Francisco Colayco – Teach You Banker Friends


I am one of the many readers of your books. I don’t regret of having bought your book since it gives me insight on how I can save for my future.

I am an ordinary employee working in a sugar factory in Negros Occidental. I wanted to start my saving in mutual fund but as I inquired from my bank, which is one of the biggest banks in the Philippines, they told me its a risky investment and its only good for big businessmen with big capital.

These had bothered me, as in your book an ordinary person can invest in a mutual fund for as low as P5000. This prompted me to ask help from you, what investment instrument requires a small starting capital?

Francisco Colayco Advise:

Unfortunately, your Bank contact person does not even know that one of the companies affiliated with their bank has mutual funds and accept a minimum of P5,000 as an initial investment. Certainly, P5,000 can be a big amount for the ordinary income earner but definitely this is a small amount for the big businessman with big capital. Why should a mutual fund allow a minimum of P5,000 if mutual funds are only for big businessman?

Your contact person also does not understand mutual funds. While big businessmen invest in mutual funds, it is precisely one investment option that allows the ordinary income earner to be in the same level as the big businessman. The one share of the ordinary income earner is entitled to exactly the same benefits as the one share of the big businessman. The big businessman just owns more shares.

Mutual funds have risks as I have explained in my books. However, I believe that these risks can be lessened if you are ready to invest for a long period of time of say 3 to 5 years, at least. As I have just explained in my last article, mutual funds that are invested in equities will be affected by the swings in the stock market. However, note that mutual funds invest in a large number of company shares spread among a broad range of industries. As such, the risks are managed and the possibility of losing your entire principal investment is remote. Morever, because they are managed by full time professionals, they have the knowledge and the ability to buy and sell the shares to the full advantage of the investors. Their continuing goal is to maintain and increase the Net Asset Value (NAV) of the mutual funds so that the investors will enjoy higher valuation of their investments.

You just have to be able to stay “cool” during periods when the market is down. What is important is that you invest regularly like maybe P1000 (minimum allowed after your first investment) every month whether the market is up or down and if you can, invest more when the market is down.

What is the morale of your story? It was good that you read and educated yourself and not just relied on other people’s information. Many times, even people who claim they know can be wrong and only your own investigation can lead you to more information. After your investigation, you can make your own decision.

Note:  To contact or seek advice from Mr. Francisco Colayco please <a href=””>visit his page.</a>

14 thoughts on “Francisco Colayco – Teach You Banker Friends

  1. Reading your book was really a wake up call for me. I now make it a point to set aside a portion of my earnings. Though it is still not the desired 20%, i think i’m off to a good start. I currently have a housing loan in the Philippines. The original loan amount was PHP1.8MM at 11% renewed yearly. I have managed to cut it to PHP1.4MM mainly by paying a portion of pricipal when I renew. I am expecting a bonus by end of the year and I would like to ask if I should use this to pay for a protion of the pricipal or should I just invest it in investment options such as mutual. Another thing, do you think it is best to just invest my money here in Singapore, where I am a Permanent Resident or in the Philippines?


  2. Question:

    Good day Sir!
    I am one of your famous books reader and i enjoyed reading it,
    I learned how can i save my money and know different type of income.
    But my problem is its hard for me to save my money because as of now
    I’m still studying,
    and my question is for me as a college student
    what is a best way to have a good business in my future?
    im 4th yr Comp. Engr. and working as Service crew in a fine dine-in Restaurant.
    im also interested in joining MLM(multi-Level Marketing) or Networking..
    is that good way or posible way to achieve my goal?
    or just a steping stone…

    please help me…
    I want to start my career while im still young.

    ThankS and MOre pOWer to your site..


  3. Dear Sir,

    I’m an OFW here at UAE. I have recently applied for a salary Loan and planning to buy a lot and would like to set up a Catering Business. My main concern here is about my wife and the business. My wife is a plain housewife for 11 years, she’s an AB pycho Grad. she was able to teach only for one year but for almost 10 years she’s just a plain housewife. She told me she wanted to work but the problem is she dont have the self confidence and experience. Thats Why I planned to put up a business for her. At first she dont like the idea but i forced her to attend a Catering Seminar at Negoskwela. The training turned out fine, but still she feels that she’s not ready yet to manage it. She needs first to gain experience and self confidence and how to deal with people by applying a Job. I’m not against her plan to look for a job but the problem is we have 4 kids, and the youngests are 5 & 6. We’re in Quezon province and a friend of ours told her that he can send her resume to his friends at manila if she wanted a job. But what Im telling her is that she dont need a job, and what she needs is a Personality development and self motivation. Coz she told me once she have that and maybe thats the time she can manage the business that I’ve wanted. Do you have a Training or seminar so that My wife can attend. Please reply. thanks


  4. Dear Mr. Colayco,

    I am one of the many overseas Pinoys who have read your books. I also had the opportunity to listen to you when you spoke on financial independence and wealth management before the Filipino community in Jeddah sometime a year ago.

    I have invested in mutual funds with a well-known fund management and insurance company, one of the leaders and the oldest in its business in the Philippines. It is either wholly or partly owned by one of the most reputable financial institutions in the world. A few weeks ago, at the start of the present US (now global) financial crisis — already a worrisome development for all of us particularly with hard-earned money, no matter how small, investmented in mutual funds and stock market — this US-based organization was at the brink of collapse, but was bailed out by the US Federal Reserve. (The other, an investment bank, was not as fortunate as we all now know.)

    Even as we subscribers are told the said Philippine company is in excellent shape (save perhaps for the would-be effects of the present turmoil), with solid financial base, and still strong customer support amidst this difficult time, the parent organization in the US has to sell it as part of its worldwide divestment plans in order to meet its US obligations. Reportedly, top contender buyers are very reputable Philippine leaders in the local banking/financial sector.

    My worry now became two-fold: (1) The crisis itself and its effect on my funds; and (2) the fact that the company managing the funds is up for sale.

    What should I do? Pull out and put money elsewhere, hold, continue to buy, or wait-and-see (and if so, until when?)

    As if the above are not enough to worry about, I also have educational plans, life insurance, and a few US dollars within the same group.

    Please help. Your urgent advise will be highly appreciated.

    Many thanks,

    Gerry T. Relingo


  5. dear mr. colayco,
    Im a mom and i wanted to learn more on how to handle our finances, and whats the best way to invest our money.
    ive read our books and start doin the advices on the book but i wanted to attend seminars regarding this financial management matter.
    hope you could help me, what seminars availble with i could attend in a ways this would give me more knowledge to apply with me.


  6. Dear Mr. Colayco,

    Good Morning sir, Iam into lending business (licensed), though working on a small capital, is this a good business to invest more. whats your take on this.





  8. gud eve! i have some money in bank,i want it to grow and i want to invest it what fund has a good return with minimal risk? and what are thier address? hope you help me and give me advice thank you very much


  9. dear sir, i am a student who wants to start investing in my young age.. can i just if how can i start? because i have zero idea how to do it. will i be able to that at this moment?


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