Why Invest in the Philippine Stock Market: 3 Reasons

Why invest in the Philippine stock market? It isn’t how much you earn but how much you invest. This quote always keeps me motivated to invest.

A man who earns P50,000 a month and saves 20% of it is better than a man who earns P150,000 a month and spends all of it.

Related: Why Investing is Important

Not long ago, I opened an online stock trading account. My officemate noticed, so he asked, “Are you an expert on the stock market? So why invest in the Philippine stock market?”

I didn’t answer to end the conversation. The more you talk, the worse it gets, so I just smiled. And then I thought, “You don’t need to be Warren Buffett to invest in the stock market.”

Why Invest in the Philippine Stock Market

So to answer the question, why invest in the Philippine stock market? These are the top 3 reasons for me.

1. Financial Stability

Having stock market investments could be used as an emergency fund. It’s a unique fund as its value increases over time.

2. Financial Security

The stock market’s true potential could only be realized in the long term. It’s a perfect investment that grows in time.

3. Beat Inflation

Saving is not going to save us from inflation but investing. With inflation, the currency loses its value over time. That is why investing makes sense, your money will earn more money for you.

The thing is, skeptics have the loudest mouth but don’t get things done. Worse, their comments don’t empower people at all. That incident inspired me to write this post. Perhaps I could let someone forward this post so she could learn the least.

So that’s what I did. I did not say a word. I only smiled and thought, perhaps he was right and maybe he was wrong. He was right that I am not an expert in stock trading. I admit that. Gosh, who is? And maybe he was wrong.

Enter COLFinancial

COLFinancial is one of the best stock brokers in the Philippines. Although I’m not an expert in the stock market, that won’t stop me at all. COLFinancial’s interface is so easy that even a 6-year-old can do the trade for me. And even if it’s risky, I know I could always mitigate risks in stock market trading.

I never tried their demo account. I never researched anything about their trading platform. What prompted me to make a move is that it is recommended by Bo Sanchez. He trades stocks through COLFinancial. Even his maids and drivers invest in it too. So why shouldn’t I?

Now my account is good, and I earn a bit. But my earnings are higher than saving my money in banks. You would only earn roughly 1% per annum in a savings account. While in the stock market, you could earn as much as 20% per annum.

You don’t need the knowledge of Warren Buffett to start. You don’t have to be a stockbroker, either. COLFinancial provides a daily investment guide to refer to what stocks to buy. And you don’t need a huge amount to start investing. At Php1,000, you can already open an account.

Conclusion

Stock market investing isn’t intimidating and can be learned in a few days. It’s a very important topic that should be taught in school. I always wonder why it isn’t even discussed in school.

You don’t have to be an expert in investing in the stock market. You only have to learn the basics to earn on your investments.