Retire Rich: Investing

Showing posts with label Investing. Show all posts

Friday, August 23

How I Escaped Living Paycheck to Paycheck

From the beginning of my working career---that was right after graduation from college in 1997 up until 2015, I found myself trapped in a cycle familiar to many: living paycheck to paycheck. The same thing happened even though I was able to work overseas as an OFW in 2006 but still the cycle continues. My situation even get worse while working as an OFW. I came to a point wherein I sold my blood at a blood bank for straight six months (literally blood... the white blood cells or the leukocytes). The constant stress of not knowing if I could make ends meet weighed heavily on me. I knew I needed a change, and that year, I took the first step on a journey that would eventually lead to financial stability.

It all started with a free seminar on financial literacy. I'm forever grateful to OFSI and its team. The seminar opened my eyes to the possibilities of managing money wisely and growing it through investments. It was a turning point in my life. The knowledge I gained motivated me to take action immediately.

OFSI Batch 8

One of the key takeaways from the seminar was the importance of saving and investing. I knew I had to start small, given my limited income at the time. So, I committed to saving as low as 1,000 pesos a month from my salary. It wasn't much, but it was a start. The key was consistency. Every month, without fail, I set aside that money and invested it in the stock market.

My initial foray into the stock market was cautious. I knew little about how it worked, but I was determined to learn. As I invested, I simultaneously immersed myself in studying investing and stock trading. I spent countless hours reading books, watching tutorials, and following market trends. This self-education not only helped me make better investment decisions but also gave me the confidence to stay the course, even when the market was volatile. I even get my hands into stocks trading and that is well documented on my YouTube channel and some of the videos I made were also shared on this blog.

As my knowledge of investing grew, so did my ambition. I realized that financial literacy wasn’t just about investing; it was about understanding all aspects of money management. To broaden my skill set, I started studying business accounting. This knowledge was crucial, as it provided me with the foundation I needed to think beyond just investing in stocks. The book I can strongly recommend to read before you start your own business especially if you are not an accountant is "Finance for Non-financial Managers". It sparked an interest in entrepreneurship, and I began to explore the idea of starting my own business.

By 2023, I felt ready to take the next big step in my financial journey. With the savings I had accumulated over the years, plus the capital from my stocks stocks trading portfolio, and the knowledge I had gained, I invested in a startup business in the motorcycle parts industry. It was a calculated risk, but I believed in the potential of the market and my ability to run the business effectively.

Running a business brought its own set of challenges, but the financial literacy and business accounting skills I had acquired over the years proved invaluable. I was able to manage the finances of the business efficiently, make informed decisions, and navigate the ups and downs of entrepreneurship. Today, my business is thriving, and I have successfully broken free from the cycle of living paycheck to paycheck.

Looking back, the journey wasn't easy, but it was worth it. The key to my success was a combination of education, consistent saving, and calculated risks. Attending that financial literacy seminar in 2015 set me on a path of self-improvement and financial empowerment. By taking small, consistent steps and continually learning, I was able to transform my financial situation and achieve a level of stability I once thought was out of reach.

My story is a testament to the power of financial literacy and perseverance. No matter how small you start, with the right knowledge and mindset, you can break free from financial limitations and build a brighter future. Break the cycle.

Then and Now - Vulcanizing Shop

Rey Tecson Investing , Retirement

Then

Now

As a first time start up business owner, there's a ton of improvement I wanted to implement right away. But it could be overwhelming and stressful. So, I slowed down and enjoy every small details of the process. Continue stirring to create ripples and hopefully I can brew waves in the process.

Slowing down business improvement in a startup allows me to savor each step of the journey, fostering deeper learning and creativity. By taking time to reflect, I was able to make more thoughtful decisions, reducing costly mistakes.

This approach also encourages stronger relationships with customers and my team, as there's more focus on meaningful interactions rather than rushing growth. Enjoying the process cultivates a positive work culture and prevents burnout, ensuring sustained passion and energy. Additionally, it provides space for innovation, allowing the business to evolve naturally rather than forcing rapid changes that may not align with its core values.

Learning to Run a Business: Starting a Vulcanizing Shop

Rey Tecson Investing , Retirement

Retirement marks the end of one chapter and the beginning of another—a time to reflect on past achievements and envision new opportunities. For Overseas Filipino Workers (OFWs) returning home after years abroad, retirement presents a unique chance to reinvent oneself and contribute to the local economy. In this blog, I would like to share with you my journey as an OFW venturing into entrepreneurship by starting a vulcanizing business, utilizing my years of hard work and experience as a tool to somehow succeed in our homeland.

As an OFW preparing for retirement, the allure of entrepreneurship beckons—a chance to be finally the boss, build something meaningful, and leave a lasting legacy. Although I wanted to retire about 3 to 5 years from now, I'm already planning about retirement since 2015.

Well, when I said retirement, all I really meant was to stop being an OFW and return to the Philippines for good, not necessarily to stop working---but to stop being an employee. I wanted to be the boss this time and it can be done only when I run my own business. You might ask, why do I plan to retire for almost a decade now? This is because I have a lot of fears. First, I dont' know how to run a business. Second, I don't know what business to start. Third, I don't know about accounting---that's my biggest fear. I need to learn about business accounting. So, to prepare myself for these fears, which I consider as challenges. I started preparing as early as 2015, reading books about financial accounting. The book "Finance for Nonfinancial Managers" was the book that really helped me understand the basic concept of accounting. If you intend to return to the Philippines for good with your hard-earned savings money to start your own business, I recommend reading this book. This is especially true if your profession or your career as an OFW is outside the financial and accounting realm.

I knew I could use Excel to record my business's accounting details. However, I am not satisfied with Excel. I think there are sophisticated or advanced software out there that can be used in accounting. So, I started my research.

Indeed, while Excel can be a useful tool for basic accounting tasks, it may not always meet the needs of more complex businesses or those seeking greater efficiency and automation. Fortunately, there are several sophisticated accounting software options available that offer a wide range of features to streamline your accounting processes and provide valuable insights into your business's financial health. Let's explore some of these advanced accounting software solutions:

QuickBooks: QuickBooks is one of the most popular accounting software options for small to medium-sized businesses. It offers a comprehensive suite of features, including invoicing, expense tracking, payroll management, inventory tracking, and financial reporting. QuickBooks also integrates with many other business applications and banking platforms, making it highly versatile and customizable to your business's needs.

Xero: Xero is another cloud-based accounting software solution known for its user-friendly interface and powerful features. It provides tools for invoicing, bank reconciliation, expense tracking, inventory management, and payroll processing. Xero also offers extensive integrations with third-party apps and services, allowing you to create a tailored accounting ecosystem that fits your business requirements.

FreshBooks: FreshBooks is an accounting software designed primarily for freelancers, service-based businesses, and small businesses. It offers features such as invoicing, time tracking, expense management, project management, and financial reporting. FreshBooks' intuitive interface and mobile app make it easy to manage your finances on the go, while its automation features help streamline repetitive tasks.

Wave: Wave is a free accounting software solution ideal for freelancers, contractors, and small businesses. It offers core accounting features such as invoicing, expense tracking, and financial reporting, as well as additional tools for payroll processing and online payments. Wave's affordability and simplicity make it a popular choice for entrepreneurs just starting with their accounting needs.

Sage Intacct: Sage Intacct is a cloud-based accounting software designed for midsize and enterprise-level businesses. It offers advanced financial management features, including multi-entity and multi-currency support, revenue recognition, project accounting, and financial consolidation. Sage Intacct's scalability and robust reporting capabilities make it suitable for growing businesses with complex accounting requirements.

These are just a few examples of the many advanced accounting software solutions available in the market today. When choosing the right accounting software for your business, consider factors such as your business size, industry, budget, integration capabilities, and specific accounting needs. It's also a good idea to take advantage of free trials or demos offered by software providers to test the usability and functionality of each solution before making a decision.

In my case, I choose to learn QuickBooks. I practiced using QuickBooks by creating a dummy company and applied what I learned from the book "Finance for Nonfinancial Managers". In fact, I also learn to use QuickBooks to record my personal finances.

The Vulcanizing Business

As I mentioned earlier, I have fears about starting my own business and the biggest is my fear about accounting which I ultimately learned. And the other fear is I don't know what business I'm going to start with. Some will tell you, to start with something that you are passionate about or something you are good at. That's the usual problem of the OFWs. Most of the OFW ahead of me that I know went back home for good and started doing business for the first time, hoping that it would work. However, most of them failed. This is because they did it for the first time with a business model that wasn't proven yet and they rely on the business as their major source of income. In other words sa bisaya pa, wala saligi pero maoy gikuhaan sa tanan. It is somehow bound to fail. So, I tried a different approach. I started a business while I'm still an OFW. I wanted to practice first. I wanted to run a business while Im still earning as an OFW. I think we are lucky now as we can run a business remotely with the help of the technology and Internet. We can use online CCTV as our extended eyes, ears, and voice for our business wherever it is located in the world.

So, the fear, or shall I say the challenge to identify what business I'm going to start was answered. In January this year, our neighbor who was running a small vulcanizing shop wanted to sell his shop and all the tools available for 20,000 pesos. It was a conventional vulcanizing shop that still utilizing used oil to heat the iron pad to vulcanize the interior tubes of motorcycles and bicycles. At first, I was hesitant because I know how the hell a vulcanizing shop works and I don't know how to do it. And who will do it for me? Well, I realize that I work as an HR in a big oil and gas company in Kuwait so this is my strength, I can head hunt someone suitable to work as my partner to act as tireman in this shop.

What made me convinced to buy this vulcanizing shop from Rex Dalogdog is that he's been running this business for more than 10 years. So it only means that this business is working and was able to feed his family for a decade. So I grab the opportunity and this will let me start a business not from scratch but simply take over a viable running business. So I bought it and was able to hire a suitable partner for this business, So far the business has been running for more than three months now and was able to pay its own bills with a meager net income. I did not do any major renovations or purchases, I just operated it as it was and planned for renovations in the fifth month of its operation.

I still don't know whether this business will indeed help me with my retirement so that I can ultimately go home to the Philippines for good. That still remains to be seen. What really I'm after is that I started a business and will apply what I learned and prepared over the years to an actual business. I already tried applying what I learned through a dummy business and this time I am doing it on a real business. And I am confident and comfortable doing it because the capital is not something that gets the bulk of my savings. And besides I'm not building it from scratch. Simply I just taking over a running business. So guys if you enjoyed reading this blog, continue to follow as I blog here whatever I learned running this business, I will share the challenges and the whole journey in general in this blog.

For those who follow this blog because of my stock trading content, don't worry guys I will be posting again videos or blogs about stock trading soon. Why I stopped trading is that I don't have the capital now. I utilized my trading capital for another business venture to add a diversification of my investments as I used my trading capital to buy a piece of land. Yes, I'm happy to inform you that I was able to venture into real estate thanks to my best friend Don Juan for the opportunity. I'm also willing to share the process here in this blog if you guys want to know how to buy land, its associated costs, and the processes. Thank you for bearing with me I know it's a long one. And if you come this far, thank you so much for taking the time to read. Until next time, let me know in the comments section what are your thoughts.

In conclusion, retiring as an OFW marks the beginning of a new chapter filled with opportunities for personal and professional growth. By embarking on the entrepreneurial journey we are not only leveraging our experience and expertise but also creating a lasting impact on our community. As we navigate the highs and lows of entrepreneurship, they embody the spirit of resilience, innovation, and service—a testament to the enduring legacy of Filipino entrepreneurship.

Reason Why it's Important to Save, Invest at a Young Age?

Rey Tecson Investing ,

When I was in college I used to tell na kapag nakapag-tapos na ako, get a job and I will start saving up money.

Hindi naman malaki ang allowance na binibigay ng parents ko, pero nakakabili pa rin ako ng beer tuwing Linggo ng gabi! Ahahaha!.

Syempre, bagong bigay lang ng allowance eh.

Ayan tsk tsk… nauna kasing natutung mag-inom kaysa mag ipon.

Karamihan sa atin ganun… aminin… hehehe.

But the question is it really necessary to get a job first bago mag-umpisang mag ipon?

Ito ha, kung alam ko lang to noon, sabihin ko sayo dapat nag umpisa na akong mag ipon noong college pa lang. Alam mo kung bakit?

Kasi kung iisipin mo, para din kasi akong may trabaho. Dahil weekly, meron akong sahod hahahha. Yon nga lang ay bigay ni Mama pang allowance.

Instead na magtabi ng kahit na small amount from my allowance, I chose to buy beer and stone nyahahahha! Na get’s mo. Oii.. noon yon. Di na ngayon.

Di nga seryoso, dapat yong pinang inom ko pala noong college ay inipon ko na lang. This is from a hindsight perspective. From someone, who now learn how to invest in the stock market. Ngayon wala na akong magagawa tapos na yon.

Pero sa mga nakakabasa nito na mga college student ngayon, na may weekly or monthly allowance ito ang advise ko: magtabi ka ng kahit konti from your allowance.

Look at the table below, this is a comparison of how important to save and invest early. The example below showed a return of 6% per year.

The power of saving and investing early.

Grabe ang laki ng pagkakaiba. The table in your right side ako yan. Kasi nag start ako mag save at mag invest ay noong 2015 lang, bali 38 years old na ako wahahaha! Gurang na! Kaya kung nabasa mo ito at bata ka pa, huwag ka ng mag patumpik tumpik pa. Start saving up part of your montly allowance and invest in the stock market.

I know a strategy that will provide a guaranteed return of 6% per year. Type "How" in the comment section. Wag mong ismolin ang 6%, it's the power of compounding interest and time that matters.

My Sources of Income

Rey Tecson Investing ,

In this post, allow me to discuss some of my other sources of income. Not to brag or anything, but to give you an idea of possible ways to earn extra income while working as an OFW or in the Philippines.

Let's begin.

My first source of income is carpooling or transportation pooling. If you have a vehicle such as a motorcycle or a car that you use to travel from your home to work, you can talk to your co-worker who commutes and ask if they want a ride with you in exchange for a reasonable fee.

Since you're already driving to work, why not take someone with you and earn extra money? As long as your co-worker lives or works along the way, there's no inconvenience for you to pick them up and drop them off.

This arrangement benefits both parties as your co-worker can save money on transportation costs, and you earn extra income to buy gasoline or maintain your vehicle. If you don't have a car, you can still save money by riding with someone who offers a lower fare than the actual transportation costs.

In my case, I have two co-workers who live in the same area as me, so we share the transportation costs. They're happy with the arrangement since they save money and feel comfortable since there are only three of us in a five-seater vehicle.

My second source of income is dividends from stock market investments. Apart from stock trading, I also invested in preferred shares to generate fixed dividends. Preferred shares are an investment instrument that is cumulative, non-voting, non-participating, non-convertible, redeemable, and peso-denominated.

This publicly traded instrument can be purchased at a higher or lower price than its redeemable price, depending on the market price at the time of purchase. A quick tip is not to buy when the price is too high compared to the redemption price. It's better to buy below the redemption price. Unlike common shares, preferred shares have fixed dividends usually paid every quarter. Additionally, the company can buy back or redeem these shares on a specific date stated in the offer supplement of the issued preferred shares.

This means I can hold onto my preferred shares until the company redeems or buys them back at the redeemable price on the specified date. While waiting, I receive a fixed dividend every quarter. The good thing about this is that there's a dividend rate step-up in case the company decides not to redeem the shares on the optional redemption date, which means the dividend rate adjusts according to the offer supplement.

In summary, after purchasing preferred shares, I receive a fixed dividend rate usually paid quarterly until the company buys back or redeems the shares.

I learned most of the skills in stock investing from the book "How to Make Money in Stocks" by Willian J. O'Neil.

This book is a must-read for anyone interested in investing in the stock market regardless of your level of experience. It has a clear and concise investing strategy that has been proven to be successful over time.

My third source of income is dividends from common shares. Dividends from common shares are usually not regular and are based on the board's decision of the company. The dividend rate is usually not fixed. Most of the dividends I receive are from stocks in my long-term investment in MARGE. MARGE or Mytrade Affordable Retirement Guide is a program by Mytrade for people who want to invest in the stock market for a long-term period. Mytrade will guide you on what stocks to buy, hold, or sell.

My fourth source of income is Adsense. Adsense is a platform used by bloggers and YouTubers to earn money. Around 2011, my Adsense account was approved and verified by Google. Since then, I've been earning through my blog and YouTube channel.

That's it for my sources of income. I hope this gives you an idea of how you can earn extra income too.

Investment Ideas for 2022 - Dogs of PSEI I Part II

Rey Tecson Investing ,

Here's the second part of the video I made talking about investment ideas that you add to your portfolio for 2022.

I also shared updates and information about the following:

Investments ideas I added to build my portfolio over the span of almost 6 years investing in the Philippine stock market.
Stocks Trading
Dividend Play
Marge
Portfolio build-up and many more.

I'll be posting more videos about the Dogs of PSEI investment model.

Next up, I will provide the actual list of 30 stocks composing the PSEI and its actual 2020 closing price.

Why Invest in the top 10 PSEI worst-performing stocks in 2022?

Rey Tecson Investing ,

Why Invest in the top 10 PSEI worst-performing stocks in 2022? Why not?

Merry Christmas and a happy new year mga Ka Retire Rich, thanks for coming back to this channel and if you are new to this channel consider subscribing dahil sa video na ito, I will share an investing idea with you.

But before that let's roll the intro para mag mukhang pro, kahit newbie.

Before ko share as inyo ang investment idea na to, disclaimer lang muna tayo. Ang investment idea na ito ay hindi ito galing sa akin ha. This is an adaptation sa The Dogs of DOW investment model.

Ang Dogs of Dow as per Investopedia is an investment strategy that attempts to beat the Dow Jones Industrial Average (DJIA) each year by leaning portfolios toward high-yield investments. The general concept is to allocate money to the 10 highest dividend-yielding, blue-chip stocks among the 30 components of the DJIA.

Ang investment idea naman na share ko sa inyo is investing to the top 10 worst-performing stocks ng PSEI. Una kong nabasa ang tungkol sa investment idea na to from MyTrade.

So bakit naman ang top 10 worst-performing stocks ang pipiliin? Ang assumption sa idea na to is that for sure hindi papayagan ng isang PSEI listed company na two years in a row na pangit ang kanilang performance.

How to find out the Top 10 worst-performing stocks ng PSEI?

1. List down all the 30 stocks that composed the PSE index on an excel file.

2. Get the closing price of each PSEI stock from the last trading day of 2020.

3. Get the closing price of each PSEI stock from the last trading day of 2021.

4. Get the difference in the price. 2021 closing price minus the 2020 closing price.

5. Divide the difference against the 2020 closing price and multiply by 100 to get the percentage performance.

6. Sort out by percentage performance from smallest to biggest. The first 10 on the list will be your top 10 worst-performing stocks of PSEI.

You will invest an equal amount of money in each stock during the first trading week of January 2022. For example, if you allocate 50,000 pesos for this investment model, you need to at least equally invest 5000 pesos on each stock.

I tested this investment model last January 2021 using a virtual portfolio at Investagrams. I used 50000 pesos virtual money and invested at least 5000 pesos in each stock. Let us see the performance compared to the index against the time I made this video.

When you will start saving and investing?

Rey Tecson Investing , Saving

I started saving money at a very young age. But started investing when I was already 37. Late na.

What happened to my savings? Naubos din. Why?

My parents always said, "anak mag ipon ka, para may pambili ka ng....."

I saved and then buy things. Saved money again and then buy another thing.

It's a cycle. So the savings have no long-term impact. Ipinambili lang din eh.

I can't blame my parents. Yon din ang naituro sa kanila.

I realized later on that it should be saving money and invest in something.

Ano yong something? Di ko din alam noon eh. Noong 37 na lang ako saka ko nalaman.

If I should have known the financial market much earlier, for sure, I'm not only working for money but my money also works for me while I'm sleeping, working, eating.

Ikaw? When you started saving? And then what? When you started investing?

Kuwento mo naman sa comments sa ibaba.

Top 5 trading mistakes to avoid

Rey Tecson Investing ,

Ito yong Top 5 trading mistakes na nagawa ko noong unang taon ko sa pagtrade. In this video, let me tell you kung ano-ano ang mga yon para maiwasan mo na at para hindi ka malugi ng 30% of your total trading capital or baka mahigit pa. I lost 30% of my trading capital on my first year of trading. Kung hindi mo pa napanood ang video na yon.. just click the link above.

What is up mga ka retire rich! Welcome back po sa channel... at kung ikaw naman ay bago, please consider to subscribe for more videos.

Let's go back to the video. Here are the top 5 trading mistakes I did during my first year of stocks trading, which I was able to avoid in my second year. And guess what? If last year nalugi ako, so far this year ay gain pa din po ang aking port.

Mistake Number 1. Trading without a plan or strategy.

Ito ang kalimitang mistake ng newbie. Pag lumusub ka sa giyera na wala kang plano.... parang suicide mission ang nangyari. You are doomed to fail because if you do not have a plan, it's like you plan to fail. So dapat meron kang plan or strategy na naka define lahat kung kailan ang entry, exit at stop loss. I avoided this mistake by simply committing to my strategy. At since wala akong masyado time sa market, I used CALMA strategy. At kung walang ma screen na stocks using Calma... eh di wala munang trade. Period.

Mistake Number 2. Disrespecting Stop Loss.

Noong natoto naman akong mag plano ng trade at gumamit ng strategy, masyado naman akong tiwala na aayon si market sa plano ko at papasok ito sa set-up ko. So, if the trade goes against me... at na hit si stop loss... abay I keep ignoring it. To the point, na sana 3% lang ang loss.... abay umabot tuloy ng 10% minsan umabot pa ng 20. I avoided this mistake in my second year by respecting my stop loss and keeping in mind na laging tama si Market. Huwag na huwag makipag talo kay market. Period.

Mistake Number 3. Ignoring riks management.

Itong mistake na ito ay pinsan ito ni mistake number 2. Pag masyado kang nag tiwala sa trading plan mo or sa strategy mo, which is tama naman, yes of course you need to trust your system, your plan, your strategy, but because of this! you tend to ignore risk management. Oiii!! mag bullish cross na si MACD at price above ALMA na! All in na to! O di ba? without checking also na mataas na pala masyado ang risk and then after nakabili at nag reverse si market... doon pa lang maisip ang risk. I avoided this mistake by putting risk management as my ultimate priority to check before even considering a stock to trade and applying also the 1 percent rule.

Ano naman ang 1 percent rule? May video tayo nyan, and I recommend na panoorin nyo by clicking the link above.

Mistake Number 4. Overtrading

Grabe ang over trading ko noong first six months ko sa trading. This was brought about sa maling mindset ko going into trading. I was dumb thinking that trading is easy money at dito ako kikita agad ng pera at makapag retire ng maaga. Little did I know that learning to trade and to be profitable is a long process. So I avoided this mistake by changing my mindset. Trading is a bachelor's degree for me at I will give myself 5 years to at least learn and gain significant experience. At the same time sticking to my strategy pa din.

Mistake number 5. Unable to control FOMO!

FOMO - The Fear of Missing Out. You always hear about FOMO right. Lagi akong nakaka experience ng FEAR na to every time na may nag liparang stocks. Para bang hinayang na hinayang ako pag hindi ako nakasakay sa mga nag liliparang stocks kahit hindi ko alam kung paano ito i trade. Feeling ko ang hina hina kong trader... which is true naman... dahil newbie pa lang eh. Pero during my second year, I avoided this by not opening my broker account at chart pag I really do not have a plan or intend to trade. Iniwasan ko mag window shopping sa stock market dahil mapapabili ka ng di oras at wala sa plano. In the end malugi ka lang.

There you go, guys! Try mong iwasan ang mga mistakes na to and let me know in the comments kung ano ang naging impact nito sa trades nyo.

So let's review these mistakes but before that, if you like this video please consider to like, share and if you are new to this channel consider subscribing for more videos like this. Going back to the video.

Top 5 mistakes to avoid

1. Trading without a plan or strategy.

2. Disrespecting stop loss.

3. Ignoring risk management

4. Overtrading

5. Unable to overcome FOMO.

That's it! Mga ka Retire Rich. I will see you in the next video.

Why it's necessary for newbies to trade small?

Rey Tecson Investing , Stock Trading

Why it's necessary for newbies to trade small? This is a question that has a very obvious answer. Right? Dahil newbie nga eh. Wala pang alam, kaya trade small lang muna. Pero ang tunay na tanong ko why newbies tried to trade using, big amount of capital as possible? Gulty ako diyan.

So bakit nga ba gustong magtrade kaagad ng isang newbie gamit ang malaking capital? Dahil po yan sa maling mindset. Pag ang mindset mo ay kikita at yayaman kaagad ako kapag malaki ang capital ko. Yan mismo ang mindset ko sa first year ko sa pag trade. And the result, is huge amount of losses.

So kung maka relate ka dahil newbie ka at nasunog pera mo di ko na kailangan explain sayo kung paano nangyari yon dahil alam mo na yon. At alam ko na din dahil ganun din ako eh.

Mas mainam pakita ko na lang sayo at balik tayo sa unang tanong, why its necessary for newbie to trade small? Na realize ko lang yan noong second year ko sa pag trade. So noong June 2020 ay nag open ako ng mytrade account for my stocks trading study purposes. At ang gamit kong capital ay wala pang 8000. Talgang 5000 lang, Just to be in the market, gain experience, feel what it is like trading real money while learning stocks trading. The same experience with the least possible risk.

I will share with you my trading journal in PL Trades to show why it is necessary for newbies to trade small while still learning. Watch the video.

Stock Market 101 I Episode 2 - Right Mindset

Rey Tecson Investing , Stock Trading

In this video, I will discuss about the right mindset before you are going to deep dive into the realms of stock market investing/trading.

Let us frame our mind in the right perspective and expectation of the financial market enabling us not to be frustrated if our expectations are not met.

Stock Market 101 I Episode 1

Rey Tecson Investing , Stock Trading

Ano pagkakaiba ng mayaman at hindi mayaman kung magbasa ng news or diyaryo?

Ang mga mayaman kapag nagbabasa ng news, inuuna ang "business" section. Pero ang hindi mayaman inuuna ang "intertainment" o di kaya ang "sports" section ng newspaper.

Well, that's just my observation when I was working in Manila sa Ongpin, Binondo. My boss used to read the newspaper every morning and I noticed, he will always go to the business section first and meticulously read the stock prices of companies na nasa chart.

When he finished reading, I snatched the newspaper and look at what's in the business section of the newspaper. Promise wala talaga akong maintindihan. Well, not anymore these days because I somehow understood na about business news and my favorite online business news portal ay ang Business World, Business Mirror, Inquirer Business, CNBC, Yahoo Finance etc. Kaso nga lang hindi pa din ako mayaman eh!

Gusto mo ba matutung magbasa ng price charts later on?

If you guys are available tonight 23 Aug. 2020, 11:30 PM (Manila Time) join me, via Retire Rich YouTube channel discussing (live broadcast) regarding the basics of the stock market.

What is Retail Treasury Bond (RTB)? Month No. 2 Save 10% from your salary challenge

Rey Tecson Investing ,

What's up mga Kababayang OFWs? We are at the end of the month na naman. Make sure not to forget our "Save 10% from your Salary Challenge."

I planned to invest in Retail Treasury Bond (RTB) the savings that I will be getting from January 2020 salary.

So ano nga ba tong RTB?

Retail Treasury Bonds (RTBs) are medium to long-term investments issued by the Philippine government. They form part of the Government’s program to make securities available to small investors.

Whether you’re an individual or a corporation, RTBs allow you to invest and grow your money with very low risk of losing. It’s considered a fixed income security, which means that you earn a fixed interest rate based on the principal market given on a quarterly basis.

This is for investors looking for:

A low-risk investment
An accessible investment
A higher-yielding investment

It's a low risk talaga dahil ang government ng Pilipinas ang nanghiram eh! Sino nga ba naman ang puwedeng mag imprenta ng pera? So I think this is a good investment. So I will try this one.

What are the terms of offering?

Issuer: Philippine Government through the Bureau of the Treasury (BTr)
Maturity Date: February 11, 2023
Issue & Redemption Price: At par (or 100%)
Interest Rate: 4.375% (subject to 20% final withholding tax except for tax-exempt institutions)
Interest Payments: Quarterly
Minimum Investment: Minimum of PhP5,000.00 and in integral multiples of PhP5,000.00

So, mga OFW's what are you waiting for? Sali na sa "Save 10% from your Salary Challenge" and sabay tayong subukan ang RTB!

Sources:

Bureau of the Treasury: https://www.treasury.gov.ph/rtb/
Security Bank - Retail Treasury Bonds (RTB): https://www.securitybank.com/personal/investments/fixed-income-securities/retail-treasury-bonds-rtb/

Let us learn together, one word per day

Rey Tecson Investing , Stock Trading

I will write a series of posts about the meaning (in simple terms) every jargon involving the stock market. I might do also YouTube videos on some how-to things also involving the stock market. Example: How to open a stocks broker account? Or how to open a Philippine bank account? Like BDO.

Let us continue learning something. Improve ourselves. Improve on how to handle our hard-earned money. Dahil hindi biro magtrabaho sa abroad.

OFW's should go home and retire someday with something. Most of us OFWs work abroad, not as a choice but because we don't have a choice. Most of us went out of our country with "nothing". We should at least go home, retire, with "something".

I know that investing in the stock market is difficult. In the stock market, you will be able to earn money very fast (if you know what you are doing) and lose money very fast (if you are ignorant). You don't know where to begin. My friend, the key is education. You need to educate yourself. You need to study. You need to learn about it before getting your hands dirty on it.

Nowadays information is scattered on the internet for free. All you have to do is filter and fact check that information and absorb what will help you. Let's begin with terminologies first. As I told above, I will be writing a series of posts about stock market terminologies.

While we are studying the stock market by reading, researching, watching videos, we can start something else on the other side. Let's start by having a bank account first. Open one bank account, if you don't have one.

I think the most practical choice is BDO or BPI as they have an online banking system that can be used to open and fund a stockbroker account later on. BDO itself has its own stock trading platform that can be associated with its bank account.

I will create a YouTube video on how to open a bank account. Stay tuned.

Save 10% from your salary challenge

Rey Tecson Investing , Reviews

Every new year we often like to start something. It can be about having a healthy diet, to exercise daily or to start saving money. Whatever it is, we wanted to start something during the new year. What about you? What are the things you wanted to start this new year?

This year I challenged myself to save 10 percent from my monthly salary for a period of 12 months. I started to save from my December 2019 salary. I made a video on YouTube about this challenge and I documented the savings I made. You can find the video here: https://youtu.be/IwWlhmXfvWA. I'm somehow committed to making a video every month documenting this challenge.

The challenge

If you want to save something from your salary this year try to take this challenge and join me. To start this challenge is a way to develop the habit of saving. You may start any percentage of your salary monthly. The important thing is that once you take up this challenge, you should commit a certain amount or percentage from your salary and save it monthly.

If your salary is given bi-monthly it doesn't matter as long as you commit every paycheck irrespective of the period.

Saving money is a matter of habit

In this way, you will be able to develop a habit. Besides this is the way of paying yourself first of what you've earned. Some may say that I buy something every paycheck as a reward for self's hard work. Some dine in a fine restaurant or buy a pair of shoes. Guys listen up! You're not paying yourself or rewarding yourself either. You paid someone else with your hard-earned money. I'm not saying don't buy something for yourself. But buying a pair of shoes monthly is gluttony!

"The Law of Success" Book

Let me provide you with an excerpt from the book "The Law of Success" by Napoleon Hill about the habit of saving.

"To advise one to save money without describing how to save would be somewhat like drawing a picture of a horse and writing under it, "This is a horse." It is obvious to all that the saving of money is one of the essentials for success, but the big question is: "How can I do it?" The saving of money is solely a matter of HABIT.

Health is Wealth - tara takbo tayo!

Rey Tecson Investing ,

Investing is not just building your wealth. You must invest in your health too. After all, health is wealth. Happy new year everyone!

Cropital reinvestment update

Rey Tecson Investing ,

Kumustamos mga kababayang OFWs. The below video is an update to my Cropital capital reinvestment.

PSEi to head higher -- Fund Managers

Rey Tecson Investing ,

I received an email coming from COL's Experts Corner about what the Fund Managers insights and outlook on the PSEi this year. I believed all COL account holders may have received the same email.

Well, I would like to share this email to those who will happen to stumble upon this blog -- especially the OFWs and basically those who are based in Kuwait but yet to invest in the stock market.

Below were the Fund Managers words:

"We expect 2019 to be a turnaround year… Inflation has finally been contained... Our year-end fair value for the PSEi is 8,400. If the trade war is finally resolved, we may overshoot this.”

Wilson Sy

Fund Manager, Philequity Management

“We begin the year bullish on equities… We believe that investors will prefer economies that will show higher growth for 2019, which may lead to funds flowing back to emerging markets… Our bull case scenario for the PSEi is 8,776.”

Maria Cristina Gabaldon

Head of Equities, Sun Life Asset Management

“We remain cautiously optimistic on a mild recovery for the PSE… While we are off to a strong start once again, the opportunities are there should we see weakness in the market.”

Martin Enrile

Chief Investment Officer, BPI Investment Management (ALFM)

“FAMI sees opportunities in a market characterized by heightened volatility… Our 2019 investment strategy will position FAMI funds to be resilient to risks.”

John Robert Maniego

Fund Manager, First Metro Asset Management

“We remain optimistic on Philippine stocks for 2019… Our base expectation is for the PSEi to reach the 8,500-point level in 2019 (17.5x P/E ratio) and to continue its course to hit 10,000 points by 2021.”

Phillip Hagedorn

Chief Investment Officer, ATRAM Group

“2019 seems to be a year of recovery and an almost sure bet that it would be a better year than 2018… We look at the PSEi level to be around 8,100 for the year, or about an 8.5% upside.”

Reginald Candelaria

Head of Equities, Philam Asset Management

Now for starters here, you would probably ask how to invest in the Philippine stock market?

Well, I have created a 3-minute clip below regarding the announcement of OFSI (Overseas Filipino Smart Investors) seminar. The seminar aims to provide a guide, advice on how to manage your personal finance. The seminar highlights how to invest in the Philippine Stock Marker (PSE).

So guys if you are interested in this limited opportunity, you may register by clicking the link provided on the description of the below video.

Friday, August 23

Wednesday, August 21

Then

Now

Friday, April 12

Thursday, April 13

Saturday, December 25

Tuesday, September 28

Tuesday, April 13

Saturday, January 16

Monday, August 24

Sunday, August 23

Thursday, January 30

So ano nga ba tong RTB?

What are the terms of offering?

Sources:

Thursday, January 16

Monday, January 13

The challenge

Saving money is a matter of habit

"The Law of Success" Book

Friday, January 3

Saturday, December 7

Saturday, January 19

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