This means that during the “no interest” phase, prices of stocks do not drop significantly anymore even with bad news because most investors and speculators who want to sell have already sold. Those who are left owning stocks believe that prices are cheap and are prepared to keep their stocks for the long term.
Read more: https://business.inquirer.net/320958/why-fundamentals-cannot-explain-the-stock-markets-performance#ixzz6vpP17XY3
If you notice, the Philippine Stock Market dropped 15% from January 2021 and this was because of the recent ECQ and a month long MECQ, which started in the Holy Week. Covid-19 cases were up and averaging 10k per day.
A lot of businesses were affected but other businesses did well.
Since the market is now low, it is a good time to buy but expect a longer time for these equities to go up. This will all depend on vaccination activities. But don’t worry, there’s another way for your money to grow faster, Manulife’s fund managers are recommending to diversify.
Looking at the global market, there are countries that are growing faster than our country. You may see the first quarter growth of each asset class below
Good thing our variable life insurance plans are now open to these funds and we can do fund switching.
Here are some funds that you can choose from:
- US economy, where you can be part owners of Google, Facebook, Apple and the like. We can see that technology stocks are the ones who are growing.
- China economy, the world’s manufacturer.
- REIT funds – very cheap now since it went down significantly last year and we know it will grow in the long run
- Global Multi-asset preferred shares – this is a balanced fund wherein you are exposed to different financial instruments like securities, preferred shares and equities around the world
- Health Care Industry – perpetually needed even more so in times of pandemic.
In order for us to strategize well on how to do the right allocation, I am inviting you for a policy review.
Let us review your existing investment plans and discuss the possible risks that are attached to those funds.
You may click this link and choose your most available time for us to meet via Zoom. https://calendly.com/legacyoflove_sheila/60min
About the Author
Sheila Ong is a legacy architect. She helps Chinoy families plan and design their financial homes by not only creating a strong financial foundation but also peace of mind, allowing families to do what matters most, which is to have more time to spend with each other. It’s her passion to empower each Chinoy family to create a legacy of love from one generation to the next through proper wealth management. As a naturally shy person, she evolved into becoming a public speaker driven by her advocacy. She has transformed many lives, including the lives of her team of financial advisors and the lives of about 400 families who are now financially secure. Sheila also values family time as she is a full-time mom to her son.
If you want to know more, you may send her an email at sheila@legacyoflove.info. For more information, you may also check out her website, https://legacyoflove.info/ and Facebook page, https://www.facebook.com/legacyoflovewithsheila/, and subscribe to her newsletter here.
