Doodling a hypothetical financial plan
Tomorrow will be my first day back at work — meaning, back to the real-world. Today, I am aboard a plane bound for Singapore. The flight is approximately 3 hours and 15 minutes from Manila. I have managed to be productive while in this flight. I touched up on this paper I’m writing on multi-level markets and pyramid scams (I’ll definitely share it here once it gets accepted for publication.). Also, I got to scribble and doodle some notes — a part of my ‘hypothetical’ financial plan. I was asking myself earlier how I was gonna allocate my 2012 cash savings from my 2012 salary.
Gagalawin ko ba para lumago or ipaparada nalang sa savings account? Pag pinakealaman ko at ininvest sa kung saan naman kasi, baka naman matalo lang. Ano kaya kung parté lang ng cash savings? Ilang pursyento ng ipon? Ano naman ang target kung papamuhunanan ko iyong 25%?
I realized that with my moderate appetite for financial risk (more cautious level), I am only willing to ‘risk’ about 25% (±10% perhaps) of my savings in equities; and if I reach my hypothetical target of +20% for 2013 for the 25% allocated fund as another investment capital, overall, the entire savings would only grow by as much as 5%.
Napa-alik-ik ako. Anliit. Hehe. Sa totoo lang, natuwa lang talaga akong mag-doodle.
Bah! I need to be more risk open than this if I truly want to beat inflation!
Hmmm? 5% is not bad as compared to bank interest of 1-2%, I guess you can keep re-investing it so that somehow it will be near to your 20% target(let say 19.99% lolz)
LikeLike
Yes you are right, 5% is not that bad, especially if you are only trying to beat the inflation, which was recorded at ~3% last month, and/or trying to beat time deposit rates. On the other hand, if you are exposed to other investment instruments, 5% may not be sufficient for you. 🙂 On the other hand, of course, if one is expecting a high return, one should know how to take higher risks.
LikeLike
I have not checked in here for a while as I thought it was getting boring, but the last few posts are great quality so I guess I’ll add you back to my everyday bloglist. You deserve it my friend 🙂
LikeLike
Thank you 🙂
LikeLike
Very nice post. I just stumbled upon your blog and wanted to mention
that I have really enjoyed surfing around your blog posts.
After all I will be subscribing for your feed and I’m hoping you write once more very soon!
LikeLike
Wow, thank you. I really appreciate the kind words. 🙂 I hope to write some more interesting stuff for people like you. 🙂
LikeLike
Aw, this was an extremely nice post. Spending some time and actual effort to generate a superb article… but what can I say… I put things off a
whole lot and never seem to get nearly anything done.
LikeLike
5% less 4.5% inflation = 0.5% , e yung charge pa ng stocks which is roughly 1.2%? Parang lugi a.
LikeLike