FirstMetroSec expands investment access through FundsMart

In today’s fast-paced financial world, staying informed and making smart investment choices can be daunting. To help investors navigate these challenges, First Metro Securities Brokerage Corp. (FirstMetroSec), the stock brokerage arm of Metrobank, hosted a panel discussion featuring some of the country’s leading fund providers in Sarrosa International Hotel & Residential Suites, Cebu City.

The event was centered around FundsMart — the company’s online investment funds “supermarket” that allows users to access the country’s top peso- and dollar-denominated mutual funds and unit investment trust funds (UITFs) without additional transaction fees and using only one account. It featured representatives from major fund providers First Metro Asset Management, Inc. (FAMI), ATRAM Trust Corporation, BPI Wealth, and Manulife Investment Management and Trust Corporation (MIMTC), who shared valuable insights into fund investing, financial literacy, and market outlook.

Mutual funds and UITFs are managed by professional fund managers who pool money from various investors to create a diversified portfolio of cash, bonds, stocks, and investment assets. These products are strictly regulated by the Securities and Exchange Commission (SEC) and the Bangko Sentral ng Pilipinas (BSP).

Recognizing the limited accessibility to diverse and sound investment options for many Filipinos, FirstMetroSec launched FundsMart to bridge this crucial gap. Since its introduction in 2017, FundsMart has expanded to offer over 130 mutual funds and UITFs from the leading fund houses and trust corporations including FAMI, ATRAM Trust Corporation, BPI Wealth, MIMTC, Philequity Management Inc., and Sun Life Asset Management Company Inc.

Empowering All Types of Investors

Many Filipinos are reluctant towards investing, finding it intimidating. Andoy Beltran, Vice President and Business Development and Market Education Head at FirstMetroSec, suggests otherwise, highlighting that fund investing is the perfect ‘starter pack’ for beginners. “When you invest in funds, you’re essentially outsourcing all the hard work—planning, researching, buying, selling, and portfolio management—to the country’s top professional fund managers. This is crucial because let’s face it, not all of us are knowledgeable when it comes to investing. So why not let the experts invest for us?” he explained.

“Our managers are on the ground 24/7, actively researching markets and adjusting strategies and portfolios to navigate various market conditions,” said Imelda Estrada, Vice President and VisMin Branch Head at FAMI, underscoring the advantage of expert fund management for investors.

Additionally, the panelists agreed that investors should prioritize their financial goals and risk tolerance, instead of stressing about the right market timing.

“You should be investing regardless of the market cycle,” advised Zedric Matubis, Vice President and Head of Wealth Sales at MIMTC. He explained that funds are designed to weather market fluctuations through diversification, spreading risk across various assets and reducing the impact of any single downturn.

“More than the outlook, you should first determine why you are investing and what type of investor you are,” added Dominic Yatco, Vice President and Head of Institutional Agency Department at BPI Wealth. Understanding your investor profile helps you select funds that align with your objectives, risk tolerance, liquidity needs, time horizon, and experience.

FundsMart simplifies investor profiling through an online suitability assessment that can be completed in less than five minutes. Additionally, FirstMetroSec offers a mobile-friendly online account opening through its mobile application and easy account funding through all major banks. Upon account creation, investors will have access to not just funds but also stocks and bonds, allowing investors to manage all their investments in one place, without the need to open multiple accounts with different fund providers.

Providing Affordable Access to Global Markets

Funds also provide investors with opportunities to invest in thousands of companies listed in the US, Europe, Asia, and other emerging global markets. Additionally, investing in global funds is highly accessible through FundsMart, with entry points as low as Php1,000 or USD100, making it an affordable option for many investors.

“The typical investor initially focuses on local markets and invests in the Philippine story. As they gain experience, global markets become an attractive option for diversification. It’s good to have a mix of both to lessen single-country risks,” explained Andrew Caw, Managing Director & Chief Marketing Officer at ATRAM Trust Corporation.

Panelists also weighed in on the current opportunities and challenges in the global market that investors should consider before investing in global funds.

“We see potential slowdown in global markets and persisting moderate and sticky inflation. However, there are also significant opportunities. Anticipated rate cuts could lead to lower interest rates, spurring increased economic activity. Additionally, emerging technologies, particularly artificial intelligence, offer promising growth potential,” shared Matubis.

While the accessibility of global economies can be enticing, the panel cautions Filipinos against withdrawing all their savings from banks to invest.

“Investing always comes with risks and volatility,” Caw cautioned. “The key to managing these risks is diversification. Don’t put all your money in one basket.”

Matubis echoed the sentiment, adding, “Think about your money in terms of your short-term, medium-term, and long-term needs. For money you need soon, stick with safer options like savings accounts and money market funds. For funds you won’t touch for several years, investing can help you handle market ups and downs.”

Balancing risk and reward can help investors build a strong portfolio poised for long-term growth. Investors must always exercise prudence and thoroughly research before diving into any investments.

FirstMetroSec, together with its fund partners, is committed to educating the public about smart investing practices, prioritizing financial literacy over simply selling products.

“Because we put a premium on collaboration over competition, educated investors always end up as the true winners,” concluded Beltran, reflecting the shared mission of FirstMetroSec and its partners to enhance financial literacy and offer diverse investment opportunities for Filipinos.

For more information, you may visit www.firstmetrosec.com.ph.