`Have a savings mentality’: expert

PEOPLE must start investing in key instruments to prepare for the future, an official of insurance firm Philippine American Life and General Insurance Company (Philam Life) said.

Jenny C. Santos, director of agencies of Philam Life for South-Central Mindanao, said during Wednesdays @ Habi at Kape in Abreeza Mall that people can start investing by adopting the 80-20 principle, where at least 20% of their monthly income would be allotted for savings while the rest are meant for expenses.

“It is best to have savings mentality,” Santos said.

The company has rolled out this month its new “Live Ready” campaign, which is aimed to boost financial literacy among Filipinos.

Recent study of the company, Santos said, showed that the financial literacy among Filipinos is still low. When it comes to retirement, for instance, 80% of the 1,000 respondents could not retire at 50 even if they wanted to.

Only few also, she said, could spend for medical expenses or make their children graduate in college.

To boost financial literacy, the Philam Life is partnering with the Department of Education, where their financial advisors would visit in the schools to educate the young on the need to save for the future.

Philam Life is part of AIA Group of Companies.

“At Philam Life, we know that real life never stops changing and that people need a partner who understands and supports them through life’s challenges and opportunities. That is why we are committed to genuinely engage with our customers through meaningful dialogue,” Philam Life said in its website. (By Kristianne M. Fusilero)

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