Thanks to digitalization, investing has become more accessible than ever for many Filipinos. Gone are the days when investing was limited to those with large capital or access to traditional financial institutions. Now, through a digital bank, Philippines-based consumers and even first-time investors can get started with just a small amount and a mobile phone.
Despite this accessibility, challenges still remain, particularly for those who lack knowledge about the various investment options available. Without proper guidance, individuals may find it overwhelming to choose between stocks, mutual funds, bonds, or other investment products. There’s also the risk of making impulsive decisions based on market hype or misinformation found online.
That’s why, in this article, we’ve compiled practical tips on how to effectively use your digital banking account for investing so you can make informed decisions and grow your money with confidence.
1. Take the Time to Explore Your Bank’s Investment Features
Many digital banks now offer built-in investment platforms. These features often include access to mutual funds, government bonds, or even stock trading, all in one convenient place. As such, you don’t need to open a new account solely for your investments.
Before you start investing, take the time to explore your digital bank’s app or website. Familiarize yourself with the investment products they offer, the minimum amount required to get started, and how the platform works. Understanding your digital bank’s features will help you choose options that align with your financial goals and empower you to invest more confidently.
2. Start Small and Learn Through Experience
One of the biggest advantages of digital investing is that you don’t need a huge amount of money to get started. Some digital banks like Maya even allow you to start investing with as little as PHP 50. This is ideal for new investors who want to build experience gradually without taking on too much risk.
By starting small, you can learn how markets work and better understand how your investments grow over time. Then, as you gain confidence, you can slowly increase your investment amount. Treat your first investments as a learning experience. With patience and consistency, even small investments can make a difference in the long run.
3. Use Multi-Factor Authentication and Strong Passwords
Security should be a top concern when investing. After all, you don’t want your hard-earned money or sensitive personal data falling into the wrong hands. Fortunately, most digital banks offer multi-factor authentication (MFA), which adds an extra layer of protection for your account. This requires you to enter a code on top of your password when you log in, making it difficult for unauthorized individuals to access your banking account even if they somehow access your password.
In addition to enabling MFA, make sure you’re using a strong, unique password for your digital banking account. Avoid using easily accessible information, such as birthdays or family members’ names, as these can be quickly guessed with minimal effort. Also, remember to update your passwords regularly and never share them with others to ensure your account remains secure.
4. Stay Updated but Avoid Impulsive Moves
Having access to real-time market updates and news is another benefit of digital investing, allowing you to stay informed and make timely decisions when you need it. However, this constant stream of information can also lead to panic or impulsive actions, especially during market downturns.
Try not to react emotionally to every market dip or surge. Instead, focus on your long-term goals and investment strategy. By staying calm amid these changes, you can ride out market volatility and avoid making costly mistakes.
5. Monitor Your Investments Regularly
Once you’ve started investing, make sure you stay engaged. Check in on your portfolio regularly, whether that’s once a month or quarterly, to see your investment’s performance and verify whether your money is growing as expected.
This is made easier with digital banking accounts, as they often come with built-in dashboards or charts that simplify tracking your investments. By reviewing your progress, you can adjust your portfolio or increase your contributions, if needed. Staying engaged also helps ensure your investments remain aligned with your goals.
6. Utilize In-App Educational Tools and Resources
One advantage of investing through your digital banking account is that many apps directly provide helpful resources such as articles, tutorials, and risk assessments. These tools are designed to help users make smarter investment decisions, even with little to no background in finance.
So, instead of jumping in blindly, educate yourself on the basics, such as what mutual funds are, how risk levels vary, and what it means to diversify your portfolio. The more you understand, the more confident and informed you’ll be when managing your investments. Best of all, these tools are often free and tailored to the platform you’re already using.
Investing through digital banking has certainly opened up a world of opportunities for many Filipinos, allowing them to build wealth even with limited starting capital and access. Like any journey, however, it requires patience, awareness, and a willingness to learn along the way. With the help of the tips above, you’ll be better equipped to use your digital banking account to invest wisely and reach your financial goals.
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