Archive for the ‘Education’ Category
Saving the Way to College sans Education Plans
Saving the Way to College
by: Kendrick Chua, the Wealth Warrior
First appeared in May-June 2009 of Money Sense. Was also my first paid article
Norma (not her real name), who is connected to one of the biggest educational plan providers before, can’t help but cringed when I asked her how people are reacting now towards educational plans. Her facial expression mimics the sentiments of her clients and their more subtle way of rejecting her.
Twenty years back, it was unthinkable that education plans will now be received with hostility. When educational plans were first launched, they were a much sought-after investment instrument by the public. After all, education is one of the major financial priorities of Filipino parents and the burden of a forthcoming college education cost is no laughing matter.
Tags: education plans, life insurance, Mutual Funds, stocks
Prudent Fund Management versus Aggressive Asset Allocation
Prudent Fund Management versus Aggressive Asset Allocation
by: Kendrick Chua, the Wealth Warrior
Investment philosophy can only be either of the two things: Conservative or Aggressive. I don’t believe in being neutral. You can’t.
Of course, each of this philosophy has its own pros and cons and none can claim it is the best strategy there is. We should all know by now that there is none.
Prudent as the more politically correct word as our fund managers says, is more practical in a bear market. Being prudent meant holding large amount of cash or selecting only the bluest of the blue chip stocks. That way, when the fund goes down (further), the funds would not be greatly affected since a significant portion is invested in cash. Fixed-income is another option.
Additionally, there will be ammunition to buy select issues at bargain prices. Since there will be no need to sell losses just to raise cash.
A Second Look at the PSEi
A Second Look at the PSEi
by: Kendrick Chua
The PSEi has been going on a very strong run. The question in everybody’s mind is whether this bull has the legs to run all the way or it will stop short and take a break?
Since the start of the year, the PSEi has risen 22% from 1872.25 to 2,283.60. Certainly, nothing to sneeze at considering it fell 48% the year before and so the gain is certainly a very welcomed development to say the least (Hurray!).
Current sentiments I surveyed, although an improvement from depression mood last year, is still cautious. With much uncertainty still going around, people still maintained the wait-and-see attitude. After all, this may be just the infamous, bear-market rally that dupes all investors into jumping into the woods again, only to be sized up by the bear and chow down.
Tags: stocks, technical analysis
The Armageddon of Preneed Companies and the collapse of Education Plans
The Armageddon of Preneed Companies and the collapse of Education Plans
by: Kendrick Chua
If you’re in your late twenties, chances are you were a product of CAP and PEP Plans or knew someone who was. It was even joked during those times, “CAP ang nagpa-aral sa akin.” It was very fortunate for them. Several years later, the tides have turned. No longer can the scholars avail of the promised tuition grants and if they were, it was way below the expected amount. The sentiments then went something like this, “Dahil sa CAP, kaya hindi ako nakapag-aral.”
In 1988, the Philippines was introduced to the concept of Education Plans. With the looming cost of college education, it was a product that was deemed ‘perfect’. This was pioneered by the bankrupt College Assurance Plan which back then, seemed to be one of the largest financial institution and failing was just unimaginable.
Tags: education plans
