An investor could lose money in mutual funds if he failed to execute the right time and strategy for his investments. An investor must study the mutual fund’s prospectus, evaluate his risk tolerance, financial status, and objectives before investing in a mutual fund. Can I lose money investing in mutual funds? This law is amended to encourage more Filipinos to save and invest money.
Yes, as amended in the National Internal Revenue Code of the Philippines, gains realized upon redemption of shares in a mutual fund company are exempt from income tax. FAQs About Mutual Funds: Are mutual funds exempted from tax? Remember to invest according to your risk appetite, financial stability, and goals.
There are also other rewarding paper investments like UITF, ETFs, and stocks. Mutual Funds are just one of the many investments you can start to have financial abundance. If you are into investments, we are sure you are diversifying your capital by having more paper assets while also investing in other assets like real estate properties, businesses, and passive-income investment wheels.
And as usual, we will update the data again in the coming months and the next quarter. These are the top mutual funds that performed well with higher returns. The early bird usually catches the yummy worm. The stats are taken from the Philippine Investment Funds Association. If you are already eyeing the best investments for mutual funds, here is the latest data of their performance in a year. Best Mutual Funds in the Philippines in 2022
We classified the available mutual funds according to the type of investor, risk, and goal. Always remember, the higher the risk, the higher the earning potential. The following are the different kinds of Mutual Funds available in the Philippines right now. Different Kinds of Mutual Funds Available Right Now These types of funds and investments have risks and it is very important to get to know them better, get to know your status as an investor, and diversify your investment wheels. We can redeem our mutual funds when we retire and use the capital and profit as additional savings. The funds that we invested some years ago can grow over time. Mutual funds can also aid us in our retirement by investing for long term. One way to do that is by investing in mutual funds. We have to invest our extra funds and venture on income-generating assets as well to beat inflation. Prices increase now and then, but people’s regular income barely rises.
You don’t need financial expertise to manage mutual funds because these investments already have professional and excellent fund managers who will do the technical tasks and investment strategies to grow the fund. Mutual funds generate higher returns than regular savings accounts or time deposits. Many investors rely on mutual funds to earn and gain income, especially the risk-takers who prefer stock funds or equity funds.