Looking to go beyond savings? Go further with BDO UITFs

The bank maintains its goal to bring ease in investing to its clients.

Investing has become a hot topic recently, as effects of high inflation make us ponder exactly where we should put our money so that we generate real and meaningful value over time.  Keeping our money in a savings account that earns minimal interest will not allow us to preserve its value for years to come with prices of goods and increasing by more than 7% every year. 

Thankfully, there are now alternative products that are financially sound and remove the guesswork on how to make your money work harder, such as Unit Investment Trust Funds (UITFs).

UITFs pools the funds of investors with similar objective to create a large fund that is invested in various securities available in the bond, equity or money market.  A professional team of analysts, investment managers and securities traders work together to invest, reinvest, identify opportunities in the market that will grow the fund beyond what the various investors contributed. 

This design of UITFs makes it the preferred way of investing especially for those just starting and with limited funds to invest. 

Normally, participating in the bond or equity markets will require a large sum of money- not just to buy into a corporate or government bond or stock, but also to be able to buy many of these to create a diversified investment. Diversification is important in order to reduce one’s investment risks.

UITFs will usually invest in 30 or more different securities and that is not easy for anyone to do. Buying into a UITFs will allow you to automatically enjoy the benefit of diversification whether you have millions or a few thousands to invest.

UITFs are managed by a team of investment experts. There are analysts who study the economy and its outlook. There are traders who seek the best available securities that will generate the best returns. And there are fund managers who set the strategy and executes them so that the UITFs not only makes a return for the present but consistently through many years.  What these professionals do require knowledge, time and effort which customers really don’t have a luxury of. 

Now that it’s a bit clearer that UITFs have their fair share of benefits, how does BDO stand apart from other banks or financial institutions which also offer UITFs? 

Being the bank with the largest branch network, BDO makes it very convenient for anyone to invest. You can just walk in any of the more than 1,100 BDO branches and start investing in a UITFs that suits you. 

For those who are always on the go, you can still invest with ease by accessing the BDO UITFs via BDO Online Banking. Opening a UITFs account online is also very easy and takes only a few minutes from account enrollment to actual purchase of a UITFs. 

Investors can also choose from BDO’s diverse line-up of UITFs. Creating a well-balanced portfolio that will be resilient through different market cycles is practicable.  

Apart from this, you can start investing for as low as P1,000 a month with the Easy Investment Plan. The amount you decide to invest will be automatically debited from your BDO account every month.

 A diverse range of featured UITFs 

BDO offers a range of UITFs to cater to different kinds of investors. 

The BDO Short Term Fund allows you to invest in a fund that is low risk and helps with capital preservation. This fund is best for those who keep a stash of money for emergency. 

For those interested in participating in various government and corporate bonds, the BDO Peso Bond Fund is the proper option. It provides steady growth for your money which is derived from the regular interest income that the Fund receives from its investments. 

There is also the BDO Equity Index Fund for those who want to take advantage of the growth potential of the top 30 stocks in the country, and those who prefer to invest in stocks of companies that adopt environmental, social, and good governance (ESG) practices can opt for the BDO ESG Equity Fund. The BDO equity UITFs have been outperforming the stock market for the past 3 years. 

For investors who seek to complement their US Dollar savings with better returns earned from short-term Dollar denominated securities, BDO offers its Dollar Money Market Fund. Alternatively, the BDO Dollar Bond Fund allows you to easily participate in the US Dollar denominated bond market. 

There is also the BDO Global Feeder Funds for investors who aim to invest in a wider region globally, which allows you to grab investment opportunities available in the U.S., Europe, China, and other developed or emerging markets. 

Invest today via your BDO Online banking account or through any BDO branch near you.

To learn more about our other UITFs visit, visit bdo.com.ph/trust-and-investments or email us at [email protected]

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