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According to the Philippine Stock Exchange, only around 2.5% of Filipinos had stock market accounts by the end of 2024, and not all of these are active.

While most accounts are owned by retail investors, a large portion of the market value is still controlled by institutional investors and high-net-worth individuals. This highlights how underpenetrated stock investing still is in the Philippines.

It is understandable why many Filipinos do not invest. For a lot of people, income is just enough to cover daily expenses and support their families. Investing becomes optional, and often there is no extra money left.

There are also common misconceptions. Some believe that stocks are only for the rich, too complicated, or too risky to be worth it.

What Even are Stocks and How Do You Profit?

In simple terms, buying stocks means owning a small part of a company.

Companies sell shares to raise capital, and investors can earn money in two main ways:

Way 1: Dividends

Some companies distribute a portion of their profits to shareholders, usually quarterly or annually. These payments are called dividends.

Example:

If a company like Jollibee Foods Corporation costs ₱160 per stock and declares a dividend yield of 2% quarterly. If you invested in 10 stocks worth ₱1,600, you may earn around ₱32 per quarter, depending on the actual dividend payout.

Note: Dividend yields are not guaranteed and can change depending on company performance.

Way 2: Capital appreciation (selling)

If the company grows and performs well, the stock price may increase. You can then sell your shares at a higher price.

Example:

You buy Jollibee Food Coporation shares worth ₱1,600 and later sell them for ₱2,000 after two years. Your profit is ₱400, excluding fees and taxes.

Why Invest in Stock in the First Place?

You might ask, why invest in stocks when saving in a bank feels safer?

Your Savings are Losing Value Doing Nothing

Inflation means the cost of goods and services increases over time. This reduces the purchasing power of your money.

According to the Philippine Statistics Authority, the inflation rate in March 2026 is around 2.8%. This means that if your bank savings are earning less than 2.8% annually, your money is effectively losing value over time.

Stocks offer the potential to grow your money

While stocks come with risks, they also provide opportunities to earn returns that can outpace inflation over the long term.

What is DragonFi?

DragonFi is a Philippines-based online brokerage platform licensed by the Securities and Exchange Commission. It allows users to trade Philippine stocks, REITs, and other investment products through web and mobile apps.

It is known for its modern interface and beginner-friendly experience, making it a good starting point for new investors.

Before using any platform, always verify that it is registered with the Philippine Stock Exchange (PSE) to avoid scams.

How to Invest in DragonFi?

You first need to create an account and verify it using a valid ID and a video selfie.

For topping-up, you can pay via InstaPay or UnionBank Online Banking for instant funding. You can also choose to pay via PesoNet or bank transfers from BDO, MetroBank, RCBC, or AUB but it will take one business day before your account is credited.

Inside the DragonFi app, you will see your dashboard and current stock holdings. If you scroll down, you can find educational content about stocks. You can navigate to the search icon in the upper right corner to look for specific stocks. Clicking the “Invest” icon also brings you to the stock search and investment page.

If you click the Market tab, you can see popular stocks. Inside a stock page, you can view its historical price movements, news, company information, and even past dividend yields.

Clicking the Orders tab shows your current pending orders as well as your past orders. Lastly, by tapping the menu on the rightmost side, you can access your account settings, statements, and other in-app settings.

DragonFi Tiers

DragonFi also different features depending on your average daily balance (ADB) of your account.

Tier	ADB Requirement
Basic	₱1,000 – ₱9,999
Starter	₱10,000 – ₱49,999
Prime	₱50,000+

Starter accounts get acess to the web version of DragonFi and Prime accounts get zero stock transfer fees.

Some Things to Learn Before You Dive In

Before you get started on investing, there are a couple of things you need to keep in mind before actually investing. It is important that you study the stock you are investing on and the different terms and metrics used when investing stocks.

Volatility and Risks

Stock prices move daily, and profits are never guaranteed. Even strong companies can experience price drops.

Blue-chip stocks are generally more stable, but they still carry risk.

Trading Hours

The Philippine stock market is open from 9:30 AM to 3:00 PM on trading days, with a lunch break or recess from 12:00 PM to 1:00 PM.

Orders placed outside these hours are queued and executed once the market opens, depending on price matching.

Odd Lots

Stocks in the Philippines follow a board lot system. This means you usually buy shares in minimum quantities based on their price.

Buying outside these quantities results in “odd lots,” which may be less liquid and harder to sell.

Fees and Taxes

Stock transactions include brokerage fees and taxes. Typical costs include:

• Brokerage fee around 0.25%
• Value-added tax on fees
• PSE transaction fee
• Sales tax when selling shares

These costs slightly reduce your overall profit.

HODL Strategy

The HODL strategy, popularized in crypto, means holding investments for the long term.

In stocks, this approach focuses on buying quality companies and holding them for years while reinvesting dividends. Historically, long-term investing has been one of the most effective ways to build wealth.

Best Starter Investments in the Philippines

Best Starter Stocks

When you’re starting, it can be pretty excited and a bit of impatience can creep in on when you’ll get your gains for your investments. Here are some of the best places to start.

Real Estate Investment Trust (REITs)

Real Estate Investment Trusts allow you to invest in income-generating properties like offices and malls.

They are required to distribute a large portion of their income as dividends, making them attractive for passive income.

Some examples include:

• AREIT
• RCR
• MREIT
• DDMPR
• VREIT

High Yield Dividends Stock

Some companies consistently pay high dividends.

Examples include:

• DMCI Holdings
• Semirara Mining and Power Corporation
• Puregold Price Club
• Universal Robina Corporation

Dividend yields vary and are not guaranteed, so always review company performance before investing.

Final Thoughts

Before investing, take time to learn the basics and understand the risks. Avoid rushing into decisions without proper research.

Tools like Simply Wall St can help you analyze stocks, view financial data, and estimate fair value.

Stock investing is not just for the rich. With the right knowledge and discipline, anyone can start small and grow their investments over time.

If you need help getting started or want guidance on choosing stocks, feel free to ask.