5 Invest Opportunities for Millennials in the Philippines

Millennials and other younger generations are in the best position to invest in some of the best opportunities today. They can accumulate higher possible returns early, securing their financial future.

Now, the question is, which of these opportunities is ideal for millennials? Is it a house and lot in the Philippines, the Philippine stock market, or money market funds? Here are the top 5 country’s best investment vehicles for millennials.

5 Best Investment Opportunities for Millennials

One of the best traits of young generations today is being goal-oriented. They work hard to achieve what they want because failure is only part of success. For millennials wanting to grow their wealth over time, here is a checklist of investment opportunities you can add to your pocket.

Pooled Funds

If you want low-risk ventures and are unsure if it suits you, start with pooled funds. It only requires a minimum investment cost, managed by professional and licensed fund managers. Examples of pooled funds are Variable Universal Life Insurance or mutual fund, private equity funds, hedge funds, UITF or Unit Investment Trust Fund, and REITs or Real Estate Investment Trusts. 

Pooled funds are safe to invest in, but possible returns may depend on market conditions.

Angel Investment

If you have a huge and steady cash flow, angel investment is suitable for you. But, you must have business expertise. This investment option requires at least P50,000 for a small business minimum investment. This will be used as business capital to fund start-up businesses and expansion. Many small to medium businesses seek additional capital to thrive brought by the COVID-19 pandemic.

In addition, it requires a few years for angel investors to get back their money back if the business you support is successful. 

Cryptocurrency

Cryptocurrency has been in the market since the early 2000s. But, it didn’t progress much due to the global financial crisis. However, it bounced back when businesses and other transactions became digital. 

Today, cryptocurrencies are being used to buy goods and services. The advantage is that cryptocurrencies increase their value in the financial world, especially when the global economy is in good condition. Therefore, it is similar to stocks; you can earn profits from buying and selling cryptocurrencies.

Stocks or Bonds Minimum Investment

Investing in stocks is the most common option for millennials. Most companies in the Philippines are offering stocks to investors to become part-owners. With stocks, you can earn through stock price appreciation, stock rights, and dividends. It also requires a low initial cost, and you control your shares. However, you must seek help from a professional if you’re no expert in this field, especially if you’re investing a lot of money.

Real Estate Property

If you want a long-term investment and you have sufficient funds to support a venture, real estate investing is an excellent choice. You can have a passive income and earn profits by buying an affordable house and lot for sale or worn-out real estate properties.

With a brand new property, you can turn them into vacation rentals or long-term lease-out properties. You can also gain revenues from worn-out properties, such as foreclosed houses. All you need is to modify it and sell it at a higher price.

Why Should Millennials Invest Now?

If you want financial freedom and security, investing today is the answer. Other reasons are the following:

• Take advantage of your young age.

As what the saying goes, “the early bird catches the worm.” Making use of your time can give you more profitable returns.  

• Reach your financial goals.

Investing today also enables you to prepare for your long-term goals. Perhaps, you want to buy a car, an affordable house and lot, or travel overseas. Thus, at such a young age, your childhood dreams will turn into reality.

• Grow your wealth.

Isn’t it a relief if you have sufficient funds for your wants and needs? Once you grow your money, you also have the source to spend for your emergencies. What’s more, you can help your family as much as possible.

• Get higher returns.

Investing your money is also a good investment strategy to grow your savings account because it offers higher returns. Being a regular employee is not enough to sustain your cost of living today due to economic uncertainty.

• Prepare for retirement.

Sadly, the majority of the working population in the Philippines doesn’t have retirement plans. Others don’t even have pensions and insurance to receive. As a result, they rely on their families and relatives to live when they get older. To prevent yourself from repeating this type of history, prepare for retirement through investment.

Investing Facts One Must Learn From Millennials

Despite being free-spirited and frivolous, millennials have investing habits that other generations must learn. For one, they have multiple savings accounts and wallets. They divide their earnings to quickly identify which one they can use for necessities, savings, and leisure. But, they are conscious of their spending habits, although they don’t limit themselves from spending for their families and loved ones. Millennials also like to plan things and get organized because they want to be in control of their life experiences. Based on the data, over 70 percent of millennials choose to invest because they want to grow their money along the way. Lastly, they utilize technology to get information about investment opportunities. They tend to use technology to pay bills on time and budget their finances.

There's no better way to secure your future than investing your hard-earned money. Whatever you choose, ensure you know the battlefield you are in to avoid losses. But if you want a future-proof investment, opt for real estate. People will always seek shelter regardless of economic condition so that you can use your property for rental spaces. 

For millennials wanting to start investing, Lumina Homes offers a selection of housing properties throughout the Philippines with great locations. We offer in-house and bank financing and PAG-IBIG housing loans for better payment terms and options. If you want to know more about properties for sale, visit the nearest Lumina office or contact our accredited sales representatives.