With the Ghost Month approaching, many people are busy looking for ways to drive away the bad luck associated with the season. But did you know that this time is also a good opportunity to improve your finances? Let’s take a look at the Ghost Month money tips you can take advantage of while the hungry spirits are around.
What Ghost Month brings
For those who might not be familiar, the Ghost month is a traditional Chinese-influenced holiday observed between August and September. During this time, people believe that the spirits of the dead roam around the earth. These spirits are said to bring bad luck to anyone if they are not appeased.
To avoid that bad luck, many believers postpone major activities like holding events or making big purchases. Businesses also tend to cut down on things like opening new projects or making acquisitions. This can be either due to the owners’ personal beliefs or simply a response to fewer customers. Hence, the holiday is traditionally considered a slow period for the markets.
However, that market slowdown also offers several opportunities for those who might not closely follow the traditions. The idea here is that many companies would still be eager to attract customers during this period. By taking advantage of the situation, you can acquire some good deals from these companies.
Ghost Month Money Tip No. 1: Invest in the Right Stocks
Investing in stocks is arguably one of the biggest financial decisions that one will make. And with all the uncertainties surrounding it, it is also risky. But experts note that the beliefs surrounding the Ghost Month don’t have as much effect on the Philippine stock market compared to its Asian peers. In the last two decades, the Philippine stock exchange even tends to close higher after the Ghost Month.
The best way to take advantage of this trend is to invest in the right stocks. Some types that you should particularly take a look at are:
- Holdings
- Financial firms
- Mining and oil
- Industrial/manufacturing
Do note that you would still want to closely review the performance of the specific stocks within each category to see which ones are doing better. You would also want to keep track of popular stocks outside of these categories, as you can find some well-performing ones within them. Shares for fast-food chain Jollibee, for example, are one of the select food-related stocks that perform strongly during the season.
It is also important that you understand the potential for the growth of each stock you invest in. Here, you would want to make sure that the stocks you buy would indeed be able to grow more after the end of the month. Consult with financial advisers to see how much of each stock you should buy and the number of returns you can expect for each.
Ghost Month Money Tip No. 2: Look for good deals
If you have been putting off renovating your house due to the cost of it, Ghost Month is surprisingly one of the best months to pursue it. This again has to do with a general slowdown of business. Those companies that chose to stay active during the season are more than ready to take up the job for you.
What’s great about this season is that you can even get contracts at much lower prices. For starters, many of these companies often offer different promos to attract customers. This can either be lower rates or special service bundles that give you more for the same price.
Additionally, Ghost Month allows you to haggle with contractors more freely. Here, it would help a lot for you to be familiar with the current prices of the services you are looking to get. Look into both the pre-Ghost Month prices and the current ones offered by other companies. This will give you an idea of how much lower the discounts you can potentially ask for. You would also want to have a definite budget to see how much you can stretch during the negotiation.
When negotiating the deal, be firm in the terms that you are asking for. Since the contracting company is looking to secure a deal, they would be more open to customer requests. But you should also avoid going overboard, as you can end up losing the deal. You should also be willing to settle for a good compromise deal.
Ghost Month Money Tip No. 3: Plan transactions accordingly
While you might not believe in the superstitions surrounding the Ghost Month, you would still want to take it into account when planning your transactions for the season. Know beforehand which business establishments around your area observe the tradition. This will help you determine which ones would be taking a break during the season. By timing your transactions correctly, you can cut down on processing time and complete your purchases before the companies take a break.
You can also use the break to review any pending transactions you have. If you are slated to sign a contract, for instance, a lawyer can devout more time to review it for you. With that, you will be able to spot issues that might need clarification. You and the lawyer should pay particular attention to the fine print on these contracts. When the business you are transacting with returns from the Ghost Month break, you can then clarify these points before proceeding.
Protect your money from hungry ghosts this month
Whether you believe in the traditions or not, Ghost Month is still a great opportunity to make wise money decisions. The simple Ghost Month money tips above will help you ensure that you won’t be spending too much during and after the season. Follow these and keep your money safe from hungry financial ghosts.