How to Buy Mutual Fund Shares in the Philippines
Mutual fund is one of the preferred investments accessible presently. When you invest in mutual funds, you will only hold-up to make your money grow and up to the time you need the money you invested. Usually, people invest their money in mutual fund for various reasons like for retirement, university expenses and for calamity fund. In this piece of writing you will learn the procedures on how to invest in mutual fund.
Mutual Fund Investment Procedures
1. Get a copy of prospectus of the mutual fund and study it.
In any kind of investing, you ought to study, study and study. So what is a prospectus? In the syllabus, you can learn useful information about the mutual fund and the mutual fund firm. You will be familiar with who manages the fund and most important, the current and past achievement of mutual fund. You can get a prospectus in the website of mutual fund company you like to invest in.
2. Fill out an account opening form and investment application form of the mutual fund of your option.
When I invested in mutual fund, I went personally to the center of my mutual fund in Makati. Its really easy, it took merely less than an hour to complete. Anyhow, even if you’re overseas or in at a great distance away places in the Philippines, you can still invest by mailing all demands via post office or private courier. My colleague invested in ALFM even he’s in South Korea.
3. Arrange all requirements.
a) For individual accounts, prepare photocopies of two (2) valid IDs like company ID, SSS/GSIS ID, Driver’s License, Passport or any government ID.
b) For corporate accounts, ready a copy of the preceding: Articles of Incorporation and by-laws SEC Certificate of Registration Secretary’s certificate / Board resolution, authorizing the investment Secretary’s affirmation on the allotment of ownership/capital stock held by non-Filipino shareholders
4. Go to the office of your mutual fund company to give your requirements and application papers or you may send it to couriers. It will be more appropriate if you can call the mutual fund office so that you may be familiar with other requirements or procedures. In essence, the procedure listed here is typical to all mutual fund companies.
5. Send your payment to the mutual company office, or deposit directly to the fund’s bank account. If you’re paying through checks, it must be made payable to the fund of your choice.
6. The mutual fund company will issue a voucher and statement of account where you can see the quantity of shares you bought and its corresponding net asset value per share (NAVPS).
Fundamentally, opening or purchasing a mutual fund involves cautious study and understanding of the fund. Study and research first before you invest.
Mhai Tenorio is a blogger of finance and investments. To get more information on mutual funds, stocks and banking such as on how to apply a RCBC bank account, you may visit Financial Management, for more financial management articles that focuses on saving, investing and earn money online.
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