With nearly 3 decades in the investments industry, our next featured expert has handled the investment portfolios of the largest banks amounting to billions. Marvin Fausto can often been seen in many forums, media interviews and seminars all over. He is one of those who I run to for wise investment counsel not only because he is one of the best investment managers of the country, but also because of his unquestionable integrity.

Marvin and his wife Rose are also in the forefront of the financial education advocacy. Along with their 3 sons, the Fausto’s are role models on how a family can have financial peace and enjoy a deeper purpose in life.

The 2012 Outlook of Mr. Marvin Fausto

We remain cautiously optimistic for the Philippines in general.

Even with the global economic slowdown, the resilient domestic consumption is being supported by steady OFW remittances and outsourcing revenues. To this, I estimate that the economy could grow anywhere from 4-5% GDP.

The financial sector on the other hand will remain very liquid coupled with stable inflation rates and low interest rates —  ideal for investments that is expected to generate employment and sustain domestic demand. Interest rates are expected to remain stable at around 4-5% while inflation also to remain benign at 3-4%.

As for the stock market, the Philippine stock exchange is expected to trade positively at around the 4,800 level. Last year’s reduced Government spending that caused the GDP slowdown, is slowly picking up and is expected to be the driver for growth for the country as well as the listed companies in the stock exchange this year.

Investments will center on infrastructure, agriculture, tourism, and education. Barring any major economic dislocation for our OFWs in the Middle East, US, and European markets, our domestic economy is expected to remain robust for 2012.

Marvin V. Fausto is the Senior Vice President and Chief Investment Officer of the country’s largest bank, BDO and in charge of the Investments unit managing close to P580B under the BDO Trust Banking Group.

Prior to this, he held the position as head of the Trust Banking Group of Equitable PCI Bank from 2002 to 2007 primarily responsible for its overall business and operations. He also held the position of Vice President and Investments Head at Citytrust Banking Corporation. He started his career as an analyst at the former Far East Bank & Trust Co.

After having served as President and director, Mr. Fausto is currently a Board Adviser to the Trust Officers Association of the Philippines, the umbrella organization of the Trust Industry. He was also the Founding President and current Director of the Fund Managers Association of the Philippines.

Mr. Fausto graduated from the Ateneo de Manila University in 1983 with a Bachelor of Science degree in Management Engineering and took MBA units at the Ateneo de Manila Graduate School.

Mr. Fausto is married to Mary Rose F. Fausto, the author of the insightful book “Raising Pinoy Boys” and has three sons, Martin, Enrique and Anton who are one of the country’s youngest investors.

I’m really encouraged by the potential of the younger breed of financial practitioners. Through time, I came to realize that age has nothing to do with wisdom and that we can learn much from the young. I am proud to feature the 2012 Outlook of a very young and bright financial planner who is full of zeal, insight, knowledge — but I am most impressed by his passion to educate Filipinos financially and promote stewardship, Mr. Marvin Germo.

2012 Outlook of Marvin Germo

The Philippine market has been moving sideways for the past year and based on history the  longer a certain market is sideways the stronger the upward or downward push that would follow.  Amidst the doom and gloom that people are projecting in the financial markets of 2012, my outlook is quite optimistic brought about by:

-The move of the world economies to the emerging markets like the Philippines, as money have been flowing to these markets due to cheaper costs, bigger growth potential  and the murkiness of the European and American markets, have made a stronger case to build businesses in emerging economies.

-More government spending, cleaner transactions, higher approval ratings would certainly boost business confidence in the country which would translate into more jobs and bigger business ventures.

-Robust fundamentals in Philippine based companies which are in expanding industries such mining, energy, and construction will see continued growth this year and thus bring in more jobs and business.

To top all this things, I remain optimistic due to the fact that I know God’s Blessing is in the Philippine and because of that I know that the great days of this nation are still right ahead of us!

Marvin Germo is the General Manager of Ephesians Management Corporation and is a Financial Planner and Advisor who is one of the up and coming personal finance gurus that this generation has ever seen. His Passion and zeal to educate the Filipino people has translated into transformed lives, financially free families and has moved ordinary consumers into investors.

He is an Entrepreneur and Financial Resource Speaker who out of his eager desire to make an impact in this nation has spoken in different spheres of society – corporations, government agencies, churches, schools, clubs, organizations, and numerous public events. His ability to breakdown complicated investment concepts and translate it into something that is simple, basic and understandable has made him one of the most sought after money speakers in the land.

He completed the Registered Financial Planners Institute (RFPI) program, he is a Stock Market Trader & Investor more than four years experience in the Philippine financial industry. He also owns (www.marvingermo.com), a financial planning help site. He graduated from Mapua Institute of Technology with a Bachelor of Science in Electronics & Communications. He has just recently completed the Philippine Stock Exchange Certified Specialist Course in the Ateneo Center for Continuing Education.

As a young and aspiring financial services practitioner, I was often excited to get nuggets of financial wisdom from one of the pillars of the insurance and mutual funds industry. I often found myself wanting to hear more from the next featured expert and I feel blessed to be able to attend a number of learning opportunities from him. Let me now feature the prospective views of someone who is well admired and respected by many, Mr. Henry Herrera.

2012 Outlook of Henry Joseph Herrera

• 2012: a volatile year for global equities on account of fiscal deficit and debt issues largely in EU and US, slowdown of global economy and its impact on emerging markets, and worsening impact on countries of natural disasters (such as those caused by global warming).

• Spikes in interest rates may be in the menu for countries who are unable to get a handle of their ballooning fiscal deficits and national debts. More country sovereign credit downgrades may be expected.

• Investment opportunities abound where financial threats exists. Focus should be on safety and liquidity of invested assets while the “dark clouds” persist. Reduced weighting on risky assets is the prudent approach at this time. The possibility of much cheaper asset prices sometime in the near future is not unlikely. Returns on fixed income instruments will remain subdued, at best, given the low prevailing rates in the country.

  Mr. Henry Joseph Herrera was the former President and CEO of Sun Life Philippines and a well sought after expert in his field.

  Henry joined Sun Life in 1998 and has held a number of senior positions including EVP & Actuary, VP & Actuary, and SLAMC COO.  He was AVP, Actuarial for the Region in 1998.  Prior to his career at Sun Life, Henry was the President and Director of Philippine Asia Life Assurance Corporation.

  Henry has over 28 years experience in the life insurance industry. He holds an MBA degree major in finance and a B.S. in Statistics, cum laude, from the University of the Philippines. He is also a Fellow and past president of Actuarial Society of the Philippines and a member of the International Actuarial Association.  He is a past president of the Philippine Life Insurance Association.