du GLOBE 36 R du 2G R 687 36.26 B/s 3614 10:43 ESSPAMFI- Finals Interim As... : CASE No. 2 (50 points) Cardi B. Dalisay is a 24-year-old career woman who availed of your services as a financial advisor. Cardi is interested has no knowledge of finance, so she contacted you to help her manage her personal finances. Cardi presented the following information for your perusal: . Cardi is a graduate of Tourism Management is now working as an international flight attendant at Philippine Airlines, the country's flagship carrier. As a flight attendant, Cardi has a monthly salary of P100,000. She also has a side hustle as a freelance model which would let her earn P20,000 per month on average. Cardi rents a 1-bedroom condominium unit in Pasay City which is in close proximity to the airport. . Her living expenses in a month is approximately P75,000 and these include the following: o Condo rent - P20,000 o Food-P10,000 o Utilities - P3,000 o Phone - P2,000 o Various lifestyle expenses - P40,000 . Cardi is an avid fan of online shopping. In a month, her total credit card bills from online e- commerce platforms would range from P15,000-P40,000. Most of her purchases are clothes, shoes and bags which are not really essentials but rather merely an addition to her extensive and luxurious wardrobe collection. 4 ESSPAMFI NU LAGUNA Cardi is also the most generous friend ever. When a friend sends her a DM saying, "Mars, pautang hehe labyu", she doesn't hesitate to lend money. Worse, she doesn't keep track of receivables from her friends. Cardi would approximately save an average of P45,000-P50,000 monthly and she puts this in her Metrobank savings account for safekeeping. She also doesn't know about interest rates. Cardi is single, with no dependents. She is the youngest among three siblings and her parents are already retired. Her family runs successful businesses within Laguna. . Based on the above circumstances, it can be concluded that Cardi, despite having a stable source of income, is not yet financially literate. She earns money, spends on her needs and wants with no intention at all of saving or investing for the future. Your expertise as a financial advisor could change her life. Question 1. Cite at least 3 of Cardi's bad habits in terms of managing money. Provide recommendation for each. Bad Habit Recommendation Question 2. Enumerate at least 6 different types of investments Cardi could choose from. Tailor-fit your answers based on Cardi's case. Type of Investment Description Advantage Disadvantage Question 3. Based on the listed investment types in Question 2, cite the Top 3 (in the order of importance) investment options you can recommend to Cardi as well as the rationale for each. Type of Investment Rationale 5 du GLOBE 36 R du 2G R 687 36.26 B/s 3614 10:43 ESSPAMFI- Finals Interim As... : CASE No. 2 (50 points) Cardi B. Dalisay is a 24-year-old career woman who availed of your services as a financial advisor. Cardi is interested has no knowledge of finance, so she contacted you to help her manage her personal finances. Cardi presented the following information for your perusal: . Cardi is a graduate of Tourism Management is now working as an international flight attendant at Philippine Airlines, the country's flagship carrier. As a flight attendant, Cardi has a monthly salary of P100,000. She also has a side hustle as a freelance model which would let her earn P20,000 per month on average. Cardi rents a 1-bedroom condominium unit in Pasay City which is in close proximity to the airport. . Her living expenses in a month is approximately P75,000 and these include the following: o Condo rent - P20,000 o Food-P10,000 o Utilities - P3,000 o Phone - P2,000 o Various lifestyle expenses - P40,000 . Cardi is an avid fan of online shopping. In a month, her total credit card bills from online e- commerce platforms would range from P15,000-P40,000. Most of her purchases are clothes, shoes and bags which are not really essentials but rather merely an addition to her extensive and luxurious wardrobe collection. 4 ESSPAMFI NU LAGUNA Cardi is also the most generous friend ever. When a friend sends her a DM saying, "Mars, pautang hehe labyu", she doesn't hesitate to lend money. Worse, she doesn't keep track of receivables from her friends. Cardi would approximately save an average of P45,000-P50,000 monthly and she puts this in her Metrobank savings account for safekeeping. She also doesn't know about interest rates. Cardi is single, with no dependents. She is the youngest among three siblings and her parents are already retired. Her family runs successful businesses within Laguna. . Based on the above circumstances, it can be concluded that Cardi, despite having a stable source of income, is not yet financially literate. She earns money, spends on her needs and wants with no intention at all of saving or investing for the future. Your expertise as a financial advisor could change her life. Question 1. Cite at least 3 of Cardi's bad habits in terms of managing money. Provide recommendation for each. Bad Habit Recommendation Question 2. Enumerate at least 6 different types of investments Cardi could choose from. Tailor-fit your answers based on Cardi's case. Type of Investment Description Advantage Disadvantage Question 3. Based on the listed investment types in Question 2, cite the Top 3 (in the order of importance) investment options you can recommend to Cardi as well as the rationale for each. Type of Investment Rationale 5
