EastWest Trust Officer & Head of Trust Asset Management Group Raul Victor De Guzman with Luna Securities Chairman & Co-Founder John Gatmaytan.
Filipinos who have long put off saving for retirement may now have fewer excuses to delay.
EastWest is widening digital access to its Personal Equity and Retirement Account (PERA) products through new partnerships with investment platforms DragonFi and Luna Securities, allowing more Filipinos to begin building a retirement fund online with an initial investment of as little as P2,000.
The move is aimed at making retirement investing less intimidating and more accessible, particularly for younger workers, freelancers, overseas Filipino workers and other investors who increasingly prefer managing their finances through digital platforms.
Through DragonFi and Luna Securities, customers can gain access to EastWest PERA investment products using platforms designed to simplify the investing experience and reduce some of the barriers that often keep Filipinos from starting early.
“Many Filipinos understand the importance of preparing for retirement but are unsure where to start,” said Raul Victor De Guzman, EastWest Trust Officer and Head of Trust Asset Management Group.
“By expanding digital access to EastWest PERA through DragonFi and Luna Securities, we are helping make retirement investing simpler, more convenient, and within reach of more Filipinos,” he added.
De Guzman said the bank wants to encourage more people to build long-term financial security through disciplined saving and sound investment decisions.
Why starting early matters
PERA is a voluntary retirement savings and investment program supported by the Bangko Sentral ng Pilipinas. It is designed to supplement retirement benefits from the Social Security System, Government Service Insurance System and employer-sponsored retirement plans.
For DragonFi CEO and founder Jon Lim, the need to prepare early has become even more important as Filipinos live longer and traditional employment arrangements continue to change.
“Now is an especially important time to invest for retirement. Filipinos are living longer, the employment landscape is becoming more fluid, and traditional sources of retirement income may no longer be sufficient,” Lim said.
“The earlier one begins, the more time there is for compounding to work,” he added.
DragonFi gives investors access to stocks, funds, real estate investment trusts and PERA accounts through its web and mobile platforms, along with educational materials and investment tools.
Luna Securities, meanwhile, offers a mobile-first investment platform aimed at making stock investing easier and more intuitive for Filipino users.
Luna Chairman and Co-Founder John Gatmaytan said technology and wider industry partnerships could help bring investment products to a broader section of the population.
“As more partnerships are made, more people can help spread the word that investment opportunities are now available to every Filipino,” Gatmaytan said.
“Coupled with technology, investing for retirement is now made accessible to all demographics and different income classes,” he added.
How much can Filipinos invest?
EastWest PERA allows local investors to begin with a P2,000 minimum initial investment, while subsequent contributions can be made for as little as P1,000.
Individuals may contribute up to P200,000 annually, while OFWs may invest up to P400,000 a year.
Under PERA rules, qualified withdrawals may be made tax-free once the investor reaches 55 years old, provided the account has been funded for at least five consecutive years. Early withdrawals may be subject to tax clawbacks under applicable regulations.
Through its partnerships with DragonFi and Luna Securities, EastWest said customers will be able to combine the convenience of digital investing with professionally managed PERA investment options offered by the bank’s Trust and Asset Management Group.
For Filipinos who have always thought retirement investing required a large amount of money or a trip to a bank branch, EastWest’s latest digital push sends a simpler message: starting small—and starting early—may now be just a few taps away.