Archive for the ‘Motivation’ Category

courtesy: google images

courtesy: google images

 

While curling up with a good book in this wet afternoon, I was jolted by the words of the author as it spoke to me. I realize that sometimes my “overthinking” and “overanalyzing” of things get in the way towards the fulfillment of my plans.

 

The words goes like, “Here’s the bottom line: You already know all that you need to
succeed. You don’t need to learn anything more. If all we needed
was more information, everyone with an Internet connection would
live in a mansion, have abs of steel, and be blissfully happy. New
or more information is not what you need—a new plan of action is.
It’s time to create new behaviors and habits that are oriented away
from sabotage and toward success. It’s that simple.”

 

As human beings, we are exposed to the herd mentality. Wherever the majority goes, we flock to follow. We do not lack information. Though we reason that we have limited and timely access to it but I am much convinced it is available at our own exploration. It is our procrastination and lack of action that hampers our development and sabotages our growth.

 

We always get busy, juggling one chore to the next but accomplish nothing. We consciously delay what we can do today. We slacken after winning small victory. And we easily get distracted by short term comfort of slumber rather than focusing our energy to what matters most. Nobody gets out of the rat race by doing nothing. A plan and your decision to execute your plan is what will help pay your bills, give you good grades, bring you promotion and build your dreams. As for me, I’d quit the overthinking and over analyzing and summon my creative juices to act in my favor.

 

We already learned much my friends, now let’s put that learning to action.

courtesy: google images

courtesy: google images

Investment is generally purchased goods or items that will generate another product; or an asset (paper or physical) that can be sold at higher value in the future. This way your initial investment has grown by the time you need it.

The word investment sounds very appealing to almost everybody. In fact, a lot of people are lured by fly-by-night operators to avail of their investment schemes that happen to end up to be a pyramid or Ponzi scheme which will eventually eat investor’s money away. While many choose to have fund managers or get a mutual fund account in order to have someone manage their portfolio for them, there are also those who choose to do it on their own like trading and investing in stocks. However you plan to do it, it is imperative to know why you decide to invest.

So why invest?

Become Financially Independent

Becoming financially independent is everyone’s dream. This means to be self-reliant in your expenditures and financial decision. If you are a student, you are likely to depend from your parents in almost all of your expenses. Even working professionals do not necessarily have financial independence. Lack of financial planning leads them to depend on salary loans or petty debts whenever emergency comes. Building a passive income through investing is one way to become financially independent.

Achieve your dreams

Whether your dream is to own a car or to travel to Bangkok this summer you need money to make it happen. It is a big mistake to borrow money just to take a vacation. Knowing what you really really want will keep your enthusiasm to invest. Investing prepares you to finance your dreams in the future.

Make your money work for you

Basically your invested funds will grow in proportion depending on two variables: 1. Length of time you held your money in a particular investment instrument, 2. Interest rate by which your money grow. Choosing for an investment instrument has to conform to your investment profile. If you do not know your investment profile, talk to financial planner today.

Build wealth

As you put your money into an investment instrument and continue to put it there, the power of compounding interest kicks in. Compound interest is interest added to the principal of a deposit or loan so that the added interest also earns interest from then on. As your investment reaps the benefit of compounding interest, your wealth grows.

Prepare for retirement

There is nothing more important than preparing for your future. Many working parents today think of their children as their retirement plans. They are not. Your retirement in the future is your sole responsibility. Failing to prepare today while you still can will derail your planned grand retirement vacation. Investing early will help make your money grow, will keep your money work for you and will allow you to enjoy your later years without having to worry about your expenses.

Investing is a great way towards a better financial future. The sooner you begin, the better it can work for you. If you want to learn how to invest the right way, talk to your trusted financial planner today.

P.S.  If you need a financial plan for your investment and/ or coaching, please send me an email at fjaymoli@gmail.com. I will be more than willing to be your mentor and partner in your journey towards financial freedom.

P.S. 2.  Please join our facebook group Pagadian City Stocks Network

Cost-vs-Value

I got a query on facebook recently from someone who is interested to learn about stock market investment but somehow apprehensive about it due to the cost of investment.

First I would like to apologize to most of my facebook friends. I have been advocating that you invest in the Philippine stock market and yet I failed to consider individual financial capabilities. It is a fact that for the many and uninformed, the word stock market is quite intimidating. People believe that you need to have millions and millions of pesos to invest, giving an erroneous idea that the stock market are only for the rich. In this post, I will clarify some of these myths and I will try my very best to make this as simple as possible.

I personally believe that the stock market in a great equalizer. This means that both the rich and the average income earners can do it. You can buy shares of companies and become partners of growth in big corporations in the Philippines. These include the likes of Jollibee, Ayala Land, BPI, BDO, SM, GMA or ABS-CBN. How awesome is that!

So how much does it really cost to invest in the stock market? My answer is it depends primarily in two things: a. company price per share and b. number of shares you are willing to buy. To avoid confusions, please remember that  by definition a “stock” is equivalent to “shares”. So If I mention about stock I also mean shares. For example, in the case of Jollibee Foods Corporation, their price per share is P201.00 (as of may 29, 2015). Is this something you can afford? It’s funny sometimes because every time I talk about this example, people will assume I meant 201,000. Just imagine, when JFC opens its door in your next visits you can say to yourself that you are part owner of it.

However, our stock market will not allow you to buy just 1 share. Every company sells their share at multiple called board lot. Investopedia defines board lot as a “standardized number of shares defined by a stock exchange as a trading unit. In most cases, this means 100 shares. The purpose of a board lot is to avoid “odd lots” and to facilitate easier trading.” In the case of Jollibee (JFC), the minimum share you can buy is 10. Hence, 201 x 10 = 2,100 as the amount of money you need in order to start investing in JFC. Now tell me, can you really not afford it?

Wait there’s more!

There are also good companies like SM Prime Holdings (SMPH) whose share is only P19.24 (as of May 29, 2015). This is not even close to a cellphone load you buy almost everyday. SMPH’s board lot is 100 so this means 19.24 x 100= 1,924. If you can spend 500 pesos in your facial treatment and splurge 1,000 in Mall’s midnight sales, why can’t you set aside the same amount of money for investment for you and your family’s future? If you truly believe that the company I mentioned here will still exist in the next 10 years, then they can be your best pick to start with.

Clear so far? Do you really need millions to invest? You can answer that question by now.

Now you have the money, what do you do next?

The next thing you need to do is to get a broker. A broker is a regulated professional individual, usually associated with a brokerage firm or broker-dealer, who buys and sells stocks and other securities for both retail and institutional clients, through a stock exchange or over the counter, in return for a fee or commission. In this information age, we are so lucky that we can now transact almost anything online. And with this we have online brokers. There are many brokers in the Philippine Stock Exchange that allows you to open an account with them for as low as P 5,000. You can use that amount to start your very first buying of shares in the stock market. Of course if you have much extra cash then you can buy more. But if you are just starting, then P 5,000 is already a great start for you.

Brokers charge you by commissions. By buying and selling shares you also pay taxes that help our country. These are common charges you will encounter and that is normal. It really isn’t much, the most important thing is that you will learn and build a sturdy investment for your future.

I hope this post helps you at least get a better picture of the “cost of investment” in the stock market. Please do not be intimidated about numbers and terms, the more you study this, the more empowered you become.

I will leave you with these information and hopes that you will also do your own research. In my next post, I will explain how you can earn in the Stock Market.

P.S. If you need a financial plan for your investment and/ or coaching, please send me an email at fjaymoli@gmail.com. I will be more than willing to be your mentor and partner in your journey towards financial freedom.

P.S. 2. Please join our facebook group Pagadian City Stocks Network

 

 

Everyday, we engage into countless of correspondence with the people around us. The primary intention is to get our message across and be understood. As we continue to do this, we develop relationship with others and strengthening that relationship by repeating the process. However, as we seek to be understood we sometimes forget to first understand.

 

While it takes two people to build a relationship, it only requires one to change it – and maybe forever. How often do you get into trouble just by not saying what you really feel? Who really is to be blamed when you were misunderstood when you can just plainly open up and be honest? Quite sadly, because we fear to tarnish our existing relationship with others we sacrifice our ability to create a safer environment to air our feelings. Care enough to communicate how you feel.

 

When we don’t care enough how we feel we cut the authenticity of the communication process by not allowing our listener to participate in a healthy exchange process with greater awareness of the truth, understanding of what really took place and safety to tackle an issue. Hence, we fail to foster a chance for others to change their undesired behavior and explain their perspective. Remember, letting others know how we feel helps others how to carefully react with us.

 

The straight talk process always starts with you. You have to understand your truth and understand why you feel that way. Internal clarification happens when we know how to communicate these feelings positively by transferring that same clarity to our listener. When you feel a colleague unfairly criticizes your work that has offended you; care enough to tell him that his comment did not particularly help you professionally. In that way he will have a chance to avoid repeating it or apologize. Rather than slur the person, focus on the issue and work together to resolve it.

 

Put it simply, you get hurt sometimes because you did not tell others what you want and what you don’t like.

 

A caring straight talk is different from being frank or blunt. Working on resolving issues on “frankness” plain is selfish. What it seeks is to do is to solely air your feelings without considering that of others. It rampages the other end participant’s right towards a healthy communication process.

 

Eric Allenbaugh, Ph.D., in his book “Wake up Calls” suggests a 3-step strategy to get this:

 

1. This is what I experienced.
2. This is what I feel.
3. This is what I want.

 

Using the example about a colleague saying unkind words about your work and employing the strategy above, this is the appropriate way how to give feedback through a caring straight talk.

 

“When you criticized my work in front of my peers yesterday, I felt embarrassed. I want the value of your feedback, and I have learned much from your advice. I want you to continue giving me feedback, but I prefer that critical feedback be given to me privately. That works much better for me while making it easy for you.”

“Laugh, even when you feel too sick or too worn out or tired.
Smile, even when you’re trying not to cry and the tears are blurring your vision.
Sing, even when people stare at you and tell you your voice is crappy.

Trust, even when your heart begs you not to.
Twirl, even when your mind makes no sense of what you see.
Frolick, even when you are made fun of. Kiss, even when others are watching. Sleep, even when you’re afraid of what the dreams might bring.

Run, even when it feels like you can’t run any more.
And, always, remember, even when the memories pinch your heart. Because the pain of all your experience is what makes you the person you are now. And without your experience—you are an empty page, a blank notebook, a missing lyric. What makes you brave is your willingness to live through your terrible life and hold your head up high the next day. So don’t live life in fear. Because you are stronger now, after all the crap has happened, than you ever were back before it started.”