How to invest with the PSEi trading at record highs

Posted at 02/15/13 12:22 PM

MANILA, Philippines - With the Philippine Stock Exchange index (PSEi) at all-time high levels, it may be hard for new investors to find reasonably-priced stocks to invest in.

But Ricky So, an independent financial adviser at Rampver Strategic Advisors, believes the best place to put your money right now is still in the stock market.

"Yes, at this particular cycle where we expect a boom in the market. While maintaining money in money markets, bonds, I believe some investors should consider putting more into their equity portfolio," he said on Mornings@ANC.

When investing in the market, So said investors should remember to always have an exit strategy prepared.

"Whenever you get into the market, there should always be a plan... The plan should be initiated such that when you enter the market, you should have an exit strategy as well. It's easy to enter the market but to exit especially when it goes against you, when you start realizing some losses, that's what we are trying to drum up these days, be more careful when exiting the market," So said.

Listed companies are already starting to release their 2012 financials. While some companies may fail to meet expectations, So said these companies are still profitable.

"Some companies can also falter as to expectations. The problem is some companies are still going to make money, but you see the market is expecting much higher so the stock normally goes down.But come to think of it, the company is still profitable," he said.