Advantages of Growing your Money in Variable Unit Linked (VUL).

There are so many investment instruments that you can choose today to help you to achieve your financial goals in the future. You can invest through mutual funds(Stocks), banks, real estate, UITFs, Variable Unit Linked(VUL) and even starting your own business.

financial instruments

I always believe in an adage that says “Do not put all your eggs in one basket.” Even the bible teaches us that. Ecclesiastes 11:2 says “Invest in seven ventures,yes, in eight; you do not know what disaster may come upon the land”.


You have to understand that we have to diversify. Diversification is the key to minimize the risks. As investopedia defines it: Diversification is a technique that reduces risk by allocating investments among various financial instruments, industries and other categories. It aims to maximize return by investing in different areas that would each react differently to the same event. Most investment professionals agree that, although it does not guarantee against loss, diversification is the most important component of reaching long-range financial goals while minimizing risk.

Reference: http://www.investopedia.com/articles/02/111502.asp

Therefore, it’s not wise that you only put your hard-earned money to a single financial instrument. I have one friend that told me that she already invests in stock market through a Mutual Fund Company and she is okay with it.  I congratulate her that she makes a right decision in investing in a Mutual Fund but I’ve asked her if why she invests in stock market. She simply says that, someone just offers it to her and she finds it important in achieving her financial goals in the future. Will that be enough? Or maybe she is missing something more important than investing right away in a financial instrument that she finds in financial market.

As a Financial Literacy Advocate, I always teach that there’s always a proper way of creating your Financial Plan. We always have to go first to the foundation of Investment Pyramid. Before you can jump into the next step you, you have to go to the foundation first.

investment pyramid

That friend of mine tells me that she invests in stock market right away without thinking that she has no life insurance protection yet. Why is that it is important that before you go to investing, you have to be insured properly first. Risks of life are always there, we cannot tell if when will be death, sickness, and disability  come to us. These are income robbers.

income robbers

I have one friend that tells me he has a friend that have money invested in the bank through stock market and he gets sick,a kidney failure. He does not have any form of Dread Disease Insurance, what he does is he withdraws all his money and his money has not grown yet. His money,as my friend told me, is used up all. He resorts to asking funds from his relatives and friends. He has passed away already and the wife is left with debts. What if that person did the right way of investing which he insured himself properly first.

Another story that I would like to share with you is there is I recently talk to a Network Marketing person who doesn’t believe that life insurance is important. I tell him that if death comes, where will his wife and children will get money to pay for their daily expenses, education, mortgages, and a lot more as he is the breadwinner. He simply says that his relatives will take care of his wife and children which he boasts that he is the one helping them now like his nieces and nephews sending them to school. He is sure that his relatives will take care of his family if he will be gone today. I just think that he is the one who has money to help his relatives now and what if he is gone today, does he not think that his relatives cannot help his wife and children even more because they can’t help themselves now.

With this, I believe that investing in Variable Unit Linked has advantages that some financial instruments do not have. Let me define Variable Unit Linked first. Investopedia defines it as a type of insurance vehicle in which the policyholder purchases units at their net asset values and also makes contributions toward another investment vehicle. Unit linked insurance plans allow for the coverage of an insurance policy, and provide the option to invest in any number of qualified investments, such as stock, bonds or mutual funds.

Reference: http://www.investopedia.com/terms/u/unit-linked-insurance-plan.asp#ixzz3h0lUJmjF

It is simply defines as Variable Unit Linked (VUL)= Investment + Life Insurance

Here are some points that we have to consider why we have to consider investing at VUL first as long as we are qualified to be insured.

  • Variable Unit Linked works as the same as Mutual Funds. Funds are invested in stock market which your money can grow as high as 10% to 15% returns per year in long term. See below the performance below of Insular Life as of March 2016, May 2016, August 2016 and since Inception of our Funds.
Insular Life gave the highest returns!



Insular Life gave the highest returns!



Insular Life can make your money grow faster that putting it in a bank that gives less than 1% per year.



  • You will have your Fund Manager which is Insular Life to take care your funds to grow, compared if you will do it yourself, which if you have business or job you cannot monitor and study it. The companies that will be invested at are companies that are studied carefully which in long-term will grow like Globe, Jollibee, San Miguel Corporation, BDO, etc. You will have an access to a diversified portfolios because it will be invested in different kinds of industries like banking, real estate, manufacturing, energy, mining,telecommunications, power and a lot more. You cannot do it alone to invest in these kinds of portfolios because it is not easy. You will be a shareholder of these companies,therefore, if these companies earn, the policyholders(you) will also earn if invested long term rather saving your money in the bank that gives less than 1% per year.


  • If the investment earns, it is tax-free, unlike all the investment financial instruments in the market. It is not covered by Estate Tax as long as the beneficiary is designated as Irrevocable Designation.


  • You will have a guaranteed Life Insurance Protection if death comes. Let’s say a person is covered Ph1,000,000, his family will get Ph1,000,000.00 plus the funds he has in the stock market. Let’s say he starts investing with VUL this year and death comes after 3 months, his family will get the Ph1,000,000 death benefit plus the funds he has in stock market. What if he invests in stock market, if death comes after 3 months, his family will only get the funds he has in the stock market but the family needs to pay first the Estate Tax before they can get the funds.
  • VUL also can give you Dread Disease Rider. Let’s say the client gets sick after 2 years like Cancer, after 30 days of diagnosis, he can claim a fund,let’s say Ph1,000,000.00 dread disease fund, which he can use to pay for the bills to cure his dread disease. Unlike if he doesn’t have Dread Disease Rider and critical illness strikes, his options will be withdrawing his money in the bank, stocks, sell properties, borrow funds, and a lot more. If death comes, his family can still get death benefit in VUL.


  • It has no garnishment. The death benefit will be intact, if the person dies with life insurance and he has debt, the creditor cannot take the death benefit. Unlike if you have properties, money in the banks, investment in stock market, this can be used to pay for the debts of the person who dies.
  • Investing in VUL does not require big investments. Even our janitor and security guards invested in VUL.
  • This can be used for paying Estate Tax for Estate Planning.(Read my blog about Estate Planning)
  • Payment is flexible. You can adjust it to the schedule you prefer like if you want to pay Annually, or Semi-annual or even quarterly.
  • It also gives income replacement or the Special Accident Rider with Disability Indemnity. Let’s say a person gets disabled and he cannot work. VUL can give you the same income that you are earning. If your monthly salary is Ph40k per month, with this benefit, you will receive that amount per month as if you are earning from your job or business still even if you get disabled.


With these all points, I believe that getting yourself insured properly should be the priority. But with Variable Unit Linked, you will have a life insurance and  you can also grow your funds at the same time. VUL can be used for your Children’s Education, Health Funds, Business Funds, Retirement Funds and any financial goals that you have in the future. It’s wiser to always look for ways how to diversify than putting all your funds in one financial instrument. As Warren Buffet says, “Never depend on single source of income, make investment to make a second source of income.”

warren buffet

What if you can create more sources of income?  I think that will be much better.

I hope that you learn something from my blog. I look forward that you read my future blog.

Earn, Save, Insure, Invest and Preserve!

God bless!

To learn more about Variable Unit Linked of Insular Life, you may reach me:

Archie M. Yuki

Financial Adviser

The Insular Life Assurance Ltd., Co.


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My experience in getting Certificate of Registration at BIR as Financial Advisor (Part 2 of 2)

I returned at BIR RDO 041 on a Tuesday morning and asked the guard where I could get the Certificate of Registration as I showed him the Application for Registration 1901. He told me to go at the table near the entrance door and there was the releasing area. I went there and there was one lady who got there first, after her, I was accommodated and  I showed my Application of Registration 1901 and after 5 minutes, the officer gave me the Certificate of Registration and I signed  the receiving book.

sample BIR COR

After receiving the Certificate of Registration these were the things that I needed to accomplish.

  1. Registration of Book of Accounts(BIR Form 1905)
  2. Authority to Print Invoices/Receipts (BIR Form 1906)
  3. Register online at bir.gov.ph

The first thing I did was  contact the person who were authorized by BIR to print receipts. Luckily, I had a friend who knew an accredited printer in Paranaque. I e-mailed them the Certificate of Registration and they were the one who contacted the BIR in printing my receipts. After 30 days, the receipts were delivered at our house and I only paid Ph1,150.00. As I knew,some accredited printers will cost you Ph1,500.00. If you want to know that Accredited Printer, you may contact me.

sample receipt

Now, with regard to the registration of Book of Accounts (BIR Form 1905), I went again at BIR RDO 041 and brought my books that I bought at office supplies store. I bought  2 Columnar Books(14 Columns), 2 Journals and 1 Ledger.


I went first to the table near the stairs where OJT’s put stamped on the first page of the books I brought. The stamped required you to fill it out with your name, address, and TIN.

After that I got a number again for Registration of Book of Accounts and I until my number was called. I went in officer in charged and he checked all the requirements, he told me to photocopy the Certificate of Registration, Payment Form,showed him the books with stamped that I filled out and the filled out BIR Form 1905. He  mistakenly told me that I was late in registering the book of accounts. He told me that I would pay fine, but I told him that it was less than 30 days after I registered. Be careful that you should not be late, otherwise, you would be fined.  After that, it was finished. I now registered my business with line of business in insurance.

With regard to registering on-line. The system cannot accommodate my registration. I e-mailed BIR already, as stated in the picture below. But, as of now, they had not responded to my e-mail. My manager told me to pay off-line instead,as their on-line facility would take long to be utilized.

BIR on line failed

I hope that you learn something to my experience in registering at BIR.

Be a responsible tax payer.

Go,go,go Philippines!

If you have questions, I’d be glad to hear from you.

You may reach me:

Archie M. Yuki


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Set your financial goals!

I talked to a friend that had  been working for almost 10 years and he did not know what he wanted. He had not written any financial goals or things he wanted to achieve in the future. He was doing okay with his career as I can say that he was in a good position in a company where he worked at. The only thing that I worried was that he did not know what he wanted in the future.  As Chuck Palahniuk, “If you don’t know what you want, you end up with a  lot you don’t”.


Many times that  he earned from his job, he did not  have not any goals how to set aside his income. He told me that everytime he got his salary, he just spent it and waited until the next cut-off. He told me that he was like a rat trapped in a cage.  He was promoted from his job many times but it he could not save because as his income increased his expenses increased as well. Clearly, I understood that he had no goals that was why his personal finances were at lost.  As a Financial Advisor, my goal was to help people to create a sound financial future for themselves while protecting themselves for the present. It was important for me to know if what their goals were and instilled discipline to them to create a habit of delayed gratification for their financial goals. As Jim Rohn said, “Discipline is the bridge between goals and accomplishments”.


In setting goals, we had to use the BeSMART. Let’s just say that one person set a goal of house renovation budget of Ph1,500,000.00 after 10 years.

Be- Begin with end in mind. Set goals that you wanted to achieve after 10 years.  Let’s say a person needed a fund for his Ph1,500,000.00 for house renovation.  This would be the reason why would he save and invest funds today to achieve the Ph1,500,000 budget for the renovation of his house.

S- Specific. The goals should be specific. Going back to the person who had a goal of house renovation, he should know what kind of design and plan would be house like. Was the house painted green? Red? Etc. Would there be a parking slots? How many floors? To whom he would look for a contractor, materials needed in the renovation, manpower for construction, building permit, and a lot more. It should be specified so that the goal was guided, thus, it could save more time to achieve the goal.

M-Measurable. The goal should be measurable. How much would be the total cost of all the renovation? If he set  budget of Ph1,500,000.00 for the renovation, how much money he should save now to achieve the Ph1,500,000.00 budget? Would he be investing his savings now or he could start new business to add up to his savings?  Would Ph150,000 per year enough to reach his Ph1.5 M budget for renovation, or should he have buffer? Or as much as possible he should save big as soon as possible to reach his Ph1.5 M goals.

A-Attainable. Would Ph150,000.00 per year attainable? How could he attain it? Could he do something if he was only relying on his salary? Or he needed to create another source of income. If it was not attainable, he would have a difficulty in achieving his goal.

R-Realistic.  The goal should be realistic. Would the Php1,500,000.00 budget after 10 years near reality? If that person only earned  Ph500,000 per year, it would be hard to reach the budget for house renovation. But if he had a business that could possibly give him savings of Ph150,000 a year, that could be realistic.

T- Time bound. There should be a deadine. In setting goals, step by step deadline should be done in order to reach the goals.  For the goals of Ph1,500,000.00 budget for 10 years, after 5 years that person should have Ph750,000.00 already to know if there was a progress.

After setting your goals through BeSMART,  taking action was important. Creating strategies, tactics, implementation, monitoring and assessing if you were progressing. It may be difficult but achieving your goals could give you a sense of fulfillment that you were capable of achieving the things you wanted.

Set your goals and achieve it!

God bless!


To learn about Financial Planning and achieving your dreams and aspirations in the future.

You may contact me:

Archie M. Yuki

Associate Unit Manager

The Insular Life Assurance Ltd., Co,

0923-494 1362

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Savings is the prerequisite of investing


There are people that after 10 years of working don’t have any savings, worst is, even upon reaching retirement age don’t have any savings nor investments. Why does it happen? It is because they never prioritize it.  Most of the time they focus on spending. They cannot control their emotion when it comes to spending. Everytime there’s sale in the mall,they will simply spend it all and to the point that they use their credit cards and pay it the minimum every month. Some even justify that it’s a good buy even if the item is not needed.

emotion warren buffet

There are many ways how to save and live within your means. These are just my suggestions, if you have other suggestions, you may comment below.

  1. Change your mindset that through saving you can start achieving Financial Independence.
  2. Set aside 20% of your income that will go to your savings and investments. Live only at 80% of your income. Use the formula Income minus Savings equals Expenses not Income minus Expenses equals Savings.
  3. Write down your daily expenses in a small notebook and you can analyse and remove unnecessary expenses.
  4. Set percentages what amount will go to groceries, transportation, gas, tuition fees, etc. Once decided follow that budget strictly.
  5. If you have unsettled debt, prioritize the one that gives higher interest. As much as possible, get out of debt.
  6. Cut your credit cards. Personally, I don’t recommend using credit cards particularly to the people who don’t know how to use it properly. Never pay it on minimum otherwise you will pay double or triple the price of the item you buy.
  7. If you want to buy something,pay it in cash. You can get discount also. If you can’t afford to pay it in cash, you can’t afford it. Practice delayed gratification, not instant gratification.
  8. Never go to a vacation that is unplanned. Otherwise, you will go broke after that vacation.
  9. Don’t buy things to impress other people or just to be “ïn”. Assess if it is want or need.
  10. Minimize the expenses and increase your income like acquiring new set of skills, learning new things or doing entrepreneurship.

Once you created a habit of saving, it will be always part of your life. Evertime you earn, you will always  save a portion of your income and even if it is small or big. After you have accumulated enough savings or at least 3 months to 6 months of your salary, you can start investing . It’s not enough to save but we have to learn how to invest and make money work for us. Even if we work hard, our money can work harder for us. What I can suggest is put your money to an investment vehicle that can beat the inflation in the long-run.

Start now to save and reap the benefits in the future.

life is tough

Thank you for reading my blog. I hope that you learn something. I look forward that you read my future blogs.

From Spender to Saver to Investor for better Philippines. God bless Philippines!

To learn more about Financial Planning.

You may reach me at 0923-4941362

Archie M. Yuki

Associate Unit Manager

The Insular Life Assurance Ltd., Co.

let's connect


I’m not interested in Financial Planning.

My colleague had an officemate who said that he was not interested in having his own Financial Plan. I did not understand why that person was not interested in preparing and planning for his future. He said that he was okay with his finances, he had savings and he had job security. I thought that person was seeing only now and not thinking about the future. He did not care if what would be the life of his family if risks of life happened to him. We knew that we would not work for the rest of our lives because we could not control what would happen to us. Risks of life were inevitable like Death, Sickness and Retirement which could stop our income. If income stopped, expenses would continue, thus, financial planning and personal finance were important.

Financial Planning

personal finance

According to LIMRA, 63% would be broke upon reaching the age 65. It was sad reality if we failed to plan, we would plan to fail.


As a Financial Literacy Advocate, we would campaign that Financial Planning through Life Insurance was a foundation for achieving Financial Independence to be prepared for Death, Sickness/Disabilty and Retirement.


We would not know when this would happen to us. That was why we had to prepare. I knew a successful businessman from Cebu. He was the breadwinner and had five children. He earned big in his business but death came to him, it turned out that he had a lot of debts. His family went to poverty and his family literally became poor as their assets were all sequestered because of debts. It’s a tragic story that could happen to any Filipino family without any life insurance. You would think that death would not come. Were we prepared when it came? Would your family live the same lifestyle if you were gone? Would your children go to the same same school without you? If you had dependents, could they survive without you? If not, you could consider getting life insurance.


Some people would think that they were invincible that they would not get sick or even be disabled if accidents happened. I knew one colleague who got sick because of pneumonia. He was not able to go to work for almost a year therefore his income stopped but his medical expenses continued and also his daily expenses. He resorted to using his credit cards and asked help from his family and friends. He was okay now but he told me he was still paying his debt particularly in credit cards which compounded over time.

My friend’s father used to work at Saudi Arabia and he was earning big but an accident happened, his left arm was amputated due to his job. He could not perform his job therefore he had to leave Saudi but the problem was they had mortgages back in the Philippines and he had dependents. What I knew was they could not afford to pay their mortgages and they had to surrender it to the bank. What if he had an accident rider through life insurance that could replace his income due to disability? His situation would not be the same.

I hoped that Filipinos should consider insuring themselves properly so that when sickness and disability would come they could lessen the burden of using up all their savings and resorting to borrowing money.


Most of the Filipinos would think that retirement would not come. A lot would procrastinate to prepare for retirement. We went to work, earned and spent it all until retirement came that we did  not have enough funds for retirement. We knew that when we retire, income would stop but the expenses would not. Well, some had an option to work even when they reached 70 years old but it was a different situation if you had to work because you needed to, not because you wanted to. What if you got sick when you retired just like any sickness that we could get when we got old like heart disease, pneumonia, diabetes, cancer, etc. and you could not even go to work but you had to sustain your medications and daily expenses. This would be a never-ending cycle for the Filipinos who retired that had no Financial Planning, they would ask or beg to their children and grandchildren which was not supposed to be. Parents should be the one who provided to their children just like the Bible said at 2 Corinthians 12:14 ‘’I will not be burdensome to you: for I seek not yours, but you: for the children ought not to lay up for the parents, but the parents for the children.”

There were many stories that because of poverty, children had to abandon their old parents and it was miserable. We would not want this to happen when we grew old. I highly encouraged that Filipinos should not depend their retirement to their children, SSS, or GSIS so that in the future they could have funds to pay for their expenses.

Financial Planning through life insurance was essential to create funds to pay for future expenses. We had to look ahead so that we could be assured if risks of life would happen. To the colleague of my friend who said that he was not interested in getting a Financial Plan through life insurance, I hoped that you would consider getting yourself insured properly. I found it selfish if you would only think of yourself but you had to consider also the people who depended on you.

Thank you for reading my blog. I look forward that you read my future blogs. Let’s spread financial literacy to fellow filipinos.

God bless Philippines.

To learn about Financial Planning, you may reach me at archieyuki30@gmail.com or at 0923-4941362.

Archie M. Yuki

Associate Unit Manager

The Insular Life Assurance Ltd., Co.

let's connect