Good short term investment idea – The BPI Short Term Fund


The BPI short term fund has to be one of the better ideas for a short term investment nowadays.

https://www.bpiassetmanagement.com/pages/bpi-short-term-fund/

It performs at an annual rate comparable to what an SDA investment makes.  The BPI latest performance report document says 3.22% – based on last 5 years performance.  But expect less, because the SDA rate has gone down.  But still better rate compared to the higher rate savings alternatives — such as 1.5% for citibank e-savings, the BPI advance or the Standard Chartered Power Earner.

I thought it was a good time to re-assess interest rates in view of a cut in rates recently announced by some banks.

The BPI short term fund (after investing) can be enrolled in BPI express online.  Once enrolled there, it is easy to add (or subscribe) more money.  And it is also possible to redeem online.  Very convenient.  For the initial investment, one does have to go to a branch.

This fund has no entry/exit fee, and no holding period – one can cash out anytime.

This fund is listed on Bloomberg.

http://www.bloomberg.com/quote/BPSTUIT:PM

 

BDO have something similar called the BDO peso money market fund, but the minimum is P100k, unlike BPIs.

http://www.bloomberg.com/quote/BDOPMMF:PM
http://www.bdo.com.ph/Personal/DepositsInvestments/IAS/InvestmentFunds.asp

 

 

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