Why you need to invest

I just saw this the other day and I find it really informative. Regardless of the company featured in the commercial, this video shows you why you should invest your money. If you already started saving and already have allotted money for your emergency fund then what you can do next is to check out different emergency fund investment options or to start investing.

Why? Because inflation can eat up a big portion of your money in the future. That’s why you need to put your money in high savings account or invest it via mutual funds, stocks or other investment of your choice.

Inflation is a general increase in prices and fall in the purchasing value of money. Meaning, your 100 pesos today will not have the same value in the future because of inflation. Prices of things will increase and your purchasing power will decrease. I remember when the jeepney fare was still less than 2 pesos (darn im old!) and now minimum jeepney fare is already 8 pesos and will increase to 8.50 by next month. One way to beat inflation is to invest your money so that the return will be equal or higher than the inflation rate.

Sun Life “Piggy Bank” TV commercial 2014

1 thought on “Why you need to invest

  1. Pingback: Effects of Inflation | The Two Frugals

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