A Beginner’s Guide in Investing at the Philippine Stock Exchange

using the FirstMetroSec website

Investing in StocksONLINE

v1.0 2014

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www.facebook.com/firstmetrosec

@firstmetrosec

Which stage are you in?

Stage 1: Entering the site

Stage 2: Gathering Useful Information

Stage 3: Buying and Selling Stocks

Stage 4: Viewing your Orders and Trades

Stage 5: Managing your Portfolio

Stage 6: Maintaining your Account

Stage 7: Utilizing the website features

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STAGE 1

Enter the website address*:

www.firstmetrosec.com.phor

www.firstmetrosec.ph

*Either of the two will work!3

Go Back to the Stages

Type in your registeredusername and password. Youhave the option to select whichpage you will land in.

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Welcome to FirstMetroSec!

You are now in Stage 2.Before buying or selling, gather some useful primary information first about

the market and the stocks.

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Go Back to the Stages

Stock Market ScheduleTime Schedule Details

9:00 – 9:14 AM Pre-Open Period Enter, Edit, or Cancel Orders

9:15 – 9:29 AM Pre-Open No Cancel Period Enter Orders but not allowed to cancel or modify

9:30 AM Market Open Matching of Pre-Open Orders

9:30 AM – 11:59 AM AM Trading Hours(Market Open)

Posting and Matching of Orders

12:00 – 1:29 PM Market Recess Not allowed to post, modify or cancel orders

1:30 – 3:14 PM PM Trading Hours(Market Open)

Posting and Matching of Orders

3:15 – 3:17 PM Pre-Close Auction Period Enter, Edit, or Cancel Orders

3:18 – 3:19 PM Pre-Close No Cancel Period Enter Order but not allowed to cancel or modify

3:20 – 3:29 PM Runoff / Trading-at-Last Period

Enter Limit Orders at the Closing Price only

3:30 PM Market Close

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Display: Options to extend view onthe homepage for the ticker andother market information (Quotestab)

Tools: Extended windows from thewebsite that shows real-time priceand volume performance

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Market Monitor – a user-customizedtool that displays up to 30 stocks thebest bid and ask volume and price, andcurrent market price

Price Alert – a tool that sets triggersbased on preferred target prices, andshows the status as they are hit.

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Ticker – a real-time display of done orders in the market (with price, volume,buying and selling broker)

There are two ways to open a ticker:

a. Pop-up Ticker – displays the ticker in a separate window

b. Trades Ticker – displays the ticker above any page of the website

Extended View – is the option to viewadditional side windows on the website for wide-screen monitors:

Market Glance – shows (1) 5 stocks each of BestGainers, Worst Losers, Most Active and (2) Performance ofthe Index

Watch list – quick view of the performance of the stocksin your watch list (patterned after the Market Monitor)

Quick Trade – to post a new order

Other Quick Links – links that will direct you to the mainwindows in the website (explained further).

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Take a step further!

During and after the market, the Quotes page lets you review

specific details of the market and the listed stocks.

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1. Main Quote – lets you seedifferent price performancesof a customized or a pre-defined stock watch list indifferent formats:

Multiple Bid – displays stockprices and volume with 5 levels ofbid/offer of 6 stocks each in eachpage

Bid and Ask – emphasizes thedisplay of the bid-and-ask volumein a listed format

High Low Last: emphasizes thecurrent volume and price, thehighest and lowest price range forthe trading day

Quotes Page

2. Stock Info – gives real-time information for thetrading day of a specificstock:

Bid and Ask – shows unmatchedprices and volume ranges of theposted orders in the market

Time and Sales – shows real-time matched orders of the stockwith the brokers

Buyers and Sellers – lists downbuying and selling brokers whotraded the stock with the volume-weighted breakdown of eachbroker

Volume Review – lists down thematched prices and theirrespective volume breakdown

Company News – disclosures inthe PSE website

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3. Broker Info – shows thereal-time traded value ofeach broker for the tradingday, with the bought andsold value broken down

Broker Rankings

Broker Activity – lists the top10 stocks that were boughtand sold by each broker, withthe volume-weighted price,volume and value

Note: Broker Guide table – showsthe broker’s designated codeand their respective names

4. Market Stats – shows theTop 30 stocks (CurrentPrice, Volume and Value)that are considered moversin the market for the tradingday:

Most Active

Top Gainers

Worst Losers

5. Market Indices – shows theperformances of each indexwhile it directs the user tothe charts under Technicalstab

Quotes Page

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Stage 3

You’re now ready!

You are in Stage 3.

The Trading Page primarily lets you buy and sell stocks. It also lets you

view your historic and current orders and holdings

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Go Back to the Stages

Order will be open (valid) unless filled (done) till:

1. Day – till end of trading day

2. GTW – Good till End of Week

3. GTM – Good till End of Month

Oddlot Order - An order amount for a security that is less thanthe normal unit of trading for that particular stock.*see Board Lot

Iceberg Order - A large single order that has been divided intosmaller lots, for the purpose of hiding the actual order quantity.

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Stock Symbol Guide

Board Lot and Fluctuation Guide

Trade Calculator

Trading Tools and Guides

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Trading Page

Stock Symbol Guide –enumerates all listed stocksand their respective symbolsthat are typed in the Tradingand Quotes pages to buy/sell,and to show the stockinformation and performance

MBT – Metropolitan Bank and TrustCompany

TEL – Phil. Long Distance andTelephone Co. (PLDT)

FMETF – First Metro Exchange-Traded Fund

Trade Calculator – a tool thattheoretically computes for theprofit/loss of a trade given asituational price and quantity

Board Lot and FluctuationGuide – determines theminimum required numberof shares you can buy orsell depending on the pricerange of the stocks. Thenumber also states thatquantity must bebought/sold divisible bythat number.

Example: Megaworld Corporation (MEG) atP4.60/share falls to the P0.99 toP5.00 price range. This means thatbuying/selling MEG must be in shares of1,000, 2,000, 3,000, etc. Once theprice goes to 5.02, the board lot rangechanges to the range of P5.00 toP9.99 and it now must be traded intoshares of a quantity divisible by 100.

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Charges (% of Traded

Valued)

Buy Sell Example:Buy 500 MBT Shares

at P80 = P40,000

Example:Sell 500 MBT Shares

at P85 = P42,500

Commission* 0.25% 0.25% P 100.00 P 106.25

12% VAT Rate .03% .03% 12.00 12.75

SCCP Charges .01% .01% 4.00 4.25

TransactionTax

- .50% - 212.50

TOTAL .29% .79% 116.00 335.75

Transaction Cost (Total)

P 40,116.00 P 42,164.25

Net Profit +5.11% P 2,048.25

*0.25% of the trade’s gross value or P20, whichever is higher

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Placing an Order

This is where you buy or sell your chosenstock by entering the information, while itgives a real-time overview of the stock’sbid-and-ask details. 19

Once order has been system-validated tohave the correct details (proper stock code,within respective board lot, enough buyingpower / shares available), proceed to orderto be placed in the market.

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Review your orders and trades

You are in Stage 4, but still in the Trading Page. This time, it shows the current and

past orders. This can be helpful in determining your behavior in investing

and recalling your past trades.

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Go Back to the Stages

1. Posted Orders – guides the userregarding the real-time status oftheir confirmed orders on aspecific trading day based on:

Open Orders – unmatched ordersbased on price that can still beedited or cancelled

Matched – bought or sold order

Cancelled – user has the option tocancel order while it is still in ‘OpenOrders’

Rejected – order was confirmed butdid not push through due to varoiusreasons (i.e. PSE regulation ontrading beyond floor price, incorrectlot size, insufficient buying power,posting of halted stocks, etc.)

Status of Orders

O: Open – posted order

PF: Partially Filled – partial volume has been matched

C: Cancelled

F: Filled – matched order

R: Rejected

Q: Queued – prompts before order is processed

PRC: Processing – order is being sent to/acknowledged by the exchange

Trading Page

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Stock Holdings and Market Value:shows the current balances of the account’s cash andstock holdings

Review your portfolio

You are in Stage 5, but still in the Trading Page. This enables you to see your real-time cash and stock portfolio: the market value of your stocks, the shares available for selling, the cash available for buying, and

your unrealized profit or loss per stock. 23

Go Back to the Stages

Review your profile

You are in Stage 6 already, so let’s proceed to your Account Information. This page enables you to change

your password, view your account statements, and customize other useful account information

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Go Back to the Stages

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Hyperlinks that direct you to (1) user forms for any applicable requests for your account and (2) Frequently Asked Questions

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In line with the implementation of the OnlineRequest for Withdrawal of Funds, effectiveNovember 2014, clients on the Auto-Payout Optionwill be converted to Money-Stays. All proceeds ofyour transactions will be retained in your StockTrading Account until you request for withdrawal

For your convenience, we implemented the OnlineRequest for Withdrawal of Funds feature.Please refer to our FAQs: Request for WithdrawalFeature for more instructions.

Request for Withdrawal – upon request, these funds are withdrawn from theFirstMetroSec account and credited to your designated bank account; StartingAugust 2014, you may now request to withdraw your funds through thewebsite.

Money-Stays Request - instructs the company to keep the funds from the sale ofstocks and cash dividend declarations in the user account (default handling);Starting November 2014, all accounts will have this option.

Auto Pay-out Request – as opposed to Money-Stays, requests to always credit thenet proceeds from the purchase and sale of stocks and cash dividends to theRegistered Settlement Account; Starting November 2014, this request formwill no longer be implemented.

Transfer Shares from Another Broker

Profile Update Form

Upliftment (Certificate Request) – requests for the issuance of a stock certificate

Lodgment (Certificate Deposit) – request form used when you deposit your stockcertificates with FirstMetroSec to be credited in your FirstMetroSec online account.

Forms

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Getting more out of FirstMetroSec

You are now in Stage 7, so let’s explore the other pages and features of the website to

gain more insight.

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Go Back to the Stages

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1. Price – shows stock price-related information sorted or filtered by each stock:

52 Wk High and Low

Daily Quotation

Index Movers

YTD % Change

2. Shares – market information of shares in the indices or the user’s watch lists (Market Capitalization, No. of Shares, etc)

Note: The files are updated anddownloadable after the marketcloses for the trading day

3. Technical – shows a list of all sharesand their technical signals at theend of trading day:

Analytics Page RSI (Relative Strength Index) –

determines if a stock is overbought oroversold, based on a 0-100 range:RSI = 100 - 100/(1 + RS) [RS =Average of x days' up closes / Averageof x days' down closes], where >70 =overbought / sell, <30 = oversold /buy; otherwise, neutral.

Moving Average – an indicator thatshows a stock is (1) bullish if themoving average line of a shorter periodcrosses above the average line of alonger period, or (2) bearish if vice-versa.

4. Financial – shows financial ratios ofcompanies:

Par and Book Value EPS and PER (Earnings per Share)

(Price/Earnings Ratio) Dividend Yield Debt-to-Equity

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Company Data shows all the company profiles,financial figures and past news. Used to furtherevaluate a company.

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RESEARCH REPORTS:

Daily Report

Trading Signals

Weekly Report

Consensus Corner

Company Reports

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Technical Indicators: An automated chartpattern recognition feature that plotsshort-term, intermediate-term, and long-term bullish and bearish indicators on achart. It also shows support or resistancepoints and trailing stops.

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Chart Type

Period

Technical Indicators: The automatically-identified chart patterns of a stock arelisted and explained on a mouse-click.

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Indicators (Java Chart):gives you options whichindicators are displayedon the chart.

Charts: 3 Chart Options are provided to cater tovarious requirements and operating systems:(1) Static, (2) Dynamic, and (3) Java.

These charts show the price movements andindicators of a stock.

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Full Screen

Stock Symbols

(Stored in Memory)

Chart Type

Hyperlinks that direct the user to news and disclosures from the market

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Need more help?

FirstMetroSec is happy to assist you through our different channels in case you need

guidance.

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Learn in a classroom setting for free!

Please regularly check our homepage to know the schedule of our different seminars:

1. Stock Market Basics

2. Introduction to Fundamental Analysis

3. Introduction to Technical Analysis

4. Introduction to Portfolio Management (New!)

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Option to set email alerts

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Easy as 1-2-3

Now that everything is set, you are ready on your own! Download our apps.

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iPhone and iPad Apps

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Android Phone and Tablet Apps

Customer Support Department

First Metro Securities Brokerage Corporation18/F PSBank Center, 777 Paseo de Roxas cor. Sedeno st.Makati City 1226

Phone: (+632) 859 0600Email address: customerservice@firstmetrosec.com.ph

Don’t hesitate to contact us

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