Philippine Stock Market FAQs for Pinoys Abroad
There are many stock brokerage firms that provide opportunities for our kababayans abroad to build their wealth through the PSE. If you’re an OFW and you’re interested in investing in the Philippine stock market, then you probably have a lot of questions before you dive in. Let us answer some of them for you below.
How Do I Buy Shares?
To buy and sell shares in the Philippine Stock Exchange, you must first have an account with a PSE-accredited stockbroker.
Do I Need to Go to the PSE to Open an Account?
No. Instead, go to a PSE-accredited stock brokerage firm or Trading Participant (TP).
How Old Do I Have to Be to Start Investing?
Technically speaking, you need to be at least 18 years old before you can legally trade stocks on your own.
What’s the Difference Between a Traditional and Online Broker?
In a traditional broker setting, a licensed professional will be assigned to you so that he or she will handle your stock portfolio, exchanging calls, messages, and written instructions with you during trading hours.
Meanwhile, an online broker gives you access to its trading platform. You basically get to call the shots regarding the stocks you want bought or sold. This is perfect for OFWs and global Pinoys who want to actively participate in the PSE even while abroad.
How Much Money Do I Need to Start Investing?
It depends on the broker you choose. But generally speaking, you don’t need a large amount of cash to participate in the PSE. Some stock brokerage firms can even get you started for just Php 5,000.00.
Are There Any Alternatives Investment Opportunities?
Yes! If you’re not yet ready to invest in the Philippine stock market, then you can try other financial programs like Mutual Funds or Unit Investment Trust Funds. This is especially suitable if you want to invest money you got from an OFW loan. Because they’re less aggressive, they tend to have lower risk factors.
Can I Check Whether or Not the Stock Broker I Chose is PSE-Accredited?
Yes! Check out the list of Trading Participants posted in the PSE website and look for the name of the stock brokerage firm you picked.
The Takeaway
The questions above cover the basic inquiries OFWs have regarding the Philippine Stock Market and how to buy and sell shares therein. If you want to learn more about investing in the Philippines, then you need to check out their website for free trainings and seminars.
