Filipinos living abroad” do you mean Filipinos living in the United States or Filipinos living in the Philippines?
The best investments are ones that are tailored to match your risk tolerance, your time horizon, your income level and your particular goals and needs. For example, while real estate is a great investment for some, it may be a poor investment for those who will require quick access to cash in the near future.
I will e-mail you personally to learn more about your goals so that I may offer more personalized advice.
To all you other readers… keep in mind that the best investments for you are ones that allow you to meet your particular long term and short term goals and needs without exposing you to unnecessary risk. Feel free to post your own comments and I will happily address them on an individual basis.
Knowing which investments best suit your situation will put you well on the path to financial security.
Ingat!
- FF
By Michelle on Feb 24, 2010
Thanks FF,
Great question. I’m based in the US and I want to start thinking about building up my nest egg. I guess my risk tolerance is fairly high, BUT I don’t have a lot of money to burn and could definitely put more savings in the bank. I was asking about investing in the Philippines because I thought it would be a good way to give back to the country a little bit. Any suggestions?
Thanks again!
Michelle
By renato reyes on Mar 5, 2010
Hi Michelle:
It’s good to hear that you are atleast planning and thinking ahead for a better future. I would like to share with you what I know, what I have invested in, and I’m involved in.
I’m involved in Financial Planning and I am
actually going to try and capture the Filipino market here in Las Vegas. I’m based in Concord, Ca.
With regards to investments in the Philippines, unless you are really familiar with how they do things over there, I would not recommend it. I was just there last week.
It’s beautiful, vibrant, and inviting.
However, I’m still cautious.
If interested, please email me at rrl2reyes@yahoo.com or if you can give me your email, I can send you more information,
Renato
By Marina on Mar 10, 2010
Dear FF,
I have rental property at home in the philippines that is being taking care of by my family that still left behind. My questions are: One, is it possible to open a bank a count here in the usa that is linked by the bank in the philippines bank? This way rentals will be directly deposited to that bank? Please advise. Thanks. Marina
By Financial Filipina on Mar 10, 2010
Marina,
Thanks for your question! It depends on the bank that you use - ask your local bank if there is a way to link to an offshore account. If your bank does not permit this, one thing you may do is use PayPal to collect your rental payments.
If the tenants pay by Paypal, you can have your PayPal account automatically linked to your bank account in the U.S.
Hope that helps and best of luck!
Ingat!
-FF
By maan on Mar 12, 2010
Hi Marina,
Just a tip. I have a Citibank account here in the US and my sister has one in the Philipppines. She deposited some money there before.
Drop by the one branch or try inquiring online.
Maan
By Elvie on Mar 27, 2010
Hi, I’m involved in index universal life insurance. Is it better than investing in 401K.
By Financial Filipina on Apr 5, 2010
Elvie,
Thanks so much for your question.
Long story short, life insurance should not be used as an investment for your retirement. The purpose of life insurance is to provide income to your family in the event of your death.
A 401K takes advantage of pre-tax income and allows you to grow your savings until your retirement. What kind of retirement plan do you have in place at the moment? I encourage you to use life insurance only as protection for your family, and not as an investment vehicle.
Best of luck to you!
Ingat,
FF