Since December 2021, GCash has announced new investment products in the GInvest lineup. I was waiting for a long time to see newer investment products in GInvest since I don’t seem to like their past ATRAM investments. Although, I try to diversify with different investments even little by little. I’ve always waited for something that would pay some dividends in this very accessible investment tool by GCash.

Finally, they did add a dividend-paying investment product thru their partnership with BPI.

Last month, I’ve seen too many downfalls on different types of investments like cryptocurrency and the ones they have in GInvest. And for me, it’s a perfect opportunity to get back on track and start investing little by little.

I’ve always had issues with saving up, it seems that the only getaway for me to save is really by means of investing because I’m very good at hodling rather than saving.

So last week I promised myself to invest 2,000 PHP a week on GInvest and cryptocurrencies. I’ll try my best to do that. But the goal of this post is really to talk about one of the two investment products that GInvest added since December last year.

Just an idea of which products they’ve added — it is the BPI Philippines Stock Index Fund and the ALFM Global Multi-Asset Income Fund. Because I want to earn dividends, we’ll focus on the latter.

What is this ALFM Global Multi-Asset Income Fund?

Well before I discuss any further, this post is really for sharing my leanings and my experiences but it is not financial advice. This investment product in GInvest is Aggressive meaning it involves very high risk at the same time it’s for a long-term goal.

ALFM Global Multi-Asset Income Fund, Inc. is an open-end mutual fund incorporated in Philippines. The Fund’s objective is to provide a stable stream of dividends and generate long-term capital growth. The Fund is a USD denominated multi-asset mutual fund operating as a Feeder fund. The Fund invests in a single collective investment scheme.

— From Bloomberg

Performance of this Fund and Some Estimates

Based on their statistics in Bloomberg, the fund is on the negative side this past year. But that doesn’t mean it’s a bad investment for me and actually, it’s an opportunity to be able to buy units at a lower cost.

As you could see there as well, the last dividend reported is 0.003894486606 USD. When converted, it is 0.19 PHP per unit. Therefore it should be around 19 PHP dividend earnings if you have 100 units. If the NAVPU (Net Asset Value Per Unit) is similar to the current price of 45.15/unit then your total investment for 100 units is 4,515 PHP.

This is just a rough estimate because, of course, GInvest has some delays in placing orders like when you buy it takes 3 business days, and if you sell it’s usually about the same time frame. That of course would affect the value of everything and for sure there are fees involved along the way.

GInvest never mentioned anything about fees but the price per unit and their charts are not even updated in real-time so it may have a price difference from the market price. But it’s okay because GInvest really is into convenience and as always convenience comes with a price.

By the way, GInvest has a different computation formula on their site but the results after computing it don’t make sense at the moment and I have to wait til’ the dividend shows up on my account to discuss.

All you need to know about GCash Invest Money

What is dividend paying investments by the way?

I haven’t considered this question until I got here in this part. Some people may not be aware of what a dividend is.

The dividend is like the distribution of some portion of the income of the investment funds you’ve just purchased. In this investment, they pay out every month, and the dividend gets credited to your GCash account on the 15th.

The cut-off for the computation is at the end of the previous month.

Whether your investment is going up or down you should still earn dividends. It is usually given per unit you hold. Just like in the example on the previous part you may earn around 19 PHP (roughly) if you have 100 units.

My first attempt to invest on this fund.

The minimum investment on most aggressive investment products with GInvest is 1000 PHP but they have others that have a minimum of 50 PHP only. You can start at the lowest capital with GInvest and that’s what makes it different from any other place.

Ginvest Dividend Earning Fund -- ALFM Global Multi-Asset Income Fund