ACE Money Transfer - Blog

Send money to Philippines online through ACE Money Transfer

Investing for the Future: Financial Advice for the Filipinos in Germany

21 May 2024

Are you a Filipino expat in Germany struggling to save some extra money to support your loved ones on rainy days? Living abroad in Germany, the Filipino diaspora of 62,000 people often faces a set of financial challenges along with trying to adjust to a new country.

This vast number has a responsibility to achieve financial stability and send money to Philippines from Germany — all while considering investments for a better future. This guide will equip Filipino expats in Germany with essential financial tips and strategies to make well-informed investment choices. Along with that, you will also learn how to transfer money back home at a lower cost!

Build a Solid Investment Foundation

Before exploring investment strategies, it helps you grasp your present financial status in Germany and learn about many other factors. This way, you can build a solid foundation for your investments. So, before beginning to invest, consider these factors:

Identify Your Income and Expenses

Develop an in-depth budget that covers your monthly earnings, necessary costs (rent, utilities, etc.), and extra cash. This practice will help you identify how much you can save and where you should trim your expenses. 

Manage Your Debts and Set a Financial Goal

Evaluate your debt status by categorizing debt types, noting interest rates, and determining minimum repayments. To manage your debts smartly, craft a strategy to eliminate high-interest debts and handle overall debt discreetly.

Define clear financial objectives encompassing short and long-term goals. Setting these will help you have financial stability and success.

Create a Balance Between Risk and Reward 

Similar to exploring unknown waters, investing also poses risks and potential rewards. All investments carry some degree of risk. However, the higher the risk, the greater the potential return. And if you manage to snag the higher return, you can make an increased money transfer from Germany to Philippines.

Investment Options for Filipino Diaspora in Germany

Knowing diverse investment options lets Filipino expats make intelligent decisions for a balanced portfolio. Here are the top six options that promise high future returns:

Build an Emergency Fund

Establishing an emergency fund is the most essential and low-risk investment option. To build this, strive to save 3-6 months’ worth of living expenses. These savings will help safeguard against unforeseen problems such as medical crises or unemployment. 

Exchange-Traded Funds

ETFs are dividend stock funds that offer income diversification and enhanced portfolio strength. By investing in dividend funds, you wager on sustained profitability across the fund’s constituent firms.

In this kind of investment, profits stem from share price growth and company dividends, making these funds attractive. Unlike stocks, dividend stock funds can provide regular income if companies maintain profitability, which is attainable through brokerage firms.

Investing in Real Estate

This substantial long-term investment option offers promising returns despite considerable initial capital. You may opt for hands-on property management if you're committed to long-term investment.

Meanwhile, REITs offer passive real estate involvement that suits varying investment preferences and time commitments. 

Stock Market Shares 

Investing in stocks grants ownership in a business. Despite market unpredictability, fundamental knowledge can help you make informed decisions. 

If you’re considering this type of investment, it would be best to recognize the analogy of stock ownership to owning a slice of a cherished bakery. This will enhance the comprehension of stock markets and foster discreet investment choices.

Find out: What Benefits Can Overseas Filipinos Get by Investing in Their Host Country's Stock Market.


High-Yield Savings Account

This savings account offers security and growth through rising interest rates, particularly suitable for individuals with low-risk tolerance. However, it would help if you acknowledge that despite being secure, inflation can erode the account's purchasing power over time.

Filipino expats sending money back home from Germany can benefit from high-yield savings accounts for short-term funds like emergencies or vacations. Long-term investors may find other options more suitable for maximizing profits.

Cryptocurrency:  Your Gateway to High-Risk

This is a leading investment trend driven by its notable price volatility, which is influenced by supply, demand, and media attention. Despite substantial risks, the potential for significant returns on modest investments has also bolstered its popularity.

While cryptocurrency appeals to the risk-tolerant, its price can experience sudden, steep declines. But if you are considering investing in crypto, you can benefit from the convenience and accessibility of cryptocurrency transactions. These transactions are available through traditional brokers and online exchanges like Coinbase, with the option to purchase coins through online money transfer apps.

Sending Money Back to the Philippines From Germany

As a Filipino expat, you are most likely to make online money transfers from Germany to Philippines regularly to support your family. Here are the two most used methods:

Traditional Money Transfer Services

Traditional services like banks and money transfer operators have an established network and physical presence. On the other hand, despite their convenience, online platforms may entail higher fees and less favorable exchange rates. 

ACE Money Transfer Services

ACE Money Transfer and other online services offer convenience and cost-effectiveness with competitive rates, lower fees, and user-friendly platforms for seamless transfers.

With options including bank transfers and mobile wallets, expats can seamlessly stay connected with loved ones, all while ensuring streamlined financial support.

Enjoy a Secured Investment Future with ACE Money Transfer

Achieving a secure financial future demands dedication, discipline, and informed decision-making. As Filipino expats in Germany, making sound financial decisions, mastering the basics, and setting clear objectives will maximize their economic potential. They can also effectively navigate the economic landscape by leveraging these tips and resources, like ACE Money Transfer, for secure and efficient money transfers.

Moreover, strategic investments can pave the way for a prosperous future for expats and their loved ones in the Philippines. The recently updated ACE app allows Filipino expats to send money online to Philippines from Germany efficiently, securely, and conveniently. Beyond easing financial connections to the Philippines, ACE Money Transfer is a trusted partner on this fulfilling journey.


What are the key factors to consider before making investments as a Filipino expat in Germany?

Before investing in Germany, Filipino expats should assess income, expenses, debt, and financial objectives. Understanding the risk-reward balance will help them make informed investments and potential money transfers to the Philippines.

What are the top investment options available for Filipino expats in Germany?

Top investment options for Filipino expats in Germany include emergency funds, ETFs, real estate, stock market shares, high-yield savings accounts, and cryptocurrencies, each with varying risks and potential returns.

What are the benefits of investing in the host country's stock market for overseas Filipinos? 

Investing in the host country's stock market allows overseas Filipinos to gain business ownership and make informed decisions, potentially contributing to their financial stability through strategic investments.

What are the most commonly used methods for sending money from Germany to the Philippines?

Traditional money transfer services and ACE Money Transfer offer options for Filipinos in Germany to send money to the Philippines. While conventional services have established networks, reputable remittance providers, such as ACE Money Transfer, provide cost-effectiveness and competitive rates.

How can ACE Money Transfer assist Filipino expats in Germany with efficient and secure money transfers to the Philippines while also supporting their investment goals?

ACE Money Transfer supports Filipino expats in Germany with efficient and secure money transfers to the Philippines. This service can also provide expats and their families a prosperous financial future.


Business & Finance

Finding Cheap Local Foods in Australia - Tips for Pakistani Expats
What are Banking Scams, and How to Stay Safe as a Pakistani Expat in 2024?
  • Categories
  • Country