The number of e-wallet Philippines users continues to increase day after day, proving how these digital products have now become a staple in the way Filipinos handle their money. From paying for online purchases and bills to transferring money in real-time, e-wallets provide users with an easy and secure way to manage their funds with just a few taps on their phone. More than just a tool to receive and send funds, however, e-wallets can now be used to start your investing journey.
Indeed, e-wallets have made investing more accessible than ever through built-in investment platforms. If you’ve been wondering how to start investing by using only your e-wallet, then here are some options to consider.
1. High-Interest Savings Account
Many people treat their e-wallets as a digital version of their actual wallet, meaning that the money they put in is meant for spending. However, many e-wallets nowadays also let users open a savings account within the same app and with minimal requirements. Once the account is open, users can directly transfer e-wallet funds to it so that the money can earn interest in the same way a savings account in a traditional bank does. The big difference, however, is that e-wallet savings accounts earn a much higher interest rate than you can get from banks.
Investing the contents of your e-wallet in a high-interest savings account can help grow your money over time. What’s more, some e-wallet savings accounts such as Maya Savings offer ways to boost your initial interest rate so you can earn even more. These accounts often require no minimum balance as well, making them an excellent entry point for new investors.
2. Time Deposit Accounts
If you’re looking for safe long-term investments, then you may consider opening a time deposit account via your e-wallet instead of a savings account. Time deposit accounts require you to keep your money in the account for a fixed period (ranging from several months to years) in exchange for higher interest rates. This could be the perfect investment option if you’ve got funds that you don’t anticipate spending for quite some time.
Another benefit of time deposit accounts is that you’re forced to not touch your funds as withdrawing them early will usually result in penalties. This helps build financial discipline that is crucial in your investment journey and allows you to focus on making your money grow over time rather than withdrawing immediately the moment you see any earnings.
3. Stocks
For the layman, investing in stocks can seem daunting. Thankfully, e-wallets have also made stock market investing more accessible by partnering with trusted stock brokers in the Philippines such as DragonFi, 2TradeAsia, and Philstocks Financial Inc. This lets you trade stocks straight from your e-wallet app. You can use your e-wallet to fund your trading account, buy and sell stocks, monitor stock prices, and withdraw funds in real time. Since your stock trading account and e-wallet are connected, you can also have fund withdrawals directly credited to your e-wallet for less hassle.
4. Mutual Funds and Unit Investment Trust Funds
Mutual funds and UITFs (unit investment trust funds) are perfect for beginner investors as they are professionally managed, allowing experts to make investment decisions on behalf of the investor. This also reduces the need for extensive knowledge or active management from your part. Your e-wallet can connect you with local and global funds, with some even providing personalized fund recommendations to help you get started. This could be an invaluable resource for first-time investors who aren’t familiar yet with what funds are worth investing into.
As with investing stocks via your e-wallet, you can also fund your account and cash out your earnings directly on your e-wallet app. This makes it easier to move around money and gives you more control over how much you’d want to keep in your e-wallet to spend for daily expenses and how much is allocated for your savings and investments.
5. Cryptocurrency Investments
With the global cryptocurrency market now reaching trillions of dollars in value, cryptocurrency has become a very attractive investment option for many Filipinos. Thankfully, e-wallets can now help you buy, sell, and hold digital assets like Bitcoin, Ethereum, and other popular crypto tokens. By consolidating your crypto investments through your e-wallet, it becomes more convenient to monitor your investments and manage your crypto transactions. Some e-wallets also come with educational resources on cryptocurrencies in general to help even complete beginners make the most of their investment.
6. Government Bonds
For investors with low risk tolerance, government bonds are a great investment choice as these are backed by the Philippine government. During public offerings, some e-wallets can be used to purchase these bonds so you can start investing without needing a traditional bank account. Government bonds pay fixed interest over a set period so you’re guaranteed stable returns out of your investment.
While your e-wallet can indeed be an incredibly convenient tool for online purchases and day-to-day expenses, don’t forget to explore its other features as well. Investing using your e-wallet is a great way to get started on your wealth-building journey, allowing you to explore multiple investment options such as the ones listed in this article to help you find one that suits you best. Just make sure to do your research as well and diversify your investments to minimize risks and maximize potential returns.
