International Investing in the Philippines: A Beginner’s Guide

When I started my personal finance journey in the Philippines, most of my focus was on local investments like mutual funds from big banks, real estate, a bit of stock market trading via PSEi. Like many Filipinos, I was taught to “invest where you live.” But as I continued to grow my income and seek better ways to build wealth, I found myself asking: What else is out there?

This curiosity led me to a new frontier and that is international investing. And let me tell you, once I started exploring markets beyond our shores, it opened up a whole new world of opportunity, learning, and growth.

In this post, I’ll break down what international investing is, why it matters (especially if you’re based in the Philippines), what benefits it can offer, how to understand global financial markets, and some practical tips to get started based on my personal experience.

Contents:

What Is International Investing?
Top benefits of international investing
Understanding Global Financial Markets and Indices
Infographics that you might find helpful
How Filipinos Can Start Investing Internationally
Risks of International Investing
Why go global?

What Is International Investing Philippines?

Let’s start with the basics. International investing means putting your money into assets located outside your home country. These assets can include foreign stocks, bonds, mutual funds, exchange-traded funds (ETFs), or even global real estate and businesses.

So if you’re a Filipino investing in U.S. tech stocks, buying a Japan-based ETF, or holding bonds from an emerging market like Brazil, you’re already an international investor. It’s like expanding your investment menu. Instead of being limited to adobo and sinigang, suddenly you’re trying sushi, pasta, and curry—each with its own flavor, risk, and potential return.

International Investing from the Philippines

When I first heard about international investing, I thought: “Isn’t that only for rich people or OFWs?” That’s a myth I want to bust right now. You don’t have to be wealthy or live abroad to invest globally. With the right tools, mindset, and strategy, any Filipino with a smartphone and internet access can start building a global portfolio.

Here are the top benefits of international investing from my experience:

1. Diversification Beyond the Philippines

The Philippine stock market (PSE) has its strengths, but it’s also relatively small and limited in terms of sector variety. Most of the big companies listed are in banking, real estate, utilities, and consumer goods. But what if you want to invest in global innovation, artificial intelligence, electric vehicles, or biotech? These industries may not be well-represented (yet) in the local market.

By investing internationally, you’re not putting all your eggs in one basket. You’re spreading risk across countries, industries, and currencies.

2. Exposure to High-Growth Markets

If you think PSEi hasn’t been a star performer in recent years, you may try U.S. S&P 500, NASDAQ, and even indices from India and Vietnam that have shown stronger growth. International markets allow you to ride economic booms outside the Philippines.

3. Hedge Against Peso Depreciation

One thing that hits home for many Filipinos, especially OFWs and freelancers, is the impact of the weakening peso. When you invest in foreign currencies like USD, EUR, or JPY, your money benefits from their strength over time. This is one of the biggest reasons I personally tried keeping a portion of my portfolio in USD-denominated assets.

4. Access to World-Class Companies

Apple, Amazon, Microsoft, Tesla, Google are some brands which we use every day, but you won’t find them on the Philippine Stock Exchange. International investing gives you a chance to own a piece of the global giants that are shaping the future.

Understanding Global Financial Markets and Indices

Before I got serious about global investing, I had to get familiar with the language of international markets. Don’t worry, it’s not as intimidating as it sounds.

What Are Global Financial Markets?

When you’re investing internationally, it’s super important to understand how global financial markets work because every country’s economy plays by different rules. Things like interest rates, inflation, political stability, and even global events (like oil prices or wars) can shake markets. So before putting your money abroad, it’s smart to look at how different countries’ stock markets are performing, what sectors are booming, and what their economic outlook looks like. Think of it like checking the weather before traveling—you want to be prepared for the climate you’re stepping into.

Here are some infographics you might find helpful:

Key Global Indices to Know

Indices (or indexes) track the performance of a group of stocks to represent a segment of the market. Here are some major ones I follow:

S&P 500 (USA): Tracks 500 of the biggest U.S. companies. A good indicator of the U.S. economy.
NASDAQ (USA): Heavily tech-focused. Great if you’re bullish on innovation.
Dow Jones Industrial Average (USA): Focused on 30 blue-chip U.S. companies.
FTSE 100 (UK): Covers the top 100 firms listed in the UK.
Nikkei 225 (Japan): A mix of Japan’s biggest businesses.
MSCI Emerging Markets Index: Includes stocks from fast-growing countries like India, Brazil, and Southeast Asia.

I sometimes compare how these indices are performing before making decisions.

Related Articles:

How Filipinos Can Start Investing Internationally

Here’s the practical part. If you’re a Filipino looking to go global with your money, here are some actionable steps to begin:

1. Choose a Reliable International Broker

These are some of the platforms I’ve used or explored:

Interactive Brokers (IBKR) – Lower fees, great for long-term investors, wider range of assets
TD Ameritrade – Popular in the U.S., but requires some work for Filipinos to open
Trade Station– Not for beginners; can view US stocks based on fundamentals and technical indicators
GoTrade – Easy to use, fractional shares, no account minimum

Tip: Always check if they allow Filipinos to open accounts and what their funding methods are. Some accept local banks and GCash transfers.

2. Fund Your Account

You’ll usually need a USD funding method like:

Credit/debit cards
Online bank transfers
Wise (formerly TransferWise)
GCash AMEX (for certain platforms)

Watch out for currency conversion and platform fees!

3. Start with ETFs or Blue-Chip Stocks

If you’re not ready to research individual companies, ETFs (Exchange-Traded Funds) are your best friend. They provide instant diversification. Examples:

VOO – S&P 500 ETF
VT – Total World Stock ETF
QQQ – Focuses on tech companies (NASDAQ)
VYM – Dividend-focused ETF

4. Follow International News and Trends

Stay updated with Market news (CNBC, Bloomberg, Yahoo Finance), Earnings reports, Global economic policies (e.g., interest rate hikes in the U.S.), and currency movements. Remember, global events like wars, elections, or inflation abroad can impact your investments.

Risks of International Investing in the Philippines

When you start investing internationally, you’ll realize it’s not all smooth sailing because there are a few risks you need to keep in mind.

First, there’s currency risk. Let’s say you invested in U.S. stocks and the dollar suddenly weakens against the peso. Your gains might not look so great once you convert them back. Then there’s political or economic risk. Some countries might look promising one minute, then boom—market crashes because of a sudden policy change or economic issue. You also have regulatory risk to think about. Some investing platforms might suddenly stop serving Filipinos due to changing laws or internal policies. And don’t forget the information overload—international investing opens you up to a ton of new data, trends, and news.

It can be overwhelming if you’re not prepared. But here’s the thing: all investments have some level of risk. What really matters is how you manage it. Diversify your investments, think long-term, and keep learning as you go so you can stay ahead.

Why Go Global International Investing in the Philippines?

As a Filipino investor, you’re not limited by geography anymore. The world is open to you. And with technology and access improving each year, there’s no better time to start international investing than now.

To summarize this article:

International investing means putting money in foreign assets like stocks, ETFs, and bonds.
It offers diversification, access to stronger economies, protection against peso depreciation, and the opportunity to own global giants.
Understanding global indices like the S&P 500 or NASDAQ helps you measure and track performance.
You can start investing internationally from the Philippines using brokers like Trade Station or Interactive Brokers.
Start small, invest consistently, learn continuously.

This journey changed the way I think about money. It made me realize that my financial future isn’t confined to one country or economy.

If you’re reading this and feeling unsure, take it from me: you don’t need to be an expert—you just need to be curious, cautious, and committed.

The world is your market.