Skip to main content

Why I'm Currently Using GInvest's UITFs over Mutual Funds as Additional Baskets

I remembered wanting to invest in stocks but didn't have the money or expertise. Sometimes, it's advised to stay safe and get involved in stocks indirectly. There's the mutual fund and there's the Unit Investment Trust Fund (UITF). I remembered when I wrote about how it might be wiser to save up first before investing in GInvest. Another one that I wrote focused on investing money in UITFs while studying stock trading. GInvest funds are UITFs since they are measured by Net Asset Value Per Unit (NAVPU). There are two that involve government securities. Others involve stuck (such as the Philippine Stock Index Fund and the Philippine Equity Smart Index Fund). Every time I purchase means I get a receipt as proof of purchase. There are also feeder funds which Banco De Oro (BDO) describes as a UITF that invests 90% of the money in a collective scheme. These would involve the use of foreign stocks such as Apple or Samsung--depending on which feeder fund one's investing in.

Meanwhile, Nerdwallet actually has presented the differences. Index funds try to match the performance of the stock market. Mutual funds try to outperform it. What happens is that a more aggressive approach to mutual funds means higher management costs. Meanwhile, management feeds of an index fund are significantly lower because of the less aggressive approach. Index funds are in a fixed set of securities. Mutual funds are in a changing list of securities. In short, the more aggressive approach requires higher fees due to how difficult it is. It's pretty much like choosing between delicious food that's moderately priced vs. super-hard-to-make delicious food.

For example, the ATRAM Philippine Equity Smart Index Fund is invested only in the 30 companies of the Philippine Stock Exchange Index. The ATRAM Global Consumer Trends Feeder Fund is invested in foreign companies involved in consumer needs such as Amazon, Sony, Electronic Arts, and General Motors. I think the fund picks change depending on which is ideal for the portfolio of these funds. So far, I reached my ideal minimum target for one (which is worth one month's salary) while the others may be subjected to either getting a minimum of PHP 1,000.00 for a month or slightly higher if the NAVPU is lower. It would be best to combine both money cost averaging and value cost averaging to get the best results. 

I won't post the exact figures. Financial figures should remain confidential no matter how small or how big. I'll just suggest that if you have GCash and some cash to spare--you may consider adding into GInvest. If not, there's still other great services out there too. 

References


"Index Funds vs. Mutual Funds: The Differences That Matter" by Dayana Yochim (April 27. 2021)
Labels:

Popular posts from this blog

Wanting Wealth WITHOUT Financial Discipline

Many people want to be rich, but not so many people want the discipline on how to be rich. Isn't that the plain hard truth ? As I do this sideline blog , I contemplated whether I should write another post after writing several posts years back, or when I wrote about Venezuela as a cautionary tale . Back on topic, I thought about how financial discipline is something often overlooked. It's easy to talk about Christmas since that's probably the most wonderful time of the year to be spendthrift , only to find out that one's broke by the New Year . The cycle of reckless financial habits tends to restart in January, even when January becomes that time of reckoning between debtors and creditors! January 2026 will end, February 2026 comes, and then the cycle of financial recklessness continues. It's the same cycle over and over! Last Christmas, I remember how DTI Secretary Christina Roque spoke about the PHP 500.00 noche buena, for a family of four . I called it tactless b...
Read more

The Philippines will NEVER Get Richer by Blaming Its Richer Asian Neighbors

Gemini AI Updated: September 27, 2025 It would be nice to talk about the typical blame game in the Philippines. I could remember that, as a child and a teenager, I had this habit of blaming people I disliked for my failing an exam. The reasons are mostly imagined. What I remembered in my later college years was when I met a couple of super irresponsible students. They had this attitude to say something like, "My parents don't care if it'll take me 20 years to finish my bachelor's degree." Some people even say something like, "It's the fault of the rich that we are poor." It was a backfire when I told such people, "Isn't it any wonder why your finances are down? It's because your parents don't even value the money when they don't care if it'll take up to 20 years to finish college!"  Understanding the blame game and why it feels so good Psychology Today presents this on why some people will always blame others . These fin...
Read more

Venezuela as a Cautionary Tale on #SahodItaasPresyoIbaba, Nationalistic Pride, Welfare State Economics

The Sunday Guardian Years ago, I wrote about Venezuela's pride and protectionism , under a more "formal" style of writing compared to my latest posts. I decided to use an even "less formal" and "less academic" tone since I'm not writing a term paper. Instead, it's like how a professor and a student discuss the thesis using first person over third person, using contractions, etc., while the thesis doesn't use such tones. Back on track, I thought about the arrest of Venezuelan President Maduro can spark debate. Was it a violation of sovereignty? I'm no expert on international law. However, Venezuelans can be seen celebrating Maduro's arrest. Right now, I'm using Gemini AI and Google search to help me find some sources for this blog. It's because I don't want my blog to become another gossip central, but a place to discuss facts with my own personal opinions (making sure they don't  derail the facts).  I used Venezuela ...
Read more

Helping Others is Good But Not to One's Own Expense

I advocate for helping others. I believe in helping others but there were times I overdid it. One time, I gave up so much that I had to be stopped. I was told, "If you gave everything now, how can you help others later?" I would donate some sums here and there, without thinking much. I'm not going to write them all. Some of them left me good while others left a bad taste (and a bad record) for me to endure. Sure, I want to help people but I tend to overlook the consequences. Some of the bad habits I had in the name of helping others are like: Being too generous with buying with credit. Eventually, I lost a lot of money which was never recovered . Some seasoned entrepreneurs may admit their own falls including the credit trap pitfall. Being too willing to give a discount without thinking about how it'd affect profits. Sure, a cheap price can draw people near. However, there are times when the prices of goods and services need to be raised to keep a business running. I ...
Read more

Hussam Middle Eastern Restaurant: A Trip Into Authentic Syrian Cuisine At Ayala Center Cebu

  The last time I ate at a Hussam Middle Eastern Restaurant branch last year, I couldn't give a good assessment. I haven't been to Hussam's main branch at Il Corso, so I didn't formally meet its owner, Hussam Alfakeh Alkourdi. The branch I ate was in Ayala Center Cebu instead. This is the interior of the restaurant. Ayala Center Cebu has Persian Palate on the third floor, above Timezone. Hussam is near one of the entrances of Ayala Center Cebu--near a Chinese restaurant. Persian Palate was my entry point to Middle Eastern cuisine.  Hussam serves authentic Syrian food. There are dishes similar to those from the Persian Palate. They serve Syrian bread, different from my favorite Pita bread served at Shawarma Gourmet (read my review here ), a Lebanese restaurant. So far, I tried their mixed meat platter with Syrian bread. My second dish there was actually baked Arabic rice with grilled beef kebab. I love their tomato sauce (which I mistook for ginger sauce) and garlic sauc...
Read more