2020 Changed the Way We Invest. Here's One Wise Way to Keep Up in 2021
As different markets around the world recover, it's crucial to have a secure global investment portfolio.
Over the past year, COVID-19 became a focal point for investors, who now tend to be especially careful about where and how they place their bets. The all-important question about any investment prospect has become: How quickly and easily can it rebound from the effects of the pandemic?
Here in the Philippines, where we continue to grapple with high COVID-19 case rates, uncertainty remains high. Elsewhere in the world, however, vaccination programs are well under way, and economies are beginning to bounce back. Investors are beginning to glimpse a sliver of light at the end of the tunnel.
That said, not all countries are recovering at the same pace, and because of the nature of the virus, no country is safe until all countries are. The wise investor, then, would continue to err on the side of caution and exercise patience rather than be swept up by the excitement for a world in which COVID-19 has been tamed.
This is especially true for investors in countries that haven't fared well against the virus. In such countries, wise investors should be keen to diversify, leaning on companies and investment products in countries and industries that do fare well against the virus. They'd do well to set up a global investment portfolio.
Global investing allows you to diversify your funds across different foreign markets—potentially, more stable markets—to capture more opportunities for growth. Going global is a way to optimize your investments while simultaneously growing your investment reach.
Normally, one would need a dollar account to tap foreign markets. But through AXA’s Peso-Denominated Dollar Funds, a keen investor here in the Philippines can do so with pesos. It's a great way to get back into investing, or to expand your investing to global markets, including global companies that are more likely to bounce back sooner rather than later. (Think companies in the global tech industry, many of which have even benefited from the pandemic by capitalizing on the rise of work-from-home arrangements.)
As an investor in AXA's Peso-Denominated Dollar Funds, you can gain access to AXA's top global funds: the Global Dynamic Allocation Funds (GDAF) or the Global Advantage Fund (GAF).
The GDAF Peso invests in different asset classes across regions like the United States, Europe, and Asia. Because of its inherent diversity—investors have the option to invest in fixed income, equities, or a mix of both—the GDAF can accommodate various risk profiles. There’s the fixed-income investment through GDAF-Stable, or a mix of fixed-income and equity investments through GDAF-Multi-Asset, or sole equity investment through GDAF-Growth. Notably, GDAF Peso allows for auto-rebalancing, which means that it would regularly distribute your investment to whichever is the most favorable market.
The GAF Peso, meanwhile, allows you to ride on momentum of fast-growing technology-focused companies such as Apple, Microsoft, Amazon, Facebook, and Google. A GAF investor would stand to share in the gains of industries that are generally expected to do well in the face of COVID-19.
You can access AXA’s Peso-Denominated Dollar Funds once you purchase the AXA Asset Master. It’s an insurance and investment fused into one. On top of providing access to global funds, AXA Asset Master also offers a life insurance benefit that will help you secure your legacy for generations to come.
So while we may still be far from truly erasing COVID-19 from the face of the earth, there are steps you can take to secure your investments. And in this time of great uncertainty, a sense of security can be invaluable.
Consult with an AXA financial advisor here. To know more, visit the official AXA Asset Master page and follow AXA Philippines on Facebook.