After you’ve laid the foundation of financial planning with protection products (like life insurance, health or critical illness insurance), you are now ready to diversify into investing. But before you start, it’s best to begin by understanding your investment personality. Investors have their own investment style, depending on how much risk they can tolerate. There are some who are open to high-risk strategies for bigger potential earnings, while some are willing to settle for lower returns that come with lower risk exposure.
By knowing your investment style, you are able to make your money work in a way that best suits your financial objective and risk appetite, keeping in mind factors such as foreign exchange, political risks, as well as accessibility and liquidity. Ready to find out your investor style and which investment fund may suit you best? Take this quiz to find out!hich of these statements describe your attitude towards investing.
1. Which of these statements describe your attitude towards investing?
a. I am looking for the next big win.
b. Looking here and there, a little speculation is fun.
c. I believe that slow and steady wins the race.
2. How do you react when it comes to uncertainty?
a. Uncertainty? That’s exciting!
b. I am ok with a little uncertainty in my life.
c. Being uncertain makes me uncomfortable.
3. Why did you start investing?
a. I want to be financially free through big returns.
b. I like to put out a modest amount as long as I get good returns.
c. I want my money to grow while keeping it safe and sound.
4. What is your volatility tolerance?
a. Big price movements don’t scare me.
b. Some volatility is expected and I’m okay with that.
c. I prefer to see steady growth.
5. How long do you plan to invest your money?
a. I don’t want it to stay in one place for too long—prefer to have it working double time!
b. I’m comfortable having it out for a while as long as it’s growing.
c. I don’t need it right now so it’s ok to just let it grow slowly but surely.
- Mostly A’s: The High-risk investor
As a high-risk investor, you are the all-or-nothing and aggressive type. You like the thrill that comes with the chance to win big, and unfazed by market movements. In fact, short-term volatility does not scare you and you are willing to bet on new and unknown companies to further leverage your portfolio’s value. In your investment portfolio, you are most likely to invest in high-risk instruments for high returns such as equities and other asset classes.
- Mostly B’s: The Balanced investor
You do not like risky investments and prefer to take a more balanced approach. Once in a while, you are willing to take a little more risk to enhance the value of your portfolio. As a balanced investor, you have the ability to accept moderate volatility and you seek stability and growth. In your investment portfolio, you are likely to invest in mildly risky instruments for potential higher returns, through a mix of equities and bonds.
- Mostly C’s: The Conservative Investor
You are objective and impartial when it comes to investments. As a conservative investor, your top priority is the protection and preservation of your capital. You dislike market volatility and short-term fluctuations, and prefer to avoid high-risk exposure for your investments. In your investment portfolio, you are most comfortable investing in products and companies that you find reassuring. Since you are not aggressive with your expectations, you don’t mind moderate capital growth as long as you have steady returns.
This personality quiz is to be taken lightly only. We recommend that you speak with an AIA Philam Life Financial Advisor by clicking on this link to have an in-depth conversation on your risk appetite and investment objectives.
Invest with AIA Philam Life Elite Funds
Global investing does not come easy for most Filipino investors in the past because of limited access. Filipino investors can now easily diversify their portfolio through the AIA Philam Life Elite Funds in collaboration with AIA Investment Management Pte. Ltd. (AIA IM).
AIA IM is an AIA-affiliated company incorporated in 2016 as the hub for regional investment management that solely manages the assets of the AIA entities within the AIA Group. AIA Group manages more than US$244 billion of assets across 18 markets in Asia. It has a team of more than 150 investment professionals and access to the world’s finest global institutional asset managers. This partnership approach with external asset managers will help ensure the Elite Funds will deliver consistent long-term results.
- Baillie Gifford
Founded in Edinburgh in 1908, Baillie Gifford is one of United Kingdom’s largest and oldest investment management firms. They recognize that almost all the value created in equity markets over the last three decades can be attributed to just a handful of exceptional growth companies. Hence identifying and investing in such firms is their key to wealth creation. They focus on finding companies that have the potential to double in value over a 5-year timeframe and have an exceptional record in achieving this.
- Wellington Management
Wellington Management is a private, independent investment management firm founded in 1928. Their flexible investment style of Value and Growth, together with their long-term and strong stewardship approach, focus on investing in high quality companies that not only have strong governance and integrity but also strong management team as they believe such companies can generate long-term sustainable growth.
Founded in 1988, BlackRock operates globally with offices in over 35 countries and clients in over 100 countries. BlackRock manages in excess of US$8 trillion in assets and is the largest investment manager in the world. They have an exceptional platform and strength in analytics that allows them to deliver at scale. BlackRock focuses on top-down and bottom-up approaches through a mix of quantitative and qualitative techniques to target long-term sustainable results.
Available through its unit-linked insurance products, the new AIA Philam Life Elite Funds are designed to maximize the earning potential of common Filipinos’ hard-earned money through global funds. Policyholders may choose from different fund types depending on how much risk they are willing to take for the growth they would like their investment to achieve.
- The Adventurous Fund
This is for high-risk investors who are willing to expose themselves to higher level of risk in exchange for potentially better returns. The Adventurous Fund seeks to achieve long-term total returns through a combination of capital growth and income by investing in a portfolio of mostly equities and a smaller proportion of bonds (90% Equity and 10% Bonds).
- The Balanced Fund
The Balanced Fund is the best match for investors who are low-maintenance or those who prefer modest risk. The Balanced Fund seeks to achieve long-term total return from a combination of capital growth and income with moderate risk by investing in a portfolio comprising primarily of equities and bonds (60% Equity and 40% Bonds).
- The Conservative Fund
The Conservative Fund is perfect for investors who prefer minimal risks. This fund aims to achieve long-term total return through a combination of capital growth and income by investing in a portfolio made up primarily of bonds and the remaining through equities (30% Equity and 70% Bonds).
The Elite Funds will be available through Family Provider and the MoneyWorks. This expands the options policyholders can choose from to grow the account value of their life insurance plans. They may transfer to or add the peso-denominated Elite Funds in their portfolio. With access to a global portfolio of professionally managed funds, customers will have the opportunity to grow their investment to meet their long-term savings objectives.
Ready to grow your investment and take it to the next level? You can achieve your long-term investment goals whichever type of investor you may be with AIA Philam Life Elite Funds.