Stocks, bonds, mutual funds, commodities—all of these are common investment types but a lot of investors are still looking into a more stable portfolio to invest in. I recently talked about Pag-Ibig MP2 investment program and I know a lot of you are considering this. If you are an investor looking for additional investment or a beginner, this program is suitable for you. In this blog, I am going to share the major reasons why you should put your money on it.
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The MP2 Program is very easy and affordable. With 500 pesos a month, you can already build up your savings account. This is ideal for those who are earning the minimum per month because you won’t need to sacrifice a big percentage of your income. 500 pesos is affordable already. Plus, MP2 allows you to remit your savings in a lump sum or every month. You can deposit as much as P30,000 for a year so you won’t have to remit P500 every month. How you save is up to you! That’s how flexible MP2 is and that’s attractive enough for investors.
Who wouldn’t want tax-free earnings? With MP2, the government guarantees that there will be no deductions when you earn and there is a zero risk when you invest. However, you should remember that dividend rates can change every year. The financial performance of HDMF is considered. So, if the performance is good, the dividends are better.
With MP2, you can save as much money as you want. There is no limit provided that the minimum amount is P500. Since it is flexible, you can increase your savings every month. Say, for instance, you can deposit P500 this January, P1000 next month, and as much as P10,000 in the following months. Some investors even deposit millions into their account! See, that’s how safe this program is, even millionaires are investing!
MP2 doesn’t require you to save for a long time. It’s your decision if you want to withdraw or keep on depositing your income. Your savings are very accessible too, you can decide for its 5-year maturity. This is unlike the regular Pag-IBIG savings program or other investment portfolios that have more than 20 years of maturity.
MP2 has undeniably higher dividend rates compared to other portfolios in the market. From 2016 to 2018, the rates were at a 7.65% average. And for 2019, it’s 7.41%. If you put your money in banks, you won’t be able to receive this much. This is the reason why there are plenty of investors who are now switching to MP2.