FINALS

Lesson 7:

GROWING WEALTH THROUGH

FINANCIAL INVESMENTS – II

Attention: GROUP 7, you are our next reporters (before the Final Exam)
The Philippine Stock Market
 The Philippine Stock Market
2 Ways to Earn In the
Philippine Stock Market
1. DIVIDENDS – sharing of surplus profits.
2. APPRECIATION OF VALUE – increase
in Price per Share (of a particular stock), over the
long term.
 The Philippine Stock Market
2 Ways to Invest In the
Philippine Stock Market
1. DIRECT Investing – stock trading
2. INDIRECT Investing – through
professionally managed funds (UITF, Mutual
Fund, etc.)
 The Philippine Stock Market

1. DIRECT Investing – stock trading

• You need study Fundamental Analysis
and Technical Analysis.
• Can be Very Complicated for beginners.
 The Philippine Stock Market

2. INDIRECT Investing
• No need to study Fundamental Analysis
and Technical Analysis.
• Keep it Simple. A competent team of
professional Fund Managers will do the
complicated tasks for you.
Sample FFS (Fund Fact Sheet)
 INVESTMENT RISK

RISK – the probability that the expected

Rate of Return (ROR) may not be attained.

Risk is an inherent characteristic of any

investment.
 INVESTMENT RISK

Risk and Opportunity go hand-in-hand. If

you know what you are doing, there is great
Opportunity behind the Risk that you choose to
undertake.

Can I avoid Risk? No.

What can I do? Manage It.
How?
Manage Risks thru Diversification
Manage Risks thru Financial Literacy
Manage Risks thru Financial Literacy
Manage Risks thru a Support Group
 INVESTMENT RISK

Three (3) Effective Ways to Manage Risk

1. Find the Right Environment (Support Group).

2. Be Financially Literate. Raise your Financial IQ.

3. Diversify. Build a Strong Financial Foundation

BUILD A STRONG FINANCIAL FOUNDATION
 Property of IMG Wealth Academy

WEAK
For internal use only

VS. SOLID Foundation

 Property of IMG Wealth Academy
For internal use only
BUILD A STRONG FOUNDATION
SOLID FINANCIAL FOUNDATION = PEACE OF MIND!
EXAMPLE: INCOME = 25k/Month = 300k/Year

P6M ⇨⇨ P6M
ANNUAL
x 5%INCOME x 20
= P300k/Year

P150K ⇨ MONTHLY INCOME x 6

Zero Bad Debt ⇨ ZERO BAD DEBT

P3M ⇨ ANNUAL INCOME x 10

P1M ⇨ P1M? P3M? P5M?

P100k++/Month ⇨ ⇮ PASSIVE INCOME STREAMS