This just out on Forbes’ Rich List in the Philippines:

Factory worker’s son joins Philippine billionaires

Agence France-Presse
Last updated 03:36pm (Mla time) 10/18/2007

MANILA, Philippines — Andrew Tan, the son of a poor immigrant factory worker from China, has reportedly become the newest addition in more than a decade to the ranks of billionaires in the Philippines.

After restructuring his holding company Alliance Global, Tan’s net worth more than doubled to $1.1 billion from $480 million, Forbes Asia magazine said in its 2007 Philippine Rich List published Thursday.

[Read the rest of this entry »]

A career in financial advisory services appears to be a hot move these days. I used to be a bit unenthusiastic about this because of how lopsided income distribution is in this country. Read: there’s too many poor people for every Lance Gokongwei or Jaime Augusto Zobel de Ayala.

I even asked a couple of bank staff who have to comply with HSBC’s quota for wealth management services, if it’s hard to find people who have at least P3.6 million ($80,000) to play with. “You would be surprised,” they said, looking at each other quite conspiratorially, I thought. Hmm.

In various interviews, industry leaders are saying while the Philippines still has to play a catch-up game with China, Taiwan or South Korea, banks are definitely growing their wealth management services in the Philippines.

[Read the rest of this entry »]

Philippine Long Distance Telephone Co. (PLDT) is slashing its workforce. More than 500 employees will be forced to retire with P1.1 million by September 15. PLDT says that’s the average compensation of the employees the company needs to let go.

If you suddenly find yourself out of a job, has skills in telecommunications traffic operations, fleet services and network, and suddenly holding P1.1 million in your hands, what are you going to do with it?

Food for thought on a very slow news day.

Jumper Kim Hopwood is seen as he leaps from the top of the 421-metres Kuala Lumpur Tower, during the International Tower Jump 2007, 24 August 2007. (Photo from Agence France Presse)

Here’s something I picked up from my interview with Francis Kong, veteran entrepreneur, public speaker and writer:

“Taking risks is good.”

[Read the rest of this entry »]

It’s a tag party and I’ve been invited “PF” style . Thanks Digerati Life  for including me in your tag list. What a great community of personal finance bloggers! I’ve found quite a number that should be included in my daily reading regimen.

It’s comical how this question has hounded me over the weekend. I thought about it while writing about other things, while walking to the mall, while preparing lessons for kids, while I was getting ready for bed! If I were asked to give just one — just one personal finance advice — what would it be?

Here goes: Enjoy your money! But use a plan and stick to it.

[Read the rest of this entry »]

When I was in my early 20s, I longed to retire at 30. Now that I have reached that marvelous age (plus several years), I realize I need more time. Besides, I can’t imagine not doing what I’m doing now. I would probably be lost without my writing that constantly defines and affirms every day who I am and what are the little things I can do to leave my little mark in this world.

A retirement survey by HSBC called The Future of Retirement in fact showed that many Filipinos would like to work even after they retire.

Boy Javier, an advertising executive, on the other hand, decided to get off the train early. And he is having the time of his life, according to this MoneySense article in the personal finance section of INQUIRER.net.

[Read the rest of this entry »]

Whew, I don’t know about you but I need a break from watching the market. This Lego doll knows how to relax! hehe…

Photo from Agence France-Presse with caption:

NETHERLANDS, Zandvoort : A huge Lego-doll of about 2,5 meters is seen at the beach of Zandvoort, 07 August 2007. Owners of a beachpub discovered the toy this morning. Nobody knows where the toy comes from, the Danish Legoland says they do not miss the Lego piece.

[Read the rest of this entry »]

I haven’t. Honestly. Is that good or bad? There is a lot of things in my reading list right now that includes updates on local and global financial news. I’m sure I will be a nervous wreck when I’m done reading. Media can do that to you! (Ouch, is that you INQUIRER.net?)

Trying to keep a good perspective here, though. I chose the funds I would invest in carefully. I know that my mutual fund is invested in blue chips and not speculative and risky stocks. The fund managers are experts in their fields and have performed well in volatile periods. I think I made a good asset play and I’m saving for the long-term anyway. I have no individual stock investments, that is why stock picking is not a particular headache for a small player like me. The best thing to do for me is to stay my course.

I spent the whole morning collecting data on the stock market so I can show everyone the historical returns of the Philippine composite index. Special thanks to Efren Cruz, chairman and president of Personal Finance Advisers Phils. Corp. for sharing his data. Bloomberg is also another source for PSEi year-end closing figures. Note that the lowest point of the index after the 1997 crisis is still a gain over 1987 levels.

[Read the rest of this entry »]

We all should be. The main reason is not because it could wipe out our investments, but because many others are getting scared and their jittery actions could rock the boat thereby affecting everyone else.

Imagine a big room full of nervous people running for the exit all at the same time. Think of the confusion during such a pandemonium. People can get hurt whether or not the stampede is running away from a tiny mouse or a huge elephant. That’s how a financial market turmoil can feel like.

On Monday, fears about the US subprime problem triggered losses in markets across the globe. What does that mean for individual Filipino investors? Let me see if I can keep satisfying one reader, who said she reads MoneySmarts because doing so helps her understand business without getting dizzy.

If you are a “prime” borrower, banks run after you to lend you money. You have never missed payments, you have a good job and everything just looks peachy. Sub-prime borrowers are your opposite. In the Philippines, one bounced check and a botched credit card history gives you a permanent scar that’s all but impossible to erase. In the US mortgage market, lenders flush with money coming in from different parts of the world said, “Why not lend to the sub-prime market even if they are risky?” They could charge higher interest from these borrowers and earn more!
[Read the rest of this entry »]

Femaad’s experience on accidentally stumbling upon a townhouse on rush sale is a perfect opportunity to start a discussion on home-buying tips, especially now that Filipinos are buying houses both for investment and for old age.

(Photo courtesy of Michelle Morelos).

It also illustrates how liquidity is the twin of opportunity. This is what she shared:

My husband and I have been renting since we got married in 2000. Medyo mahal rent namin - P30,000 a month. Before reading on financial independence, okay kami with that rent. Afterwards, we decided to downgrade and look for a cheaper place na comfortable, nice-looking naman, and secure. In the process of looking for a place to rent, we came across a townhouse for sale. Wala pa sanang planong bumili, but the corner unit’s price was a good deal, considering it was within town (hindi outskirts), about 500 meters from a jeepney line, with adequate water, good neighbors. It had three toilets and baths, four bedrooms, and a two-car garage. Nearby units were selling at P1 million to P2 million more. Cash kasi gusto ng nagbebenta kaya mas mura. Even my brother who’s a realtor and his friend, the head of chamber of commerce in our place, said we might not come across such a deal again.

[Read the rest of this entry »]