by Christopher G. Cervantes, RFP
THIS Halloween, ghosts aren’t the only things we should fear. In the Philippines today, the widely publicized scandal around flood control projects has become the stuff of nightmares. The horror isn’t just in the rain rising fast or the rivers overflowing. It’s in the corruption, the mismanagement, the betrayals of public trust—and how all that terror seeps into the investing community, eroding confidence, shaking portfolios, and threatening long-term dreams.
Take Bulacan, for example, where multiple flood control projects under current administrations have been revealed in Senate inquiries to be substandard, overpriced, or simply nonexistent. Engineers have testified that up to 20 percent or more of project costs were diverted as kickbacks or commission. Ghost infrastructure is real, and the bodies of work that were supposed to protect communities are failing, both physically and morally.
Investors took note. In the weeks when stories broke about flood control anomalies, the Philippine stock market shed P1.7 trillion in market value. The drops weren’t isolated; they reflect a deeper anxiety about institutional integrity, rule of law, and whether public funds are safe from plunder. Political unrest, mass protests demanding accountability, and leadership shakeups only add layers of uncertainty.
Markets hate surprises. They despise opacity. When infrastructure budgets meant to defend against climate disasters turn into vehicles for graft and deception, trust collapses. Institutional investors pull back. Foreign capital grows wary. Local investors question the fundamentals underneath the numbers. This is the kind of “horror” story that keeps long-term wealth builders up at night.
But this turbulence doesn’t have to derail your long-term journey. You don’t have to be a hostage to headline risk. You can navigate through this storm with intentionality, courage, and disciplined focus.
First: anchor yourself in your purpose. You invest for a reason: retirement, legacy, financial independence, giving back. When the headlines scream chaos, hold onto what your money means to you. If long-term goals matter more than short-term noise, you’ll hear the sirens and still stay the course.
Second: build margin-buffer for shock. In volatile environments, your emergency fund, your “safe asset” allocation, your cash reserve become your lifeline. They let you sleep during storms without panic. When malfunctions occur in public systems, you need room to absorb the shock.
Third: stick to fundamentals. Evaluate investments not by hype or promise of rescue, but by balance sheets, cash flow, governance, and sustainability. When infrastructure projects crumble under scrutiny, you want to invest in companies and sectors where integrity, transparency, and resilience matter. Let scandals strengthen your filter, not hijack your decision-making.
Fourth: refine your time horizon. Short-term speculation becomes dangerous when political and fiscal systems are on edge. Instead, think in decades—not days. Because in cycles, integrity (or its absence) tends to be revealed. Those who hold patiently through the dark chapters often emerge stronger.
Fifth: diversify your risks. Don’t let your country, industry, or infrastructure exposure dominate a large slice of your portfolio. Corruption scandals may hit one sector hard—say, construction, logistics, or flood mitigation supply chains—but not all. Spread your capital across geographies, asset classes, and governance regimes.
Sixth: engage and demand accountability. You’re not powerless. As an investor, you become part of the checks and balances when you vote with your allocations, raise questions, support transparency initiatives, or align with ethical funds. Financial capital has influence; it speaks. If your asset manager or fund refuses to engage on governance during a flood-control scandal, escalate or shift.
Yes, the political spectacle, the graft allegations, the flood control collapse—they are chilling. They test your nerve. But fear is not your enemy; unplanned fear is. Allow the fear to inform you, not paralyze you. The most courageous act in turbulent times is not to retreat—but to become intentional, disciplined, and accountable to your future.
So this Halloween, while others don masks, claim scares, and chase phantoms, let your biggest mask be purpose. Let your scariest monster be not the politics of the hour but the possibility of abandoning your long-term vision. Apocalypse may loom, but your future doesn’t have to be defined by it.
If the waters rise, let your conviction be your raft. If the storms rage, let your focus be the compass. Monsters may walk the corridors of power—but your financial destiny can walk taller.
E-mail me at chris.cervantes@cardinalbuoy.com. Visit my website at www.cardinalbuoy.com. Follow me on Twitter @cervantes_rfp. Chris Cervantes is also the author of the best-selling book: “Financial Planning for the Fast Changing World, ” “LIfe Begins,” “The Seed Money” and “Odssey of Wealth and Legacy”.
