-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
1/14
On Quarter-Life Crisis and Being Realistically Optimistic
How To Form Positive Habits That Will Help You Achieve Your
Goals
Mutual Funds and Unit Investment Trust Funds, What's
TheDifference?
This article is posted under General Information, Investing.
One of the questions I get asked very often is whats the
difference between a mutual fund and a unit investment trust fund
or UITF?
I understand the confusion of many for both actually look, work
and perform the same way. But there are some key differences that
an investor like youshould know.
But first lets discuss the basic similarities between the
two.
Both mutual funds and UITFs are pooled investments. This means
that the money in them came from thousands of people. This money,
which is collectedunder a company or institution, is then invested
in diversified financial instruments such as stocks, bonds, money
market and many others.
As an investor of a mutual fund or UITF, you are relieved of the
responsibility of studying the market, because you have given that
duty to the investmentcompany whom you trust will do their best to
make your money grow.
Wherever you put your money, it will be exposed to risks and the
amount of return is always uncertain in either case. But on the
other hand, both mutualfunds and UITFs can offer yields greater
than cash deposits, thus making them attractive investment
instruments.
Now that you know their similarities, what about their
differences?
Where to invest
MF: A mutual fund company. They are sold by licensed mutual fund
agents. Heres a list of Philippine mutual fund companies.
http://fitzvillafuerte.com/http://fitzvillafuerte.com/on-quarter-life-crisis-and-being-realistically-optimistic.htmlhttp://fitzvillafuerte.com/how-to-form-positive-habits-that-will-help-you-achieve-your-goals.htmlhttp://fitzvillafuerte.com/category/general-informationhttp://fitzvillafuerte.com/category/investinghttp://fitzvillafuerte.com/philippine-mutual-fund-companies-to-invest-in.html
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
2/14
UTIF: Commercial banks, particularly their trust, investment or
treasury department. They are sold by authorized bank employees.
Check out the BPIInvestment Funds and BDO UITF Products.
Who regulates these companies
MF: Securities and Exchange Commission (SEC)UITF: Bangko Sentral
ng Pilipinas (BSP)
What you are buying in a fund
MF: Common shares in the investment companyUITF: Units of
participation in the fund
The price of the fund is expressed in terms of
MF: Net Asset Value Per Share (NAVPS)UITF: Net Asset Value Per
Unit (NAVPU)
Investment fees and their usual range
MF: sales charge (1% 5%), redemption fee (0.5% 3%), investment
advisory, distributor and administration fees (1% 2.5%)UITF: sales
charge (0% 2%), redemption fee (1% 2%), trust fees (1% 1.5%)
So which one is better? I personally believe neither one can
give a higher return than the other. And its always best to study
the performance of specificfunds rather than compare mutual funds
and unit investment trust funds in general.
However, here are some general advantages and disadvantages:
Mutual Funds
Advantages1. Usually has a longer track record
2. Has greater regulation for they are required to submit
regular reports and are subject to full disclosure3. Funds are more
independent, with separate fund managers, independent custodians
and own board of directors
4. More transparent and has higher accountability, with
shareholder rights, licensed agents, prospectuses, and annual
reports to investors5. It is tax-exempt
Disadvantages1. Has higher management fees
2. May offer fewer investment choices for investors due to high
capital requirements
Unit Investment Trust Funds
Advantages1. A wider range of investment options available for
investors
2. Has usually no or very low sales charge
3. Has lower management feesDisadvantages
1. Has less regulation2. Is less transparent with its
investments
3. Comes with a 20% withholding tax on capital gains
I hope this article was able to help you know the difference
between mutual funds and unit investment trust funds. If you should
know, I have investments in
both types.
And if you want to learn more about mutual funds, I suggest you
read:
http://fitzvillafuerte.com/the-bpi-investment-fund.htmlhttp://fitzvillafuerte.com/bdo-unit-investment-trust-fund-product-catalogue.html
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
3/14
Investing in Mutual Funds
Are you still waiting for the right time to invest? Heres my
suggestion to you:
How Do You Know If Its A Good Time To Invest?
Or are you afraid to invest altogether? Then heres what you
need:
An Investing Guide For People Who Are Afraid To Invest
Increase your financial literacy today and subscribe to Ready To
Be Rich.
Reference:
Money Sense. Mutual Funds vs UITFs. March 22, 2010.
Photo credit: tatooedjay and thecolourmill
Choose the next article that you want to read:
A Quick Video on The Benefits of Investing in Mutual Funds
Heres a great video I found which gives an overview of how
mutual funds work and the benefits of investing in it. Its a public
awareness message created
by UBL Fund Managers, and first uploaded through their Youtube
channel, Smart Savings TV. So if youve always wondered what a
mutual fund is, and
why its good to...
A Simple Explanation of How Mutual Funds Work
What are mutual funds and how do they work? Let me explain
through a simple story. Imagine there are five friends: Allan the
doctor, Bong the engineer,
Charlie the commercial model, Dante the restaurant chef and Eric
the investment banker. Allan, Bong, Charlie and Dante all want to
invest in the stock
market, but theyre too busy...
This entry was posted by Fitz Villafuerte on Thursday, June 3rd,
2010 at 6:39 am and is filed under General Information, Investing.
You can follow any responses to this entrythrough the RSS 2.0 feed.
You can leave a response, or trackback from your own site. If it's
your first time to comment here, your post could be held for
moderation and won'tappear until approved. Off-topic responses and
self-promotion posts can and will be deleted.
http://synad2.nuffnang.com.ph/nn_click.php?s=529c6797&urlid=37&ref=fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html&id=1004226&bid=28&goto=www.save22.com.ph?utm_campaign=nuffnang_cpa_1003250&utm_medium=nn_banner&utm_source=nn_37
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
4/14
People are talking about this article, join the conversation
below.
1. mildie on June 3rd, 2010 at 9:57 am
Hi Fritz,
Thanks for this point for point comparison between UITF &
MF. No one even the agents of mutual funds or banks can give me a
better explanationon the two funds than what you have given on this
article. Hope you can post something about Index funds/ stocks in
the future. too.
2. MD on June 3rd, 2010 at 10:11 am
Hi,
You mentioned UITFs has 20% tax on capital gains. I have some
trust funds but have not cashed them out. My question is will I
still be taxed even ifthere is no gain meaning I sold at a
loss?
Thanks
3. anne on June 3rd, 2010 at 11:18 am
thanks a lot fritz! this is great. thanks for sharing. i love
reading your blog.
4. Fitz on June 3rd, 2010 at 5:56 pm
@mildieThank you. Sure, I will try to do research on that and
come up with a simple article to explain those.
@MDAs far as I know, you wont be taxed if you sold at a loss.
But to get an exact picture of what could happen in your case, I
suggest you ask your bank
directly about this. Thanks.
@anneThank you. I hope you can also tell your friends about my
blog, Id really appreciate that.
5. Millionaire Acts on June 3rd, 2010 at 10:22 pm
Nice comparison Fitz. I also had the same article discussing the
similarities and differences.
http://www.millionaireacts.com/125/choose-mutual-funds-vs-uitfs.html
By the way, you forgot to mention that in mutual funds, each
investor has the power to elect the fund managers since they are
like the stockholders of acompany whereas in UITFs, the investors
dont have the power. Only the Trust Department of a bank handles
the fund.
6. silent_investor on June 15th, 2010 at 2:53 pm
Hi Fitz, I too have both MF and UITF. In the disadvantages of
UITFs, Im not sure Ill agree with number 1 and 2 on your list.
On regulations, there are a lot of laws and BSP circulars which
cover UITFs.
On transparency of investments, I can get monthly and quarterly
reports on my UITFs which show the portfolio allocations and even
top ten holdings,
something that I dont get from my MF. All I get is a quarterly
report on how much my investment is.
7. Fitz on June 18th, 2010 at 4:17 am
@TyroneYes thats also a good addition to their basic
differences.
@silent_investorThanks for the inputs.
I, too get monthly and quarterly reports on my UITFs from my
current bank, which is great. But I could not say the same for my
previous bank whereI used to have UITF investments.
Moreover, my MF also only gives quarterly reports but at any
time, I can call them and request for a more detailed report on the
allocations.
http://www.nuffnang.com.ph/http://fitzvillafuerte.com/http://www.millionaireacts.com/http://www.millionaireacts.com/125/choose-mutual-funds-vs-uitfs.htmlhttp://fitzvillafuerte.com/
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
5/14
So, I guess it really depends on the MF company and the bank
when it comes to the transparencies.
8. Free Pinoy Financial Checkup on November 8th, 2010 at 3:37
am
I have both MF and UITF, what i can say is both are performing
very well. My MF has +1% return above my UITF.
I bought them at the same time to see the comparison between
these pool funds
9. Mark on January 2nd, 2011 at 2:41 pm
I have UITF in 2 banks both of which has no 20% witholding
tax?
And as far as I know, the taxes are paid out of the funds
assetsso the NAV is already net of all taxes and fees.
Which banks UITF still deducts a 20% witholding tax so I
know
which bank to avoid hehehe
10. dodong on January 14th, 2011 at 4:19 pm
fitz,
can you explain why corporations issue bond instead of acquiring
loan? I think you can avail lesser interest in loans than paying
the bond rate which ishigher. Thanks.
11. Fitz on January 14th, 2011 at 6:49 pm
@Mark
Yes the NAV is already net of all taxes and fees because the
taxes are already paid out by the funds assets, the witholding
taxes are still thereactually, but its already incorporated in the
computation of the NAV a strategy that banks now use to encourage
more investors and make it simplerfor them to understand how you
can make / lose money from your investment.
@dodong
Thats an insightful question. As far as I know, there are many
types of bonds and not all of them pay regular interests to the
lender (ie, zero-couponbonds). Some types of bonds dont even have a
maturity date (ie, perpetual bonds).
Unlike a bank loan, where the terms and conditions are often
straightforward and fixed. Bonds have other mechanics that will
make it for the companyto have less costs in the long term.
12. Marx on December 1st, 2011 at 6:54 pm
@fritz, Im guessing you havent seen any mutual funds
annualstatements?I look at PhilEquitys and Sunlifes.. its clear as
day that
thats also what mutual funds do, pay taxes from the fundsassets
just like UITFs.
The one difference I can see is that since a mutual fund
istechnically a corporation/company, it apparently can defer
its tax liabilities, except for those investments subject
tofinal taxes, i.e. deposits subject to 20% tax.
Also, you can see that dividends are not taxed.
PhilEquitysreport is clearer about this. Apparently, dividends
recieved
by a corporation, which is what a mutual fund is, from
anothercorporation are not subject to taxes.
Im not sure if UITFs are considered a corporation, I wouldthink
not. so if they get dividends, they are probably taxed.
Cheers
13. JR Rosales on March 13th, 2012 at 4:41 pm
@Fitz Are bond funds (Fixed Income Funds) worth investing in?
Thanks.
14. Fitz on March 14th, 2012 at 3:51 am
http://www.facebook.com/FreePinoyFinancialCheckuphttp://fitzvillafuerte.com/http://fitzvillafuerte.com/
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
6/14
Hi JR Rosales, it first depends on what your investment
objective is.
Second, it depends on how good the fund managers are. Funds are
invested in several products, and you as an investor, should choose
a fund that has
managers that have the same investing attitude as yours.
15. Richie on July 18th, 2012 at 2:30 pm
Hi again Fitz.
Please enlighten me: is investing in the stock market ie buying
blue chip stocks different from investing with uitf?
I am already familiar with the investment procedure for uitf,
but i need help with stock market. Where do i go? How do i start?
Is this also availablewith bpi or bdo like uitf? Or do you
recommend citiseconline?
I am a beginner. I plan to invest 5k per month for the next 3
years. I was already contemplating on uitf, but i got confused when
i stumbled upon youryahoo stock market investment article.
Which do you personally recommend for a beginner like me? I
already have an e-fund, identified my objectives and investment
time.
Please explain in detail. Thanks for the help.
16. Fitz on July 19th, 2012 at 6:32 pm
Hi Richie,
When you invest in a UITF, you are placing your trust to the
investment managers of the fund which means you are giving them the
freedom tomake investing decisions for you.
UITFs invest in several products, including the stock market.
Depending on the risk profile of the fund, it will have blue-chip,
growth and/orspeculative stocks in their portfolio.
On the other hand, if you invest directly in the stock market,
through a broker such as Citiseconline (and many others). You have
full control of yourportfolio and you will be the one who will make
the investment decisions.
The main advantage of investing directly on the stock market is
that you get to earn from dividends (not really that much, but its
still income), and youcan choose to invest in companies which you
truly believe in.
At the most basic level equity funds (UITF) and stock investing
are the same. UITFs are geared more towards people who dont have
time tostudy the market; while stock investing is for those who
would like to be more hands on with their investments.
Both products experience moderate to high income, but those who
take the time to learn about how the stock market works tend to
gain relativelyhigher income thats why some people choose it over
UITFs.
For beginners, Id recommend UITFs but I encourage that you take
the time also to learn about stock market investing because its
another greatinvestment product which you might want to consider in
the future.
Personally, I invest in both that is, if I were in your shoes Id
invest P5k this month in a UITF, then P5k next month in the stock
market, then addP5k to my UITF the month after that, and so on but
thats just me.
Hope I was able to help.
17. FreePinoyFinancialCheckup on July 19th, 2012 at 7:21 pm
Just want to clear that stocks and managed funds (mutual
funds/uitfs) can be compared as apple to apple.
In basic level, they look the same but deeper analysis will give
you a better understanding.
I will stick on mutual fund analysis, since my last post on Nov.
2010, I had uitf that time but I unwind my positions there and
concentrate on mutualfund investing.
When you invest in stocks, you will gain income when your chosen
company declares dividend.The question here is, did you hand pick a
stock that provide dividend?
When you invest in a managed fund like my mutual fund, the MF
company recieves dividends to its collective shares of dividend
earning companiesselected by the fund manager and bein hold by the
MF in the long term.
Aside from (1) Dividend Income, it has also cashflow coming from
(2) Interest income _ corporate notes/debt where MF has invested
and (3)Investment/Capital gain income-from realizing the positive
paper gains of some companies I.e.selling the stocks.(4) Net
cashflow between those who
http://fitzvillafuerte.com/http://www.facebook.com/freepinoyfinancialcheckup
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
7/14
are entering the MF minus those who redeem their investment.This
info is coming from SEC Form 20-IS filed by mutual funds as
mandated by SEC.
I think the main advantage of stock is Transparency, you see
what you buy with 5K.While Mutual Funds main advantage is
Diversification, you are buying a portfolio of blue chip companies,
with your 5K pesos.
18. Richie on July 19th, 2012 at 10:07 pm
Thank you Fitz.
I am actually doing my own research on both investment vehicles
(like what you did in the past). Its great that there are people
like you who take timeto help.
May i ask though why you suggested alternate investments in uitf
and stock market?
With stock market investments, I am most familiar with
citiseconline. Would you say citiseconline is reliable? Bo Sanchez
recommended them, doyou?
Again, thank you. Thanks to FreePinoy too!
Will pay forward,Richie
19. sam uy on September 4th, 2012 at 8:20 pm
are you paid by BDo and BPi? You keep on advertising them;-) it
is annoying.
20. Fitz on September 5th, 2012 at 4:45 am
Hi Sam.
Sorry if it annoys you that I often write about BDO and BPI.
No, I am not paid by them and the main reason why I often write
about them is because those are the two banks where I have
investing experiencewith.
If I purchase an investment product with Metrobank, Chinabank,
PNB or any other bank in the future then I would surely write about
them too.
Lastly, it is my personal policy to disclose all sponsored posts
and paid advertorial articles that I publish here.
I hope I was able to clarify this matter with you.
21. FreePinoyFinancialCheckup on September 5th, 2012 at 4:56
am
Its easy for me to explain my FAMI MF investment than explaining
other providers .. Thus, i dont think Friz point of view is not
annoying since hes
more familiar with BDO/BPI.
I think its just a different perspective from our personal
experiences.
BTW, i use somethings BDO and BPI as intermediary banks for my
non-investments funds..
Happy investing everyone!!
22. java on October 9th, 2012 at 6:31 pm
Mr. Fritz:
In your own analysis which among the Dollar denominated UITFs
being offered by different banks looks most promising and
profitable?
Thank you
23. java on October 9th, 2012 at 7:46 pm
Mr. Fritz:
1. May I know what will happen to the investment if the investor
dies, specifically for those long-term UITFs or MF.2. Can UITFs or
MF serve as a living trust fund?3. Can a family member of the
investor claim/continue his investment if the investor dies.4. If I
have $2000 in which UITF should i invest it so that it will be
atleast $20,000 in 20years.
http://fitzvillafuerte.com/http://www.facebook.com/FreePinoyFinancialCheckup
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
8/14
5. Are UITFs or MF transferrable?
Thank you and hope you could enlighten me with my queries.Im
trying to study UITFs and MF. Hopefully be able to make a good
investment.
Another reason why I seek your advice, is that my line of work
is risky and insurance or time deposit alone is not enough to leave
behind for my kids.
I need other options, that is why I want to try UITFs &
MF.
Thank you and more power to your advocate.
Rdgs;java
24. Fitz on October 10th, 2012 at 12:47 am
Hi Java.
In case of death, a family member can request the transfer of
units of the deceased to his or her account. Documents must be
submitted, depending onthe bank or mutual fund company but the
bottomline is, yes it can be claimed and continued by the family
member.
Moreover, the process would go faster, in my opinion, if the
units / assets / investments are included / stipulated in the
persons last will and testament.
With regards to your investment goal, I honestly dont know what
UITF would give you that result I believe nobody can tell that for
sure buthistorically, equity funds have the highest performance in
the long term.
Also, I would advise that instead of investing $2000 in one go,
do cost averaging and invest smaller amounts in fixed periods over
a long period oftime.
25. kumar on October 10th, 2012 at 3:44 am
Hi FritzI am a banker at Deutsche Bank and live in
Singapore.
in summary, I have a Filipino assistant who is 45. I recently
forced er to invest and contributed towards her SSS. But that
wouldnt be enough alonewhen she retires.Coud you suggest anything
where she could invest 100 dollar per month for next 10
years?Looking at her profile, she would rather invest into a more
conservative. Any products (saving, M Funds, bond linked, etc).Will
appreciate as i have no knowledge about Philippines based
planes.
26. Fitz on October 10th, 2012 at 4:44 am
Hi Kumar.
In my opinion, the best investment for your Filipino assistant
would be a UITF equity or balanced fund.
Both fund types are moderate to high-risk investments but given
that she will be doing cost averaging and buying units for a long
period of time, therisk of losing money from it will certainly go
down plus the potential income would be higher than most investment
types.
Additionally, since UITFs are available in big commercial banks,
that adds a little bit more security to the investment as compared
to investing with an
independent mutual fund company. I would recommend going for the
top 2 banks in the Philippines: BPI and BDO.
Each of those have their own UITF products which she can invest
in.
Moreover, BPI has RSP (regular subscription plan) while BDO has
EIP (easy investment plan) which are both automatic investments
service wherethey take out a portion of your money from your
savings account on a monthly basis to buy investment units in their
UITF.
27. Marius de Jess on December 10th, 2012 at 4:00 pm
So which one is better? I personally believe neither one can
give a higher return than the other.
Tell me then, why some people go for UITF even though it is
subject to withholding tax of 20% on capital gains, while Mutual
Fund is tax exempt?
Marius de Jess
28. Fitz on December 12th, 2012 at 12:49 am
Hi Marius. There are many reasons for choosing UITF over MF,
some of them are given above in the advantages and disadvantages
section.
Personally, I believe UITFs are more accessible because you can
just go to your own commercial bank and invest while with MFs, youd
have to do
http://fitzvillafuerte.com/http://fitzvillafuerte.com/http://fitzvillafuerte.com/
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
9/14
some due diligence to find a secure and reputable company to
invest with.
Also, UITFs usually have lower starting capital requirements
than MFs which is a factor you should consider if youre a new
investor.
29. Rajon on December 24th, 2012 at 10:53 am
Greetings!
Hi Fitz, im here again for some questions, hope you can help me.
First, is COL automatically deducting their management fees in the
market pricevalue when buying and selling stocks? Just for
confirmation that when you buy stocks they charge you around 12%
and almost the same when you sellyour stocks?.
Merry christmas and a happy new year Fitz.
30. Fitz on December 24th, 2012 at 4:39 pm
Hi Rajon,
Yes, COL deducts fees both when you buy and sell. These charges
are the brokers commission, VAT, PSE transaction fee, SCCP fees and
salestax.
The detailed breakdown is available HERE
31. Jex on December 30th, 2012 at 6:15 am
great post! i believe that MF and UITF are essentially the same
but i personally prefer UITFs because of the lower management fee
and convenienceespecially if your account is enrolled in an
auto-debit program such as BDOs Easy Investment Plan. If not
checked regularly, magugulat ka na lang ina couple of years or so,
naggrow na yung investment na pakonti konti just like a turtle.
With regards to one of UITFs disadvantages, I think that MFs do
not really have this tax advantage over UITFs. The 20% tax is
subjected into bothUITF and mutual fund NAVPUs/NAVPS as they are
not exempted from this final tax on interest earnings. That
separate 20% witholding tax has beenclarified by a press release
from Punong Bayan and Araullo. The way i see it, parang marketing
strategy ng mga mutual fund agents to not chooseUITF over MF. As to
performance, pare parehas lang naman. very minimal differences.
pareparehas kasi nag-iinvest sa blue chips.
32. Vin on February 23rd, 2013 at 10:15 pm
Hi! Im new to MF and UITF, in fact Ive yet to invest in it. My
question is, if for example I am investing 10,000Php per month for
lets say threeyears (so as to follow the peso cost averaging
technique) and Ive found out that the units bought in September to
November of Year 1 have thehighest ROI, can I choose to sell the
units I bought only in that three-month period having the highest
ROI? Do you I get the same answer to both the
UITF and MF?
33. John Lim on March 19th, 2013 at 1:26 am
Hi Fritz,
Thanks for the information youve shared. I have diversified
investments in UITF of different banks since I started last year.
All my funds have a
surprisingly positive results due to the good performance of
PSEi.
That is why just 8 or 9 days agao, I reinvested in BPI-UITF when
the PSEi has breached its all time record high. I guess the timing
was not right, itsonly near 8 days since I invested in BPI-balance
and BPI-equity, Ive lost 2.5% of my investment already.
My question is, would you suggest I pull-out my money and charge
it to experience nalang, and offset my loses to my other positive
investments? oryou suggest to wait for the unit value to appraise
in the coming days or months?
Would you suggest also that I withdraw my other placements that
earned 12 to 15% already in less than a year time?
I hope you could help me. Thank you!
34. Fitz on March 21st, 2013 at 1:08 pm
Hi John Lim. What are your investment objectives? That will
dictate when you should redeem your shares.
Balanced and Equity funds are moderate and long-term investments
this means it is recommended that your MINIMUM holding period is
3-5 years.
During this time, the price will experience fluctuations it can
even go negative. But in the long-term, it should go back up.
What should you do? Again, ask yourself for what are you going
to use the money you invested.
http://fitzvillafuerte.com/https://www.citiseconline.com/FINAL2/b_home_new/FAQS.asp#44http://fitzvillafuerte.com/
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
10/14
If its for something you need or plan to buy 3-5 years or more
in the future, then just let it sit there.
One last tip control your fear and your greed. Minimize emotions
in monitoring your investments.
35. bombyx on April 21st, 2013 at 3:55 am
Hi Fritz, Im a newbie in investing and has been reading a book
Millionaire Teacher by Andrew Hallam ISBN 9780470830062 (btw, a
good read!)he advised that a portfolio composed of a stock market
index and a bond market index could give very powerful returns.My
question is, what are the Philippine equivalent of these indexes?
Is it the PSE index and the ABF Philippines Bond Index Fund
respectively?Thanks.
36. Mike Garcia UBP on April 29th, 2013 at 6:52 pm
Your advantages and disadvantages portion of UITFs and Mutual
Funds are misleading. How do you know which is better regulated?
How can youtell which is more transparent? what is your basis for
this?
And by the way, both MF and UITF investments are subject to
final withholding tax on their investments
37. Fitz on April 30th, 2013 at 2:18 am
Hi Sir Mike. Thank you for the comment.
Please give us more details on the advantages and disadvantages,
wed love to know these based from the point of view of an
investment officer.
Ill edit the post above and make it clearer and more accurate
once you share your thoughts.
The information stated there is based on the things said to me
by a mutual fund agent, and a commercial bank branch manager.
Thanks!
38. Zest on May 6th, 2013 at 6:09 am
Hi i have a question about Uitf:
1. If i redeem my earnings (beyond minimumHolding period and i
am still beyond minimum amount requirement), what will happen to
the navpu of my remaining units? Will it be rolled over to thenavpu
of the day i redeemed partial earnings?? Or will it remain the samr
as before?
2. Can i open two separte equity fund in the same bank if i plan
to redeem more on the other fund than the other or will it always
add up?
3. If i add money in my fund, what happens toThe navpu of the
money i had in the fund before? Like isThat two different portfolio
to be treated?
Thank you
39. joe on June 15th, 2013 at 11:09 pm
HI Fitz. I had an investment in UITF (balanced fund) and they
hold my investment for at least 3months. The NAVPU at that time
lets just say was3.30xx. Now, the NAVPU nose dived to 3.14xx and in
a few days my 3 months is due. My question is, what do you think is
best: Should I remainmy investment and roll it for another 3months?
or should I withdraw it at a loss and buy the current price of
NAVPU? Thank you.
40. Fitz on June 16th, 2013 at 9:53 am
@Zest1. It will remain the same before.2. Yes, you can open two
fund accounts with most banks. Ask you bank whats their policy on
this.3. You dont have money in your fund, what you have are units
of investment and adding to your investment means you are buying
more units. Theaverage price to which you bought them changes each
time you buy units (invests in the fund).
@joe. Id say just hold. But more importantly
Why did you invest in the first place? What is your objective
for this investment? I can give you a better answer if you tell me
these.
41. Mathew on July 17th, 2013 at 2:46 pm
I invested in mutual funds only like Reliance, DSP Black Rock
and UTI. Should I invest in unit investment trust fund or UITF?
Which companies offerthis fund?
http://fitzvillafuerte.com/http://fitzvillafuerte.com/http://www.utimf.com/
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
11/14
42. Ian on July 25th, 2013 at 9:29 pm
Sir fritz for example ng invest aq sa uitf ng BDO which is 10k
and for example gusto q mag add ng additional investmet to buy more
units its possibleba n payagan p rin aq ng bank to invest
more,,,and sa tingin mo sir fritz may corresponding amount b n
hihingin ulit lets say another 10k or 5k?andpede pa b aq mginvest
sa iba like sunlife or col financial and lastly po paano po aq
mkkpginvest sa equity ng sunlife while im on abroad? Sensya nsir
fritz newbie po dami q po tanong
43. Carl De Leon on October 13th, 2013 at 5:07 am
Hi sir,
Im considering opening a UITF with BPI, specifically their new
fund, the BPI PHILIPPINE HIGH DIVIDEND EQUITY FUND. Its for my
sonsfuture college fund. We was just born last September 23. I
reviewed and compared it to the 2 other UITF products that they
offer and the onlydifference are the sectors or equity holdings. My
question is is it ok to invest in a new equity UITF? Given thats
its new, we dont have muchhistorical information, my gut tells me
that since its BPI and its long term, it should be ok given my
investment appetite and horizon. I appreciate yourresponse sir and
more power to you!
A Simple Explanation of How Mutual Funds WorkLearn to Earn |
Misang's JournalMutual Fund, Unit Investment Trust Fund (UITF),
which one do you choose?How To Invest In Mutual Funds: A Basic
Guide - The Manila Survival GuideSun Life Financial Philippines:
Mutual Funds Catalogue
Sponsored Links
Share your thoughts and leave a response below:
Name (required)
Mail (will not be published) (required)
Website (optional - leave blank if none)
Submit Comment
Notify me of followup comments via e-mail
Sponsors
http://fitzvillafuerte.com/a-simple-explanation-of-how-mutual-funds-work.htmlhttp://misangsjournal.wordpress.com/2013/01/18/i-learned-a-lot-in-just-on-week/http://www.thecouplespeak.com/?p=108http://manilarules.com/2013/07/29/how-to-invest-in-mutual-funds-a-basic-guide/http://fitzvillafuerte.com/sun-life-financial-philippines-mutual-funds-catalogue.html
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
12/14
Recent Posts
Stock Market Alternatives: Where To Invest Aside From The Stock
Market5 Reasons Why You Should Stay Away From The Stock
MarketWorking on a New Project: Blog Academy PhilippinesHow To Cope
and Rebuild Your Life After a DisasterIm Promoted To Marketing
Director at IMGHow Two Decisions Made In Five Minutes Changed One
Life
Reader Mail #26: When To Sell Your Stocks and Other Stock Market
Questions
Community Q&A
Is it right to put 200k of our sons college savings all at the
same time in FAMI Save and Learn Fix Bond?Anong magandang ibenta sa
Sulit?When should I sell my stocks (long term, using
cost-averaging)?I have an illiterate neighbor whom almost out of
basic needs wants to apply his pagibig fund. What will be the
requirements?What websites do you read or visit to learn about the
status of different financial markets?
Choice between shortening the year of housing loan or reducing
the monthly amortization in bank loan?What is the appropriate
profit sharing for small business partnership?
Welcome!
http://fitzvillafuerte.com/go/baphhttp://fitzvillafuerte.com/stock-market-alternatives-where-to-invest-aside-from-the-stock-market.htmlhttp://fitzvillafuerte.com/5-reasons-why-you-should-stay-away-from-the-stock-market.htmlhttp://fitzvillafuerte.com/working-on-a-new-project-blog-academy-philippines.htmlhttp://fitzvillafuerte.com/how-to-cope-and-rebuild-your-life-after-a-disaster.htmlhttp://fitzvillafuerte.com/im-promoted-to-marketing-director-at-img.htmlhttp://fitzvillafuerte.com/how-two-decisions-made-in-five-minutes-changed-one-life.htmlhttp://fitzvillafuerte.com/reader-mail-26-when-to-sell-your-stocks-and-other-stock-market-questions.htmlhttp://ask.fitzvillafuerte.com/feed/http://ask.fitzvillafuerte.com/http://ask.fitzvillafuerte.com/is-it-right-to-put-200k-of-our-sons-college-savings-all-at-the-same-time-in-fami-save-and-learn-fix-bond/http://ask.fitzvillafuerte.com/anong-magandang-ibenta-sa-sulit/http://ask.fitzvillafuerte.com/when-should-i-sell-my-stocks-long-term-using-cost-averaging/http://ask.fitzvillafuerte.com/i-have-an-illiterate-neighbor-whom-almost-out-of-basic-needs-wants-to-apply-his-pagibig-fund-what-will-be-the-requirements/http://ask.fitzvillafuerte.com/what-websites-do-you-read-or-visit-to-learn-about-the-status-of-different-financial-markets/http://ask.fitzvillafuerte.com/choice-between-shortening-the-year-of-housing-loan-or-reducing-the-monthly-amortization-in-bank-loan/http://ask.fitzvillafuerte.com/what-is-the-appropriate-profit-sharing-for-small-business-partnership/
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
13/14
Welcome to my blog, Ready To Be Rich.
Enjoy reading and please don't forget to subscribe. It's
FREE!
Enter your email address below:
About this Blog
Hi, my name is Fitz and this is my blog.
I started this website in 2007, and have been writing here since
then about business, investments and personal finance.
I hope my stories will inspire you to start your own journey
towards financial freedom. Read more
Find What You Need
Guide for first time visitorsBrowse the archives
Type and hit 'Enter' to search:
Whats Your Goal?
Save more moneyFix my financesIncrease my cashflowBe more
productiveFind inspirationChange how I thinkStart a businessBecome
a freelancerLearn how to invest
Improve my marketing skills
Must Read Articles
PERSONAL FINANCEYour Enemies Towards Financial FreedomYour
Allies Towards Financial SuccessSimple Personal Finance For
EveryoneOn Money, Family and Friends
All About Credit CardsHabits That Lead To SuccessGroup Buying
Sites GuideFree Seminars at IMG Wealth AcademyBUSINESSA Step By
Step Guide To Starting A BusinessImproving The Image Of Your
BusinessBusiness Development StrategiesSteps To Becoming a
Successful Freelancer
http://feedburner.google.com/fb/a/mailverify?uri=ReadyToBeRich&loc=en_UShttp://feeds.feedburner.com/ReadyToBeRichhttp://fitzvillafuerte.com/abouthttps://www.facebook.com/readytoberichhttps://twitter.com/brodfitzhttps://plus.google.com/106673268130870823981/postshttp://fitzvillafuerte.com/first-time-herehttp://fitzvillafuerte.com/archiveshttp://fitzvillafuerte.com/category/money-saving-tipshttp://fitzvillafuerte.com/category/personal-financehttp://fitzvillafuerte.com/category/income-opportunitieshttp://fitzvillafuerte.com/category/productivityhttp://fitzvillafuerte.com/category/inspirations-and-motivationshttp://fitzvillafuerte.com/category/mindsettinghttp://fitzvillafuerte.com/category/businesshttp://fitzvillafuerte.com/category/freelancinghttp://fitzvillafuerte.com/category/investinghttp://fitzvillafuerte.com/category/sales-and-marketinghttp://fitzvillafuerte.com/your-enemies-towards-financial-freedomhttp://fitzvillafuerte.com/your-allies-towards-financial-successhttp://fitzvillafuerte.com/simple-personal-finance-for-everyonehttp://fitzvillafuerte.com/on-money-friends-and-familyhttp://fitzvillafuerte.com/all-about-credit-cardshttp://fitzvillafuerte.com/habits-that-lead-to-successhttp://fitzvillafuerte.com/group-buying-sites-guidehttp://fitzvillafuerte.com/img-wealth-academy-free-money-seminarhttp://fitzvillafuerte.com/a-step-by-step-guide-to-starting-a-businesshttp://fitzvillafuerte.com/improving-the-image-of-your-businesshttp://fitzvillafuerte.com/business-development-strategieshttp://fitzvillafuerte.com/steps-to-becoming-a-successful-freelancer
-
03/12/2013 Mutual Funds and Unit Investment Trust Funds, What's
The Difference?
fitzvillafuerte.com/mutual-funds-and-unit-investment-trust-funds-whats-the-difference.html
14/14
Christmas Bazaars 2013INVESTING & TRADINGHow To Invest in
the Stock Market
Learn Forex TradingSelf-Study Forex Trading
Contact
Send me an emailTell your storyAdvertise here
Badge
Terms of Use
Copyright 2007-2013 Ready To Be Rich: Business, Investments
& Personal FinanceDisclaimer | Privacy Policy | Contact |
Advertise
Powered by WordPress
http://fitzvillafuerte.com/christmas-bazaars-schedule-in-metro-manilahttp://fitzvillafuerte.com/how-to-invest-in-the-stock-markethttp://fitzvillafuerte.com/learn-how-to-trade-forex-in-the-philippineshttp://fitzvillafuerte.com/learn-forex-trading-online-through-self-studyhttp://fitzvillafuerte.com/contacthttp://fitzvillafuerte.com/tell-your-storyhttp://fitzvillafuerte.com/advertise-herehttp://www.copyscape.com/http://www.dmca.com/Protection/Status.aspx?id=bbe057a9-84fa-4ada-a5dc-368126cde27dhttp://fitzvillafuerte.com/http://fitzvillafuerte.com/disclaimerhttp://fitzvillafuerte.com/privacy-policyhttp://fitzvillafuerte.com/contacthttp://fitzvillafuerte.com/advertise-herehttp://wordpress.org/