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A college student’s life is preoccupied with academic pursuits, possible career goals, and social life. The idea of investing at this age is sometimes frowned upon, as students tend to believe that investing is done when they reach the age of their titos (uncles) and titas (aunts).

Did you know that trying out college investments is a key in how to earn Php1 million while still in your 20’s? Are you a college student and you want to work on earning your first million? Become financially independent by trying out these seven beginner investments while you’re still in college:

1. Invest in pooled investments

Both mutual funds and Unit Investment Trust Fund (UITF) are considered pooled funds because the money of investors is pooled together and invested in different companies under the management of investment professionals. The difference is that mutual funds are offered by investment companies. 

When you invest in this type of fund, you are buying shares of a fund. Investment companies such as COL Financial, Philequity Management Inc. (PEMI), and ALFM Mutual Funds can assist you on how to start with mutual fund investments. On the other hand, UITFs are offered and managed by banks. If you have a local bank account, pay them a visit and inquire about their UITF program.

If you have extra Php5,000 in savings, you can start investing in either pooled investment option or market stocks. With these low starting rates, pooled funds are possibly one of the best college investments you can try young. If you can set aside a few thousand from your savings and allowance per month, you can regularly add funds to your investments. The bigger the fund you invest, the bigger your earning potential.

2. Get into stocks

Stocks may easily come to mind upon hearing the words “beginner investments”. Buying stocks automatically makes you a shareholder of a company. Aside from having a college investment fund to be able to invest in stocks, research and strategy is also important in making your investment grow. Do thorough research on companies whose shares you’re interested in buying.

It is ideal to invest in blue-chip stocks or big corporations and well-established companies such as DMCI Holdings, Inc.; Jollibee Foods Corp.; and San Miguel Corporation. If you keep track of social media trends, the more you should keep track of your money and the companies from which you intend to buy stocks. If there are things that are unclear to you with the ins and outs of the stock market, you can always consult a fund manager from investment companies that offer free consultations to start-up investors, like yourself.

3. Try bonds investments

Bonds are considered one of the safest college investment options you can try. Bond investment is a debt investment wherein the borrower (bond issuer) pays you, the lender (bondholder) a specific amount for the agreed fixed maturity plans

If you have your own bank savings or if your parents opened a time deposit account for you, investing in bonds is another option to make more money and earn Php1 million as early as you can.

For convenience, you can try investing in bonds in banks where you have an existing account. Or, shop around at other banks until you find the best bond investment to suit your needs. For example, to start investing in Security Bank’s Retail Treasury Bonds, you need to spend a minimum of Php5,000 and in integral multiples of Php5,000.

4. Get insurance

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Insurance is an important college student investment you can start. It comes in handy, especially when unforeseen events and accidents happen to you or one of your family members. If you have insurance and these accidents happen, you can rest assured that your savings will remain intact--assuming you have a separate emergency fund to dip into.

If you do your research well on the different types of insurance policies, you will find that some offer options that grow over time as long as your investment remains untouched. The good news? You can also withdraw the amount if you’ll really need the extra cash.

5. Start a business

Online, small-scale, buy-and-sell businesses or franchising are also among the best college investments you can try. When you are the owner of a business, no matter how small or simple it may be, you are the boss!

Thinking about what business to start? Begin with asking what people want and need. From there, think of products and services that you are interested in or you are able to provide to them. Food and clothing are one of the top products consumers buy in physical stores and online. If you can think of other products, so much the better. Keep in mind that when starting a business, your income will unlikely be humongous, right off the bat. What matters is that you earn continuously; so you can get your return on investment.

6. Dive into real estate

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Purchasing a real estate property for investment might mean shelling out quite an amount, compared to the other college investment ideas. Doing so, however, will help you get closer than earning that Php1 million in your 20’s.

Investing in real estate will help you earn increasing income continuously. Did your parents buy you your own condo to live in during college? What will you do with it afterward? If your future work is not near your university, then living in your condo which may be near your university now, may not be practical, in the long run. To earn from it, you can have other students rent your place. This way, even before you land a job—or if you prefer taking up post-grad studies—you have started to earn on the side. 

Research on property investments worth your money. If you are looking for guidance on how to properly invest in properties, DMCI Homes is known as one of the best builders of condominiums and real estate properties in the country. Investing your money in one of their condos is one of the best college investments you can decide on.

7. Take postgraduate/ vocational courses

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College investments are not all about money. Investing in yourself will always be a good financial move, regardless. Invest in yourself by pursuing a post-grad education or a vocational course. If you do this, you become more equipped with the necessary knowledge and skills to help you land a high-paying job. Investing in yourself will also improve your self-esteem and self-worth. By improving yourself and your skills, you can make a good financial contribution to your family, community, and country.

Anyone can try to make beginner investments, even at a young age to achieve financial independence. When you invest as early as now, in the long run you have the advantage of having a bigger retirement fund or you can retire early. So start your college investment now and get 1 million before you even reach your 30s!