46 Investment Statistics in the Philippines

Last Updated – Feb 1, 2023 @ 2:58 pm

Every single day, it seems the news is filled with stories about how bad the economy is. However, you’d be surprised to know that investors are still able to thrive today.

More and more people are investing in the Philippines – individuals are relying on real estate, stocks, mutual funds, and other types of investments to secure their financial standing and ensure the future of their families.

The government is also helping by introducing new laws and creating tax incentives to encourage investment and economic growth.

Considering there’s a dizzying amount of information on investing in the Philippines, understanding facts and statistics about it is the best way to help you understand and navigate the local investing landscape better.

With that in mind, we’ve put together some of the most important investment statistics in the Philippines you need to know.

Contents

Statistics on Philippine Stock Market

In 2020, the online stock market did better than traditional accounts for the third year in a row. The pandemic was a huge factor in the migration of investors to digital financial platforms. Currently, online stock markets account for 67% of the total trading accounts in the PSE.
In 2020, the number of online accounts increased by 19.7% to 936,000. Non-online accounts only rose 3.3% to 460,553. In 2019, the number of online accounts settled at 782,118, and non-online accounts were 445,920.
45.6% of stock market accounts are owned by investors 30 to 44 years old. Younger adults aged 18 to 29 years old account for 22.5% of accounts. Meanwhile, mature age brackets from 45 to 59 and 60 comprise 19.8% and 12.1%, respectively.
In 2019, the percentage of investors earning below P500,000 was 59.4%. Amid the environment that dragged down the economy and led to job losses in 2020, the number of investors earning below P500,000 per year increased to 61.2%.
In 2020, 21.65% of retail accounts were owned by individuals with an annual income of P500,000 to P1 million. Those who earn over P1 million cover 17.2% of retail accounts.
The total stock market accounts in 2020 increased by 13.7% to 1.4 million. In 2019, the total stock market accounts stood at 1.23 million. Therefore, 1.27% of Filipinos are investing in the stock market. This figure may seem small but it’s still more than the number of investors from the previous decades.
97.9% of total stock market accounts are retail investors. 2.1% are institutional investors.
The pandemic inspired retail investors to actively participate in the stock market, with the number of active accounts increasing by 35.6%. To illustrate this, the average daily number of trades in 2020 increased by 33.7%. Meanwhile, retail participation rose 47.8% year-on-year. It’s worth noting that the local central bank decreased interest rates to record lows to stimulate the economy plagued by the pandemic. This prompted investors to turn to stock markets for great returns.
50.8% of retail investors of the PSE are males, while 49.2% are females. This is based on the 2020 Stock Market Investor Profile.
98.3% share of the stock market accounts are domestic investors. Meanwhile, those based overseas hold a 1.7% share of stock market accounts.
Domestic investors are usually from:

Metro Manila: 75.7%
Other parts of Luzon: 13.5%
Visayas: 5.7%
Mindanao: 3.4%

In December 2022, the Philippines’ Market Capitalization accounted for $295.055 billion. As of 2012, the domestic equity market had a combined market capitalization of around P10. 93 trillion.

Source: Inquirer Business, Securities and Exchange Commission, CEIC

Statistics on Philippine Real Estate

Real estate with owned or leased property accounts for 4,535 establishments, or 87.6% of the total activities in the sector. Meanwhile, real estate activities on a fee or contract basis account for 12.4% of the total activities in the sector. This covers 644 establishments.
The total employment for the real estate sector in 2019 was 101,976 workers. Of this number, 99.3% or 101,246 of the workers were paid employees. The rest are unpaid workers and working owners.
Real estate activities with own or leased property employed 91.4% or 93,169 workers. The remaining 8,807 workers were engaged in work on a contract/fee basis.
The total compensation paid by the real estate sector in 2019 was P41.49 billion. Of this number:

P37.99 billion or 91.6% was spent on worker compensation
P3.51 billion or 8.84% was paid for employees on a contract/fee basis

In 2019, the real estate sector generated P1,099.54 billion. This is comprised of:

P1,092.56 billion or 97.5% were from real estate activities with own or leased property
P26.98 billion or 2.5% were from real estate activities on a fee/contract basis.

In 2019, the sector expenses amounted to P713.95 billion. This is comprised of:

P692.08 billion or 96.9% were from real estate activities with own or leased property
P21.87 billion or 3.1% were from real estate activities on a fee/contract basis

The real estate industry is a key driver of the Philippine economy. In 2021, it generated a gross value added of around P529 billion. Due to the growing middle-class population and the remittances from OFWs, the purchasing and investing power of Filipinos has increased. For instance, OFWs can now invest in residential areas in the country. Most people in this sector return to the Philippines for retirement, or when their contract ends.
In a 2019 survey of 10,000 OFWs, it was found that 80% considered investing in residential properties in the Philippines in the next 12 months.

Source: PSA, Statista, Rappler

Statistics on Cryptocurrency Investing in the Philippines

According to Finder’s Crypto Adoption September 2022, Crypto penetration in the Philippines is at 16%. This is higher than the average global adoption rate of 15%.
In the July 2022 release of Finder’s Crypto Adoption Index, the Philippines ranked 10th. Indonesia ranked 12th, Malaysia ranked 13th, Japan ranked 23rd, and New Zealand ranked 24th.
The Bangko Sentral ng Pilipinas stated that cryptocurrency is booming in the Philippines. In the first half of 2021, crypto transactions grew 362% year-on-year to almost 20 million. According to a report, these transactions were worth P105.93 billion, which is up 71% year-on-year.
Estimates suggest that 7 million Filipinos own cryptocurrency.
In 2022, Filipino men are 1.7 times more likely to own cryptocurrency compared to women. In the Philippines, 63% of crypto owners are men.
Bitcoin is the most commonly owned cryptocurrency in the Philippines. Around 37% of Filipino crypto owners own this cryptocurrency.
Here are the ages of Filipino crypto owners:

18 to 34: 46%
35 to 53: 35%

According to a UOB’s Fintech in ASEAN 2021 report, the Philippines is still a cash-reliant country. That said, there has been an increase in the adoption of cryptocurrencies and digital payment.
The same report also found that Filipinos have one of the highest levels of trust in cryptocurrency compared to their ASEAN counterparts (48%). In fact, one in three Filipinos use cryptocurrency exchanges.
The value of cryptocurrency transactions from 2019 to 2020 increased nearly fourfold to $ 1.5 billion, with volume reaching 7.2 million transactions, according to the Philippines Fintech Report 2022.

Source: FinTech News SG, Philippine Star, Triple A, Business World

Stats on Philippine Mutual Funds, UITFs, VUL, and Private Equity

From 2015 to 2020, the value of mutual assets under management in the Philippines was estimated to be $40.6 billion U.S. dollars.
During the first half of 2022, the value of private funding in the country was $0.8 billion. This is just $0.1 billion less than the full-year private funding figures for 2021.

Source: Statista, Statista 2

Statistics on Venture Capital and Angel Investing in the Philippines

Friends and family are usually the first private investors of startups, along with wealthy people, angel investors, and established venture capitalists.
12% of the total FDI (Foreign Direct Investments) are startup investments. This is a massive 3,000% growth compared to 2019.
The country has the fastest-growing e-commerce industry in the world.
In 2021, funds raised by Philippine
startups totaled $1.03 billion. Around 65.77% of the deals were in FinTech, and
13.55% were in Media & Entertainment. Meanwhile, e-commerce comprised 8.51%, and Blockchain covered 8.88%.

Source: Foxmont Capital Partners

Statistics on Government Investments

From January to October 2022, the amount saved by members of Pag-IBIG totaled P66.66 billion. The savings collected grew by 27% from the same period in 2021. This is Pag-IBIG Fund’s best-performing year yet.
The final dividend rate for Pag-IBIG Regular Savings is now 5.5%. Meanwhile, Pag-IBIG MP2 dividend rates are at 6%.
The country’s 10Y Government Bond has a 6.051% yield.
According to Standard & Poor’s agency, the credit
The credit rating of the Philippines is BBB+.
According to BSP, the number of PERA investors increased along with the total PERA funds. PERA contributions rose 106% to P289.82 million as of September 8 2022 from PHP 140.76 million recorded during the same period in 2020. PERA contributors increased to 4,892 in September, from the 1,684 recorded two years prior.
Contributions from Filipino employees comprised 67.43% or P195.42 million of the said PERA contributions or PHP. The remainder of the contributions came from OFWs and self-employed individuals.

Source: Pag-IBIG, World Government Bonds, FinTech News

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