Last January Market Outlook event in Singapore, COL Financial with their CEO and VP – Research head, announce that they will finally offer mutual funds in their website. As you know, COL is a stock broker and adding mutual funds to their products will make them like a fund supermarket in the Philippines where you can buy both stocks and mutual funds. Base on their last announcement, they already get the partnership with mutual fund companies like Philam, FAMI, Sunlife, Philequity, ATRKE and ALFM funds. These are the big guys in the MF business in our country right now.
Instead of opening account to each of these funds, all you have to do now is open one COL account to be able to purchase any of these funds. But what really are the benefits of doing this rather than opening account directly to the MF company.
Here’s some benefits of doing that…
NO SALES LOAD. As you know, every time you put money in your mutual fund account, you will be charged sales load ranging from 2% to 3.5%. So let’s say if you have PHP10,000 and you invest in a fund with 3.5% sales load, the actual money left is PHP9,650 only. This is the money that will be used in buying the share of the fund. The good news is, COL will WAIVE this fee if you buy the funds from their website. Isn’t that a good deal for small investors like us?
CONVENIENCE. Imagine if you have several accounts in several mutual funds companies. Imagine the hassle from account opening to account funding. But now, all you have to do is open and fund one account. You don’t need to submit extra documents or signup new form to do that. COL will do that for you 🙂
DAILY REPORT. If you are an existing Philequity fund owner, you know that they only send report monthly regarding your account. I don’t know how other MF companies deliver their report to the customer, but for sure not all of them are giving reports in a day to day basis. But with COL, all you have to do is login to your account and you will be able to track your fund performances and portfolio everyday. You don’t need to wait for their scheduled email about your account.
EASY COMPARISON. COL will add additional page on their website for mutual fund. There we can view and rank all the funds offered base on what parameter we want them to be arranged. We can compare their performances daily or even check their past performances.
GUIDE. COL will advise newbie users which fund suits them base on the risk questionnaires they will answer upon opening account. If investors are risk taker, they will advice equity funds. For safe investors, they will advice bond funds. And for sure, they will add some reading materials for newbies on how to effectively invest in mutual funds for the long term.
These are some of the advantages I can think of right now. It is not yet implemented on their system, but I know it will be very soon. Don’t wait till that happen, open your COL account now! Visit www.colfinancial.com and click OPEN ACCOUNT in the tab.