Filipinos are generally cautious investors. A high-risk, high-reward investment isn't a priority option for first-time investors, especially when you have your family and your future to consider.

Filipinos must know that several investment instruments have a track record of making sensible financial decisions. The Unit Investment Trust Fund (UITF) is one such investment that offers passive income for even a modest amount of capital.

What is a Unit Investment Trust Fund? 

UITFs are funds that are pooled from multiple investors who are looking for wise investments. They are managed by professional fund managers from licensed banks and trust corporations and regulated by the Bangko Sentral ng Pilipinas (BSP). 

A UITF is a form of passive income. Fund managers decide where to invest the pooled funds that they believe will provide the best returns. 

Advantages of choosing UITFs

• It is Affordable. Investment through UITFs requires a much lower initial investment compared to other alternatives. Investment can start for a minimum of Php5,000 and with a minimum additional investment of Php1,000.

• Diversified Investment. In UITF, risks are spread across various investments, including (but not limited to) Cash Instruments, Fixed Income/Bonds, and Stocks or Equities. 

• Professional fund management. Instead of personally doing all the legwork, seasoned fund managers will actively monitor the markets for possible investment opportunities and manage the risks for you. 

Are UITFs for you? 

For first-time investors who prefer to watch their money work, UITFs are good investment options. It offers low initial investment options while giving you access to the different asset classes that professional fund managers manage. 

So, if you're ready to start your investment journey, visit the nearest Sterling Bank of Asia branch. The Bank will be happy to guide you and answer your questions about your UITF investment.