Philippine Mutual Fund Performance (3rd Quarter 2011)

The Philippine Mutual Fund performances were badly hit by series of  macro-economic event. The recent turmoil cause by the European Debt Crisis and the US credit downgrade wipes out the last quarter gains of Philippine Mutual funds.

Equity and Balanced Mutual Funds which has an exposure on the Philippine Stock market has all closed to the negative side.

YEAR TO DATE PERFORMANCE OF MUTUAL FUNDS IN THE PHILIPPINES

End of the 3rd Quarter of 2011 (January to September 30, 2011)

EQUITY FUNDS (Invested in Peso equity securities)

1. Philequity PSE Index Fund –> (-0.4%)
2. First Metro Save and Learn Equity Fund –> (-1.4%)
3. Philequity Fund –> (-3.6%)
4. Sun Life Prosperity Phil. Equity Fund –> (-3.8%)
5. Philam Strategic Growth Fund -> (-5.8%)
6. ATR KimEng Equity Opportunity Fund –> (-6.7%)
7. Philippine Stock Index Fund –> (-7.7%)
8. United Fund –> (-8.1%)

BALANCED FUNDS (Invested in Peso bonds and equities)

1. Optima Balanced Fund –> (-0.03%)
2. First Metro Save and Learn Balanced Fund Inc. –> (-3.1%)
3. Sun Life Prosperity Balanced Fund –> (-3.3%)
4. NCM Mutual Fund of the Phils. –> (-4.1%)
5. Bahay Pari Solidaritas Fund –> (-4.7%)
6. MFCP Kabuhayan Fund –> (-5.2%)
7. Philam Fund, Inc. –> (-5.2%)
8. GSIS Mutual Fund –> (-7.3%)
9. ALFM Growth Fund -> (-10.8%)

BOND FUNDS (Invested in Peso Bonds)

1. Cocolife Fixed Income Fund –> 6.05%
2. First Metro Save and Learn Fixed Income Fund –> 4.75%
3. Ekklesia Mutual Fund –> 4.17%
4. Philequity Peso Bond Fund –> 4.07%
5. Philam Bond Fund –> 3.71%
6. Sun Life Prosperity Bond Fund –> 3.55%
7. ALFM Peso Bond Fund –> 2.66%
8. Sun Life Prosperity GS Fund –> 1.73%
9. Prudentialife Fixed Income Fund –> 0.64%

Source : Investment Company Association of the Phils.

I think it is now a good time to accumulate more shares in Mutual Fund since, the Philippine equity market is now trading at 12x P/E. Anyway, it takes more courage to step into the stock market knowing that most investors want to get out. In the world of investment, cash mixed with calculative courage yields wealth.

Just like the famous Warren Buffett quotes “Be fearful when others are greedy, and be greedy when others are fearful.”

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