The document describes a financial pyramid model for managing investments from low to high risk. The bottom level focuses on low-risk protections like debt repayment, savings, and insurance. The middle level includes slightly higher growth investments like time deposits, mutual funds, and bonds. The top speculative level involves high risk investments like gold, art, and real estate speculation. It recommends climbing the pyramid one level at a time from protections to savings to wealth building and finally speculation only after becoming financially secure with excess funds and low or no debt.

1. Financial Pyramid:
Which level are you in today?
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2. FINANCIAL PYRAMID
A strategic approach in managing
investment portfolio
• The base of the pyramid is made up
of low-risk investments
• The mid-portion is composed of
growth investments
• The top is all about speculative
investments.
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3. FINANCIAL PYRAMID LEVELS
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4. PROTECTION
A cushion in case of
unexpected events,
such as job loss or
health issues
– Debt reduction
– Regular savings
– Emergency Fund
– Insurance (Health, Life, Critical Illness,
Disability)
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5. SAVINGS
Baby steps in creating
your passive income
sources.
– Time Deposits
– Mutual Funds
– Bonds
– Home Ownership
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6. WEALTH BUILDING
Achieve maximum
growth and income
for your wealth and
investments.
– Equity
– Stocks
– Business
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7. SPECULATION
• Higher risk portfolio.
– Gold
– Art
– Real Estate
• At this stage, you
should be financially
well:
– Have excess funds
– zero or low debt
– enough retirement and investment fund
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8. SUMMARY
FINANCIAL PYRAMID helps in
solid financial planning
Process
• Set short and long term goals
• Visualize
• Climb in order and one level at
a time
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10. Have questions on finance?
Financial Planning Nuggets
A blog site on Life Insurance, Health Insurance, Investments,
Mutual Funds, Educational Plan, Savings and Financial
Planning Tips in the Philippines
Email: FinancialPlanningNuggets@gmail.com
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Website: www.FinancialPlanningNuggets.blogspot.com