It is Professionally Managed

If you are just starting to invest much better let us first give it to the experts (Professional Fund Managers) and if you are familiar with the Stock Market system then start investing directly. In the jeepney, if you are not yet able to drive, let the driver leave. Just ride first and you'll come to a safe place to go.

It's very Liquid

Meaning anytime you can withdraw, some MF companies have charges but once you get past the holding period it no longer charges. MF is also a bank, the only difference is that in the Bank you can easily get him to the thru ATM, unlike MF 3-7 days to withdraw money. So if you don't put all your money into MF, make sure the Savings Account is still in case of emergency.

It has a Low Minimum Investment Requirement

For as low as P1,000 - P5,000 you can open an account in MF (some MF companies require P10,000 - P100,000 to open an account). We are fortunate today because the investment requirement is so low, before then you really had to draw hundreds of thousands to open an MF account. Today khit minimum wage earner, wrapper, janitor, construction worker, etc. can be INVESTOR. And if you invest monthly you can top up with a minimum of P1,000.

It's very Transparent

You will receive a SOA (Statement of Account) quarterly, depending on how many shares you have and how much you earn. Since you are a shareholder of MF Company, you have the right to hold Shareholder's Meetings, or to decide where our money is invested, what has been the performance this past few months or years. At Mutual Funds you're a Shareholder or Stockholder of the Company.

It is Diversified

That P5,000 can be bought immediately by a minimum of 10 BIG Companies (Blue Chip Companies) which are companies that are really stable. You can't just lose to MF because he's DIVERSIFIED, because even if 3 companies are going to fail let's say PLDT, Meralco, BDO. The remaining 7 companies make a profit, you still earn.

Enjoy forever Zero Sales Load or Entry Fee

This means that your money is worthless. For example you have opened your MF Account with 5,000 minimum initial investment. If you have Zero Load Mutual Funds your entire 5,000 shares will be sold by the shares. But if that is not Zero Load then it will be around 3% of your money and every time you add your investment there will be 3% deducted from it.

Gains / Profits are Tax-Exempt

When we buy something there is a sales tax / value added tax. When we withdraw from our savings account there is a called withholding tax and even if we die we still have an estate tax. But with Mutual Funds, there is no tax. If your MF money is P100,000 and you are withdrawing, there is absolutely nothing much, nothing less than P100,000 pesos.