Saturday, July 6, 2013

PMC Thought #12 Desire

Okay,  This is still not about the Richest Man in Babylon.  Sorry about that promise.

I just can't let go of this thought that I have to write about it, so, please bear with me.


Everything must have started from something, right?  And let us call that "something" with a very simple and plain word.  Let's call it "desire" for the lack of more appropriate word.  

Like anything else, our goal to be part of the Pinoy Millionaires Circle should be backed by desire - firm and strong desire.

Whether it is to be successful in your life, in your career or to be financially free (which we advocate here),  the first step is to desire to be one.  It is the desire that will drive us to that destination.  It is the fuel that will make our motors run.

If only we will hold on to that dream, stand firm to our goals and re-fuel that desire, we may be shaken by trials and tests but, we will not crumble.  

Our first series was about the Heart of Success where we talked about the more important things other than being successful. There we established the right mindset while we are reaching for our goals. The next series, as promised, will talk about how to take care of our personal finances.  This is where I am particularly excited because this is something that I've always wanted to do.  Something that I truly desire. Why? Because no matter what we read or hear from other people about how great the economy is, no matter how good or great our bosses or companies are, we are the ones who will remain to be ultimately responsible for our own finances.

Accountant by profession, my circle of friends and acquaintances are the people within the same profession.  And here's what I've realized.  Most accountants are so good in finances, that of their clients or their employers, but not of their own. Many are living on credit cards or paychecks to paychecks. Many are living the good life, eating great foods and dining on fancy restaurants, but deep inside, debts are consuming them.  They are so good with other peoples' finances but they become ignorant when it comes to their own.

Now, it is my desire to share to more people the things that I've been learning.  That is my desire.

If we want to achieve more or get some place higher, what we need is a burning desire.  I will tell you more about it in the succeeding articles.  For now, let me again disturb your thoughts.  Are your desires enough to last forever or at least until you reach your goals?

Be More and Live More.

Tuesday, June 25, 2013

PMC Thought # 11: Philippine Stock Market - To Invest or Not to Invest

Our last article promised that from this point forward we will be discussing the principles contained in the book “The Richest Man in Babylon.”  However, because of the length of that would-be-series, I opted to simply answer one of my dearest friends’ question. 

Last week, this friend of mine asked:  Can you invest in the stock market without attending any seminar?  Which stocks are good to buy?

I was shocked!  Why would she ask me about such things? I’m not a financial expert.  But I answered her questions as far as my limited understanding of the stock market could reach.  And then I promised her that I will send her an email so I can share her what I know. 

While I was thinking of fulfilling my promise, I thought, “Hey!  Why don’t I just post here my supposed email to her?  That way, more people will see and hopefully learn too.”

So here are my answers to her questions. 

1.       Can you invest in the stock market without attending any seminar?  The answer is Yes.  Seminars are not required before someone can participate in the stock market.  I know of people who have been in the stock market for a long time but haven't attended any seminar.  But if I were you, I would grab every opportunity to learn first before I venture into the stock market.  A little research in the internet will even lead you to some free seminars that companies may offer.  You will be surprised with how much you can learn.  I know of an online stock broker who provides free seminars on investing in the stock market.  Spending a little of your time to learn a few new things can go a long way.  Tip:  Don’t do this at work, dangerous.

2.       Which stocks are good to buy?  My initial response was, “It depends.  Are you gonna be a trader or an investor?”   Honestly, there are no best stocks. 

In a stock market as young and active and volatile as the Philippines’ who would be able to say which stocks are good and which are not?  Just a few weeks ago, the entire country was “hooray-ing” for the all time high records being achieved day by day at the Philippine Stock Exchange.  International business news channels and other media were talking about the Philippines.  But today (June 25, 2013), the PSEi closed at 5,789.  I couldn’t even remember when was the last time it was that low.  So, selecting the best stocks requires a lot of analyses and understanding.  It will always boil down to whether you are going to be a trader or an investor.  Traders look for the short-term.  Investors will be there for the long term.  Which of the two are you? Tip:  If you will be an investor, there are lots of good companies to take part in.

What’s your “WHY”
Perhaps the more important question to ask is "why."  Like all other decisions, whether in our professional or in our personal lives, the first thing we should ask ourselves is the “Why” of things we do.  Ask yourself if your “why” would be worth the time, the money and the efforts that you will be investing for it.  Your why will be the foundation of the succeeding actions and decisions that you will take.  So make sure it is founded on something solid and unshakable.  Remember the two man who built their houses - one built it with the sand as the foundation and the other built it on solid rocks?  You know the rest of the story; Jesus has been telling that to the world for more than 2,000 years. 

If you know your whys; the how, what, where and when will come in handy. 

Investing in the stock market is very exciting.  In a short period that I am studying it, I realized that it is not for the faint of heart.  One day it’s up, the next day it’s down.  Or with what we are experiencing right now, the Cebuana used to say, “it’s like gravity has also been pulling the stock prices down.”

In the stock market, the question is not how much are you expecting to gain.  The question is how much losses can you handle.  If you can’t stand the sight of your portfolio getting all red (I say “red” because it is the color of decline), you may want to reconsider other options. Stock investing is not for everyone unless you are willing to learn. 

Disclaimer: I am still a student trying to learn the ins and outs of investing in the stock market. Or should I say, taking part in the ownership of giant companies.  I wish you could join me in this new and exciting endeavor. 

P.S.  Whatever your aspirations may be or your chosen path to financial freedom is, always remember that as a PMCer, our goal is to be millionaires for reasons higher and more noble than the money we could amass; it's all about the lives we could change.


Saturday, April 27, 2013

PMC Thought #10 - The Richest Man in Babylon

A year ago, I bought a book entitled "The Richest Man in Babylon" by George S. Clason.  This classical book on personal finance was written in the 1920s.

I have finished reading it already many months ago.  But, honestly, I almost forgot what I've learned.  Makes me think that what I've read and the time I've spent were just wasted.  I read and did not understand.

So, Dear PMCers, I promise to re-read it and share with you bits and knowledge of information that I hope will be helpful for all of us in achieving our dreams.

Some of the info that we will be writing about includes:

>  Cures for a lean purse
>  Laws of gold
>  and many others.

This book is rich with timeless lessons on personal finance that's why I cannot tell you how long it will take us to complete this new series.  But just the same, I urge you to stay with me. Write your comments and share your thoughts.

If you think, as we progress, that you will learn more from the book it self.  Please do yourself a favor.  Find or buy the book.  If you can't afford it, borrow it from someone you know.

So until our next PMC Thought....

P.S.  Always remember that our road to being millionaires starts first with having the right knowledge.  PMCers, keep that discipline to BE MORE and LIVE MORE.