12/05/2022
I want to share this with you, one of our mentors in IMG. , Bro. Bo Sanchez.
Since yesterday, members have been asking me, โBo, what will happen to the stock market with a BBM Presidency?โ
Some were panicking.
One person asked me if she should sell all her stocks!
I told her, โFollowing your emotions is the downfall of all investors.โ
Iโm sure youโve read in the news that the market dropped by 3% at opening (though the market recovered and closed at -0.56%). But in fact, the market has been declining since February, and no, itโs not because of our politics but global forces thatโs causing the downward trend.
Some people told me, โBut Bo, foreigners are dumping Philippine stocks!โ
Sadly, foreigners have been selling the Philippines for a decade now. Weโve not just been very interesting to foreign funds.
As Investment Banker Stephen Cuunjieng said in an ANC Interview recently, Global Funds donโt care about the elections of a small third-world country like the Philippines. Because we donโt affect them. Weโre not a major importer, nor are we a major exporter, except for our OFWs. This isnโt to pick on the Philippines. The harsh reality is the economic powers donโt care for two-thirds of the countries of the world. Weโre just a blip in the margins.
I repeat: Since February, weโve been telling our TRC members that the stock market has already been going down because of the Russia-Ukraine war, the rise of commodity prices, and the rising ten-year US treasury interest rates.
Someone also showed me a news article about JP Morgan downgrading the Philippines to โunderweightโ. But as our mentor Edward Lee says, the Philippines has been downgraded for 7 years now. Itโs only the OFW remittances that have kept our ratings high enough.
Why do I listen to Edward?
Because our mentor has been in the Philippine stock market for 47 long years. Heโs seen it allโregime changes, global meltdowns, natural calamities, coups and revolutionsโand heโs stayed the course. Heโs invested through every crisis. And heโs done handsomely well.
Donโt obey your fear. Especially in your investing.
Think about what you are doing: You are not โplayingโ the stock market. You are buying good businesses that are 50, 100, 150 years old. Under various administrations, they continued to prosper. We believe they will continue to prosper.
In the meantime, we must keep investing in the best companies of the Philippines at a discount (thatโs why we have buy-below-prices), especially when thereโs a crisis, and over time, weโll become millionaires.
Right now, weโre in a global crisis.
By training, we always look at crisis as an opportunity.
Real investors see this as an opportunity, not a threat.
So keep investing, start with your 20 pesos. Learn with us for FREE.
