(If you want a quick guide for beginners how to start investing in the Philippine stock market, you can download your free ebook here.)
If you’re struggling to start investing in the Philippine Stock Market, or you feel you have zero knowledge yet want to make your money start working for you, then Truly Rich Club could be helpful for you.
What is Truly Rich Club?
Truly Rich Club is a membership club for people who want to create financial freedom through proper personal finance management, investing, and entrepreneurship.
This is a unique club offering guidance to people who want to invest in the Philippine stock market combined with practical down-to-earth wisdom, wealth strategies, and business lessons you can apply in your life.
Truly Rich Club and Bo Sanchez
The club is a brainchild of Catholic lay preacher Bo Sanchez who is also a financial teacher.
Because of his preaching background, many of the materials inside the club is a mix of biblical principles and practical lessons.
His mentors (among many) include Edward Lee (owner of COL Financial) for stocks investing, Dean Pax Lapid for entrepreneurship and Rex Mendoza for career, investing, and other personal finance topics.
With the large network of mentors of Bo Sanchez, the club helps address all aspects of financial planning and wealth growth and preservation – including budgeting, saving, insurance, investing, entrepreneurship, and estate planning.
Truly Rich Club and Philippine Stock Market
When it comes to investing in the Philippine stock market, there are several resources inside the club to help you.
If you have absolutely zero knowledge on how to start investing, the QuickStart guide is the way to go.
This outlines the very basic step-by-step guide to actually start investing.
It’s your roadmap too to buy your first ever stock and which resource in the club portal to use.
If you have been investing in the Philippine Stock Market, then the Stock Update report which is sent to all (Gold) members every two weeks is your main resource. Think of the Stocks Update as a short report giving the latest happenings in the Philippine Stock Market together with its updated Stock Picks. If ever there are pressing updates between each Stock Report release, this guidance is broadcasted to all members via the Stocks Alert email.
Strategic Averaging Method
At this point, it’s worth mentioning the investing strategy being endorsed by the Truly Rich Club which is called Strategic Averaging Method or SAM. It is teaching a long-term passive approach to investing (at least 10-20 years) and has few rules it follows:
Rule 1: Invest only in Giants. This means they only recommend the biggest companies in the Philippines and do not touch into low-capitalization or what we call basura stocks which can be really very volatile the market.
Rule 2: Invest in many Giants. This club practices diversification by investing in several companies. Normally they have more than ten companies on the list of stocks they recommend. They also have % Maximum Allocation guidance which puts this diversification into actual numbers. Normally, they follow 10% to 15% maximum allocation for any single stock.
Rule 3: They do a little timing. The club gives Buy-below-price which tells the members of the threshold stock price levels when to actually buy the recommended stock picks. This buy-below-price is derived by applying 15% discount from the stock’s target price, giving you a good margin for your buying. Finally…
Rule 4: They sell at Target Prices. The club also gives Target Price levels which when reached should trigger a Sell recommendation.
There are times though that stocks hitting their Target Price are put into Hold recommendation (instead of SELL) due to foreseen upgrade of the Target Prices in the future. This means they believe that the stock still has more room to grow.
All this information is encapsulated in what is called as SAM Table.
The SAM Table is included inside the Stocks Update report and is updated too inside the club portal which members can look at anytime.
Below is a sample of this SAM table.
(Note: This is for illustration purposes only. This is an outdated table and updates may have been made to the most recent one.)
Strategic Averaging Method vs Peso-Cost Averaging
From the design of the approach, we see the similarities and differences of SAM versus Peso-Cost Averaging.
They’re similar in that they have a long time horizon and does stock price averaging technique.
As such, it’s common to read that they’re happy when the stock price is down (like in a crisis) as the investors are able to buy the recommended companies and accumulate them at cheaper prices. This technique positions them for greater growth by the time their stock picks recover.
The main difference is SAM doesn’t buy blindly every month because it observes the buy below price triggers, whereas the Peso-Cost Averaging entails a disciplined more consistent approach of buying (whether individual stocks or stock index) at regular intervals (say monthly) whether the market is up or down.
The SAM also has other tweaks in its design which is made to manage the risk exposure of the investment being made such as the use of Buy-below-price and % Maximum Allocation.
This is of course not a perfect system for everyone, as it could be prone to market crisis or stocks plunging taking a long time to recover. Thus, if you’re one who wants to be actively trading, or wants quick profits in a year or less, this won’t be the perfect fit for you.
More Resources Inside
There are other resources inside the club relevant to investing such as Stocks Alert, Gold Call and Bo’s Stock Buys. They also have several Wealth Strategies articles to help you with other aspects of personal finance and wealth building. You can learn more about it in this video.
Truly Rich Club Membership Fee
The club has membership levels that also determine the membership fee.
For its Gold membership which covers all the resources mention in this post, the fee is almost 500 pesos monthly.
They used to allow monthly payment, but recently, upcoming new members can join by paying the 12-month membership fee upfront. You in turn get a 2-month membership for free by doing this. I guess this is also a good move to filter members who have significant investment capital to maximize the benefits of the club.
You can pay via credit card or over-the-counter payment.
Click here for other modes of payment.
Truly Rich Club Silver Membership
The club also now offers Silver Membership which is designed for those who those who’d like to invest in mutual funds instead of investing directly in the stock market. This is much cheaper (997 only for an entire year) but this doesn’t have the Stocks investing guidance available to Gold Members. You can click here for more details on this Silver Membership.
Overall, I see the club as a great resource if you’re new and don’t have the knowledge and discipline yet in building your financial skills and foundation.
If you’re also busy with your work or business, the small fee is already a small cost to be guided in your investing journey and be constantly exposed to the latest lessons on how to set yourself or your business in a better position. Just make sure that you also have a long-term horizon planned for your investments because it’s not an overnight journey. As such, if you’re a trader looking for daily stock picks, this is definitely not what you’re looking for.
The nice thing is they have a 30-day money back guarantee in case you try and discover it’s not for you.
That means you can check it all for yourself for a month and decide whether it is the one for you.
I’ve seen how the club has evolved from a simple learning club into a supportive comprehensive resource for your financial freedom journey. I’ve also seen many lives changed when lessons are applied seriously and diligently, mine included. Should you wish to join using my affiliate link (at no additional cost on your end), you can let me know by filling-up this form so I can send you bonuses as my way of saying thank you. 🙂 ]
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