Tuesday, September 9, 2014

Reader's Question Answered : Health/Life Insurance? Truly Rich Club? Trading?


A seaman's wife e-mailed to ask questions. She was nice enough to let me post her questions here.

I only copy pasted her main questions not the whole e-mail, because she actually mentioned a lot of personal things ( hubby's salary, etc.).I just want to respect her privacy. Here it is:

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  • just want to ask you sis, did you invest in a healthcare before you started your investment in ___ and ____? ( Note: I left it blank)
  • how about life insurance? do you have one or u think there's no need since u have grown your investments and emergency fund?
  • did u invest in col/ stocks thru the truly rich club of bro bo?
  • do you do buy and sell or you just add in your investments regulary? 

She also added this:

  • hi sis it just crossed my mind, i dont know if you already heard of IMG, International Marketing Group, that's where my friend who introduced me to the feast invited us (with my husband) to attend financial education talks. that's where we got our healthcare plan(kaiser). their products are long term healthcare, term insurance, mutual fund, real estate.i just thought that you can be a good advocate of the company. the sister of my friend who works as a chemical engineer in kraft resigned and is now fulltime with IMG because her passion is also to teach people to be financially literate. 

- W.R.

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In my post "Commandments to Follow Before Investing," I stated: "Thou shall not invest without any kind of health protection." It's not a good idea to invest without any health insurance. You don't want to pull out your investment prematurely just because you or one of your family member got sick. Plus, when you have health insurance, the peace of mind knowing that you are protected is priceless. 

I am lucky enough to have health insurance paid by my employer. I am glad W.R. has health insurance, too.

  • how about life insurance?
I don't have life insurance. I am single with no children. My only "dependent" is my mother. I already set up a WILL so whatever happens to me, all my hard-earned money and assets all goes to my mother, with all the conditions stated in the will, of course ( I'll explain more about this in a future post)

  • did u invest in col/ stocks thru the truly rich club of bro bo?
I did not, though I tried their "service" for a month. I liked the idea of "stock suggestions, free e-books, free downloadable talks, free newsletter, etc..." but I feel like it really didn't do much for me partly, because  I was reading and studying tons of investing books already, and I am just a regular investor who invest in a "giant companies" (though I have 3 "basura" stocks). Besides, how can I learn to do "fundamental analysis" or analyze a stock if I know I'd get "spoon feed" with stock suggestions every month. Maybe the TRC is good for people who are super busy but, for me, I love learning new stuffs, and I have all the time in the world!

  • do you do buy and sell or you just add in your investments regulary?
I was using Peso Cost Averaging (I explained it here), since I already reached my targeted amount of PHP 2 Million, I quit adding to my Philippine stock investment.  I am now aggressively contributing to a US Index Fund while I still can/while I am still here.

Trading?  If you read this post, you would know I suffer from "analysis-paralysis". I still have to improve on the "selling" side. In all honesty, I only sold twice. One was when I was barely a 6- month-old investor. So, I bought JFC stocks for PHP 70.00 per share, few months later, it grew to Php 80.00+ per share. Sold some of it and by next few days, it climbed to PHP 90.00+! Since I wanted to learn how to trade fast, I got burned. haha! It wasn't a costly mistake, though and I was glad! The other one was one of my "basura" stocks, (won't name it, don't want to be accused of "pump and dump"-er), bought it at Php 3 per share, climbed at Php 12 per share, sold some of it and was happy. That said, still need to improve the "selling" side.

  • hi sis it just crossed my mind, i dont know if you already heard of IMG, International Marketing Group, that's where my friend who introduced me to the feast invited us (with my husband) to attend financial education talks. that's where we got our healthcare plan(kaiser). their products are long term healthcare, term insurance, mutual fund, real estate.i just thought that you can be a good advocate of the company. the sister of my friend who works as a chemical engineer in kraft resigned and is now fulltime with IMG because her passion is also to teach people to be financially literate.



 I mentioned in one of my posts that I was once addicted to Istorya.net. I first encountered  the IMG thing there. I also read it in Bo Sanchez' books. Seems great but I don't see myself building a career around personal finance. I am not good at talking to other people I don't have personal relationship with, because I am an introvert.

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There you have it, sis!  I hope I answered all your questions. Feel free to comment/e-mail me back, if you like.

Thanks so much for the support and the nice verse you gave, by the way. It really made me smile! I hope to meet you in The Feast someday. Good luck and take care..


7 comments:

  1. This comment has been removed by the author.

    ReplyDelete
  2. kasi "miss pinas", outstanding talaga ang approach mo sa savings & investing kaya gusto ka nilang maging speaker.
    naka-aattend na ko ng financial seminar sa IMG esp Kaiser-naka-focus return sa life & health insurance kaso di ko kaya ang monthly for seven years, alam mo naman financial capacity ko, madaling simulan pero di ko sure kung kaya kong tapusin--- thats why I resorted to mutual funds.
    as for health insurance dito talaga ako worried sa mga parents ko kaya may pagka nega ako sa previous post ko pero may life insurance sa company pero same to u mother ko ang beneficiary.
    that's why i'm following ur blogs kasi magaling ang diskarte mo, medyo curious ako sa estate planning I hope makapag post ka din rgdg dun.

    ReplyDelete
    Replies
    1. Hey Grace,

      Baka naman masyadong "feelingera" and dating? May "will" na ako, tapos para naman I'm über yaman! Hesitant ako mag post about it. LOL

      Delete
  3. no, not the will "miss pinas", just some bank rules & estate taxes.Just ignore my comment not related in ur topic here.Love this post miss pinas, I'll be re-reading ur 10 commandments in investing.God bless!

    ReplyDelete
  4. I attended IMG too. In fact, I used to be an active member but then I completely stopped though I continued my Kaiser.

    I agree with you. Health and life insurance, and emergency fund are a must specially for those who have families. This is non-negotiable. :-)

    ReplyDelete
    Replies
    1. Hey Frugal Expat, thanks a lot for posting my blog on your site! Kinilig ako, promise! :)

      Delete
  5. Thank you so much for posting like this. I enjoyed much more here. So please keep update like this.

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    ReplyDelete

I'd love to hear from you. I read and appreciate all comments. :)