A Janitor Invests in the Stock Market

Once there was a 25-year old man named Kiko (real name withheld for security reasons) who knows nothing about investing but wanted to earn more apart from his monthly salary. He works as a janitor in a small professional firm in Makati.

One night, while doing his routine after-office cleaning, he noticed that one of the computers was left on by one of their employees who probably went off hurriedly for a Friday night gig. Kiko took the chance to browse the internet. (Yes, Fesbuk!)

Logs into his Facebook account. Enters a wrong a password….Again, again. Another wrong password. Stares deeply onto the screen. Closes his eyelids really tight. He’s forgotten his password! Or….was it hacked? Taken down by the government? Oh no R.A. 10175!!!!

While trying to recall his password matched with bleeding brains and nostrils, he accidentally clicked the mouse on a banner of a bank.

“Kahit magkano pwede i-invest?” (I can invest whatever amount?), the janitor asked the computer.

And it answered:


Well, half of that story was just made up for the sake of this blog. I just want to share a fact that anyone who earns, however small, can actually discipline himself to save and invest automatically that small amount of money in the stock market right away, although, INDIRECTLY through UITF’s or unit investment trust fund.


Here’s what BDO Unibank has to offer to those who are minimum wage earners, those who have no knowledge about stocks, UITFs or mutual funds, and those who just can’t afford to invest in the stock market (Most stockbrokers require you to have a minimum initial investment of Php5,000 to open your stock portfolio):

…BDO, through its Trust and Investments Group, developed the BDO Easy Investment Plan (EIP), a wealth build-up scheme that enables you to attain your financial goals and financial wellness through the twin habits of regularly saving and investing. It incorporates the best, tried and tested principles that make a successful saving and investment plan and provides a solution to counter the major obstacles to saving and investing.

To join the EIP, all you need to do is enroll your BDO checking/savings/payroll account under the BDO automatic debit facility wherein a fixed amount (with a minimum amount of PhP1,000.00) per month is deducted (once or twice a month) for immediate investment in your selected BDO Unit Investment Trust Fund (UITF). Every contribution you make participates fully in the investment performance of the selected fund as soon as the deduction is made. However, regular Confirmations of Participation (COP’s) will be issued only for accumulated contributions that have reached a market value of at least PhP 10,000.

What are UITFs?

UITFs are open-ended pooled trust funds operated and administered by a trust entity and made available by participation. Funds from various investors with similar investment objectives are pooled together into one fund, which the trust entity invests in various types of securities with the aim of maximizing returns within the level of risk allowed for that particular fund. Hence, each UITF participant has a proportionate interest in the UITF as a whole. UITFs are highly regulated and trust entities offering these are closely supervised by BSP to ensure investor protection. BDO UITFs available through the EIP are the following: BDO Peso Fixed Income Fund, BDO Peso Balanced Fund or the BDO Equity Fund.

Source: http://www.bdo.com.ph/Personal/Promos/EIP.asp

In Kiko’s case, their company deposits their salaries through BDO. On his free time, he can actually visit the BDO branch on the ground floor of their building where their payroll accounts were opened.

He can chat with the customer relations officer. Janitors and messengers are always good friends with bank staff. You wonder why.

But instead of talking about lovelife, showbiz, politics, sports, Kiko can directly ask his friendly bank friend to help him enroll his payroll account under BDO’s automatic debit facility.

The bank staff will then provide him the forms that he needs to fill out. Of course, there will more nose-bleeding moments reading through those forms. But Kiko need not worry because of his strong friendly relationship with the bank staff. And the bank manager even. They can assist him in accomplishing the forms.

But for Kiko to become a “stock market investor”, he has to select the BDO Equity Fund. Because it earns more than the two other types of UITF’s.

What is BDO Equity Fund?

The BDO Equity Fund aims primarily for capital growth over the medium to long-term by investing in a selection of exchange-listed equities . This Fund is suitable for aggressive individual and corporate investors who seek potentially higher returns through stock market investments but are also aware of the possibility of capital losses that such investments may entail.

“Investing in a selection of exchange-listed equities” means your money will be invested only in the best companies in the country.

Once a month, BDO will automatically debit or “deduct” Php1,000 from Kiko’s salary. When Kiko’s investment reaches Php10,000, his money will start to accumulate earnings, depending on the performance of the market.

There’s no guarantee though that the money he invested will always be earning on a regular basis. But with this habit of saving and investing up to his retirement age will make him become much, much, major, major richer than the other janitors in town. In Makati. Maybe even richer than the office girl who has this bad habit of leaving her computer on after work.

I bet Kiko will be grateful to that office girl for that bad habit. Coz Kiko has taken that opportunity to start his good habit of saving and investing.

And becoming richer when he retires.

For other Kiko’s and Kikay’s out there who want to grow their salary, you may visit your nearest BDO branch and inquire on how to open a savings account with no or minimal maintaining balance that you can enroll under their EIP.

So you too, can become richer like Kiko upon your retirement.

Check out BDO Easy Investment Plan for more details or download the Account Opening Kit here.

You may also call BDO Trust and Investments Group at (02) 878-4265 or (02) 878-4244 or email investments@bdo.com.ph.

Oh by the way, Kiko can just open a new Facebook account anytime he likes. It’s a fresh brand new day for him now that he’ll hop into this habit of saving and investing. :-)

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Rock your way to abundance!


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