When it comes to investing vehicles to ride on, I am so proud that I chose a mutual fund first and foremost. It gave me such a big experience and big foundation to all the other bigger investments that I will be committing in the future. I felt so excited to grow my savings and open another investment every year for I know that investing is one way that I let the money work for me. Passive Income all the way!
Anyhow, today I’ll be reviewing an investment product from one of the well-known bank in the country. I accidentally found out about this when I was researching for a new blog post to create. I saw the website and the video and the explanation convinced me to research more on the said financial product. I am talking about Philippine National Bank’s Unit Investment Trust Fund.
Unit Investment Trust Fund has been featured in this blog long ago. It is a much newer investment vehicle that banks offer rather than a mutual fund which is mastered by private financial institution.
Here are more links for you!
1. What is UITF investment?
2. What is NAVPS?
3. What is Peso-Cost Averaging Method?
How PNB UITF works?
As seen in their website, PNB UITF makes it hassle-free for current and new investors to invest for their future. Your money is pooled together with the money of other people (just like in mutual fund) and then invested these pooled funds in high-yielding assets depending on the type of fund that match your requirements.
Benefits of PNB UITF’s
As seen in their website:
- professional fund management to optimize your investment opportunities in respect of your risk preference;
- diversification to spread out the risks;
- high liquidity so your funds are redeemable anytime after the minimum holding period;
- convenient and hassle-free investment, especially if you are too busy to manage your savings
You may have read in my Understanding How Managed Fund Works as an Investment Vehicle in the Philippines how there are four types of mutual fund that one can invest with. This depends on the investment appetite of the investor, risk factor and type of companies/fields that your pooled money is invested with.
In Philippine National Bank UITF there are several types of funds that you can choose from. Depending on your financial goal, start-up money to invest and the longevity you are willing to invest, there is a PNB UITF type to serve you.
Click on the links below to learn more about our UITFs.
- Money Market Funds (Peso & Dollar)
- PNB Prime Peso Money Market Fund
- PNB Prime Dollar Money Market Fund
- PNB DREAM Builder Money Market Fund
- Balanced Fund (Peso)
- PNB Prestige Balanced Fund
- Equity Fund (Peso)
- PNB High Dividend Fund
- PNB Enhanced Phil-Index Reference Fund
- Allied Unit Performance Equity Fund
- PNB Plus Intermediate Term Bond Fund
- PNB Profit Dollar Intermediate Term Bond Fund
- Allied Unit Performance GS Fund
- Allied Unit Performance Dollar Fund
- PNB Global Filipino Peso Money Market Fund
- PNB Global Filipino Dollar Money Market Fund
To view sample fund fact sheets click here: http://www.pnb.com.ph/images/stories/docs/FundFactSheets.pdf
How to Open a PNB UITF Account?
What struck me the most about PNB’s UITF product is that they made it so convenient to customers like me who procrastinate in terms going to the bank. Yes, indeed… PNB made it possible to open a UITF account online! From opening your UITF account to redemption you can just go to your online account.
The 3-Step Process in Opening a PNB UITF Online:
- Go to the PNB website (www.pnb.com.ph) and click “Personal Account” under e-banking. If you have not previously registered, click the “Enroll” button instead.
- After succesfully logging-in, click the “UITF Investments” menu and click “Enroll Now.”
- Complete the enrollment process and wait for PNB approval. You will be notified via email once the processing of your UITF online enrollment has been completed.
Once enrolled, you will now be able to perform the following functions:
- Make a Direct Investment
- Subscribe to an Auto Invest Plan
- Make additional participation
- Make full and partial redemption
- Enroll an existing UITF participation
- View your consolidated UITF portfolio
- Generate an electronic copy of your Confirmation of Participation and Participating Trust Agreement
Take note that Investing through the PNB UITF Online facility requires a PNB savings account and enrollment in PNB Internet Banking.
Quick Links Below:
LOGIN TO E-BANKING
OPEN AN ACCOUNT IN PNB UITF
For more details, you can call 573-8888 or visit any PNB branch near you.
My First Impressions
Philippine National Bank is a new bank sa pandinig ko. I have always been a loyal customer/follower of leading banks such as BPI, BDO and Metrobank and all three banks have their own UITF. It just struck me how PNB approached the marketing of the financial product for the benefit of its’ investors.
Imagine all transactions on your new investment account will be done online! It’s such a hassle-free investment and a new concept that I am looking forward to.
1. More fund choices.
Philippine National Bank UITF has just so many fund types to choose from. Just like how one chooses her foundation, the more choices to choose from the easier it is to find a match. Whether you have just a small amount to start investing or an OFW or just finding a new investment vehicle to diversify there is a PNB UITF Fund Type for you.
2. Utmost Convenience.
I just can’t let go of the fact that now I can open an account without even visiting a PNB Branch for I know how hard it is to find one around the metro unlike other leading banks. Though there is a need for me to open a PNB Savings Account and Enroll it to the PNB Online Banking System, I guess everything seems fine.
Here are the list of PNB Savings Account that you can choose to open first in order to enroll in the PNB Online Banking System: http://www.pnb.com.ph/index.php/personal-banking/deposit-accounts
*Top 3 PNB Savings Account choices for me will be PNBig Savings Account, PNB Passbook Savings and the Super Teller ATM.
3. Philippine National Bank has a good record.
If you’ve read my All About Banking Part 1 and Part 2 then you’ll know how to effectively choose a bank. PNB has a good record based on my research and I don’t know why but I felt love at first sight on their PNB UITF program. I felt like I found what I’m looking for.
4. New Means of Diversification. I love finding out potential financial products for diversification purposes. There are just so much I became accustomed to since I decided to be an investor last year. I knew that I needed a new investment vehicle for my mutual fund just turn 1 year old and this PNB UITF has a 50% chance, the other 50% is for the health and life insurance that I am still thinking about.
I invested in FAMI-SALEF for it is one of the high-performing managed funds to date. The NAVPS that I see on my portfolio on a monthly basis over the whole year that I am investing is between 5.3 to 5.9%. Now on PNB UITF Funds the highest NAVPU (equivalent of NAVPS for UITF accounts) is 1.7% which I find too low to what I’ve been used to. But since I am thinking about PNB UITF as my premier UITF investment and part of my diversification, I honestly don’t mind that much.
2. You need to open a PNB Savings Account first to open a PNB UITF conveniently.
Since opening a financial product like a savings account will cost me another amount I am a bit of in doubt. The lowest savings account that PNB offers has the initial opening fee of 100.00pesos but that’s an ATM based account which I don’t need anymore (I have a BPI and Metrobank ATMs already). So the next choices will be PNBig Savings Account that I need 15,000pesos to open and PNB Passbook Savings wherein I will be needing 10,000pesos to open.
I am glad that I was able to create a new financial product first impression in this blog. I hope that this post helped you if you are looking for new investment product or you have been thinking over investing in a UITF account. I am in no way affiliated with PNB and in any bank or financial product that I create a first impression with unless stated.
The PNB Investment Funds are Trust products which do not carry any guarantee of income or principal and are not insured by the Philippine Deposit Insurance Corporation (PDIC). Investments are valued using the mark-to-market method and are subject to fluctuations depending on prevailing market conditions. Historical performance is purely for reference purposes and not a guarantee of future results.
Note: Investing through the PNB UITF Online facility requires a PNB savings account and enrollment in PNB Internet Banking.
Let me know in the comment section below your thoughts about Philippine National Bank and/or the PNB UITF!
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