More Pinoys actively saving for health, household emergencies – Nielsen survey

More Filipinos are actively and confidently in saving for the future, and health-related issues and emergency situations are among their top priority, according to a survey released on Tuesday.

 

The Nielsen's Global Survey of Saving and Investment Strategies found out that 83 percent of Filipino respondents believe they will achieve all their future financial goals. But only 30 percent of the 83 percent were confident their current planning will be enough, and more than half or 53 percent say they will need to closely monitor and adjust investments from time to time in order to best meet their financial expectations. 

 

“Consumer sentiment on saving strategies being used to fund financial goals provides insights into how consumers are responding to the challenge of ensuring financial security,” said Stuart Jamieson, Nielsen Philippines managing director. 

 

Alvin Ang, economics professor at the University of Santo Tomas (UST), considered the survey as a welcome development for the Filipino nation.

 

"It's a good development as previous studies show savings is a low focus for Filipinos," Ang told GMA News Online.

 

"But the question is, who are these people surveyed? If that's the middle class, the numbers seem on-track. But overall, I don't think the number is quite right," he added, noting if there were respondents from the Class D and E segment then the numbers could be off the mark.

 

The Nielsen Global Survey of Saving and Investment Strategies polled more than 30,000 Internet respondents in 60 countries to evaluate how consumers around the world are preparing for current and future financial expenses. 

 

However, it did not discuss the details of the respondents. 

 

Nielsen asked respondents to rank 14 long- and short-term financial goals and most Filipinos place high priority on health issues and unexpected household emergencies.

 

The survey showed more than half of Filipino active savers or 54 percent are presently engaged in saving for health-related issues through diversified strategies in saving – a mix of bank accounts, life insurance, government-initiated retirement schemes, provident fund and saving schemes, and investment-linked insurance policy. 

 

Jamieson said the saying 'health is wealth' rings true for Filipino consumers.

 

"The value that they put on health is clearly underlined by the fact that consumers tend to actively save now in order to fund their health care rather than later," he said.

 

"Filipino consumers are not only saving the traditional way through banks but are taking a more diversified approach to better prepare for health expenses,” he added.

 

Also, 51 percent of Filipino respondents were focused on saving now for unexpected household emergencies, primarily through cash followed by savings plans, whole life insurance, company pension and government-initiated scheme, provident fund, savings or investment scheme. 

 

In terms of financial literacy, Ang said Filipinos are still not familiar with other means of investments, as shown by the study.

 

"Sigurista ang Pinoy, whether middle class... hindi pa ganun ka-sophisticated ang Pinoy when it comes to investing," he said.

 

The survey also showed Filipinos save in case of job loss (42 percent), higher education (38 percent), children's future (37 percent).

 

"Based on the survey, Filipinos now seem to be self-conscious and this can be an impact of social media and the media in general," Ang said, noting that people are getting more information than they used to in the past. – VS, GMA News