The double your money scheme usually given by rural banks is a dying breed. When I was younger, I recall accompanying my mother in Land Bank of the Philippines Tarlac branch to avail of this scheme. For a minimum of P100,000, you may entrust this amount to LBP, wait for 5 years and they’ll give you P200,000. No sweat. It actually is a good deal if you’re the type of person who is a risk taker yet conservative. Sounds contradicting? Allow me to expound a bit.
You are considered a RISK TAKER because investing your hard earned doe in a rural bank is not the wisest decision there is but if calculated properly, both quantitative and qualitative factors, there’s a very high probability you’d get your money back. Then again I may be wrong. That’s why it’s called a risk.
It is considered CONSERVATIVE because some brave soul would borrow P100,000 from a lending institution, pay an interest of 18% per annum and invest the money in a food franchise worth P60,000.00, cross his fingers and hope that he choose the right location and product. If his gamble proves to be right, then he’d have return of investment by 6 months, pay off his debt in a year and in a year or two more, he would have either more outlets or bought a second hand car.
Life is all about taking risks, that is calculated ones. Trusting your gut feel is applicable but should be exercised with extreme care in an investment.
You are considered a RISK TAKER because investing your hard earned doe in a rural bank is not the wisest decision there is but if calculated properly, both quantitative and qualitative factors, there’s a very high probability you’d get your money back. Then again I may be wrong. That’s why it’s called a risk.
It is considered CONSERVATIVE because some brave soul would borrow P100,000 from a lending institution, pay an interest of 18% per annum and invest the money in a food franchise worth P60,000.00, cross his fingers and hope that he choose the right location and product. If his gamble proves to be right, then he’d have return of investment by 6 months, pay off his debt in a year and in a year or two more, he would have either more outlets or bought a second hand car.
Life is all about taking risks, that is calculated ones. Trusting your gut feel is applicable but should be exercised with extreme care in an investment.
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