Long Absence - Erratic Schedule

Sorry being away for that long extended time. I am so busy with work and recent activities involving extra-curricular activities, work and organizational meets. Right now it is summer time and we will have lots of activities on my planned outdoor activities this April and May 2009. For my viewers, Thank you for waiting patiently for me.

I still have upcoming blogs to catch with especially in regards to financial, economic and environmental and even a bit of the showbiz limelight for you folks to see. Also, I will be changing my templates with a much newer one. I still love that old template with planet earth on it because I am a staunch supporter of Earth Hour at 60 minutes.

Have a happy summer, folks!

Copyright 2008-2009 - PinoyMoneyVantage

Usapang Pera (Money Talk): Biblical Principles of Financial Management

Usapang Pera (Money Talk): Biblical Principles of Financial Management

What does money have to do with God? Because every financial decision is a spiritual one

"If therefore you have not been faithful in the use of worldly wealth, who will entrust the true riches to you" Luke 16:11

When: 10 & 17 January 2009, Saturday, 1:00-5:00 p.m.

Where: UCM Library

Resource Person: Mark Aranal, Creative Director of Crown Ministries

Registration Fee: P100 for 2 Sessions

For more information, please contact:

Rhon O. Bautista (Head Librarian),

E-mail: library@unionchurch.ph, Tel No.: 812-6062

Website: http://www.ucmlibrary.ws

Please sign-up at the library table in the Fellowship Hall on Sunday or at the Library during library hours

Copyright 2008-2009 - PinoyMoneyVantage

MONEYVANTAGE: Rent is up for Property Rental Sector

Yesterday, I was alerted with the TV report from ABS-CBN regarding that the rent control law has finally lapsed last 31st December 2008 (see Republic Act 9341: Rent Control Act of 2005). I thought it was no big deal after all and finally realized that we do have rental residential/commercial properties in hand somewhere in Quezon City. I felt a bit ecstatic but somehow felt sorry for the people who we are leasing our properties. However we are adamant NOT to increase rent in order to compensate with the sudden slump in food business in which our tenant are involved with.

The demand for rental property is still high among urbanized cities particularly in Metro Manila. Still with the rapid urbanization and the immigration from people to these major cities the need for space and housing is still needed as major locators are not moving yet to closer provinces plus the business process outsourcing (call center) is still ongoing even with the slump in America and shifting to other countries not or less affected with the global financial crisis. Companies are still in need of housing for their personnel. Location of rental property, environment and neighborhood is also a key factor why people are looking for. As mentioned before, it should be close proximity, accessible to transport services and convenient for the tenant to get to where he/she works or intends to go. The closer the rental property to these factors the higher the rent is.

Somehow the RENT CONTROL LAW is beneficial for the poor and low-income families but the distributional effects are minimal since non-poor families have equal access to rent-controlled units. Philippines Rent Control Act of 2005 Provides rent control for properties with monthly rent not exceeding PHP10,000 in cities and PHP7,500 in other areas. Rent control maybe necessary to prevent economic eviction and abuses on payment of key monies.

Some lawmakers are encouraging people to avail the PAG-IBIG Housing loans in which they their rates are at 11.5% interest p.a. compared to their previous offer of 18% interest per annum a few years ago in order to acquire their dream house and residential condominiums.

Copyright 2008-2009 - PinoyMoneyVantage

The Homefront

We are almost plunging into a new global recession if the problems plaguing the U.S. economy from the financial crisis griping the movement of this once economic power of the world is not averted even with the rescue package given by the federal government a few weeks ago. The U.S. economy is losing ground the other time with Dow Jones and NASDAQ losing points on trading day. Investors are pulling away their investments in stocks, banks and other financial instruments after the public have lost their confidence with these companies. Greed became the main ingredient of this chaotic times with majority of companies profit raking effort have turned against them which started at first with the subprime crisis on real estate on which the credit crunch.

Germany and Japan had already put on the "We are now on recession banner" and have stepped plans to curb the lay-offs where most of those affected are the manufacturing industry especially the automobile makers from Daimler Benz, Opel, Nissan, Mitsubishi and others. Iceland on the hand is the first nation to file bankruptcy with it government piling up debts even if they are the most ecologically friendly nation in using renewable energy like geothermal plants and others.

A few weeks ago, I was reading this article published in the Philippine Stock Exchange website. "RP Stocks among least affected in Asia". It was a good news indeed that we survive a bit from being banged up a few weeks ago. But I still feel at lost with the trading of stocks I have in my investment account. My shares of investments lost ground. Mutual funds are not doing that well

Financial and banking institutions in the Philippines have learned their lessons on 1997 Asian Financial crisis. I was much happy with Jaime Zobel de Ayala's comment that the Philippines can weather the global financial crisis by tapping our local or domestic markets in opening credits for the local folks to borrow. It was a positive news to see that Filipinos are interested in putting up their own businesses amidsts the global turmoil on one segment of TV Patrol last night. I am happy that these people are resilient enough to be in the road less travelled.

I am hopeful that the Eye of the storm will pass away.

Copyright 2008-2009 - PinoyMoneyVantage

Ayala Land wins Euromoney’s Real Estate tilt

Ayala Land has once again proved its mettle among the best property developers in the country as it bagged the “Best Overall Developer in the Philippines” award, among other category awards from the esteemed 2008 Liquid Real Estate Awards powered by Euromoney. The latter is a trusted resource on global financial markets and the award is the outcome of a survey conducted among financial institutions and real estate investors by its niche publication Liquid Real Estate.

Liquid Real Estate, known as the “voice of the real estate industry” around the world, capitalized on their access to various property markets in order to sieve the best and brightest among industry players.

This year, Ayala Land was vested with the following recognition:

Best Residential Developer in the Philippines

Best Retail/Shopping Developer in the Philippines

Best Office/Business Developer in the Philippines

Best Industrial/Warehouse Developer in the Philippines

Best Leisure/Hotel Developer in the Philippines

Best Mixed-Use Developer in the Philippines

Best Property Manager in the Philippines

In an email to Ayala Land, Euromoney’s head of Middle East and Asia, William Powell, expressed his congratulations to the company for winning the award, revealing that, “competition is extremely tough for these awards and therefore poll winners richly deserve the accolade.”

A global awards dinner was set in London last October 2, 2008.

Copyright 2008-2009 - PinoyMoneyVantage

The American Financial Meltdown, What's next? Part 2

Finally, the financial crisis is not yet over even if the U.S. Senate and Congress passed the bill and sign by President George W. Bush and released the needed US$700 billion dollars in rehabilitating the economy and bailing out these companies.

In Europe, it seem they are taking the beating from the ripple effect of the U.S. financial crisis had spread worldwide affecting all of us and it is beating the hell out of Europe. Germany and France are taking it serious effort in controlling the effect of the financial crisis. France's BNP Paribas and Germany's Hypo Real Estate are hit hard and being bought by other major companies which were not stricken and have more capital to acquire ailing companies. European Union is preparing itself for anything worst possible scenario by setting a bail-out fund as well to its ailing banks.

Who's next? Asia? The questions are, Are we prepared to fend for ourselves without the need of intervention from America who is also helpless and would take years to recover. Asia just got off from the claws of the 1997 Asian Financial Crisis wherein it took us 3 to 5 years to recover. As some of economists say, Asian countries won't be affected because the credit is not yet fully developed plus before borrowing money you still need collaterals just in case you cannot pay as what our Philippine banks are doing. Yesterday, President Gloria Arroyo disclosed that the country needs to brace itself for the uncertainties up ahead. Our local exporting companies have already incurred losses since 2007 during the subprime crisis due to the slowdown of demand of imported products from their country with expected 1% percent (250,000 people) jobs loss from our country as what one of the economic adviser of President Arroyo disclosed.

Without credit, the economy won't grow. It cannot obtain the growing needs of small and larger business to expand. There will be job losses and downsizing from most of the companies in the U.S. American Companies with international bases abroad would likewise relocate or outsource their existing companies in our country to the rapidly growing economies such as mainland China and India.


Meanwhile Philam Group of Companies, an AIG company is being likely to be sold to other companies who are interested in acquiring this great company which has been included as a forerunner in insurances banking and other financial and investment services in the Philippines. Yuchengco Group of Companies is very vocal about the issue while Ayala Corporation, San Miguel Corporation, SM Group of Companies, First Pacific Corporation are still mum but are interested in expanding their business into into insurance and other financial services and investments. AIG is still struggling to sell of its international assets in order to raise funds to pay of the loans from the U.S. government.

Will the Philippine government step up to the threat and have countermeasures on this issue. As the government would say, Yes. "we have plans for countermeasures on the effects of the financial crisis in America" but still the support of the majority of public would be needed and appreciated in facing this growing crisis.



Copyright 2008-2009 - PinoyMoneyVantage

The American Financial Meltdown, What's next? - Part 1

In the past few weeks I am glued on reading some newspapers, watching Bloomberg, CNN, BBC on television and was pondering what will happens to us next. People here are bit panicky and paranoid regarding the plight of major financial institutions like Lehman Brothers and insurance giant American Insurance Group, Inc. (AIG) and other corporate big names that are now experiencing dismal array from the credit crunch. But before this companies would be bailed out by the U.S. government, mortgage companies such as Fannie Mae and Freddie Mac are making the news on the black parade of Wall Street for the past few weeks as these companies were indebted from their previous with with subprime crisis in real estate brought about by the credit crunch but the hardest hit companies was the CitiGroup of companies (Citibank, Citi Financial etc). Just to give you a brief overview on the firms in the current U.S. financial crisis (see List of companies).


U.S. Treasury Secretary Henry Paulson was at the stand the other time and talking to media and pleading to the public to calm down and was telling about the federal government's rescue plan for these ailing companies in order to save the U.S. economy which is going down to recession . Many people think that the Great Depression of 21st century is here and only happens once in a century. President George W. Bush made his statements on television the urgent need of the government to take action on the financial crisis a few days ago and on the intended bail out which will be under fire with the bipartisan parties of Republicans and the Democrats on a negotiation table wherein the Democrats rejected the proposed bail out on which they say it is a short term plan and the U.S. government will incur more risks of economic hardships. The US$700 Billion allotted by the Feds as credit to these companies are not enough and sure the U.S. taxpayers will bear the brunt but still the will make profit of 8% but these are risk strategies in making profits in the long run. Still the negotiation is still underway to save the ailing U.S. economy and also the world who rely mostly on the U.S. markets.

There is notion that "when America sneezes, the world suffers flu". Philippines is an exporting country its main market is United States and second is the European union. Now as people are belt tightening in America and elsewhere, it seems we are going for a roller coaster ride for the duration end of 2008 to the early 2009. No one can predict on what will happen to us but I have high hopes that we can surely recover from the illness of the financial crisis in New York.

I was able to watch Tina Palma's show on ANC, TALKBACK the other day wherein her guests are experts from the business, investments and finance sector such as Deputy governor Diwa Guinigundo of Bangko Sentral ng Pilipinas and others assured that most of the investment put by government owned corporations and companies (GOCCs) are not invested in the assets of such companies like Lehman Brothers and other financial institutions in the New York. Unlike some reports of a major Philippine banks with assets in Lehman Brothers are sufferring from loss of their deposits because of their investment with the said company. That bank however said that it is only a fraction or a small percentage and not all are invested in the Lehman Brothers.

Right now the issue and circumstances are still unraveling and we have to keep our senses vigilant at this rough times. Hope that everything would be good up ahead.

Copyright 2008-2009 - PinoyMoneyVantage