Chasing Sustainability

I’ve read a couple of days ago that 8 out of 10 Filipinos don’t have any savings or any bank account! I was not surprised by the fact that this is happening. I teach in a good school where my students could afford iPads and other techy gadgets but in a class of 40 students, only 5 have a bank account. I don’t know if people are just too afraid to save or just don’t have the knowledge and right tools to do so.

I base my advices to what I have experienced and experiencing. I know I’m broke but I’m working there! I believe that by the end of this year I know I would’ve cleaned my debts and would start a new goal.

The question is how to live a debt free life? Simple answer: Don’t over spend! As simple as it is to say but it’s hard to do. Here are the steps I’m following and I’ll follow.

Step 1: Start paying off debts!

I’ve set up a clear goal that I should follow. I would pay my debts as soon as I can, starting from the largest every month.

Step 2: Enrol in a time deposit every month to establish my emergency fund which is good for 6 months. Then afterwards

Step 3: Enrol in CitisecOnline to diversify my investment portfolio. Not just the standard BDO Equity Fund which I’m currently investing and planning to increase my contribution.

There is no formula to success. Everyone is entitle to their own way of living J

I’m hoping for better days this coming season. I’ll be spending a little less than usual just to maintain my balance until the 28^th. I’ve been up to debts again but nothing I could not handle. Read a few articles about investing again, I’m planning to change my tactics and try a different approach. At the end of my goal I should be able to invest in a diversified portfolio of stocks and mutual funds at the same time I’ll be gunning to start on my emergency fund. I read that I’m supposed to have at least 6 months equivalent of my salary to have a stable emergency fund budget. I’ll be combining Bro. Bo Sanchez formula with that of what I’ve found in the internet and I’ll make constant adjustments to it.

A sample of what I’m planning to do is this:

Eventully, I’ll reduce putting something in my emergency fund as soon as I build it. I know it will take some time considering the current situation I’m in.

The above graphs are comparisons of expenses from February to April 18, 2012. My expenses decreased by 18.03% compared from last month.

The Daily Net Asset Value Per Unit (DNAVPU) of my investment in Banco de Oro is looking pretty good.

Average change in the daily net asset value per unit per day of BDOEQ is 0.3843

BDOEQ and other UITF graphs from 20-Mar up to present is available, just use the contact me page to request for details.

Yesterday wasn’t that good for me… My expenses are shooting up again due to unforeseen expenses. All I’m hoping for this coming days is that my investments would compensate the losses I incurred. I’m down to 5.50% from last month expenses and 36.34% lower than my targeted balance as of today 4/13/2012 10:11 AM.

The above graphs are comparisons of expenses from February to April 13, 2012. My expenses increased to 42.86% compared from last month for the first 13 days of the month.

Average change in the daily net asset value per unit per day of BDOEQ is -0.0006

BDOEQ and other UITF graphs from 20-Mar-2012 up to present is available, just use the contact me page to request for details.

What I was hoping did not happen, DNAVPU of my investment isn’t looking so good…

The above graphs are comparisons of expenses from February to April 10, 2012. My expenses increased to 47.64% compared from last month for the first 10 days of the month.

The Daily Net Asset Value Per Unit (DNAVPU) of my investment in Banco de Oro is not looking good, maybe because it’s graduation season. I’m hoping for a turn around this month but I’m expecting a drop in the NAVPU. Below is a graph of the DNAVPU of BDOEQ values and a moving average trend line.

Average change in the daily net asset value per unit per day of BDOEQ is -0.1110

BDOEQ and other UITF graphs from 20-Mar up to present is available, just use the contact me page to request for details.

This time, I’ve been up to my chin in debts again. Some expenses cannot be foreseen, this is why I need to establish an emergency fund. I’ve learned from Robert Kiyosaki’s book “Rich Dad Poor Dad” that I should at least have a three month worth of salary just for an emergency fund in order for me to at least survive. At least I have a heads start in investing using Banco de Oro’s EIP. Currently, I’m down to 4.83% in my balance compared to last month and 35.38% difference from my targeted balance. I think I won’t be able to achieve this month’s goal due to my expenses last April 2, 2012 but still I’m hoping for the best. Comparing my expenses from the last three months would also give me the overview of how much I’m spending for myself. Thankfully I was in a 5 day retreat at Arvisu House that minimize my spending.

The above graphs are comparisons of expenses from February to April 10, 2012. My expenses increased to 47.64% compared from last month for the first 10 days of the month.

The Daily Net Asset Value Per Unit (DNAVPU) of my investment in Banco de Oro is not looking good, maybe because it’s graduation season. I’m hoping for a turn around this month but I’m expecting a drop in the NAVPU. Below is a graph of the DNAVPU of BDOEQ values and a moving average trend line.

Average change in the daily net asset value per unit per day of BDOEQ is:

-0.0077

BDOEQ and other UITF graphs from 20-Mar up to present is available, just use the contact me page to request for details.

Last month was hard to budget yet I came through! My balance is 17.17% higher than last month and just 4.12% difference from my target balance. Hopefully I could still earn more. I’ll also start on saving for a new deposit account in BDO Mayapa and a new investment under CitisecOnline (COL).

The above graphs are comparisons of expenses from January to March. My expenses dropped from 40.20% from January to February to 33.21% February to March.

DNAVPU of my investment in Banco de Oro is looking alright. Below is a graph of the DNAVPU of BDOEQ values and a moving average trend line.

Average change in the daily net asset value per unit of BDOEQ is 0.386675 per day.

BDOEQ and other UITF graphs from 20-Mar up to present is available, just use the contact me page to request for details.

Keeping track of one’s finances is a tedious job especially if you don’t have software to use. I have been using iCash for a year or so now and I really find it very useful. I could project my calculations though not to the extent of adding projections in interest rate and inflations. iCash is a wonderful software, it is easy to use but it does not have any calculations for tax or whatsoever that is needed in the financing world.

Just an update, my finances are quite controlled and hopefully mid-July and early August my balance would break even. Hopefully, I could also increase my investment portfolio at early January next year.

Figure 1 Balance and Projection

Figure 2 D-NAVPU BDO Equity Fund

I am also considering opening an account to CitisecOnline for trading stocks and additional EIP.

Projections are still raw but hopefully and prayerfully I can still keep it up. Balance is in all time high after 2 months. Projections tell that in August balance will be ok.

Procrastinating! Grrrr… I hate this feeling! Anyway, the day seemed ordinary, but at least I have minimized my daily expenses to just Php10.00!

Yesterday was tiring but it was worth it considering I’m with my “barkada” and family. We visited nine churches in Cavite all of which is celebrating the Golden Jubilee of the Diocese of Imus.

Upon reflecting on the 7 Capital Sins which was featured in our bus, I have realized that for some reason, I have committed every capital sin, if not through action through words and through thoughts to some extent.

1. Pride
2. Greed
3. Gluttony
4. Lust
5. Anger
6. Envy
7. Sloth

The new world has its eighth Capital sin, a derivative of Sloth… Haste! Making things in an instant to do things quickly.

Sigh…

Anyway, currently I’m making projections of my balances this year, hopefully, I could continue things this way in minimizing my expenses…

Sorry guys, no treats for the mean time…