As inflation and rising living costs continue to challenge traditional savings approaches, a growing number of Filipinos are exploring investment strategies to boost their income and ensure long-term financial security. According to the 2024 Manulife Asia Care Survey, achieving passive income, securing emergency savings, and preparing for a stable retirement are among Filipinos’ top financial priorities for the coming decade.
However, despite these ambitions, only 60% of the surveyed Filipinos own investment products like bonds and unit trusts. Instead, many prioritize life and health insurance, with 71% of single and 82% of married respondents opting for these products. Savings products, including fixed deposits and foreign currency accounts, remain a popular choice, especially among married individuals (68%).
Aira Gaspar, President and CEO of Manulife Investment Management and Trust Corporation (Manulife IM Philippines), explains that while cash and cash equivalents are often favored for their stability, overreliance on cash can limit purchasing power amid rising inflation. “Typically, cash and cash equivalents are preferred for their low-risk returns. While they are suitable for immediate financial needs, such as school tuition, emergencies, and medical bills, excessive reliance on cash as a placeholder investment can erode one’s purchasing power because of the continual rise of the prices of goods and services,” Gaspar shared.
To support Filipinos in meeting their financial goals, Manulife IM Philippines has launched the “Better Income” campaign, encouraging investors to tailor their strategies based on their unique goals, risk tolerance, and financial needs. Through a selection of unit investment trust funds (UITFs), including income-generating options, Manulife IM Philippines provides pathways to diversify portfolios and build steady income streams.
The “Better Income” campaign features four UITFs designed to support diverse financial goals:
- Manulife Global Multi-Asset Diversified Income Fund – A feeder fund providing income from multiple sources, including global equity, fixed income, cash, and cash equivalents.
- Manulife Global Preferred Securities Income Fund – Offers income payouts and capital growth from high-quality securities with above-average yields.
- Manulife India Equity Feeder Fund – Focuses on India’s rapidly expanding economy, the fifth largest globally, offering growth opportunities in equity markets.
- Manulife Global Dynamic Leaders Equity Feeder Fund – Invests in well-known global brands across industries such as technology, retail, and healthcare, aiming for long-term growth.
By emphasizing a goals-oriented approach, Manulife IM Philippines aims to help Filipinos manage investment risks and enhance income potential. With options tailored to different financial stages and needs, the “Better Income” campaign highlights the importance of informed decisions, portfolio diversification, and strategic investment in realizing Filipinos’ financial aspirations.