When I first stepped my foot on the ground of UAE way back two years ago, I pondered on the financial edge that I will have in terms of income as an expat compared to what I have back in my home country. I once dreamed of becoming a millionaire. Unfortunately, during that time I do not know how. After reading various financial materials and attending financial trainings with International Marketing Group (IMG) here in UAE, I found out that it is essential to learn how investment works in order to build wealth.
At first, I was quite reluctant to push through because I am thinking that investment is only for the rich and you need to have a big amount of money in order to start one. On the other hand, with right financial knowledge the opposite is true. As a minimum initial investment of Php 5,000 and subsequent of Php 1,000, I started my own investment portfolio with mutual funds.
So here lies the question, how to become a millionaire through mutual funds? I learned that in order to be wealthy, self-discipline is the success ingredient. When we disciplined ourselves to invest monthly even with small amount, little by little we are building wealth. It is the habit of saving that makes the difference. I also soon discovered the advantages of mutual funds.
1. Professional Fund Management
Many people do not have the luxury of time to look into the trends of the stock market and investment facilities. Some do not have the patience to get into the details because of the demand in our day job. Our money in mutual funds is handled by a fund manager. He invests and manages our money according to the investment portfolio that we chose and monitors its progress full-time.
2. Diversification
Investments in mutual funds are allocated to different strong companies in the list of the stock market as well as other investment facilities. It is diversified, so the risk of losing all our money because a certain company went bankrupt will be alleviated. In essence, a balance in allocation of our investment is achieved because of this.
3. Liquidity
The investments can be easily redeemed whenever you need it. No need to find a buyer of your shares in order to sell it. You can easily get your investment within 7 working days upon completion of investment redemption requirements.
4. Safety
Mutual fund companies are highly regulated by the Securities and Exchange Commission. They are also subject to internal audit to ensure that investments are appropriately managed.
Through mutual funds, the principle of money cost averaging is also a main factor in order to be a successful investor and become a millionaire. Regular monthly investment of small amount in a long period of time will fight the ups and downs or what they call the volatility and fluctuations of the stock market.
When we invest regularly regardless of the amount of the net asset value per share (NAVPS), the average of our money in a long period of time will get an increasing result. I will share a specific example of money cost averaging in the near future.
With the right financial knowledge and having the drive to make it into action will help us reach our dreams to become a millionaire. Mutual Funds are one of many investment schemes available right now. We just need to know and learn what are the principles behind it and we can start our journey to financial freedom. As Brian Tracy says it, “If you want to earn more, you need to learn more.”
What is your action plan in order to build wealth? Share your thoughts and meet us in the comments.
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PS. We are conducting free financial literacy training and financial coaching everyday in UAE and in the Philippines. To find out more you can check it here.
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hello Mr. Foncardas! i am interested in mutual funds. Are you also conducting seminars in Sharjah, UAE? thanks a lot!
Hi Sheen, Thank you for visiting the site. Yes, we have regular financial classes in that area. May I know your contact details so that our trainers will get in touch with you. Please email it personally at ezefoncardas@gmail.com. Thanks.
Hello, it first time to me to enter the matule fund world. I will start to have it this week. i need your advise in term of where is the best bank to start matula fund in Abu Dhabi. another question in case i started with 15,000 everymonth for a period of 10 years what are the advantages and risks of such senario.
Hi Amna, Thanks for visiting the site. Mutual funds are being handled by investment houses and some banks do offers them. With regards to what the best out there is basically about their past performance. But this does not guarantee future performance. I am not that much familiar with Abu Dhabi banks right now. About on your investment plan, just apply the cost averaging I have discussed, you will reap the abundant harvest of your investments in the future. Thanks again.
Hi Sir, I just read your article. Nasa pinas pa ako at gusto ko ng mag invest sa mutual funds pero wala akong sapat na pera at kaalaman. Ngaung andito na ako sa Dubai, gusto ko ng simulan ung pag iinvest ko sa mutual funds. Gusto ko umatend ng seminar sir. Pano po ba iyon? Here is my email: mhac.rojas@yahoo.com
Hi Mark, Salamat sa pagbisita sa aking blog. I refer kita sa mga financial advisors namin dyan sa Dubai. We conduct financial wellness classes regularly sa Deira. Please send me an email of your contact details. You can also get in touch with our advisors there in Dubai. Just look for their contact details here. https://successfulpinoy.com/free-financial-check-up/ Thanks again.
Hi Mark, Thanks for the response. You can contact Rosalyn / Kirby Zalameda: +97150 3173152 / +97150 1135708. They can give you more information about mutual funds.
Sir Eze salamat po sa mga guide about investing, this is such an inspiration. I am very interested in investing in different investment vehicles. nagcoconduct din po ba kayo ng seminars in provinces? God bless po.
Hi Juan Miguel, thanks for the comments. Yes bro we are conducting in provinces. Let me know the location so that we can arrange. Thanks.
hi Eze, Please advise me on to make more money when you go back from UAE after working so many years.
Thanks
Hi Eze, I visited your site. Please thank me also. 🙂 hehehe… Kita Kits sa Pilipinas P’re. Bigyan mo kami ni misis ng exclusive seminar. God Bless!
Hi Eric, Thanks bro for the comment. No problem bro. Its my honor to guide you on your finances. Hope to see you soon sa Pinas in Feb. during my vacation. Hope you can join us din sa SG for the IMG Convention. Regards and God bless to you and your family.
Hi Eze. Can you tell me the schedule and venue of your free financial training in Abu Dhabi? I’m interested in Mutual Fund Investment.
Hi Agnes, Thanks for visiting the site. You can contact one of our financial consultants in Abu Dhabi, they are Rosalyn Zalameda-050 3173152 and Kirby Zalameda-050 1135708. They will be glad to assist you. The venue is at Delma St. very near to Al Wadha mall. Hope we can help you to achieve your financial goals. Thanks again.
Hi sir, you have a very helpful blog here… I have been contemplating on mutual funds and stock market for some time now. Since I will have no ample time and expertise to focus on stock market I am weighing to invest most probably in mutual funds. Do you have a list of renowned and highly reputed mutual fund investment companies in Philippines?
Hi Richie, Thanks for visiting the site. To know more about mutual funds I can set an appointment for you with my colleague there in Manila. She give you all the details that you need to know about mutual funds. Just let me know if you are interested, we can finalize the date so that she can accomodate you. Thanks again Richie for visiting the site.
i m resident in abu dhabi my dream to become millionnaire how can i realise ?
Hi Hela, Thanks for dropping by my site. The objective of this site is to help others become financially free. We give free financial trainings in UAE particularly in Abu Dhabi. You can visit our office in Delma St. Please let me know for more information. Thanks again for visiting the site.
friend din ako ni shirley.. ask lang po.. panu po ba makapag invest sa stockmarket.. na kagaya ko lamang.. kasi narinig ko na to.. sa superior ko..na meron syang inaabangan,. ung nga po ang stockmarket.. baka po maturuan nyo din ako..
Hi Cecille, Thank you for visiting the site. It all depends When you invest in the Phil. Stock Market. You need to first attend their orientation/seminar in Ortigas. They are doing it everyday. You just need to have an appointment. After that you will be choosing your broker since you cannot enter the stock market without them particularly sa mga bagong investors. After filling up forms and submitting other requirements, you can buy your shares na from the companies you want. Things to be aware lang, when you do stockmarket you need to have the 3Es (Education, Experience and Expertise) dahil ikaw mismo ang titingin sa status ng mga stocks mo. That is why in the Philippines, especially for starters we are giving free financial training so that you will be equipped with the right information not only in investing in stocks but on how to have a strong financial foundation. I can set you an appointment if you want to learn more. Thanks again Cecille for visiting my blog. God bless.