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An In-depth Study on the Accounting and Financial
Industry In the Philippines
Submitted by:
Dr. Tereso Tullao, Jr.

Project Head
Dr. Teresita Nadurata

and
Ms. Nimpha Aquino
Senior Researchers
August 17, 2001
57
Table of Contents
page
List of Tables ii
List of Appendices iv
Introduction 1
1. The Industry 2
1.1 Definition and Scope 3
1.2 Structure 7
2.0 Forward Linkage/Market 16
3.0 Backward Linkage/Market 17
4.0 Laws Hindering/Facilitating 18
5.0 Market Potential/Foreign Market Demand 29

5.1 Extent of service rendered abroad 31
5.2 Foreign Market Demand and Competition 33
6.0 Industry Association 39
7.0 Strengths and Weaknesses 40
8.0 Supply Capability 42

8.1 Offered Services 43
8.2 Extent of Services Rendered Abroad 49
By Filipinos through the firms
8.3 Expertise/Technical Competence of Manpower 49
8.4 Quality and Quantity of Training 50
9.0 Opportunities and Threats 51
10.0 Action Plan Enhancing Competitiveness 53
11.0 Performance Monitoring Scheme 55
12.0 Directory 57
Bibliography
Appendices
58
List of Tables
Page
Table 1 Accounting Services Industry Definition based on the
UN CPC Provisional Code 4
Table 2 Financial Services Industry Definition based on the
UN CPC Provisional Code 5
Table 3 Definition of accounting services industry based on
PSIC 6
Table 4 Definition of financial services industry based on
PSIC 6
Table 5 Accounting and Financial Services Industry Structure 7
Table 6 Average Monthly Wages Rates of Time-Rate
Workers on Full-Time Basis in Selected Industries &
Occupations-October, 1997 7
Table 7 Schedule of funds invested in financial activities 9
Table 8 Top 10 Leasing Companies Based on Total assets 10
Table 9 Top 10 Leasing Companies Based on Net income 10
Table 10 Market share of international credit cards 11
Table 11 Net Revenues of International Credit Cards 1998-
1999 (US$billion) 12
Table 12 Advertising Costs of Itnernational Credit Cards-1999 12
Table 13 Total Credit Cards‘ Issued 13
Table 14 Total Credit Cards’ Revenues 13
Table 15 Top Philippine Credit Card Companies 14
Table 16 Top 20 Brokers from January-November, 2000 15
Table 17 Top 10 Companies according to market
capitalization 16
Table 18 Forward linkage for accounting, auditing and
bookkeeping services 16
Table 19 Forward linkage for investment, financing and other
non-banking services 17
Table 20 Supply linkage for Bookkeeping, accounting and
auditing 17
Table 21 Supply linkage for investment financing, and other
non-banking services 18
Table 22 List of Auditing Firms servicing Top 1000
Corporations 30
Table 23 Deployment of Filipino Accounting Services Industry
Professionals, 1996-2000 31
Table 24 Deployment of Filipino Accounting Services Industry
Professionals, 2000 32
Table 25 US Market Sectors 1995-1999 (US$million) 33
Table 26 Market Share of Big Five Accounting Firms-1999 33
Table 27 Selected US Accounting Firms based on 1999
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Revenues 34
Table 28 US Market Forecasts of Accounting, Auditing and
Bookkeeping 2001-2004 35
Table 29 Sectoral Forecast 2000-2004 ( US$million) 35

Table 30 UK Market Forecasts of Accounting, Auditing and
Bookkeeping 2001-2004 36
Table 31 Percentage Share of Different Sources of Finance by
SMEs 36
Table 32 UK Market Forecasts 2001-2004 38
Table 33 UK Sector Forecasts 2001-2004 (US$million) 38
Table 34 Financial Performance of Top 10 Mutual Funds and
Brokerage 39
Table 35 Association-Regulatory Agencies 40
Table 36 Schedule of Services Offered by Local Auditing
Firms 43
Table 37 Training Needs Analysis 51
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List of Appendices
Page
Appendix A SWOT Analysis 70

Appendix B GATS Commitments in Financial Services
Industry 74
Appendix C GATS Commitments in Accountancy by Sub-
Sectors 77
Appendix D Philippine Code of Ethics 79
Appendix E PD-692 The Revised Accountancy Law 89
Appendix F Republic Act 8484 96
Appendix G PSE Rules and Regulations on Fees and
Commissions of Stock Brokers 105
Appendix H PSE Code of Conduct and Professional Ethics for
Traders and Salesmen 107
Appendix I GATS Commitments in Accounting and Financial
Services Industry(Selected Countries) 114
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Executive Summary
The accounting services industry has faced challenges since the 1990s.
Severe pressure have caused a re-examination of the roles of the industry in the
economy, the nature of services and processes used to serve clients and the
possible effects of liberalization on accounting services. At present, the industry
recognizes the future benefits of liberalization like the transfer of technology,
improved delivery of services and higher level of income. As the country moves
towards globalization, a long-term strategy must be considered in line with the
improvement of the accounting professionals to compete in the global market.
The finance services industry in the Philippines has greatly matured over the
past six years. Since 1994, government policies have reflected the previous
administration’s commitment to liberalize the financial sector. In spite of the
widespread speculation on the condition of the Philippine finance industry, analysts
claim the country’s economy still enjoys a good standing among international
investors. New foreign players have entered the market, resulting in the introduction
of new products and services.
Given this background, and taking into consideration the information

gathered from interviews and various primary and secondary sources, this paper
aims to:
1. determine the scope of the accounting and financial services industry
2. decribe the structure of accounting and financial services industry
identify the laws affecting the trade of accounting and financial services
industry
3. provide information on existing local and international associations and
their efforts towards enhancing competitiveness of accounting and
financial services industries
4. determine the existing and potential market in the industry
5. determine the degree of competitiveness of the Philippine accounting and
financial services industry
6. propose strategies and plans to enhance the competitiveness of the
Philippine accounting and financial services industry
7. identify strategies necessary in the implementation of a performance
monitoring scheme for the industry
Scope of the Industry
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The accounting services encompasses auditing, accounting, bookkeeping
and related services. Public accounting which comprises the audit and review
function adds credibility to financial information. The most prominent function of
which is the independent examination of a company’s financial statements and
supporting documents. Management accounting is another major category in
accounting services which provides business advice and direction on strategic,
tactical and operational decisions by drawing on financial data. Other accounting
services include: bookkeeping, income tax preparation, business valuations,
forensic accounting, tax compliance, investment advice, accounting system
organization and design and management advisory services.
A working definition of financial services industry is that group of institutions

that provides four categories of service:
• Obtaining funds which includes underwriting, investment banking
services, brokerage services and the provision of loans.
• Providing income for those with funds to lend or invest which include
deposit services, brokerage activities, money market funds, mutual funds,
life insurance and pension funds.
• Payments services include traditional payments services as well as credit
cards, bill-paying services and cash management services and
• Advice on the best way to get the services needed in the first three
categories
Structure of the Industry
Industry structure has a strong influence in determining competitive rules.

According to Porter, the state of competition in an industry lies on five basic
competitive forces, namely industry competitors, suppliers, buyers, potential
entrants and substitutes. Understanding how these forces behave may be crucial
in determining ways of promoting growth and enhancing competitiveness of the
industry.
Firms in the Industry. Unlike most professions, accountancy is largely

practiced at the level of firms or partnerships rather than individuals, with small-
scale firms predominant. The largest professional services firms are found in the
accountancy field. The very large accounting firms are known collectively as the
"Big Five" and these are Sycip, Gorres, Velayo and Co. (SGV); Joaquin Cunanan &
Co.; Punongbayan & Araullo; Laya, Mananghaya & Co. and CL Manabat and Co.
The Securities and Exchange Commission’s record as of December 31,

1999, show that financing companies with valid certificates of authority to operate
as financing company totaled to 179. Their total assets as of the same period
amount to P68.643 Billion or an increase of 32.47% compared to P51.816 Billion in
1998.
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The Credit Card Association of the Philippines (CCAP) is composed of 16
member card companies and one honorary member. These card companies are
Bankard,Inc., RCBC/JCB, Unibancard Corporation, BPI Card Corporation,
Hongkong Shanghai Banking Corporation, Ltd., PNB Visa, MBf Card, Inc., Standard
Chartered Bank, AIG Philam Bank, American Express International Inc., Citibank,
N.A., Equitable Card Network, Inc., Securities Diners International Corp. United
Overseas Bank and Union Bank of the Philippines.
The top twenty brokers from the period January to November, 2000 was
headed by ING Baring Securities (Phils), Inc with total shares traded amounting to
P64.2 billion. Among the top 20 stock brokers, eight are foreign stock brokers and
12 are local stock brokers. The eight foreign stock brokers are: ING Baring
Securities , Merrill Lynch Securities, DBS Securities, CLBA Philippines, ABN AMRO
Asia Securities, UBS Warburg Securities, Indoseuz W.I. Carr Securities and HSBC
Securities.
Customers. Sycip Gorres Velayo & Co. (SGV) remains to be the country's
largest auditing group preferred by at least 48.4% corporations who had made it to
this syear's Top 1000 corporations. SGV audited six of the 10 largest corporations
in the country, to wit: Manila Electric Company, Petron Corporation, Texas
Instrument (Philippines), Inc., Fujitsu computer Products Corp. of the Philippines,
San Miguel Corporation, and Nestle Philippines, Inc. SGV's share of the Top 1000
clientele shrank by 43 companies which was attributed to industry consolidation,
with companies either being merged or acquired by other companies.
Joaquin Cunanan & Co. placed second or had 12% share in terms of
auditing the Top 1000 corporations. Top companies audited by the firm were
Pilipinas Shell, Philippine Long Distance Company, Hitachi Computer Products
(Asia) Corporation, Bank of Philippine Island and NEC Computer Storage
Philippines.
In third place was Punongbayan & Araullo(P&A) which audited 56
companies. Among large companies audited by P&A were Coca-cola Bottlers
Philippines, Inc. Philippine National Bank, Intel Technology Philippines, Inc. Eac
Distributors, Inc.
Next in line was Laya Mananghaya & Co., which audited 29 companies
from the Top 1000. Large companies audited by Laya Mananghaya were Caltex
(Philippines) Inc. Philip Semiconductors Philippines, Inc., TEMIC Automotive
Philippines, Inc. and Siemens, Inc.
CL Manabat & Co. audited 18 companies, which include Subic Bay Fuel
Co.,Subic Bay Distribution, Sumitronics Philippines, Inc. FR Cement Corp. and the
Rohm Mecantile. On the other hand, other auditors garnered at least 1% share in
the Top 1000 corporation.(refer to Table 23)
Leasing is still a growing market since it is just being practiced in the

Philippines as compared to developed countries like the USA where leasing is
prevalent. The affiliation of the leasing/finance companies to banks and other
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financing institutions provide them with better and larger marketing network which
will bring in more clients.
As per Securities and Exchange records, the revenues earned by the leasing
industry as of December 31, 1999 amount to P7.412 billion, an increase of 20.57% as
compared to 1998 figure of 6.147 billion. The industry's gross revenues of P5.9678 billlion
were derived from discounts fee, leasing income, interest on direct lending, trading and
interest income.
The credit card industry posted a growth of 23.3 percent in the past six
years, recording a total of 3.12 million card base by year 2000. Industry value
reached P100 billion by the year 2000, growing by 25.9 percent over the same
period. Merchant affiliation numbered 30,000 across the nation and with linkages
with American Express Card, Diners, JCB, MasterCard and Visa. Nowadays, the
credit cards are accepted in at least 14 million merchants internationally.
Furthermore, there are 20,000 terminals installed nationwide where the cardholders
are assured of fast processing of transactions which leads to employment of 3,496
personnel.
Data from the Philippine Stock Exchange revealed that the financial reports
of broker-dealers disclosed P22.254 billion in total assets and P8.747 billion in total
capital as of year 1999. Equity market capitalization expanded to P1.937 billion, a
surge of 41.1 percent from the previous year’s market capitalization. Trading
turnovers at the Philippine Stock Exchange performed vigorously as average daily
trading volume grew by 227.1 percent to 3.780 billion shares with value of
P3.111billion, up by 89.6 percent. The year marked a milestone in the history of the
Philippine Stock Exchange as two of its five debutantes in 1999, Manulife Financial
Corporation (MFC) and ABS-CBN Holdings Corporation (ABSP), were the first of
their kind to be listed at the Exchange
Employment. According to National Statistics Office, there are 101 firms

under the accounting services industry, employing a total of 9,997 personnel. In
1997, the financial services industry on the other hand,(leasing, factoring, credit
cards and stock brokering) consists of 1,025 firms, with total employment of
59,742.
Filipino CPAs connected with Philippine auditing firms are assigned to work
abroad for specific projects. These specific projects are given by the "Big 5" abroad
who is directly in charged of these clients. These foreign clients are not clients of
the local CPA firms.
Special projects of foreign auditing firms are filled up by auditing staff from
the Philippines. The audit staff does not become an employee of the foreign firm.
He remains to be an employees of the Philippine firm. The special project takes the
form of formal training given to the employee by the local firm. These special
arangements materialize because of the affiliation of the Philippine auditing firm
with the
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In the last five years accountants and other related workers worked abroad
averaged to eight hundred thirty four per year. Most of these professionals and
related workers during the five- year period were deployed to United Arab Emirates,
Saudi Arabia, Kuwait, Saipan, Brunei, Bahrain and the United States. In year 2000
, the country deployed 852 persons with the following employment status: Manager,
Budgeting and Accounting - 11; Bookkeepers and cashiers -518; Bookkeepers,
cashiers and related workers- 61; bookkeeping and calculating machine operators-
2 and 260 accountants. The accounting and other accounting related jobs were
deployed in various places overseas. 410 were in United Arab Emirates, 129 in
Saudi Arabia and 57 in Brunei.
Laws Hindering/Facilitating
In the Philippines, the following are some of the legislations and

administrative policies affecting the access of foreign players in the country as well
as an overview into the different commitments of different countries under GATS
that affects access of the country to different foreign markets
The accountancy profession has been highly regulated for a long time in
most countries. As with many other professional services, regulations applied to
accountancy services are mainly intended to protect consumers to ensure the
quality of services and prevent conflicts of interests. The greatest trade-related
concern is the fact that the accounting profession is often regulated in different
ways between or within nations.
In addition, professional services have subject to extensive direct and

indirect government regulation. The direct form of regulation occurs through the
actions of formal government agencies. The indirect form of regulation occurs
when governments delegate professional organizations many of the regulations
roles , but even with such delegations many the ultimate regulatory powers are still
held by the governments.
The Code of Ethics prohibits the CPA to advertise his professional

attainments or service, except in stating qualifications in applications for
employment. However publication of authorship of books, technical reports and
studies, lectures or papers delivered in conferences and seminars and similar
activities which are beneficial to the profession as a whole are not considered
advertising.
In the Philippines, foreign accountants are not allowed to be partners in a
Philippine accounting firm or, in most instances, to engage in accounting in the
Philippines. As a result, foreign accounting firms usually must affiliate with a local
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auditing firm in which they hold no equity. In addition, such local auditing firms are
limited in their ability to use the international name of the firm.
Foreign accountants are permitted to practice in the Philippines, however,
provided that they have been resident for three years, have passed the licensure
examination, and have come from home countries that afford reciprocity. Another
means by which foreign professionals may enter the Philippines is the presence of
foreign reciprocity provisions in the laws governing the practice of a specific
profession. These conditions make it easier for foreigners in certain professions to
enter the Philippines.
At present, Batas Pambansa Blg. 178 or otherwise known as the Revised

Securities Act is an act regulating the securities market. However, with the
changes occurring globally, there is a need to align the country’s securities market
with these new developments.
Financial equipment leasing is supervised by the Securities and Exchange

Commission (SEC) but is regulated by the Bangko Sentral ng Philipinas (BSP) on
monetary matters in accordance with the provisions of the Finance Company Act of
1969.
Though there is no specific legislation on leasing in the country, Philippine
leasing and finance companies operate according to the provisions laid out in the
Civil Code of the Philippines Republic Act 386 Articles 1643-1644, The Rules and
Regulations of Republic Act No. 5980, otherwise known as the Financing Company
Act of 1969, and Revenue Regulations No. 19-86. Article 1643 of the Civil Code of
the Philippines defines the concept of leasing in the country. The Finance
Company Act establishes the supervising authority of the SEC over the leasing
industry while Revenue Regulations No. 19-86, as formulated by Philippine
Association of Finance Companies, Inc. (PAFCI) and the Bureau of Internal
Revenue, details the major differences of an operating lease, finance lease and a
conditional sale, explains the accounting and tax treatment of lease transactions
and establishes the depreciable life of leaseable assets for accounting purposes.
Foreign Market Demand and Competition
The countries with GATS commitments in accountancy services: Austria,

Belgium, Denmark, Finland, France, Germany, Greece, the Netherlands, Ireland,
Italy, Luxembourg, Portugal, Spain, Sweden, and United Kingdom. All countries
made commitments in accounting, auditing and bookkeeping services. France,
Greece and Italy remain unbound with respect to the cross-border supply of
accounting and bookkeeping services.
In France, the commercial presence of accounting and bookkeeping service

providers can only take place through a SEL (limited liability or limited partnership) or SCP.
In France, for statutory audits, commercial presence can take place through any company
form except SNC, SCS, and secondary offices. In Ireland, the provision of auditing
services must be through partnerships only.
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The United States made commitments in accounting, auditing and
bookkeeping. Other than barriers caused by domestic regulation, the United States
has relatively few restrictions on trade in accountancy services. For market
access, sole proprietorships or partnerships are limited to persons licensed as
accountants, except in Iowa where accounting firms must incorporate. For market
access of natural persons, an in-state office must be maintained for licensure in
Arkansas, Connecticut, Iowa, Kansas, Kentucky, Michigan, Minnesota, Nebraska,
New Hampshire, New Mexico, Ohio, Vermont and Wyoming. U.S. citizenship is
required for licensure in North Carolina.
Market Demand. The UK market for accounting, auditing and bookkeeping

has grown by 1.3% since 1998 to reach a value of £ 10.1 billion (US$16.4 billion) in
1999. Auditing remains the largest sector of the market, followed by accounting for
fifty five percent of the total fee income in 1999. On the other hand, the market in
UK is forecast to grow by 3% from 1999 to 2004 to reach £10.4 billion (US$16.9
billion) in fee income in 2004.
In 1994, sales by foreign affiliates of U.S. accounting firms totaled $5.7
billion, while purchases totaled only $1.6 billion. European affiliates of U.S.
accounting firms generate by far the greatest share of total sales by foreign-based
accounting affiliates. In 1994, European-based affiliates of U.S. firms captured 70
percent of total sales, surpassing affiliates in Canada, with 12 percent; and Japan
and Australia, each with 4 percent.
The U.S. cross-border exports of accounting, auditing, and bookkeeping
services totaled $178 million in 1995, and U.S. cross-border imports totaled $141
million, resulting in a $37-million surplus. During 1990-95, the average annual rate
of growth in U.S. imports, measuring 20 percent, exceeded that of exports,
measuring 8 percent.
The US market for accounting, auditing and bookkeeping grew from
US$10.4 in 1998 to US$84.4 billion in 1999. The total market value increased to
seventy percent as information technology increased in complexity. In response to
growing market competition, the leading accounting firms have moved into high-
margin consultancv services.
The UK market for credit and charge cards has grown by 13% since 1998
to reach a value of nearly £165 billion (US$260 billion) in 1999. The UK credit and
charge card market is the most profitable in Europe. In 1999, over 85% of adults in
the UK had some form of financial plastic card, compared with 73% in 1991.
The top 1000 issuers of Visa and MasterCard credit cards accounted for
nearly US$1.7 trillion in combined volume of cardholder purchasers worldwide in
1999. Morgan Stanley Dean Witter & Company’s net revenue reached US$33.9
billion in 1999, a 9.0% increase from 1998. American Express Company’s net
revenues on the other hand rose to US$21.3 billion in the same period.
The market in the US is forecast to grow 48.6% over the forecast period to
a value of US$142.4 billion in 2004. Success in the market is expected to become
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more market driven then in the past, forcing companies to adapt to shifting demand
rather than rely on a relatively static code of regulation. Increasing globalization of
the economy is affecting the worldwide accounting profession to both understand
and respond through international accountancy bodies.
In the article written on financing of small firms in United Kingdom, Lund

(1998) identified the sources of external finance by small and medium companies in
UK. The percentage share of different sources of finance, the percentage share of
finance during 1987-90 and 1995-97 shows an impressive shift. The share of
leasing has grown from 16% (1987-90) to 27.1%(1995-97).
Data published in Leaseurope revealed that in 1998, the number of leasing

players in Europe came down from 1212 to 1035. However in the same year, the
business volume grew from 104.1bn euros in 1997 to 117.3bn euros in 1998, a
growtn of 112.6%. United Kingdom leads the European market with a market share
of 37.8% of the market. Germany ranks second with a share of 20%, France 11.2%
and Italy 7.8%.
According to the survey released by Equipment Leasing Association (ELA),
United States indicates that the market acceptability of leasing is growing, most
especially in the equipment and computer segment. 70% of the respondents
pointed out that they would like the company to provide maintenance. This value
added services may be considered as the key to differentiating between various
provided of leased equipment. American leasing has grown about 20% in year
1998. The bank-lessors reported a growth rate of 35.8%, independent leasing
companies reflected a 17.7% increase while captive leasing companies showed a
10.5% increase. The study stated further that leasing company had stable
profitability and that average return on assets was 1.4% and average return on
equity was 12.5%.
Industry Associations
The Securities and Exchange Commission (SEC) and the Bureau of Internal
Revenue(BIR) were established in 1939. They required the submission of financial
statements audited by CPAs. Other regulatory bodies like the Commission on Audit
and the Bangko Sentral ng Pilipinas require also the submission of audited
financial statements. The Accounting Standard Council and the Auditing Standard
and Practice Council were formed to oversee the promulgation of accounting and
auditing standards used by auditing firms.
Most of the business services sectors have an industry associations.

Association vary widely in the services provided to members, but most offer staff
training programs, a directory of experts in member firms available for consultation,
and client referral services.
In the professional services sector, several recognized industry associations
have assisted the Professional Regulation Commission (PRC) in the
implementation of the continuing professional education program, and have served
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as members of the different professional boards that administer the licensure
examinations. Through these activities, the industry associations have contributed
significantly to the upgrading of the different professions in the country.
The Credit Card Association of the Philippines created a Credit Bureau Task
Force to draft standardized credit policies. Based on interview conducted, the
association will make every effort to prevent card fraud which comprises low rate
as compared to Asia Pacific countries. The association plans to provide security to
its clientele by introducing the use of chips in the credit cards which will replace the
traditional magnetic stripes within five years.
Moreover, many industry associations have successfully lobbied for the

passage of certain laws that benefit their respective industries, and have strongly
opposed certain measures detrimental to their membership. Some of these
associations were instrumental in the formulation of laws/policy affecting their own
sector.
Quality and quantity of Training
Interviews with auditing firms show that firms have their own training
programs on technical training, professional development training and industry and
functional training. They have local and foreign speakers. Their training programs
are offered to the different levels in the audit staff from partners to junior auditors.
Training needs are addressed by levels. The division in charged is the training and
CPE Division.
Training programs are usually grouped into technical training, professional

development training and industry and functional training. Technical training
programs cover manager's awareness program and business awareness program.
Professional development program cover skills development modules and support
courses. Industry and functional training provides knowledge, skills and abilities
needed to service client effectively for each industry and functional group.
Opportunities and Threats
Accounting
Opportunities. Accounting services industry provides to CPA firms through

the supply of well-trained and motivated CPAs from several hundred colleges and
programs in accounting. social forces in the form of opportunities to work abroad
on additional projects are provided by the "Big 5" firms. There are vast
opportunities opened to CPAs in the public practice. This will provide more
exposures and experiences and will improve their communication skills.
Technological factors like development in information technology will provide
venues for more training to employees to keep abreast of new services like
assurance services. In addition, foreign consultants can provide us better transfer
of technology. The economic growth of a country create greater economic
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transactions and establishment of commercial firms that need accounting services.
Political factors affecting the accounting profession like liberalization of professional
services. This will expand markets here and abroad. Furthermore, growth in the
Asia-Pacific region and the commitment of Asia Pacific countries under GATS
devote an increase in the demand for accounting services.
Threats. The accounting services industry expect threats arising from social
factors like feeling less superior to foreign consultants and the fear that CPAs will
seek employment abroad through the foreign projects given them. Technological
factors like the reduction of employment of CPAs due to the introduction of the
paperless audit and dependence on IT. The economic factor of competition with
foreign CPAs and foreign consultants will affect economic status of the accounting
services industry. Another hindrance is the difficulties of small accounting firms in
penetrating the market . Finally, the political factor on the ultimate liberalization of
auditing services will affect employment of CPAs, obsolescence of manual
operations and procedures due to advanced technological requirements
Financial Services
Opportunities. Financial services industry provides opportunities in terms

of economic growth. Economic growth is measured in terms of greater savings
which are used for diversification of assets. Another opportunity is the need for
cash flow improvement arising from vibrant economic activities, thus creating
demand for financial services. The commitment of Asean and Pacific countries to
GATS on the liberalization of the financial sector causes reforms in the securities
market. This reforms require more disclosures which can make the Philippines a
safe and stable site for financial services. Opportunity on the technology side, point
out that the knowledge and user of technology facilitate leasing, factoring, credit
cards and stock broking activities. This knowledge increases efficiency in the
delivery of these financial services. The economic factor of improving the buying
capacity are facilitated by leasing, factoring, credit cards, and stock broking. They
provide temporary facility in the use of credit buying. Politically, opportunities to
understand the adverse effects of bankruptcy laws open our eyes to such situations
like making good all obligations arising through leasing, credit cards, and stock
broking. Finally, the improvement in the credit standing of the country increases the
inflows of capital and the need for financial services.
Threats. Dependence on debt to improve one's standing in the community.

Educating takers of these measures will be advised to proper use of leverage.
Other threats include macroeconomic instability, huge cost of IT infrastructure,
political instability and international perceptions. High budget on IT would deplete
budget and other necessary programs. Balancing of all budgetary needs should
take into consideration like magnitude of transactions affecting IT.
Recommendations:
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Accounting
Marketing
• Affiliate with international accounting firms and allow regional accreditation with
the "Big Five". These international accounting firms provide more opportunities
in terms of transfer of technology, more projects for local auditing firms and
sharing of technology and knowledge updates.
• Explore new services for the firm like assurance services, information and
communication technology, corporate finance, outsourcing, and sustainable
accounting. Assurance services require assurers to become more
knowledgeable in user decision processes and relevance enhancement
activities.
• Create niches for small auditing firms like doing training in less developed
countries, doing outsourcing, doing business research, doing entrepreneurial
ventures and information technology software in accounting. These are
activities that can be done by small auditing firms in order to have market
access.
Operations/Technology
• Optimize technical knowledge and application of information technology.
• Preparing clients and staff or paperless auditing is a must.
• Government should help in making technology affordable through tax
reductions in software and hardware acquisitions.
Human Resources
• Invest more on training programs for people. Human capital development in the
long-run reduces training costs. Trainees must see their true value in the
company.
• Improve the quality of accounting profession in a wider coverage such as
management and financial accounting.
• Joint efforts of academe, government, and industry in the improvement of
human capital.
Finance
• Provide enough budget for IT equipment and continuing professional program.
• E-Commerce has strong implication on accounting and auditing. Continuing
professional programs will enhance staff competencies need in a globalized
accounting environment.
Laws
• Update the Accountancy Law, Code of Ethics, Accounting and Auditing
standards
• Awareness of existing regulations and providing trainings for regulators.
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• Allowing web site advertisements for accounting firms.
• Study the feasibility of incorporating a partnership.
Monitoring
• Strengthen the cooperation among small auditing firms through the creation of a
formal organization of small auditing firms.
• Strengthen the professional organizations(PICPA, ACPAPP,ACPAE,etc.)
• Recommend peer /practice review among auditing firms.
• Monitor curricular offerings to meet the current demands of industries, new
services for the accounting services industry, inclusion of computer application
in accounting subjects.
• Envision a discipline which is not limited only to accountancy.
Financial Services
Marketing
• Create selling systems which are customer-oriented. Selling systems which are
customer-focused answers the call for globalization. In globalization, there is a
shift of advantage from the provider of services to the user of financial services.
Increase the clientele base through personalized services to customers.
• Conduct research on improving services to cope up with changes in selling
needs and changes in technology.
• Conduct campaign to educate the users on leasing and factoring activities.
• Use selective extension of credit to customers based on worthiness of client.
• Market products through advanced technology processes. Through internet
transactions, services will reach the customers faster. Prompt statement of
accounts can be sent to them. E-commerce application on collection and
payments must be studied.
• Provide enough budget for computerization of client's transactions.
Human Resources
• Seek more government agencies and associations assistance through offering
of more meaningful services or selling services, interpersonal relationships and
updates on laws that affect the industry.
Finance
• Provide more control to cater to the needs of the financing services sector.
More capitalization responds to the credit needs with more reasonable interest
rates to cater to customers.
73
Laws
• Educate users of fraud, securities and bankruptcy laws, thus compliance will be
assured.
• Follow- up any position papers filed by associations concerning tax-related
matters.
• Improvement of tax system.
Monitoring
• Monitor performance of the industry through more aggressive intervention of
association of financial services
• Set up own internal audit or recommend external audit of finance companies,
brokers and credit card distributors. Internal and external audit
74
An In-depth study on the Accounting and Financial
Services Industry in the Philippines.
“Whenever the advance of civilization brought about the necessity of one man being
entrusted to some extent the property of another, the advisability of some kind of
check upon the fidelity of the former would become apparent.”
Richard Brown
Introduction
The first public accounting firms were formed in the beginning of the 20th
century by British chartered accountants. They were followed by American CPAs.
After which, some Filipinos obtained CPA certifications in the United States. It
was in 1923, where formal recognition was given to the professions with the
enactment of the Accountancy Law.
The accounting services industry has faced challenges since the 1990s.
Severe pressure have caused a re-examination of the roles of the industry in the
economy, the nature of services and processes used to serve clients and the
possible effects of liberalization on accounting services. At present, the industry
recognizes the future benefits of liberalization like the transfer of technology,
improved delivery of services and higher level of income. As the country moves
towards globalization, a long-term strategy must be considered in line with the
improvement of the accounting professionals to compete in the global market.
The practice of accountancy in the Philippines has since then been the sole
privilege of Filipino citizens. However, The General Agreement on Trade &
Services (GATS), The Asean Framework Agreement on Services (AFAS), and The
Bogor Declaration of the member countries of Asia-Pacific Economic Cooperation
(APEC) are the three developments that may liberalize the practice.
The finance services industry in the Philippines has greatly matured over the
past six years. Since 1994, government policies have reflected the previous
administration’s commitment to liberalize the financial sector. In spite of the
widespread speculation on the condition of the Philippine finance industry, analysts
claim the country’s economy still enjoys a good standing among international
investors. New foreign players have entered the market, resulting in the introduction
of new products and services.
One special feature of the financial service sector is that its product is a
service. Services are not internationally traded in the same way as goods, and for
that reason, domestic financial-service providers face a different form of foreign
competition than an industry producing goods. It cannot be protected against
foreign competition by border measures, as can producers of goods. Services,
75
being intangible, often cannot be sent from one place to another. The outcome of a
service can be dispatched, but not, usually the service itself. Furthermore, the
financial sector is heavily regulated, for both fiduciary and monetary -policy
purposes
Given this background, and taking into consideration the information

gathered from interviews and various primary and secondary sources, this paper
aims to:
8. determine the scope of the accounting and financial services industry
9. present the industry structure in both the international and local setting
10. identify the laws affecting the trade of accounting and financial services
industry
11. provide information on existing local and international associations and
their efforts towards enhancing competitiveness of accounting and
financial services industries
12. provide information on the market potential and demand in the Asia
Pacific, Europe, North America and other regions worldwide
13. identify training needs that could enhance competitiveness of the
accounting and financial services industry
14. identify opportunities and threats faced by the accounting and financial
services industry
15. determine the degree of competitiveness of the Philippine accounting and
financial services industry
16. propose strategies and plans to enhance the competitiveness of the
Philippine accounting and financial services industry
17. identify strategies necessary in the implementation of a performance
monitoring scheme for the industry
1.0 The Industry
Accountancy offers the opportunity for challenging and rewarding careers in

public accounting, industry and government. Most accountants develop client base
with a concentration in one or more key industries. CPAs choosing an auditing
career in a public accounting firm will progress from starting position of staff
assistant, senior auditor, to manager and then to partner. CPAs develop expertise
in accounting, auditing and in giving unbiased advise about various topics to
improve business performance.
Accountancy has an essential role with respect to the implementation and

enforcement of prudential requirements and other financial regulatory measures.
The range of activities undertaken by accountancy firms is also wide and
expanding. Based on the article Panorama of EU Industry 1997, a European
Commission publication, "There is no strict correspondence between accountancy
services and the field of activity of the accounting profession". This is due to the
fact that the skills developed by accountancy professionals in order to produce,
76
process, analyze or audit financial information can also be used for other purposes.
The outcome has been a major expansion into such areas as taxation services and
management consulting.
The Financial services industry generates about $2 trillion a year in

revenues, according to several trade groups, more than 20 million people work in
the industry, which encompasses securities, insurance and other financially related
concerns.
Financial services companies earn money in a wide variety of ways, though

most revenue tends to come from fees-assessed either as a percentage of a
transaction or as a repeating monthly or yearly charge.
1.1 Definition
The accounting services encompasses auditing, accounting, bookkeeping

and related services. Public accounting which comprises the audit and review
function adds credibility to financial information. The most prominent function of
which is the independent examination of a company’s financial statements and
supporting documents. Management accounting is another major category in
accounting services it provides business advice and direction on strategic, tactical
and operational decisions by drawing on financial ata. Other accounting services
include: bookkeeping, income tax preparation, business valuations, forensic
accounting, tax compliance, investment advice, accounting system organization
and design and management advisory services.
The skills developed by the accountancy professional have practical

application in many areas. As a result, accounting firms are expanding the services
they offer to include taxation and legal services as well as management consulting.
In addition, accounting firms are becoming among the largest suppliers of
information technology consultancy services since this was an area of internal
expertise and is complementary to establishing accounting systems. The result is
that the domain of accountancy services is defined differently in different countries
and the boundaries with other regulated professions or non-regulated service
providers are increasingly blurred.
A working definition of financial services industry is that group of institutions

that provides four categories of service:
• Obtaining funds which includes underwriting, investment banking services,
brokerage services and the provision of loans.
• Providing income for those with funds to lend or invest which include deposit
services, brokerage activities, money market funds, mutual funds, life insurance
and pension funds.
• Payments services include traditional payments services as well as credit cards,
bill-paying services and cash management services and
77
• Advice on the best way to get the services needed in the first three categories
United Nations Central Product Classification (UN CPC)
The scope of the Accounting and Financial Services is usually defined based
on the World Trade Organization Sectoral Classification. This definition
corresponds to the United Nations Central Product Classification (UN CPC). The
Philippine classification and definition is also presented in this section to aid in the
analysis of the Philippine Accounting and Financial Services Industry.
Based on the UN Provisional Code, accounting, auditing, bookkeeping

services and financial services falls under “Business Services" of the Services
Sectoral Classification List . The corresponding classification number under the
United Nations' "Provisional Central Product Classification"(CPC) is 862. Under the
Provisional CPC, the category of "Accounting, auditing and bookkeeping services"
(CPC 862) is further sub-divided, as follows:
Table 1. Accounting Services Industry Definition based on the UN CPC

Provisional Code
Accounting and Coverage
auditing services
Financial Examination services of the accounting records and other supporting
auditing services evidence of an organization for the purpose of expressing an opinion as to
(86211) whether financial statements of the organization present fairly its position
as at a given date and the results of its operations for the period ended on
that date in accordance with generally accepted accounting principles.
Accounting review Reviewing services of annual and interim financial statements and other
services (86212) accounting information. The scope of a review is less than that of an audit
and therefore the level of assurance provided is lower
Compilation services of Compilation services of financial statements from information provided by
financial statements the client. No assurances regarding the accuracy of the resulting
services (86213) statements are provided. Preparation services of business tax returns,
when provided as a bundle with the preparation of financial statements for
a single fee, are classified here.
Exclusion: Business tax preparation services, when provided as separate
services, are classified in sub-class 86302 (Business tax preparation and
review services).
Other accounting Other accounting services such as attestations, valuations, preparation
services (86219) services of pro forma statements, etc.
Bookkeeping services Bookkeeping services consisting of classifying and recording business
except tax returns transactions in terms of money or some unit of measurement in the books
(86220) of account.
Exclusion: Bookkeeping services related to tax returns are classified in
subclass 86302 (Business tax preparation and review services).
Source: (http://esa.in.org/unsd/cr/registry/regcst.asp)
On the other hand, the financial services industry under study only covered
the following subsectors: financial leasing, credit cards, factoring and stock
78
brokering. These are categorized under “ Financial Intermediation and auxiliary
services" (CPC 811) which is further sub-divided, as follows:
Table 2. Financial Services Industry Definition based on the UN CPC

Provisional Code
Financial Services Coverage
Financial leasing Leasing services where the term approximately covers the expected life of
services (81122) the asset and the lessee acquires substantially all the benefits of its use
and takes all the risks associated with its ownership.
Exclusion: Operational leasing services are classified in division 83,
according to the goods leased.
Other credit granting
services (8113)
Credit card services Services consisting of financing the purchase of products by granting
(861133) point-of-sale credit using plastic cards or tokens.
Services related to
securities markets
( 8132)
Securities broking Services of intermediaries between two or more parties engaged in buying
services (81321) and selling securities.
Securities issue and Administrative services related to the issue and registration of securities,
registration services e.g. provided in issuing stocks or bonds.
(81322)
Portfolio management Portfolio management services on behalf of clients including decisions

services (81323) about the content of the portfolios.
Exclusion: Advisory services on personal financial planning not involving

decision-making on behalf of clients are classified in subclass 81332
(Financial consultancy services).
Other services related to Information services on stock quotations and information dissemination
securities (81323) services through documents or electronic means. Other services related
to securities markets, not elsewhere classified.
Source: (http://esa.in.org/unsd/cr/registry/regcst.asp)
Philippine Standard Industrial Classification (PSIC)
The National Statistics Office used the Philippine Standard Industrial

Classification (PSIC) as a basis for the classification of industries and the sub
sectors. The accounting services is classified under miscellaneous business
activities. The definition of this sub sector follows:
79
Table 3 Definition of accounting services industry based on PSIC
Division 74
Miscellaneous Coverage
Business Activities
Legal, Accounting, This group includes
Bookkeeping and • the accounting of commercial transactions for business or others
auditing activities, tax • preparation of financial accounts, examination of financial
consultancy accounts and the certification of their accuracy
• Preparation of personal and business income tax returns
• Related advisory activities and representation on behalf of clients
before tax authorities.
Exclusion: Data processing tabulation activities are classified in group 724

(data processing) activities involving management consulting, by units that
do not provide accounting and auditing services, e.g. design of accounting
systems, cost accounting programs, budgeting procedures, etc. are
classified in class 7414 (business and management consulting activities).
Bill collection is classified in class 7499)
Sources: 1994 Philippine Standard Industrial Code
Under the Philippine Standard Industrial Classification, the financial leasing,

factoring, credit cards and stock brokering are classified under non-bank financial
intermediation, n.e.c.
Table 4. Definition of the financial services industry based on PSIC

Financial Coverage
Intermediation PSIC
82309
Non Bank Financial Leasing where the term approximately covers the expected life of the
Intermediation,n.e.c asset and the lessee acquires substantially all the benefits of its use and
(Group 669) takes all the risks associated with its ownership. The assess may or may
not eventually be transferred.
Financial Leasing
services (Subclass Exclusion: Leasing and renting of real property are classified in division
66970) 70 (real estate activities) Operational leasing classified in division 71
(renting of machinery and equipment without operator and of personal and
household goods) Fund management activity is classified in class 6702
(pension funding/fund management). Non-financial cooperatives are
classified in the major activities they are engaged in.
Activities Auxiliary to This group includes dealing in financial markets on behalf of others (e.g.
financial intermediation, stock broking) and related activities.
except insurance and
pension funding (Group Exclusion: Dealing in markets on own account. Is classified in Class 6693
681) (securities dealership/brokerage).
80
Other credit granting, This group includes credit card activities.
n.e.c. (Group 661)
Sources: 1994 Philippine Standard Industrial Code
1.2 Structure
According to National Statistics Office, there are 101 firms under the
accounting services industry, employing a total of 9,997 personnel. In 1997, the
financial services industry on the other hand,(leasing, factoring, credit cards and
stock brokering) consists of 1,025 firms, with total employment of 59,742.
Table 5. Accounting and Financial Services Industry Structure

Description Accounting Financial Services
Number of firms 101firms 1,025 firms
Employment 9,997 people 59,742 people
Gross Revenue P1.334 billion P121.487 billion
Total Labor Compensation P2.728 billion P7.101billion
Source: National Statistics Office
In 1997, the wholesale trade industries employed 4,512 accountants,

auditors and bookkeeping clerks with an average monthly salary of P10,593.
Table 6. Average Monthly Wages Rates of time-Rate Workers on Full Time

Basis in Selected Industries & Occupations- October, 1997
Description Time-Rate Workers on Average Monthly Wage Rates
Full time Basis (PhP)
Wholesale Trade and Commission Trade except motor vehicles and motorcycles
Accounting & Bookkeeping Clerks 2,545 7,845
Accountants and Auditors 1,967 13,341
Retail Trade except motor vehicles and motorcycles
Accounting & Bookkeeping Clerks 1,147 7,950,
Hotels & Restaurants
Accounting & Bookkeeping Clerks 799 10,229
Banking Institutions except central banking
Accountants and Auditors 329 13,197
Bookkeepers 180 9,743
Insurance and Pension Funding, except Compulsory Social Security
81
Accounting, Bookkeeping and Auditing Activities, Tax Consultancy
Bookkeepers 61 9,441
Source:1998 Yearbook of Labor Statistics
Unlike most professions, accountancy is largely practiced at the level of firms

or partnerships rather than individuals, with small-scale firms predominant. The
largest professional services firms are found in the accountancy field. The very
large accounting firms are known collectively as the "Big Five" and they employ
thousands of professionals internationally. The "Big Five" are Arthur Andersen,
operating in 78 countries with a staff of 60,000; Deloitte Touche Tohmatsu, present
in 132 countries with over 82,000 employees; Ernst & Young International, also in
132 countries with over 82,000 employees, KPMG International, located in 155
countries with over 85,000 employees,; and PriceWaterhouseCoopers, active in
152 countries with over 140,000 employees.
The internationalization of accountancy firms has reflected that of the clients

they serve. The increased globalization of both goods and services markets will
promote continued growth in the practice of international accounting. The high level
of recent mergers within the accounting profession reflects a belief in the
competitive advantages of being able to offer clients a wider range of services,
together with broader geographic coverage.
International accounting services may include the following:
o Providing services domestically to domestic clients on foreign issues

(e.g. advice on foreign taxation);
o Providing services abroad to domestic clients on foreign issues (e.g.

investigations of potential foreign acquisitions);
o Providing services abroad to foreign permanent establishments of

domestic clients (e.g. performing the locally-required statutory audit of
a foreign subsidiary);
o Undertaking the foreign element of services provided domestically to

domestic clients (e.g. auditing a foreign subsidiary for the purposes of
issuing a domestic audit report on the consolidated financial
statements of a domestic parent company);
o Providing services abroad to foreign clients on domestic issues (e.g.

advice on domestic taxation to a foreign company);
o Providing services domestically to domestic permanent

establishments of foreign clients (e.g.performing the statutory audit of
a domestic subsidiary of a foreign parent company);
82
o Undertaking the domestic element of services provided abroad to
foreign clients (e.g. audit a domestic subsidiary for the purposes of
issuing a foreign audit report on the consolidated financial statements
of a foreign parent company); and
o Providing services abroad to foreign clients on foreign issues (e.g.

acting as liquidator for an insolvent foreign company).
Rather than parent firm/subsidiary relationships, world-wide networks have

been formed between independent domestically owned firms. The large networks,
like that of the "Big Five", have been created to overcome the effects of restrictive
national regulations, including local qualification and licensing requirements.
However, such networks may not necessarily be the most efficient management
and organization structures for the delivery of accountancy services. Small and
medium-sized firms are often placed at a comparative disadvantage because they
do not have the resources to form large networks. Individual accountancy
professionals are likely to be even more disadvantaged, especially those from small
and developing countries.
Financing Services The Securities and Exchange Commission’s record as

of December 31, 1999, show that financing companies with valid certificates of
authority to operate as financing company totaled to 179. Their total assets as of
the same period amount to P68.643 Billion or an increase of 32.47% compared to
P51.816 Billion in 1998. On the other hand, total liabilities amounted to P48.805
Billion in1999, an increase of 40.22% as compared to P34.807 Billion in 1998. The
industry capital stock as of the 1999 increased by P3.315 billion from P623 Billion in
1998. Net income obtained from the same period increased by P623 million to
P1,203 billion. Funds invested in financing activities, trading account securities,
investment in bonds and other debts instrument and equipments and equipment
and other properties for lease constitute 67.88% of the industry's total assets of
P68.643, to wit:
Table 7. Schedule of funds invested in financial activities

Description Amount (In million) %to Total Assets
Receivable financed P35,366 51.52%
Trading Account Securities 7,435 10.83%
Investment in bonds and Other Debt instruments 2,216 3.23
Equipment and Other Properties for Lease 1,579 2.30%
Total P46,596 67.88%
Source: Securities and Exchange Commission, 1999
Philippine Finance Association
Leasing. Leasing is still a growing market since it is just being practiced in the
Philippines as compared to developed countries like the USA where leasing is
prevalent. The affiliation of the leasing/finance companies to banks and other
83
financing institutions provide them with better and larger marketing network which
will bring in more clients.
Based on Republic Act 8556, companies acting as lessors in financial

equipment leasing are required to have a minimum capital as follows:
P10,000,000 for companies operating in Metropolitan Manila, P5,000,000 for
companies operating in First Class Cities, P2,500,000 for companies operating in
Second Class Cities and First Class Municipalities, P1,000,000 for companies
operating in Third Class Cities and Second Class Municipalities, P500,000 for
companies operating in Fourth Class Cities, Third Class Municipalities and below.
However, leasing companies, with valid licenses as of 11 February 1986, were
allowed to continue operation even with a P500,000 capital.
As per Securities and Exchange records, the revenues earned by the leasing
industry as of December 31, 1999 amount to P7.412 billion, an increase of
20.57% as compared to 1998 figure of 6.147 billion. The industry's gross revenues
of P5.9678 billlion were derived from discounts fee, leasing income, interest on
direct lending, trading and interest income.
The industry's expenditures for the period ended December 31, 1999
amounted to P5.586 Billion. These expenses consist of interest/finance charges on
borrowed funds, compensation/fringe benefits, provisions for probable losses, taxes
and licenses, income tax, depreciation/amortization, litigation expenses,
management and other professional fees and other expenses. These amounted to
P5.512 billion or 98.68% of the total expenses.
Based on the firms’ resources for the period ended December 31, 1999, the
top ten (10) leasing companies were as follows:
Table 8. Top 10 Leasing Companies Based on Total Assets (In ‘000)

Rank Name of Company Total Assets %
1 BPI Capital Corporation 13,562,653 28.77
2 All Asia Capital & Trust 11,667,608 24.75
3 BPI Leasing Corp 4,660,855, 9.89
4 All Asia Capital & Trust 3,506,806 7.44
5 UCPB Leasing & Finance 3,467,124 7.35
6 FEB Leasing & Finance 3,155,733, 6.69
7 BPI Card Finance Corp 2,887,039 6.12
8 Phil Comm. Capital, Inc 1,578,199 3.34
9 People's Credit & Finance Corp 1,350,664 2.86
10 Consolidated Orix Leasing & Finance Corp 1,307,046 2.77
Total 47,143,727 100.0
Source : Brokers Division, Securities and Exchange Commission, February,2000
Philippine Finance Association
Table 9 presents the top ten(10) leasing companies based on the net
income for the period ended December 31, 1999:
84
Table 9. Top 10 Leasing Companies Based on Net Income
Rank Name of Company Net Income
1 BPI Capital Corporation 449,505
2 BPI Card Finance Corp 320,543
3 All Asia Capital & Trust 280,990
4 All Asia Capital & Trust 201,497
5 BPI Leasing Corp 190,199
6 UCPB Leasing & Finance 95,630
7 Macondray Finance Corp 95,133
8 UCPB Leasing & Finance 67,639
9 FEB Leasing & Finance 62,708
10 First Malayan Leasing & Finance 30,975
Source : Brokers Division, Securities and Exchange Commission, February,2000, Philippine Finance Association
Credit Cards. The Credit Card Association of the Philippines (CCAP) is

composed of 16 member card companies and one honorary member. These card
companies are Bankard,Inc., RCBC/JCB, Unibancard Corporation, BPI Card
Corporation, Hongkong Shanghai Banking Corporation, Ltd., PNB Visa, MBf Card,
Inc., Standard Chartered Bank, AIG Philam Bank, American Express International
Inc., Citibank, N.A., Equitable Card Network, Inc., Securities Diners International
Corp. United Overseas Bank and Union Bank of the Philippines.
The credit card industry posted a growth of 23.3 percent in the past six
years, with a total of 3.12 million card base by year 2000. Industry value reached
P100 billion by the year 2000, growing by 25.9 percent over the same period.
Merchant affiliation numbered 30,000 across the nation and with linkages with
American Express Card, Diners, JCB, MasterCard and Visa. Nowadays, the credit
cards are accepted in at least 14 million merchants internationally. Furthermore,
there are 20,000 terminals installed nationwide where the cardholders are assured
of fast processing of transactions which leads to employment of 3,496 personnel.
The Visa and MasterCard associations have played important roles in

promoting and ensuring competition in the credit card industry. Almost every
financial institution can join Visa and MasterCard and issue credit cards. Many new
institutions join every year. Members compete with each other in every dimension
that is important to consumers. But they work together through associations to
achieve things no member could on its own, nurturing the globally recognized
brands, maintaining and improving the sophisticated computer networks for
processing transactions, developing new payment methods and expanding the
areas in which consumers can use their cards. MasterCard does not earn profits or
pay out dividends to members. Visa and MasterCard are open, not for profit joint
ventures. The market share of various international credit cards is shown in Table
10.
Table 10. Market Share of International Credit Cards

Companies Market share (%)
Visa International 47.1
MasterCard International 26.0
85
American Express Company 19.9
Morgan Stanley Dean Witter & Co. 5.8
Total 100
Source: Euromonitor 2000
The top 1000 issuers of Visa and MasterCard credit cards accounted for
nearly US$1.7 trillion in combined volume of cardholder purchasers worldwide in
1999. Morgan Stanley Dean Witter & Company’s net revenue reached US$33.9
billion in 1999, a 9.0% increase from 1998. American Express Company’s net
revenues on the other hand rose to US$21.3 billion in the same period.
Table 11. Net Revenue of International Credit Cards 1998-1999 (US$billion)

Companies 1998 1999
Morgan Stanley Dean Witter & Co. 31.1 33.9
American Express Company 19.02 21.3
Visa International 2.55 2.8
MasterCard International 1.3 1.4
Total 53.97 59.4
Master Card International began airing commercials featuring baseball

legends Willie Mays, Hank Aaron, George Brett and Barry Bonds in 1999 as part of
its "there are some things that money can't buy - for everything else there's
MasterCard" campaign.
In 1999, Visa spent the most on advertising amounting to US$268.2 million,

almost ten percent of its net revenue for the same year. Morgan Stanley Dean
Witter & Co.,, on the other hand, only spent three percent advertising cost based on
its net revenue. American Express was second spending US$198.1 million on
advertising in 1999.
Table 12. Advertising Costs of International Credit Cards-1999

Companies US$million
Visa International 268.2
American Express Company 198.1
MasterCard International 176.0
Morgan Stanley Dean Witter & Co. 95.7
Total 738.0
The UK market for credit and charge cards has grown by 13% since 1998 to
reach a value of nearly £165 billion (US$260 billion) in 1999. The UK credit and
86
Hereunder are details about the three major players in the local credit car
industry: Bankard, Inc. RCBC and Equitable Card Network, Inc.
Bankard, Inc., a subsidiary of Philippine Commercial International Bank, Inc.

offers full credit card operations in the Philippines. In 1991, Master Card
International granted the company a license to issue credit cards that are accepted
by MasterCard's network of affiliated banks and establishments worldwide.
Bankard's services allowed to clients include a separate credit card limit for
installment purchases, exclusive gift certificate certificates, computerized telephone
customer service and credit shield which offers credit protection to the cardholder
in the event of temporary or permanent unemployment.
In 1995, the company was granted by Visa International a license to
acquire merchant billings and to issue credit cards carrying the Visa brand.
Bankards, Inc. currently markets the following lines of credit cards:
• Bankard MFI – local credit card which can be reloaded with cash value from
P100 to P10,000.
• PCIBank MasterCard – international credit card where cardholders are billed
for all purchases in US dollars.
• Bankard MasterCard- credit card which gives the peso global mileage where
cardholders’ purchases are billed in pesos.
• Bankard One – first installment smart card program in the credit card and
banking industry. It has a microchip that makes charge slips and signatures
unnecessary.
• Bankard Visa - another credit card which gives the peso global mileage
where cardholders’ purchases are billed in pesos.
• Bankard E-cash – the country’s first cash card with cash value up to P10,000
for daily payments at selected supermarkets, drugstores, etc.
The total credit cards issued by Bankard as of December 31, 1999 totaled
302,856. The holders of which are top managers, professionals, businessmen and
employees.
Table 13. Total Credit Cards Issued-1999

Description Cards in Force % Distribution
Bankard 139,021 46
MasterCard 44,337 15
Visa 13,739 4
Bankard One 105,759 35
Total 302,856 100
Source: 1999 Bankard Annual Report –Securities and Exchange Commission
Revenues accounted for local credit cards amount to P853 million while
international cards totaled to P253 million. As of 1999, Bankard, Inc had 19,886
accredited establishments.
Table 14. Total Credit Card Revenues-1999
87
Description Revenue(Million) % Distribution
Bankard/ Bankard One 853 77
MasterCard/ Visa 253 23
Total 1,106 100
Source Euromonitor,2000
The Rizal Commercial Banking Corporation’s (RCBC) credit card division

targeted a cardholder base of 60,000 generating at least P1.1 billion in gross
billings in year 1999. To remain competitive, the company offered the same credit
card features provided by bigger card companies. The interest rate and other fees
charged were made more affordable to the cardholders.
The Equitable Card Network, Inc. a subsidiary of Equitable PCI Bank, has
enhanced its standing as the country’s leading payment network . It was in 1979
when Equitable Banking Corporation ("EBC") became a principal member of VISA
International Service Association (VISA International) and was permitted to issue
local and international VISA credit cards in the Philippines. In 1987, recognizing the
high growth potential of the credit card industry, EBC became a principal member of
MasterCard International and introduced MasterCard credit cards to the public.
With the introduction of a second card, EBC became the first bank to issue two
world-renowned credit cards in the country.
Due to its affiliation with the two largest international credit card associations
in the world, Equitable VISA and Equitable MasterCard became an easily
recognized brand name in the local card market.
To further strengthen its hold of the market and expand market reach, the
company has pioneered the concept of affiliating selected banks and financial
institutions for the issuance of VISA credit cards and/or collection of VISA credit
card payments. As a result, Equitable Card and its network of tie-up banks and
financial institutions nationwide account for the largest share of the local market in
terms of cardholder base and gross sales volume ( http://www.equitablecard.com).
The company increased its card sales volume by 24% in 1999 and earned
22% growth in net income. In the same year the firm holds over 60% of the entire
branded cardholder base nationwide.
According to Business World’s Top 1000 Corporation for the year 1999,
among credit card companies in the Philippines, Equitable Card Network, Inc.
ranked first with gross income of P1.582 billion, followed by Bankard, Inc. with
P1.157 billion in gross margin. (refer to Table 15)
Table 15. Top Philippine Credit Card Companies

Gross Income % Net Margin %
Name of Company (Php million) (Php million)
Equitable Card Network, Inc 1,582 38.2 312 46.3
Bankard, Inc. 1,157 28.0 116 17.2
88
BPI Card Finance Corp. 904 21.8 214 31.8
Security Diners International Corp. 494 12.0 32 4.7
Total 4,136 100.0 674 100.0
Source: Business World Top 1000 Corporations 2000
Stock Brokering. The stock market has been the beneficiary of the
country's economic growth. In 1996, the stock market capitalization increased to
P2.076 trillion for 215 listed companies which is 168 times larger than the market
capitalization ten years ago. The same positive trend is reflected in the growth of
the composite index to around 3,200 points from only 131.9 points in 1995.
Data from the Philippine Stock Exchange revealed that the financial reports
of broker-dealers disclosed P22.254 billion in total assets and P8.747 billion in total
capital as of year 1999. Equity market capitalization expanded to P1.937 billion, a
surge of 41.1 percent from the previous year’s market capitalization. Trading
turnovers at the Philippine Stock Exchange performed vigorously as average daily
trading volume grew by 227.1 percent to 3.780 billion shares with value of
P3.111billion, up by 89.6 percent. The year marked a milestone in the history of the
Philippine Stock Exchange as two of its five debutantes in 1999, Manulife Financial
Corporation (MFC) and ABS-CBN Holdings Corporation (ABSP), were the first of
their kind to be listed at the Exchange.
The top twenty brokers from the period January to November, 2000 was
headed by ING Baring Securities (Phils), Inc with total shares traded amounting to
P64.2 billion. Among the top 20 stock brokers, eight are foreign stock brokers and
12 are local stock brokers. The eight foreign stock brokers are: ING Baring
Securities , Merrill Lynch Securities, DBS Securities, CLBA Philippines, ABN AMRO
Asia Securities, UBS Warburg Securities, Indoseuz W.I. Carr Securities and HSBC
Securities.
Table 16. TOP 20 BROKERS from January to November 2000

RANK NAME OF BROKER VALUE % to
TOTAL
1 ING Baring Sec. (Phils.), Inc. 64,208,828,095.04 9.61
2 Merrill Lynch Securities Phils., Inc. 41,398,415,609.51 6.19
3 Jardine Fleming Exch. Cap. Sec., Inc. 36,437,636,571.64 5.45
4 DBS Securities Phils., Inc. 24,029,540,062.00 3.60
5 ClBA Philippines, Inc. 20,959,444,413.54 3.14
6 Abacus Securities Corporation 17,842,188,430.63 2.67
7 BPI Securities Corporation 17,893,277,828.77 2.63
8 ABN AMRO Asia Sec. (Philippines) Inc. 16,575,785,954.97 2.48
9 Regis Partners, Inc. 15,534,854,296.05 2.47
10 Wealth Securities, Inc. 15,004,511,610.48 2.24
11 Citisecurities, Inc. 14,461,869,217.08 2.16
12 UBS Warburg Sec. (Phils.) Inc. 14,087,420,159.79 2.10
13 Indoseuz W.I. Carr Sec. (Phils.), Inc. 13,918,504,264.16 2.08
14 HSBC Securities (Philippines), Inc. 12,047,285,741.22 1.80
15 PCCI Securities Brokers Corporation 11,993,007,195.59 1.79
89
16 All Asiasecurities Management Corp. 11,555,205,845.54 1.77
17 ATR-Kim Eng Securities, Inc. 10,636,307,933.09 1.68
18 Solar Securities, Inc. 10,122,979,864.63 1.51
19 OCBC Securities Phils., Inc. 10,008,288,493.19 1.50
20 Tower Securities, Inc. 9,594,591,046.65 1.44
Source: Philippine Stock Exchange, November 2000
A company’s share of stocks may be listed on the Philippine Stock

Exchange. Companies with intention to increase their equity financing through this
process are required to register to the Securities and Exchange Commission. Table
17 showed Top 10 companies listed in the Philippine Stock Exchange based on
their market capitalization. Two are engaged in insurance, two in
telecommunications, one in manufacturing, two in banking, one in real estate and
one in various business services.
Table 17. Top 10 Companies According to Market Capitalization

Rank Name of Company Market Capitalization
1 Manulife Financial Corporation 628,699,344,475.00
2 Sun Life Financial Services of Canada, Inc. 414,153,360,075.00
3 Philippine Long Distance Tel Co.-common 130,567,360,075.00
4 San Miguel Corporation 120,459,930,644.90
5 Ayala Corporation-Common 85,153,136,268.00
6 Bank of Phil. Islands 82,731,186,405.00
7 Metropolitan Bank and Trust Company 54,563,941,730.00
8 Globe Telecom, Inc. – Common 43,132,202,520.00
9 Ayala Land, Inc. 42,538,551,924.00
10 Equitable PCIBank, Inc. 41,802,692,337.50
Source Philippine Stock Exchange, October, 2000
2.0 Forward Linkage/Market
Accounting. Based on the 1994 Input-Output Table (refer to Table 18), a

significant portion of sales made by accounting, auditing and bookkeeping
institutions were heavily concentrated in a few industry groups. The leading market
is the tour and travel agencies which accounted for 19.35%. Other markets include
financing, telecommunications, hospitals and other service companies.
Table 18. Forward linkage for accounting, auditing and bookkeeping services
Value Share
Industry/Sector (Php ‘000) (%)
Tour and travel agencies 449,890 19.35
Public administration and defense 355,341 15.28
Investment, financing & other non-banking services excluding
pawnshops 284,040 12.22
Pawnshops 86,346 3.71
Telegraph service 78,337 3.37
90
Steam 48,908 2.10
Storage & warehousing 37,957 1.63
Private hospitals, sanitaria & similar institutions 36,090 1.55
Postal, messengerial and other comm. services, n.e.c. 31,063 1.33
Railway transport services 26,445 1.13
Others 889,757 38.28
Total 2,324,174 100.00
Source: 1994 Input-Output Tables, National Statistics Coordination Board
Financial Services: Based on the 1994 Input-Output Table (refer to Table

19), a significant portion of sales made by investment financing, and other non-
banking service institutions were heavily concentrated in a few industry groups.
The leading market is the wholesale and retail trade sector which accounted for
27.77%. Other markets include construction, banking, agriculture, manufacturing
and utility sectors.
Table 19. Forward linkage for investment financing, and other non-banking
services
Industry/Sector Value Share
(Php ‘000) (%)
Wholesale & retail trade 5,952,410 27.77
Construction 2,498,803 11.66
Banking 724,029 33.79
Chicken 651,609 3.04
Electricity 533,687 2.49
Mfr of ready-made clothing 520,898 2.43
Aquaculture and other fishery activities 438,373 2.04
Ocean,coastal and inland fishing 436,491 2.03
Rice and corn milling 436,107 2.03
Cattle and other livestock 325,734 1.51
Others 8,911,732 41.58
Total 21,429,873 100.0
3.0. Backward Linkage/Suppliers
Accounting . The suppliers of bookkeeping, accounting and auditing include

the business management and consultancy, manufacturer of articles of paper and
paperboard, private education services and other business services.
Table 20. Supply Linkage for Bookkeeping, Accounting and Auditing

(Php ‘000) (%)
Business mgt & consultancy and market research services 86,993 16.45
Mfr of articles of paper and paperboard 48,029 9.08
91
Restaurants, cafes & other eating and drinking places 37,684 7.13
Telephone 35127 6.64
Petroleum refineries 31,343 5.93
Commercial & job printing & other allied industries 30,967 5.86
Letting, operating real estate, residential or non-
residential,other real estate activities 30,471 5.76
Private education services 29,834 5.64
Air transport 20,696 3.91
Other business 145,444 27.50
Total 2,362,411 100.00
Financial Services . The suppliers of investment financing, and other non-

banking include banking sector at 22.42%, business management and
consultancy at 7.56% and other service oriented businesses.
Table 21. Supply Linkage for investment financing, and other non-banking
services
(Php ‘000) (%)
Banking and other business services 2,355,943 22.42
Business mgt & consultancy and market research services 794,424 7.56
Detective & protective services 734,683 6.99
Restaurants, cafes & other eating and drinking places 667,796 6.35
Jeepney and autocalesa operation, trycycle and other road
transport operation 638,530 6.07
Busline operators 638,530 6.07
Telephone 627,465 5.97
Public utility cars and taxicab operation 472,795 4.50
Air transport 434,353 4.13
Others 2,726,478 25.95
Total 10,505,978 100.00
4.0 Laws Hindering/Facilitating
In the Philippines, the following are some of the legislations and

administrative policies affecting the access of foreign players in the country as well
as an overview into the different commitments of different countries under GATS
that affects access of the country to different foreign markets
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Accounting. The accountancy profession has been highly regulated for a
long time in most countries. As with many other professional services, regulations
applied to accountancy services are mainly intended to protect consumers to
ensure the quality of services and prevent conflicts of interests. The greatest trade-
related concern is the fact that the accounting profession is often regulated in
different ways between or within nations.
In addition, professional services have subject to extensive direct and

indirect government regulation. The direct form of regulation occurs through the
actions of formal government agencies. The indirect form of regulation occurs
when governments delegate professional organizations many of the regulations
roles , but even with such delegations many the ultimate regulatory powers are still
held by the governments.
This extensive overlay of regulation of many services thus adds important

elements to any efforts to liberalize international trade in professional services.
Efforts to liberalize trade have to conform the question as to whether trade in
services is compatible with the protections that the regulation is supposed to be
providing.
The Code of Ethics prohibits the CPA to advertise his professional

attainments or service, except in stating qualifications in applications for
employment. However publication of authorship of books, technical reports and
studies, lectures or papers delivered in conferences and seminars and similar
activities which are beneficial to the profession as a whole are not considered
advertising. However, publication of an announcement is permitted only for the
opening of a new office, change in partners, change in office location or telephone
numbers, or reorganization of firm or practice, provided it contains basic information
essential to the announcement and is of reasonable size. If advertising is
prohibited, the firm looks for appropriate means to increase clientele base.
Compliance with the local and international standards/provisions on

independence based on the Code of Ethics impair one's independence. Under PD
692 Revised Accountancy Law, Independence will be considered to be impaired if:
A. During the period of his professional engagements, or at the same time

expression his opinion, he,:
1. Had or was committed to acquire any direct or material, indirect financial

interest in the enterprise; or
2. Had any joint , closely held business investment with the enterprise or
any officer, director, or principal stockholder thereof which was
material in relation to his firm’s net worth; or
3. Had any loan or from the enterprise or any officer, director or principal
stockholders thereof. These later prescription does not apply to the
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following loans from financial institution when made under normal
lending procedures, items and requirements:
a) Loans obtained by him or a member of his firm which are not
material in relation to the net worth of the borrower.
b) Other secured loans except loans guaranteed members firm which
are otherwise unsecured.
B. During the period covered by the financial statements and during the
period of professional engagement or at the time of expressing an
opinion he:
1. Was connected with the enterprise as a promoter, underwriter or

voting trustee, a director or officer or in any capacity equivalent to that
of a member of management or of an employee; or
2. Was a trustee of any trust, executor, or administrator of any estate if
such trust or estate had a direct of material indirect financial interest in
the enterprise; or was trustee for any pension or profit sharing trust of
the enterprise.
In the Philippines, foreign accountants are not allowed to be partners in a

Philippine accounting firm or, in most instances, to engage in accounting in the
Philippines. As a result, foreign accounting firms usually must affiliate with a local
auditing firm in which they hold no equity. In addition, such local auditing firms are
limited in their ability to use the international name of the firm.
Foreign accountants are permitted to practice in the Philippines, however,

provided that they have been resident for three years, have passed the licensure
examination, and have come from home countries that afford reciprocity. Another
means by which foreign professionals may enter the Philippines is the presence of
foreign reciprocity provisions in the laws governing the practice of a specific
profession. These conditions make it easier for foreigners in certain professions to
enter the Philippines.
On a worldwide basis, GATS seeks to collapse regulatory barriers to trade

and investment in services, including accountancy and sets out a string of rules to
discipline regulatory intervention in the marketplace. The objective of these
regulations is to ensure that foreigners enjoy the same privileges as their domestic
counterparts and to eliminate discriminatory obstacles to market access by foreign
nationals.
Article VI of GATS on domestic regulation, contains three important features:
• Governments agree to apply regulations affecting service industries and

professions in a reasonable, objective and impartial manner so that they
do not act as barriers to trade.
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• Qualifications requirements and procedures, technical standards and
licensing requirements should not constitute unnecessary barriers to
trade in services. Further disciplines or rules shall be developed on a
sector-by sector basis to make sure such measures are based on
objective and transparent criteria, are not more burdensome than
necessary to ensure the quality of the service, and, in the case of
licensing requirements, do not in themselves serve as restrictions on
the supply of the service. International standards should be taken into
account in determining compliance with these principles.
• Countries must have adequate procedures in place to verify the

qualifications of professionals from other countries seeking the right to
practice within jurisdictions.
In Asia-Pacific, countries with GATS commitments in accountancy were:

Australia, Hong Kong, Japan, Korea RP, Malaysia, Maldives, Mongolia, Singapore,
Thailand, New Zealand. With the exception of Mongolia and Singapore, these
countries made commitments in all three sub-sectors of accountancy. Mongolia
made commitments in accounting only, while Singapore made commitments in
accounting and auditing.
Australia accords full market access and national treatment to foreign

accounting firms providing services through cross-border supply and consumption
abroad. Australia’s commitments on commercial presence appear to permit foreign
firms to establish and operate effectively, although they may not be registered as
auditors and liquidators and at least one equity partner of the firm must be a
permanent resident.
With respect to the presence of natural persons, Australia’s limitations
remain unbound, although cross-industry commitments permit the entry and
temporary stay of executives, senior managers, and specialists for periods up to
four years, and business persons for periods up to six months. However,
specialists’ entry may be subject to labor market testing, which could adversely
affect the entry of foreign accountants.
Hong Kong accords market access and national treatment to foreign firms
wishing to establish a commercial presence. However, only citizens of Hong Kong
may be licensed to provide auditing services.
Hong Kong limits accounting, auditing and bookkeeping services to auditing
and advisory services on matters such as financial management consultancy,
company formation and restructuring, raising of capital, debt rescheduling,
receivership and liquidation.
Hong Kong is described as an extremely lucrative and important market for
the major U.S. accounting firms where a license is not required in order to provide
accounting services other than statutory auditing. Foreign firms that wish to provide
statutory auditing may register with the Hong Kong Society of Accountants (HKSA)
provided that the firm is run by a certified public accountant licensed by the HKSA.
95
Furthermore, foreigners are able to qualify for membership in the HKSA through
membership in their local professional associations.
Japan. For market access in Japan, services must be supplied by a natural

person or by an audit corporation (a corporation composed of five or more partners
who are accountants qualified as "Konikaikeishi"). Commercial presence is
required for an audit corporation. The presence of natural persons is unbound
except as indicated in the horizontal commitments.
Korea’s commitments accord market access and national treatment to

foreign firms wishing to provide accounting and bookkeeping services through
cross-border supply and consumption abroad, but leave unbound restrictions on the
provision of auditing services through these modes.
Korea permits the supply of accounting, bookkeeping, and auditing services

through commercial presences provided they are established as sole
proprietorships, auditing task forces, joint accounting offices, or incorporated
partnerships run by Certified Public Accountants (CPAs) licensed under the
Certified Public Accounting Law. In order to receive such a license, foreign
accountants must have two years of experience in Korea after passing the CPA
examination.
Korea’s limitations on the presence of natural persons are left unbound,

although cross-industry commitments provide for the entry and temporary stay of
executives, senior managers, and specialists for periods up to three years.
However, some industry sources still describe the Korean accounting services
industry as being essentially closed to foreign firms and others report that language
and cultural differences make it difficult for foreign companies to provide accounting
services without an affiliation with a Korean accounting firm.
Malaysia. Malaysia scheduled no limitations on cross-border supply and

consumption abroad of accounting services, except for a measure requiring
auditing services to be authenticated by a Malaysian-licensed auditor. The
establishment of a commercial presence in Malaysia can only take place through a
locally registered partnership with Malaysian accountants or Malaysian accounting
firms, and foreign financial interests may not exceed thirty percent of equity. With
respect to the presence of natural persons, Malaysia permits the entry and
temporary stay of senior managers and specialists for periods up to five years and
notes that residency is required for registration as an accountant.
Despite the shortage of accountants in Malaysia, it is exceedingly difficult for

foreign individuals to practice as accountants. Malaysia accepts only the credentials
of other Commonwealth members, requiring all other accountants to undergo a
local examination. Foreign firms are permitted to establish a commercial presence
through a joint venture with Malaysian firms and to use the foreign firms’ names, but
96
Malaysia’s broad limitation on foreign equity restricts U.S. firms to minority partner
status and advertisement of the firms’ services is not permitted.
Although Malaysia has eased restrictions on the movement of natural

persons in recent years, the government still has an official policy for transferring
technology and training the Malaysian population. Under these policies, entry visas
for foreign nationals are contingent upon the employment of Malaysian
understudies.
New Zealand. In what appears to be the least restrictive schedule for

accounting services, New Zealand accords full market access and national
treatment to foreign firms wishing to provide accounting services through cross-
border supply, consumption abroad, and commercial presence. New Zealand’s
limitations on the presence of natural persons remain unbound except for measures
permitting the entry and temporary stay of executives, senior managers, and
specialists for periods up to three years.
Singapore essentially prescribes the provision of accounting services across

borders, noting that public accountants or at least one partner of a foreign firm must
be resident in Singapore. However, Singapore allows foreigners to operate under
the title of “accountant” without registration or licensing.
Singapore accords market access and national treatment to foreign firms

wishing to provide accounting services through consumption abroad and
commercial presence, although the residency requirement applies to the latter.
With respect to the presence of natural persons, Singapore permits the entry
and temporary stay of senior managers and specialists for periods up to three
years, but does not accord these individuals national treatment. Market access in
Singapore requires that public accountants (at least one of the partners of a firm) be
effectively a resident of Singapore. This affects commercial presence and cross-
border supply. The presence of natural persons is unbound except as indicated in
the horizontal section.
Thailand accords full market access and national treatment only for
accounting services delivered through consumption abroad. With respect to
commercial presence, Thailand accords market access subject to a forty nine
percent foreign equity limitation and a restriction on the number of foreign
shareholders. National treatment is accorded subject to the same proportional
equity limitation. Thailand’s limitations on cross-border supply and the presence of
natural persons remain unbound.
According to U.S. industry representatives, foreign individuals cannot
become accountants in Thailand because they cannot be licensed as CPAs.
Consequently, the rendering of accounting services is essentially reserved to Thai
nationals with foreign accountants serving only as “business consultants.” In
97
addition, while foreign nationals may work as employees of Thai firms, they
reportedly find it difficult to comply with work permit procedures.
India. In India, financial auditing services may only be provided by firms

established as a partnership, but foreign accountants may not be equity partners.
India also forbids the use of a firm’s name, a limitation that applies to all but the two
U.S. accounting firms that were established prior to the imposition of this rule
(Arthur Andersen and Price Waterhouse). Reportedly, this measure does not have
a substantial effect because there is broad awareness of relevant foreign
affiliations. With respect to the movement of personnel, U.S. industry
representatives indicate that they do not encounter difficulties obtaining appropriate
visas.
Indonesia. In Indonesia, the market for accounting services has been

expanding due to increased privatization and government policies requiring
companies to undergo public audits in order to be registered. However, the
national accounting association has successfully opposed initiatives to open the
market fully to foreign participation by arguing that there remain problems with
mutual recognition of credentials and accounting standards.
As a result, foreign nationals cannot practice under the title of accountant in

Indonesia or become equity partners. Instead, foreign accountants function as
“advisors” and auditing reports must be signed by Indonesian nationals. The use of
foreign firms’ names is also limited, in that the name of a local firm must be used in
conjunction with the international name. U.S. representatives indicate that this
creates some confusion among international clients.
One of the greatest difficulties encountered by U.S. accounting firms

operating in Indonesia is obtaining work permits for expatriate personnel. Indonesia
reportedly requires foreign firms to justify the need to bring foreign nationals into the
country and tries to keep the number of foreign workers, particularly those from
other developing countries, to a minimum. According to industry sources, this policy
presents a barrier to their effective operations and is somewhat counterproductive.
U.S. accounting firms suggest that if foreign staff could move more freely, the firms
would be able to develop more quickly and subsequently hire and train more local
staff. In addition, U.S. firms observe that since expatriate staff are very expensive,
companies have an incentive to develop a highly competent local staff as soon as
possible.
United States. The United States made commitments in accounting,

auditing and bookkeeping. Other than barriers caused by domestic regulation, the
United States has relatively few restrictions on trade in accountancy services. For
market access, sole proprietorships or partnerships are limited to persons licensed
as accountants, except in Iowa where accounting firms must incorporate. For
market access of natural persons, an in-state office must be maintained for
98
licensure in Arkansas, Connecticut, Iowa, Kansas, Kentucky, Michigan,
Minnesota, Nebraska, New Hampshire, New Mexico, Ohio, Vermont and
Wyoming. U.S. citizenship is required for licensure in North Carolina.
Under the cross-border trade, data pertaining to accounting services reflect

all services delivered by mail or through information networks, or by the temporary
entry of personnel to provide accounting services to foreign clients.
Europe. The countries with GATS commitments in accountancy services:

Austria, Belgium, Denmark, Finland, France, Germany, Greece, the Netherlands,
Ireland, Italy, Luxembourg, Portugal, Spain, Sweden, and United Kingdom. All
countries made commitments in accounting, auditing and bookkeeping services.
France, Greece and Italy remain unbound with respect to the cross-border supply of
accounting and bookkeeping services.
In France, the commercial presence of accounting and bookkeeping

service providers can only take place through a SEL (limited liability or limited
partnership) or SCP. In France, for statutory audits, commercial presence can take
place through any company form except SNC, SCS, and secondary offices. In
Ireland, the provision of auditing services must be through partnerships only.
The presence of natural persons supplying accounting or bookkeeping

services is unbound except as indicated in the horizontal section in Austria,
Germany, Luxembourg, Netherlands, the United Kingdom and Spain. In addition,
Austria, Germany, the Netherlands, and Spain require a university degree and
professional qualifications and three years' experience in the sector. Austria also
requires examination before the Austrian professional body and the employer must
be a member of the relevant professional body in the home country where such
body exists.
For both accounting and auditing services in Portugal, commercial presence

must be through professional establishment only. For national treatment of
auditing services, foreign auditors in Denmark may enter into partnership with
Danish State authorized accountants after obtaining permission from the Danish
Commerce and Companies Agency. Natural persons face a residency requirement
for auditing services as well. For national treatment in Italy and Portugal,
individual auditors are required to be residents.
In Slovenia, commercial presence should take the form of a juridical person.

The share of foreign persons in auditing companies may not exceed 49% of the
equity. Provision of auditing services must be provided through auditing companies
only. For the presence of natural persons there are limitations on natural persons
employed by juridical persons.
In Norway, for national treatment of auditing services public certification is

required based on a Norwegian exam and two years experience in Norway. Audit
99
reports must be drafted by a Norwegian. Permanent residency in Norway is
required. Accounting services shall take place in Norway (not cross-border) but the
King may decide that accounting could take place abroad. For authorized
accountants, permanent residence in Norway is required as well as a minimum of
two years practice in Norway during the five preceding years. Accounting review
services and business tax planning and consulting services remain unbound in
Norway.
In Liechtenstein, there are no limitations on bookkeeping services except for

tax returns; also, the presence of natural persons is unbound except as indicated in
the horizontal commitments.
For accounting and auditing services, there is a foreign equity ceiling of forty
nine percent; foreign voting rights may not exceed forty nine percent. At least one
member of the administration body authorized to manage and represent must be a
Liechtenstein citizen domiciled in Liechtenstein, be in possession of the
professional license to act as an auditor, and work full-time for the juridical person.
The majority of the members of the administrative body must be in possession of
the professional license to act as an auditor.
Despite the remaining barriers to international trade in accounting services,

industry representatives believe that the GATS is a useful step toward full
liberalization of trade in accounting services. The GATS does this by providing a
vehicle for the global harmonization of regulations. The GATS also helps to
promote trade liberalization by broadening the definition of “trade” to include
movement of capital and people, critical issues for accounting firms.
Finally, the GATS provides a forum in which to address persistent obstacles

such as the mutual recognition of accounting credentials, limitations on foreign
equity participation, limitations on the use of the firm name, and restrictions on the
entry and temporary stay of essential professional, technical, and managerial
personnel. U.S. industry representatives believe that these efforts to harmonize
accounting rules will eventually promote significant growth in the global accounting
profession.
Financial Services. Securities Regulation Code. At present, Batas

Pambansa Blg. 178 or otherwise known as the Revised Securities Act is an act
regulating the securities market. However, with the changes occurring globally,
there is a need to align the country’s securities market with these new
developments.
The Securities Regulation Code seeks to institutionalize two core reforms of

full disclosure and self-regulation. In addition, it answers the need to be consistent
with the practices of stock exchanges around the world in providing market liquidity.
The securities market would cease to be a ready and efficient mover of funds from
100
one sector to another if broker-dealer functions are made into separate legal
entities.
Highlights of the Securities Regulation Code include the following:
1. Insures the independence of the SEC from any government body

particularly the Office of the President.
2. Clarifies the roles of the stock exchanges and other self-regulatory
organizations (SROs) to act in the interest of investors and the public.
3. Provides a more transparent securities market through full disclosure of
material information about public companies to investors.
4. Clarifies prohibited market practices and raises the amount of type of
penalties available for violations of the securities laws and their rules for
public interest and the protection of investors.
5. Imposes higher standards for market participants consistent with
international best practices;
6. Clarifies prohibited market practices and raises the amount of type of
penalties available for violations of the securities law;
7. Increases the protections available to minority shareholders of public
companies.
Under the Securities Regulation code, the capital market would move to full
disclosure regulation from a system of merit regulation. Under the new regulation,
investors will be better informed to assess whether an investment in a particular
offering is suitable or not. In addition, consistent with international standards, the
law institutionalizes the concept of SRO by the market players themselves such as
the PSE and other associations as they are in a better position to assess their
needs than the SEC.
Regulations Affecting the Leasing Industry. Financial equipment leasing

is supervised by the Securities and Exchange Commission (SEC) but is regulated
by the Bangko Sentral ng Philipinas (BSP) on monetary matters in accordance with
the provisions of the Finance Company Act of 1969.
Though there is no specific legislation on leasing in the country, Philippine

leasing and finance companies operate according to the provisions laid out in the
Civil Code of the Philippines Republic Act 386 Articles 1643-1644, The Rules and
Regulations of Republic Act No. 5980, otherwise known as the Financing Company
Act of 1969, and Revenue Regulations No. 19-86. Article 1643 of the Civil Code of
the Philippines defines the concept of leasing in the country. The Finance
Company Act establishes the supervising authority of the SEC over the leasing
industry while Revenue Regulations No. 19-86, as formulated by Philippine
Association of Finance Companies, Inc. (PAFCI) and the Bureau of Internal
Revenue, details the major differences of an operating lease, finance lease and a
101
conditional sale, explains the accounting and tax treatment of lease transactions
and establishes the depreciable life of leaseable assets for accounting purposes.
Foreign Ownership in a leasing company is permitted but is limited to 40%

of the total capital. Common reciprocal ownership between two or more leasing
companies is permitted but is subject to the following ownership and operating
restrictions:
• that it must not violate existing laws and illegal combinations and
monopolies in restraint of trade;
• contracts between corporations with interlocking directors are valid,

except in cases of fraud, provided the same is fair and reasonable;
management contracts with another corporation should be approved by
the stockholders owners the majority of outstanding capital stock and the
Board of Directors;
Leasing or financial companies with quasi-banking functions are regulated

by the BSP regulations in dealings with their own Directors, Officers; Stockholders
and Related Interest. (DOSRI) Ownership of leasing companies by financial
institutions is permitted subject to R.A. No. 5980.
Commitments under GATS. The Philippines has not made any specific
commitments for the accounting services sub-sector but has standing commitment
on financial services. An overview of the commitments under GATS is cited below.
There are horizontal restrictions that summarize broad measures affecting

commercial presence and investment, real estate transaction restrictions,
government subsidies or taxation, and temporary movement of natural persons. In
addition to these restrictions, developing countries have also established
preferences for firms that offer the best terms for transfer of technology. The
horizontal commitments supersede any sector-specific commitments. To assess the
full extend of trade liberalization, horizontal commitments have to be examined in
conjunction with the sector-specific commitments.
• Commercial Presence and Investment Restrictions
The acquisition and control of a domestic business by a

foreigner may be subject to investment ceilings, restrictions as to the
type of assets that may be held, local incorporation and presence
requirements, and government approval.
• Real Estate Transaction Restrictions
102
Many countries restrict the purchase of real estate and the
acquisition of land. Nationality restrictions and deposit requirements
are relatively common. Often, these regulations are established by
sub-federal levels of government and as a result tend to be extremely
complicated. Rather than impose restrictions on domestic real estate
regulations, the GATS rules require transparency and access to
information about these rules.
• Government Subsidies or Taxation
To clarify issues related to domestic taxation and access to

subsidies, member countries provided specific comments in their
schedule on this issue. Foreigners may not be eligible for certain
subsidies or may, under special circumstances, have to pay a
different tax rate. For example, the United States reserves the right to
impose higher taxes on a national, resident or corporation of a foreign
country where a national, resident or corporation of the United States
is being subject to discriminatory or extraterritorial taxes. All countries
maintain sovereignty over domestic issues of taxation and
subsidization.
• Movement of Natural Persons
Generally, the GATS does not prevent a Member from applying

measures to regulate the entry of natural persons into, or their
temporary stay in, its territory. The movement of natural persons is
unbound under most GATS schedules. However, many Members
generally committed to allowing temporary entry for measures
concerning intra-corporate transferees (managers, executives and
specialists), personnel engaged in the establishment of a business,
and service salespersons.
Permanent entry is not dealt with in the GATS and remains

under the authority of local immigration authorities.
Specific commitments made by different countries in Asia

(Singapore, Hong Kong, Japan, Indonesia, Korea, and China),
European communities and United States of America are shown in
Appendix 1. It specifies commitments based on the four modes of
supply namely:
Cross-border supply which is defined to cover services flows

from the territory of one member into the territory of another Member
(e.g. banking or architectural services transmitted via
telecommunications or mail);
103
Consumption abroad which refers to situations where a service
consumer or his/her property moves into another member’s
territory to obtain a service (e.g. tourism, ship repair or aircraft
maintenance);
Commercial presence which implies that a service supplier of

one member establishes a territorial presence, including through
ownership or lease of premises, in another member’s territory to
provide a service (e.g. insurance companies or hotel chains); and
Presence of natural persons which consists of persons of one

member entering the territory of another member to supply a service
(e.g. accountants, doctors or teachers).
Most countries referred to the Central Product Classification (CPC) in their

schedules. By sub-sector, 65 countries made commitments in accounting, 62 in
auditing, and 55 in bookkeeping. The 52 member countries made commitments in
all three sub-sectors. Eight countries made commitments in only one sub-sector
while nine countries made commitments in two sub-sectors. Details can be found
in Appendix B.
5.0. Market Potential/ Market Demand
Accounting: Sycip Gorres Velayo & Co. (SGV) remains to be the country's
largest auditing group preferred by at least 48.4% corporations who had made it to
this year's Top 1000 corporations. SGV audited six of the 10 largest corporations
in the country, to wit: Manila Electric Company, Petron Corporation, Texas
Instrument (Philippines), Inc., Fujitsu computer Products Corp. of the Philippines,
San Miguel Corporation, and Nestle Philippines, Inc. SGV's share of the Top 1000
clientele shrank by 43 companies which was attributed to industry consolidation,
with companies either being merged or acquired by other companies.
Joaquin Cunanan & Co. placed second or had 12% share in terms of
auditing the Top 1000 corporations. Top companies audited by the firm were
Pilipinas Shell, Philippine Long Distance Company, Hitachi Computer Products
(Asia) Corporation, Bank of Philippine Island and NEC Computer Storage
Philippines.
In third place was Punongbayan & Araullo(P&A) which audited 56

companies. Among large companies audited by P&A were Coca-cola Bottlers
Philippines, Inc. Philippine National Bank, Intel Technology Philippines, Inc. Eac
Distributors, Inc.
Next in line was Laya Mananghaya & Co., which audited 29 companies
from the Top 1000. Large companies audited by Laya Mananghaya were Caltex
104
(Philippines) Inc. Philip Semiconductors Philippines, Inc., TEMIC Automotive
Philippines, Inc. and Siemens, Inc.
CL Manabat & Co. audited 18 companies, which include Subic Bay Fuel
Co.,Subic Bay Distribution, Sumitronics Philippines, Inc. FR Cement Corp. and the
Rohm Mecantile. On the other hand, other auditors garnered at least 1% share in
the Top 1000 corporation.(refer to Table 22)
Table 22. List of Auditing Firms Servicing Top 1000 Corporations

Auditor Companies Audited %
Sycip Gorres Velayo & Co. 484 48.4
Joaquin Cunanan & Co. 122 12.2
Others 122 12.2
Punongbayan & Araullo 56 5.6
Laya Mananghaya & Co. 29 2.9
C.L. Manabat & Co. 18 1.8
Commission on Audit 16 1.6
Unaudited/No auditor 14 1.4
Rufino A. Manzano 12 1.2
Alba, Romeo & Co. 11 1.1
Guzman, Bocaling & Co. 10 1.0
Vicente E. Reyes & Associates 7 ..70
B. Barsabal & Co. 6 .06
Diaz, Murillo, Dalupan 6 .06
Carlos J. Valdez & Associates 4 .04
Eulogio C. Lim 4 .04
Greg R. Isidro Jr. 4 .04
R.S. Bernaldo & Associates 4 .04
San Buenaventura & Co. 4 .04
Banaria, Banaria & Co. 3 .03
Eduardo C. Halili 3 .03
Ildefonso O. Que 3 .03
J.P. Tolentino & Co. 3 .03
Jose Corcuera Baser Labuguen 3 .03
Loly t. Ngo 3 .03
Luis A. Canete & co. 3 .03
Mariano F. Ong 3 .03
U.C. Sazon & Co. 3 .03
A.P. Acyatan & Co. 2 .02
Balmyrson Manuel Valdez 2 .02
Caguiat, Abad & Co. 2 .02
Canlas, Reyes & Co. 2 .02
Cesar R. Marcelo & Associates 2 .02
Cristina G. Supendio 2 .02
Auditor Companies Audited %
Dimatulac, Magsipoc & Co. 2 .02
Edric Anthony B. De Leon 2 .02
Evangelista & Co. 2 .02
Fernandez, Santos & Lopez 2 .02
J.B. Santos & Associates 2 .02
105
J.D. Llovido & Associates 2 .02
Layug, Nebres & Associates 2 .02
Leonardo g. Perez 2 .02
Nelia Yulo Pasco 2 .02
Policarpio c. Tolentino 2 .02
Robert G. Yu 2 .02
Sicangco Menor Villanueva & Co 2 .02
Sta. Ana, Rivera & Co. 2 .02
Tenorio, Larena & Co. 2 .02
Total 1000 100.0
Source Business World Top 1000 Corporation in the Philippines, 2000
5.1 Extent of Services Rendered Abroad
In the last five years accountants and other related workers averaged to
eight hundred thirty four per year. Most of these professionals and related workers
during the five- year period were deployed to United Arab Emirates, Saudi Arabia,
Kuwait, Saipan, Brunei, Bahrain and the United States.
Table 23. Deployment of Filipino Accounting Services Industry Professionals,

1996-2000
Job Classification 1996 1997 1998 1999 2000 Rank
Manager Budgeting And 13 12 6 8 11 4
Accounting
Bookkeepers And Cashiers 322 343 331 421 518 1
Bookkeepers Cashiers And 119 92 104 79 61 3
Related Workers ( N E C
Bookkeeping And Calculating 1 1 2 5
Machine Operators
Accountants 455 410 319 283 260 2
Total 909 858 761 791 852
Source: Philippine Overseas Employment Administration, 2000
In year 2000 , the accounting and other accounting related jobs were
deployed in various places overseas. 410 were deployed in United Arab Emirates,
129 in Saudi Arabia and 57 in Brunei.
Table 24. Deployment of Filipino Accounting Services Industry Professionals

Per Foreign Country- Year 2000
Manager Bookkeep Bookkeep Bookkeep Accounta Total
Budgeting ers And ers ing And nts
Country And Cashiers Cashiers Calculatin
Accounting And g Machine
106
Related Operators
Workers
( N E C)
Angola 2 4 6
Australia 1 1
Bahrain 17 1 3 21
Brunei 47 1 1 8 57
Cayman Island 2 3 1 6
China 1 1 2
Commonwealth of the
Northern Mariana Is, 3 6 9
Diego Garcia 10 4 14
Equatorial Guinea 1 1 2
Federal States of
Micronesia 3 3
Guam 1 5 6
Hong Kong 1 1
Indonesia 1 1
Ireland 1 2 3
Jamaica 1 1
Kuwait 29 4 33
Libya 1 1
Madagascar 1 1
Maldives 1 1
Marshall Island 1 4 5
Micronesia 1 2 3
Netherlands Antilles 1 1
Nigeria 1 1
Oman 1 1
Palau 6 3 9
Papua New Guinea 2 1 17 20
Pohnpei 2 2
Qatar 27 1 28
Russia 8 8
Saipan 1 16 17
Saudi Arabia 23 14 92 129
Singapore 6 2 8
Tonga 1 1
United Arab Emirates 352 32 1 25 410
United States 1 37 38
Virgin Islands 1 1
Yemen Republic 1 1
Total 11 518 61 2 260 852
Source: Philippine Overseas Employment Administration, 2000
5.2 Foreign Market Demand and Competition
The analysis of the foreign market demand, the opportunities present in the
market, access to foreign markets and limitations were taken from the study
conducted by US International Trade Commission(USITC), US Country Commercial
107
Guide (http://www1.usatrade.gov) and International Investment and Services
Directorate Industry Canada(http://service2000.ic.gc.ca). The US International
Trade Commission's staff in preparation of this data consulted the following
companies and organizations: Arthur Andersen and Company, Ernst & Young Inc.,
the International Federation of Accountants, and Price Waterhouse ECServices,
SA.
The U.S. cross-border exports of accounting, auditing, and bookkeeping

services totaled $178 million in 1995, and U.S. cross-border imports totaled $141
million, resulting in a $37-million surplus. During 1990-95, the average annual rate
of growth in U.S. imports, measuring 20 percent, exceeded that of exports,
measuring 8 percent.
In 1994, sales by foreign affiliates of U.S. accounting firms totaled $5.7
billion, while purchases totaled only $1.6 billion. European affiliates of U.S.
accounting firms generate by far the greatest share of total sales by foreign-based
accounting affiliates. In 1994, European-based affiliates of U.S. firms captured 70
percent of total sales, surpassing affiliates in Canada, with 12 percent; and Japan
and Australia, each with 4 percent.
The US market for accounting, auditing and bookkeeping grew from

US$10.4 in 1998 to US$84.4 billion in 1999. The total market value increased to
seventy percent as information technology increased in complexity. In response to
growing market competition, the leading accounting firms have moved into high-
margin consultancv services.
Table 25. US Market Sectors 1995-1999( US$ million)

Sectors 1995 1999
Accounting and auditing services 18,389.7 27,166.2
Management Consulting 19,880.8 40,324.9
Tax services 11,431.5 16,788.9
The market share of the Big Five international accounting firms as of 1999 were as
follows:
Table 26. Market Share of Big Five Accounting Firms-1999

Companies Average Sales Market Share(%)
Growth(%)
Andersen Worlwide 20.1 19.4
PricewaterhouseCoopers 0.0 18.5
Ernst & Young International 16.4 14.9
KPMG Peat Marwick 12.5 14.5
Deloitte Touche Tohmatsu International 15.6 12.6
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Table 27 presents the revenue performance in 1999 of leading accounting
firms in the U.S. There are approximately 45,000 accounting firms in the United
States. These accounting firms are classified into four groups namely: Big Five,
second tier, regional and local firms. The Big Five are the five largest firms with
offices in the principal cities of the United States as well as major cities throughout
the world, the second-tier are not CPA firms engaged in public practice, regional
firms are accounting firms concentrated in a more limited geographical area and
local firms have one or several offices within the state. The combined revenues for
the Big Five exceeded $30 billion in 1999.
Table 27. Selected U.S. Accounting Firms based on 1999 revenues

No. of Revenue Soruces(%)
US MCS/
Rank by Revenue U.S. Prof. Actg/ Others
Revenue Firm (&Mil) Officers Partners Staff Audit Tax
Big Five
1 Andersen Worldwide 7,824.0 92 2,117 43,434 17% 11% 72%
2 PricewaterhouseCoopers 6,750.0 189 2,938 34,067 35% 20% 45%
3 Ernst & Young 6,375.0 87 2,546 21,880 35% 21% 44%
4 Deloitte & Touche 5,330.0 101 1,913 21,710 30% 18% 52%
5 KPMG 4,656.0 136 1,800 16,000 35% 22% 43%
Second Tier
6 H&R Block 1,267.8 8923 3,361 n.a. 0% 100% 0%
7 Century Business 460.0 798 n.a. 5,174 35% 17% 48%
Services
8 RSM McGladrey 381.2 65 369 2,217 36% 31% 32%
9 Grant Thornton 375.0 48 274 2,351 41% 27% 32%
10 BDO Seidman 298.0 42 335 1,438 47% 28% 25%
11 American Express 280.0 63 298 2,414 40% 27% 33%
Regional
12 Crowe, Chizek and Co. 144.0 12 111 1,025 28% 15% 57%
14 Plante & Moran 117.4 17 142 780 52% 26% 22%
Local
19 Eisner 72.0 3 67 301 38% 20% 42%
32 Anchin, Block & Anchin 32.1 1 34 130 65% 25% 10%
Source: Accounting Today Special Report: Top 100 Firms Study 2000, March 13,2000
The market in the US is forecast to grow 48.6% over the forecast period to
a value of US$142.4 billion in 2004. Success in the market is expected to become
more market driven then in the past, forcing companies to adapt to shifting demand
rather than rely on a relatively static code of regulation. Increasing globalization of
the economy is affecting the worldwide accounting profession to both understand
and respond through international accountancy bodies.
109
Table 28. US Market Forecasts of Accounting, Auditing and Bookkeeping
2001 -2004
Year Market Size (US$million)
2001 106.21
2002 117.40
2003 129.50
2004 142.40
The auditing and accounting services sector is expected to demonstrate the

smallest level of growth over the forecast period due to declining audit fees To be
competitive CPAs are shifting their focus toward helping clients understand all
areas of business performance rather than financial matters alone.
Table 29. Sector Forecasts 2000-2004 (US$million)

Sectors 2000 2004
Management Consulting 47,655.9 79,722
Auditing and accounting services 29,614.7 38,376.5
Tax Services 18,324.8 24,301.5
The future of accounting is bright according to the US Bureau of Labor

Statistics which projects a 34% increase in job openings by the year 2005. Much of
this reflects the increasing complexity of corporate transactions and growth in
government. Demand is especially high in the tax and health care areas. In year
2000, over 30 states in the US have laws which require a fifth year of education to
become a CPA. This change reflects a more competitive business environment
and increasing skills requirements because of the rising complexity of many
businesses. In the US, there is high demand for individuals who can go beyond
technical skills and display good interpersonal abilities, legal knowledge sales
abilities and foreign language skills. Accountants are broadening as business
globalizes and becomes more team-oriented. http://www.careers-in-
accounting.com/
The UK market for accounting, auditing and bookkeeping has grown by 1.3%
since 1998 to reach a value of £ 10.1 billion (US$16.4 billion) in 1999. Auditing
remains the largest sector of the market, followed by accounting for fifty five percent
of the total fee income in 1999. On the other hand, the market in UK is forecast to
grow by 3% from 199 to 2004 to reach £10.4 billion (US$16.9 billion) in fee income
in 2004.
110
Table 30. UK Market Forecasts of Accounting, Auditing and Bookkeeping
2001 -2004
Year Market Size (£ billion)
2001 10.2
2002 10.3
2003 10.3
2004 10.4
Financial Services
Leasing
United States. According to the survey released by Equipment Leasing

Association (ELA), United States indicates that the market acceptability of leasing is
growing, most especially in the equipment and computer segment. 70% of the
respondents pointed out that they would like the company to provide maintenance.
This value added services may be considered as the key to differentiating between
various provided of leased equipment. American leasing has grown about 20% in
year 1998. The bank-lessors reported a growth rate of 35.8%, independent leasing
companies reflected a 17.7% increase while captive leasing companies showed a
10.5% increase. The study stated further that leasing company had stable
profitability and that average return on assets was 1.4% and average return on
equity was 12.5%.
Europe. Data published in Leaseurope revelaed that in 1998, the number of

leasing players in Europe came down from 1212 to 1035. However in the same
year, the business volume grew from 104.1bn euros in 1997 to 117.3bn euros in
1998, a growtn of 112.6%. United Kingdom leads the European market with a
market share of 37.8% of the market. Germany ranks second with a share of 20%,
France 11.2% and Italy 7.8%.
In the article written on financing of small firms in United Kingdom, Lund

(1998) identified the sources of external finance by small and medium companies in
UK. The percentage share of different sources of finance, the percentage share of
finance during 1987-90 and 1995-97 shows an impressive shift. The share of
leasing has grown from 16% (1987-90) to 27.1%(1995-97).
Table 31. Percentage share of different sources of finance by SMEs

Period:1995-97 Period: 1987-90
Banks 47.4% 60.6%
Leasing 27.1% 16%
Factoring 6% 5.7%(inldg. customers)
Partners/shareholders 6.1% 7.6%
Venture Capital 3.3% 2.9%
Trade customers 1.4% Clubbed with factoring
Others 8.7% 7.2%
111
Source Equipment Leasing Association-1998 Survey
Russia. Russia may soon promote a national level of leasing company.

Russia presently has 11 small leasing company but the need for one company
having national presence is being emphasized by the government.
Credit Cards. Based on the 1999 Survey conducted by Asia Banker

Research covering selected Asian countries, credit card business has been an
integral part of the banking industry. This proved to be profitable and became
instrumental in building client relationship in a new way. Many banks grew their
portfolio very fast in the hope that this would provide the success experienced by
banks.
The economic crisis in 1997 altered the ability of the cards industry in Asia to
respond to the challenges of growing their business. As the crisis eased. the
winners were those banks that had invested in risk management system,
collections and a sound grasp of their client base.
The findings on the study conducted by Bacani(1999) on credit cards in Asia

were as follows:
• Asian generally don’t like debt. Many of the cards used in Asia are debit
cards, which deduct money from the holders’ bank account after the
purchase.
• Visa and MasterCard see opportunities in the increasing numbers of Asian
traveling overseas and the liberalization of financial services.
. Based on the same study, China has huge potential with regards to credit
cards. There were only 14 million credit cards issued for its 1.2 billion people.
Largely unfettered by government intervention, the Philippines, Indonesia

and India are considered the best credit-card prospects. In Indonesia industry
insiders believe that card base can be increased up to 5 million. In India card base
is expected to increase to ten million in year 2000.
The UK market for credit and charge cards has grown by 13% since 1998 to
reach a value of nearly £165 billion (US$260 billion) in 1999. The UK credit and
The market is forecast to grow by approximately £248 billion in 2004. The

market is forecast to become increasingly segmented with card offers and interest
rates tailored to particular customer groups, as issuers attempt to win consumers
from the competition. However, in the future it is anticipated that stored value
functions will be introduced with the possibility of financial and other valuable
information being collected about card users. Competition will become fiercer as a
wider variety of organizations issue credit card services.
112
Table 32. UK Market Forecasts 2001 -2004
Year Market size £ billion
2001 200.4
2002 216.4
2003 232.6
2004 248.9
By year 2004, credit cards will remain the largest sector, accounting for over 53% of
credit and charge card transactions.
Debit cards will remain the most dynamic sector, with over 42% growth forecast
over the next five years and their share rising to almost 37% of the overall market.
Store cards will experience the least growth, with their sector share decreasing to
just over 3% of the total market. However, store cards will remain a profitable and
powerful weapon for stores anxious to collect valuable marketing information
about their customer base.
Charge cards will remain popular with a minority of UK consumers, although

individual transaction levels will be high ensuring the sector remains important in
the market. Heavy investment in the electronic purse is likely to lead to a
general acceptance in principle by the public, but problems with establishing a
standard and resistance to change will mean that this potential sector's popularity
will be restricted in the medium term.
Table 33. UK Sector Forecasts 2000-2004(US$ million)

Sectors 2000 2004
Credit cards 97.5
132.4
Debit cards 64.6 91.8
Charge cards 13.3 16.4
Store cards 7.1 8.2
Source Euromonitor 2000
Stock brokering. Table 34 presents the revenue performance of the 1998

leading global mutual funds and brokerage firms. In spite of the threat of online
trading, the top 10 brokers’ employment totaled 282,500.
113
Table 34. Financial Performance of Top 10 Mutual Funds and Brokerage
Rank Firms Revenue($ % Revenue # of
millions) Change Employees
1 Merrill Lynch 35,853 13 63,800
2 Morgan Stanley Dean Witter 31,131 15 49,300
3 Salomon Smith Barney 20,637 -4 36,300
4 Lehman Brothers 19,894 18 4,900
5 Fleet Financial Group 10,002 24 35,600
6 The Toronto-Dominion Bank 8,548 15 29,200
7 Bear, Stearns & Co. 7,980 31 9,200
8 Paine Webber 7,250 9 17,800
9 Fidelity 5,878 16 27,900
10 Donaldson,Lufkin & Jenrette 5,407 17 8,500
Source: Forbes, 11/30/98Hoover’s Online; WetFeet.com research analysis
6.0 Industry Associations
The Securities and Exchange Commission (SEC) and the Bureau of Internal
Revenue(BIR) were established in 1939. They required the submission of financial
statements audited by CPAs. Other regulatory bodies like the Commission on Audit
and the Bangko Sentral ng Pilipinas require also the submission of audited
financial statements. The Accounting Standard Council and the Auditing Standard
and Practice Council were formed to oversee the promulgation of accounting and
auditing standards used by auditing firms.
Most of the business services sectors have an industry associations.

Association vary widely in the services provided to members, but most offer staff
training programs, a directory of experts in member firms available for consultation,
and client referral services.
In the professional services sector, several recognized industry associations
have assisted the Professional Regulation Commission (PRC) in the
implementation of the continuing professional education program, and have served
as members of the different professional boards that administer the licensure
examinations. Through these activities, the industry associations have contributed
significantly to the upgrading of the different professions in the country.
The Credit Card Association of the Philippines created a Credit Bureau Task
Force to draft standardized credit policies. Cynthia Valenzuela of Unibancard
Corp. said the association will make every effort to prevent card fraud which
comprises low rate as compared to Asia Pacific countries. The association plans to
provide security to its clientele by introducing the use of chips in the credit cards
which will replace the traditional magnetic stripes within five years.
114
Moreover, many industry associations have successfully lobbied for the
passage of certain laws that benefit their respective industries, and have strongly
opposed certain measures detrimental to their membership. Some of these
associations were instrumental in the formulation of laws/policy affecting their own
sector.
Table 35 lists the names of the associations/regulatory agencies in the

accounting and financial services sector.
Table 35. Association-Regulatory Agencies

Subsector Name of industry association
Accounting, auditing, and ! Philippine Institute of Certified Public Accountants (PICPA)
bookkeeping services; ! Association of CPAs in Commerce and Industry
Taxation services ! Association of CPAs in Education
! Association of CPAs in Public Practice
! Government Association of CPAs
Financial Services ! Philippine Finance Association
! Credit Card Association of the Philippines
! Investment House Association of the Philippines
! Financial Executive Association
! Bangko Sentral ng Pilipinas
! Securities and Exchange Commission
! Philippine Stock Exchange
! Philippine Stock Brokers Association
7.0 Strengths and Weakness
Accounting
Strengths
The accounting service industry identifies strengths on strong connections
with the Big 5 through the sharing of knowledge, methods and technologies (Tullao
1999). Another strength is the expansion of services (Cabrera, 2000). These
services involve giving quality information to decision makers. The ability of the
auditing firms to provide more jobs due to value-added services. Value-added
services create competitive advantage of their future career. These value-added
services show how auditors can improve the efficiency and effectiveness of client’s
operations(Boynton, 1999).
Another strength of this industry is the specialization provided to the staff

due to the different client needs. They are exposed to seminars and training.
Strengths denied from technological development include firms enthusiastic
response to information technology (IT) in terms of budget provision for equipment
and training. Strength derived from procurement is the readiness for purchase of
IT equipment.
115
.
Strengths derived from technological development include firms enthusiastic
response to IT needs in terms of budget provision for equipment and training.
Strength derived from procurement is the readiness for purchase of IT equipment
and the immediate use of this equipment for needs like the preparation of materials
development of ones service, the assurance service.
Weaknesses
Foreign markets are limited to special projects provided by Big 5. Partners
from auditing firms who were interviewed cited that foreign special projects are
assigned to auditors who are with potentials. As part of their training program,
employees are assigned to special project abroad .
The fast turnover of employees entail higher training costs. Based on

interview with partners and human resource department managers, employees stay
for a shorter period in auditing firms due to more attractive salary package of
multinational companies.
Readiness to use computer requirements but clients’ records are not yet
computerized.
Unattractive compensation packages drive away qualified applicants to

auditing firms. Graduates complain about salary packages but remain for a while in
auditing firms due to experience and training they get from the auditing firms.
Interviews with graduates reveal this weakness of auditing firms.
Financial Services
Strengths
The financial service industry enjoys these strength on the firm infrastructure,
human resources. technological development and procurement.
• Emphasis on the user of services. Based on interview responses.

The financial services industry emphasizes the customer-oriented way
of delivery of services.
• Minimization of losses due to bad debts:. The proper selection of

customers based on creditworthiness minimizes the provision for bad
debts. A well-prepared set of criteria to select customers is a
management tool to create efficiency in the credit department of
financial services (Skousen,2001).
116
• Based on interview responses, they identified other strengths like efficient
and effective delivery of services, efficient use of capital and employment of
people with technical expertise.
Weaknesses
Weaknesses pointed out in the financial services industry are listed as

follows:
• Lack of transparency of credit standing of customers. Interviewees
claimed that credit standing information derived by firms are kept
confidential. If other financial companies were informed about this
information, less credit investigation costs will be incurred.
Transparent credit standing information is deterrent to lend money or
extend credit if properly informed. Less bad debt losses will be
incurred.
• Higher financing costs than traditional loans. Difficulty in looking for

clients is expected when incurring higher financing costs (Spiceland,
2000).
• Other weaknesses in the financial services are : inadequate offerings

of financial services curriculum and budget constraints.
• Cost of leasing , factoring, credit cards and stock broking are

observed to be higher than traditional loans.
• Inability to purchase IT equipment due to budget constraints.
• Lack of expertise on financial services can be traced to offerings of

needed subjects in the curriculum.
8.0 Supply Capability
There are four areas of specialization for CPAs. CPAs can be engaged in
public practice, commerce and industry, education and government. The Philippine
Institute of Certified Public Accountants’ (PICPA) members in year 2000 numbered
to at least 17,938 CPAs in good standing. From Commerce and Industry, 11,656;
Government, 487; Public Practice, 2,689; Education , 1,704 and 1,402 CPAs not
classified to a specific sector. Accounting and auditing firms are classified under
117
the area of specialization known as public practice. PD692, Art. 3 of the Revised
Accountancy Law defines public practice as…..
Practice of accountancy shall constitute in a person be it in his individual capacity

as a partner or staff member in an accounting or auditing firm, holding out himself
as one skilled in the knowledge, science and practice of accounting and is qualified
to render professional services as a CPA; offering or rendering or both to more than
one client on a fee basis or otherwise as audit or verification of financial
transactions or for
accounting records; the preparation of financial transactions or for

accounting records, the preparation, signing of certification for clients
of reports of audit, balance sheets, and other financial accounting and
related schedules, exhibit statement or report which are to be used for
publication or for credit purposes, or to be filed with the court of
government agency, or to be used for any other purposes; the
installation and revision of accounting systems, the preparation of
income tax returns when related to accounting procedures or when he
represents client before government agencies on tax matters relating
to accounting procedures and recording and presentation of financial
facts or data.
A certain public accountant shall be considered in the practice

of his profession, if the nature and character of his employment
whether as an office or employee in a private enterprise or
educational institution involves decision making requiring professional
knowledge in the science of accounting or when he represents his
private employer before any government agency on tax matters
related to accounting and such employment or position requires that
the holder thereof must be a CPA, or if he holds or is appoint to a
position in the accounting occupational group in the government or in
government owned or controlled corporations including those
performing propriety functions where a civil service eligibility as a CPA
is a prerequisite.
Table 36. Schedule of Services Offered by Local Auditing Firms

Auditing Firms Affiliation Services Description
Offered
Sycip,Gorres Arthur Andersen Assurance SGV provides assurances to management,
Velayo & Co. is a multidisciplinary Services corporate directors, investors, lenders and others.
The Philippines' professional These include assurances on the reliability of
premier professional services firm. It is a financial and non-financial information, business
services firm business unit of processes and controls, regulatory compliance, and
providing assurance Andersen Worlwide, information used in strategic transactions.
and tax services. one of the world's
With a staff of some largest professional
118
With a staff of some services providers Tax Advocacy • Representation before tax and customs
2,000 personnel in with more than Services authorities, local governments and other
11 offices across the 72,000 personnel in government agencies on revenue matters such
country. SGV &Co. 81 countries. Its as tax assessments, refunds and claims
is the largest global expertise is assistance.
multidisciplinary conducted by 100 • Preparation of position papers on revenue
professional member firms. measures and industry issues and assistance in
services drafting revenue bills.
organization in the
country.

Offered
• Tax compliance review of income, business,
Tax value added, withholding , local and realty taxes
Compliance • Contract tax services
Services • Litigation support services
• International and domestic tax advisory services

Tax • Planning and implementation of tax strategies to
Consultancy reduce tax liabilities for taxpayers.
Services • Design and implementation of tax-effective
alternatives for structuring and processing
foreign or local investments
• Preparation and filing of all types of tax returns,
including US individual tax returns
Business • Consultancy on revenue legislation, family

consulting wealth and estate planning and executive
Services compensation.
Corporate • Help clients create measurable performance
Finance improvement and lasting change.
Services • Assist clients in creating, enhancing and
maximizing enterprise value by originating and
executing transactions, such as mergers,
acquisitions and divestitures;
• Facilitate access to capital markets,
• Devise strategies to optimize the value of real
estate assets,
• Develop restructuring programs.
Human • Help clients realize the value of their people by

Capital developing unique solutions to attract, mange
Services and retain employee.
• Offer services in the areas of compensation and
equity incentives, international employment
solutions, people strategy and HR management.
• Retirement, actuarial, and other company
benefits.
• Design, implement, and operate certain finance

Outsourcing and accounting business processes to enable
Services clients to sharpen their strategic business focus,
119
while improving the performance of these
essential but non core business activities.
• Help clients understand and manage business

Risk risks that can impact performance and financial
Consulting results, including risks related to business
Services technology, regulatory compliance, government
contracting, fraud, and treasury and trading
activities.

Offered
! Help clients focus on the business
Risk information required by e-business in
Consulting strategy, customer interaction, business
Services models and their entire business operation.
Punongbayan & Ernst & Young Assurance P&A provides audit services that go beyond
Araullo International and Advisory numbers which gives a positive difference to the
(EYI) Business firm’s audit service. The firm use of the most up-to-
One of the leading P&A represents Services date professional techniques and procedures, and
accounting firms in Ernst & Young thorough understanding of the client’s business.
the Philippines, International (EYI) in This results in an audit approach that is customized
Punongbayan & the Philippines, one to client needs.
Araullo (P&A) is of the world's
carving for itself a leading professional Tax Services To address the complex and fluid challenges laid on
competitive edge services firms widely local and expatriate businesses by developments in
that focuses on recognized for the tax policy, P&A’s tax specialists assist clients in
delivering the values quality of its making sure they pay the proper taxes, in
that its clients care assurance, determining areas where tax savings are possible,
about. advisory, tax and and by representing them in tax assessment cases.
P&A taps Ernst & management
Young’s expertise consulting services Specifically, P&A’s tax services cover the following
as the most areas: tax opinion and advice; tax compliance audit
innovative firm in the P&A has direct ; contesting tax assessments; claims for tax
world in the use of access to the state refunds; obtaining tax ruling; corporate tax return
audit software. P&A of the art technology preparation; expatriate tax service; registration and
has adopted Ernst & on professional dissolution of companies/branches .
Young’s radically accounting services,
new Audit like various software Management The Management Consulting Services (MCS)
Innovation vision on computer Consulting mission is to provide business organizations with
This means that the auditing With more Services the best-of-breed system solutions that would
perspective of the than 600 locations enable these organizations to utilize Information
Firm’s audit worldwide, Technology in innovating and improving business
professionals is to including 100 in the processes, in attaining work efficiency and
deliver more value U.S. as well as productivity, and in enhancing competitive
to our clients as part operations in 125 advantage. The Management Consulting Services
of performing an countries, EYI share Ernst & Young Global Client Consulting's
efficient and reinforces the vision of providing its clients access to world-wide
effective audit strength of P&A with knowledge, expertise, and practical innovative
its wealth of solutions to maximize clients' potential across a
. This has required experience global wide range of markets.
120
reengineering the experience, global
audit process to reach and the Accounting P & A provides accounting services mainly to
improve process, confidence of a And Payroll multinational companies which are in the process of
people and market starting their operations in the Philippines. Payroll
technology. Audit leader. preparation and related services are rendered to
Innovation further organizations that put a premium on the strict
requires evaluating confidentiality of compensation information,
and enhancing this especially of top-level executives; and also to start-
process up companies which are still setting up their
continuously. administrative units.

Offered
Joaquin Cunanan PriceWaterhouse Assurance A combination of technical competence,
& Co. Cooper is one of and Business professional judgment, business knowledge and a
Joaquin Cunanan & the leading Advisory dedication to help clients make better decisions.
Co. is a professional accounting firms in Services The ABAS organization is designed to effectively
firm committed to the Philippines. It (ABAS) cater to particular service requirements, specific
provide excellent helps the accounting market sectors and industries, and even certain
and distinctive profession and the business processes.
services to its business community
clients. It is also the by providing
Philippine member distinctive service to Tax Services The firm’s tax specialists have helped companies of
firm of the worldwide its clients, develops all sizes minimize tax liabilities and meet tax
Pricewaterhouse the personal growth compliance obligations. Their corporate services
Coopers and professional include business registrations, reorganization, and
organization. The expertise of the securing work visas for expatriates. They can be
firm has rendered people and the effective advocate with tax authorities and other
professional service contributes to the government agencies thus allowing client
in the Philippines for economic and social executives to concentrate on running the company
over 75 years. development of the affairs.
Established in 1922, country. Through the
it became a member years, it has always
firm of the Price strived to develop Financial In this type of service, clients are assisted in
Waterhouse and maintain the Advisory reviewing strategic objectives with financial models
Worldwide reputation of quality Services and industry research to determine optimal financial
Organization in accounting and structures. They advise on mergers and
1973. auditing, and acquisitions, business recovery, project finance and
On July 1, 1998, the management privatization, and valuation.
merger of two consultancy
venerable firms- services. The Helps organizations maximize their performance
Price Waterhouse company wants to
and Coopers & determine possible
Lybrand- created business
PricewaterhouseCo opportunities
opers, now available to clients in
considered the the Philippines
world’s leading specifically in the
professional area of inward
services investment, joint
organization. venture, technology
Drawing on the transfer, and supply
knowledge and skills of modern
121
of 155,000 people in equipment.
150 countries, they
help their clients
solve complex
business problems
and measurably
enhance their ability
to build value, and
manage risk.

Offered
KPMG Laya, Laya, Mananghaya Accountanc The Firm provides a range of accountancy and
Mananghaya is the member firm y and audit services including reports on Financial
The Firm has since in the Philippines of statements and other forms of assurance such as
auditing internal control reviews and acquisition due
grown into a KPMG, one of the
significant BIG FIVE diligence. The Firm has been appointed the external
contributor to accounting firms in auditor for a wide range of domestic and
Philippine business the world. KPMG is international clients in various industries, including
by providing service a leading provider of corporations listed on the Philippine Stock
that adheres to the assurance, tax and Exchange, and subsidiaries of clients listed on stock
highest professional legal, consulting and exchanges throughout the world.
standards of audit, financial advisory
tax and services. With a The Firm’s tax professionals include lawyers whose
management global approach to experience provides a proactive approach to tax
consultancy service delivery.
Tax and planning and organisational structure. They assist in
practice. The KPMG responds to legal the formation and establishment of new business
professional clients’ complex entities, tax compliance and review, strategic tax
background and business challenges efficiency, and representing our clients before
experience of the with seamless revenue authorities.
Firm’s partners and service across
principals industry sectors and
continuously provide national boundaries. The Firm prepares economic, market and
clients the industry analyses. It is also engage in general
necessary guidance management consultancy, project development and
in reaching solutions Management implementation, management audits, as well as the
to business consultancy review and design of systems and procedures. They
problems and provide related services, which include human
challenges and in resource, and organisation studies, social science
seizing business research, financial packaging, and investment
opportunities. advisory services. They also perform education
policy work for the
Philippines and other Asian countries via the World
Bank and the Asian Development Bank. We work
with KPMG Consulting for projects which require
regional or global input to ensure our clients gain
access to the broadest range of business advisors
who can best help them meet their goals.
For global companies entering the Philippine

market, the Firm provide advice on alternative ways
of doing business available investment and tax
122
Other incentives, and assistance in bringing together
professional potential foreign and local partners. They also
services assist their clients in getting the best transaction
deal in mergers, acquisitions take-overs or buyouts.

Offered
C. L. Manabat & CLMC is the Business General Business Advisory
Co. (CLMC) is member firm in the Consulting . Business systems analysis and design
committed to Philippines of Services . Organizational restructuring
providing the best Deloitte Touche . Organization development and planning
professional world- Tohmatsu, one of . Visioning, corporate image enhancement and
class services to its the BIG FIVE public .. relations
clients. It acts not accounting firms in
just as advisors but the world. Deloitte . Investment planning
as partners in Touche Tohmatsu . Financial restructuring for private and public
helping is one of the world's Financial placements
organizations leading professional Advisory . Loan syndication
achieve their service firms,
business objectives delivering world- . Industry studies and market research
by seizing class assurance and .Project development and implementation
opportunities and advisory, tax, and Business . Corporate strategic planning
sucessfully consulting services. Development
executing strategies. More than 82,000 and Strategy Tax and Corporate Services
Moreover, the firm people in over 130 . Organizing business enterprises
aims to form countries serve . Labor and personnel relations
genuine nearly one-fifth of . Fiscal and non-fiscal incentives
partnerships with its the world's largest . Real property taxation and local taxation
clients in an companies as well . Trademark application/registration of licensing
atmosphere of as large national agreements
mutual trust and enterprises, public . Income tax preparation/statutory returns
understanding. institutions, and . Tax advisory and planning
successful fast- . Tax audit and tax laws compliance evaluation
growing companies. . Review of tax effects of alternative courses of
action
Assurance and Advisory Services

. Statutory audit
. Acquisition audit
. Due diligence review
. Internal audit
. Operations and management audit
. Fraud audit
. Litigation support
Outsourcing Services
. Manpower sourcing and executive headhunting
123
. Payroll processing
. Bookkeeping services
. Business center facilities
Source : Websites of the Big 5 Accounting Firms
8.1. Extent of the service rendered abroad by Filipinos through the

firms
Filipino CPAs connected with Philippine auditing firms are assigned to work
abroad for specific projects. These specific projects are given by the "Big 5" abroad
who is directly in charged of these clients. These foreign clients are not clients of
the local CPA firms.
Special projects of foreign auditing firms are filled up by auditing staff from
the Philippines. The audit staff does not become an employee of the foreign firm.
He remains to be an employees of the Philippine firm. The special project takes the
form of formal training given to the employee by the local firm. These special
arrangements materialize because of the affiliation of the Philippine auditing firm
with the Big Five.
Being member firms in the "Big 5" draws the following benefits:
• Disclosure of being a member-firm

• Direct access to transfer of technologies and methodologies
• Readiness of special projects to be assigned to member-firms
• Dissemination of current developments in accounting
• Servicing multinational clients of "Big 5" in the local market.
To avail of these benefits, the member-firms are charged a fee according to

conditions agreed upon.
8.2 Expertise/Technical Competence of Manpower
The accounting profession requires a certain amount of technical training,

and most accountants come into the field fresh out of school. Although there are a
variety of other jobs that belong to the extended accounting family (bookkeeper,
accounts payable clerk, accounts receivable clerk and so on), the high-status
positions in this profession come with three letters attached: CPA.
124
Auditing firms maintain an audit staff consisting of partners, managers,
directors, senior auditors and staff auditors. These levels in the audit staff need
difference requirements and have different responsibilities. The manpower of an
auditing firm is composed of managerial employees and technical staff. Interview
shows that very few finish their masteral and doctoral studies. The recruitment had
hiring system is done through referrals. The assessment of the levels of
competence of employees is very satisfactory to outstanding. There is fast turnover
of employees as pointed out by the interviewees.
An auditing firm (2000) grouped audit competence measurement into

technical and generic competence. Technical competence refers to specific
technical skills, knowledge and abilities that are required for the job.
Generic competence refers to personal attributes than an individual should

bring with them to a job. It covers people management, client management,
engagement/practice management involves working with, supervising and
developing people. It includes on-the-job coaching, counseling, performance
appraisal, career development and the building and leading of terms.
Client management involves the building of relationships with clients, being

responsive to their needs as well as establishing and meeting/exceeding their
expectations of service.
Practice management involves the planning of work, assignment of staff,

control of time and costs on the engagement, meeting of deadlines and timely
billing of costs. It also includes managing the risks associated with inadequate
review and supervision of work.
Practice development requires commercial judgement and business

development skills. It involves the marketing and selling of existing services and
products into existing clients, contributing to the development of new services and
involvement in community and business activities to promote the firm ( Nadurata
2000).
8.3. Quality and quantity of Training
In a Wall Street Journal on the topic Mitchell Klein, a partner of Fasman,

Klein & Feldstein, an New City, N.Y., accounting firm said:
“Too many people associate accountants with death, tax and bad
news and question our integrity because of the big audit failures
that major accounting firms have failed to catch.”
Interviews with auditing firms show that firms have their own training
programs on technical training, professional development training and industry and
125
functional training. They have local and foreign speakers. Their training programs
are offered to the different levels in the audit staff from partners to junior auditors.
Training needs are addressed by levels. The division in charged is the training and
CPE Division.
Training programs are usually grouped into technical training, professional

development training and industry and functional training. Technical training
programs cover manager's awareness program and business awareness program.
Professional development program cover skills development modules and support
courses. Industry and functional training provides knowledge, skills and abilities
needed to service client effectively for each industry and functional group.
Table 37. Training Needs Analysis

Training Programs Description
Technical Training
• Managers' awareness • Seminar on topical issues
• Technical awareness • Seminars on technical issues covering accounting, auditing and
• Business awareness taxation updates for partners
• Seminars on technical business issues for partners and directors
Professional development
training
• Skills development • Develop skills that are introduced in core and foundation courses
• Address individual training needs
• Provide skills training necessary for specific assignments
• Seminar covering topics of current and general interest
• Professional development
Industry and functional training Provide staff with the required knowledge skills and abilities needed
to service clients effectively.
9.0 Opportunities and Threats
Accounting
Opportunities
Accounting services industry provides to CPA firms through the supply of

well-trained and motivated CPAs from several hundred colleges and programs in
accounting.
Social forces in the form of opportunities to work abroad on additional

projects are provided by the "Big 5" firms. There are vast opportunities opened to
126
CPAs in the public practice. This will provide more exposures and experiences and
will improve their communication skills
Technological factors like development in information technology will provide

venues for more training to employees to keep abreast of new services like
assurance services. In addition, foreign consultants can provide us better transfer
of technology
The economic growth of a country create greater economic transactions and

establishment of commercial firms that need accounting services.
Political factors affecting the accounting profession like liberalization of

professional services. This will expand markets here and abroad.
Furthermore, growth in the Asia-Pacific region and the commitment of Asia

Pacific countries under GATS devote an increase in the demand for accounting
services.
Threats
The accounting services industry expect threats arising from social factors
like feeling less superior to foreign consultants and the fear that CPAs will seek
employment abroad through the foreign projects given them.
Technological factors like the reduction of employment of CPAs due to the

introduction of the paperless audit and dependence on IT.
The economic factor of competition with foreign CPAs and foreign

consultants will affect economic status of the accounting services industry. Another
hindrance is the difficulties of small accounting firms in penetrating the market .
Finally, the political factor on the ultimate liberalization of auditing services

will affect employment of CPAs, obsolescence of manual operations and
procedures due to advanced technological requirements
Financial Services
Opportunities
Financial services industry provides opportunities in terms of economic

growth. Economic growth is measured in terms of greater savings which are used
for diversification of assets.
Another opportunity is the need for cash flow improvement arising from
vibrant economic activities, thus creating demand for financial services.
127
The commitment of Asean and Pacific countries to GATS on the
liberalization of the financial sector causes reforms in the securities market. This
reforms require more disclosures which can make the Philippines a safe and stable
site for financial services.
Opportunity on the technology side, point out that the knowledge and user of
technology facilitate leasing, factoring, credit cards and stock broking activities.
This knowledge increases efficiency in the delivery of these financial services
The economic factor of improving the buying capacity are facilitated by

leasing, factoring, credit cards, and stock broking. They provide temporary facility
in the use of credit buying.
Politically, opportunities to understand the adverse effects of bankruptcy

laws open our eyes to such situations like making good all obligations arising
through leasing, credit cards, stock broking and factoring.
Finally, the improvement in the credit standing of the country increases the
inflows of capital and the need for financial services.
Threats
Dependence on debt to improve one's standing in the community. Educating

takers of these measures will be advised to proper use of leverage.
Other threats include macroeconomic instability, huge cost of IT
infrastructure, political instability and international perceptions.
High budget on IT would deplete budget and other necessary programs.
Balancing of all budgetary needs should take into consideration like magnitude of
transactions affecting IT.
10.0 Action Plan to enhance growth and competitiveness
Accounting
Marketing
• Affiliate with international accounting firms and allow regional
accreditation with the "Big Five". These international accounting firms
provide more opportunities in terms of transfer of technology, more
projects for local auditing firms and sharing of technology and
knowledge updates.
• Explore new services for the firm like assurance services, information
and communication technology, corporate finance, outsourcing, and
sustainable accounting. Assurance services require assurers to
128
become more knowledgeable in user decision processes and
relevance enhancement activities.
• Create niches for small auditing firms like doing training in less
developed countries, doing outsourcing, doing business research,
doing entrepreneurial ventures and information technology software in
accounting. These are activities that can be done by small auditing
firms in order to have market access.
• Optimize technical knowledge and application of information
technology.
• Preparing clients and staff or paperless auditing is a must.
• Government should help in making technology affordable through tax
reductions in software and hardware acquisitions.
Human Resources
• Invest more on training programs for people. Human capital
development in the long-run reduces training costs. Trainees must
see their true value in the company.
• Improve the quality of accounting profession in a wider coverage such
as management and financial accounting.
• Joint efforts of academe, government, and industry in the improvement
of human capital.
Finance
• Provide enough budget for IT equipment and continuing professional
program.
• E-Commerce has strong implication on accounting and auditing.
Continuing professional programs will enhance staff competencies
need in a globalized accounting environment.
Laws
• Update the Accountancy Law, Code of Ethics, Accounting and Auditing
standards
• Allowing web site advertisements for accounting firms.
• Study the feasibility of incorporating a partnership.
Monitoring
• Strengthen the cooperation among small auditing firms through the
creation of a formal organization of small auditing firms.
129
• Strengthen the professional organizations(PICPA,
ACPAPP,ACPAE,etc.)
• Recommend peer /practice review among auditing firms.
• Monitor curricular offerings to meet the current demands of industries,
new services for the accounting services industry, inclusion of
computer application in accounting subjects.
• Envision a discipline which is not limited only to accountancy.
Financial Services
Marketing
• Create selling systems which are customer-oriented. Selling systems
which are customer-focused answers the call for globalization. In
globalization, there is a shift of advantage from the provider of
services to the user of financial services. Increase the clientele base
through personalized services to customers.
• Conduct research on improving services to cope up with changes in
selling needs and changes in technology.
• Conduct campaign to educate the users on leasing and factoring
activities.
• Use selective extension of credit to customers based on worthiness of
client.
• Market products through advanced technology processes. Through
internet transactions, services will reach the customers faster.
Prompt statement of accounts can be sent to them. E-commerce
application on collection and payments must be studied.
• Provide enough budget for computerization of client's transactions.
Human Resources
• Seek more government agencies and associations assistance through
offering of more meaningful services or selling services, interpersonal
relationships and updates on laws that affect the industry.
Finance
• Provide more control to cater to the needs of the financing services
sector. More capitalization responds to the credit needs with more
reasonable interest rates to cater to customers.
Laws
• Educate users of fraud, securities and bankruptcy laws, thus
compliance will be assured.
130
Follow- up any position papers filed by associations concerning tax-
•
related matters.
• Improvement of tax system.
Monitoring
• Monitor performance of the industry through more aggressive
intervention of association of financial services
• Set up own internal audit or recommend external audit of finance
companies, brokers and credit card distributors. Internal and external
audit
11.0 Performance Monitoring System
There are many factors affecting the monitoring system. The first factor is the
quality of graduates competence which is monitored by school administration,
accreditors and CHED officials. They use school evaluation schemes like admission
and retention policies of schools, CHED visitation and accreditors criteria.
The second factor is monitoring of CPA results by PRC and school

administrators through the CPA results.
The third factor is aggressiveness of association and government agencies

done by associations through monitoring of members performance.
The fourth factor is compliance of laws affecting the industry. Government

agencies monitor this through reportorial requirements.
The fifth factor is advanced technology factors monitored by industry players

through self-evaluation.
The next factor is extent of research monitored by respective head. This is

measured by their research outputs.
The last factor is availability of funds which is monitored by the budget

offices or head of department can learned through budget variances.
Accounting is coming to be understood as a vital infrastructural element of

financial services and as finance becomes more global, accounting too should
become more global. Similarly, as large business enterprises generally have
become more international, their need for more international accounting services
has grown.
There is a need to put up a program that will study an appropriate platform

for the Philippines to be part of globalized accountancy. The major players will be
the Professional Regulation Commission (PRC) through the Board of Accountancy,
The Philippine Institute of Certified Public Accountants(PICPA), the sectoral
organizations - Association of CPAs in government, in education, in commerce and
131
industry and in public practice, the standard setting organizations and the
Commission on Higher Education (CHED).
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http://www.equitable.com.ph/pcileasing/anrep/letter.htm
http://www.releasing.ra/leasing_world/world.htm
http://www.cclease.com/index.html
http://profiles.wisi.com/profiles/financial.htm
http://ww.corporate information.com
http://www.electronicaccountant.com/html/t100y2k/t100p4.htm
http:// 212.240.205.5frame.asp
135
12.0 Directory
PHILIPPINE ACCOUNTING and AUDITING FIRMS
ALBA ROMEO & CO

Don Chua Lamko Bldg. Mkt filing
Tel.# 815-9086/816-7201 C L MANABAT & COMPANY
Salamin Bldg. Mkt. City
ALDAYA NARCISO N & CO. Tel.# 818-1826/812-0535/810-5737
Samanillo Bldg.
Tel.# 241-5159 C M ILAGAN & ASSOCIATES CPA’s
20th Century Bldg. Mandaluyong
ARCADIO R GARCIA & ASSOC. Tel.# 533-9389
Arcinas Bldg. QC.
Tel# 732-7871 CABEÑERO KATIGBAK CLEMENTE & CO.
77-A Times QC
ARCEO ROMEO UR Tel.# 924-0047
R Santos Bldg.
Tel.# 733-1084 CAGULAT ABAD & CO.
1300 Quezon Ave. QC
ARTILLAGA R C & ASSOCIATES Tel.# 922-1840/372-3531
353 Villareal PC
Tel.# 831-4855 CALMA RP & CO.
Zeta Bldg. Mkti.
ARUEGO JOHNNY Tel.# 818-8592
C Platinum 2000 SJ
Tel.# 723-9779 CAPILI FLORA PUBLIC ACCTG SERV
4092 Airport Pque
AYSON RENATO Tel.# 832-0616
C Regina Bldg.
Tel.# 241-5656 CAREER DEVELOPMENT CENTER INC
140 Retiro QC
B. BARSABAL & CO. Tel.# 712-3696
750 Shaw Bvld. Mandaluyong
Tel.# 631-6207 CAÑÑO PUBLIC ACCOUNTING
SERVICES
BERNADEZ & ASSOCIATES CPA’S Young Trade Bldg. QC.
Metropolitan Terraces Mkt. Tel.# 911-0293
Tel.# 899-6625/897-2288
CARMENCITA O GARCIA & PARTNERS
BERNADEZ CEDRIC Sedcco Bldg. Mkt.
Madrigal Bldg. Tel.# 892-5636
Tel.# 242-4834
CENTENO SERGIO
BUAN ROGELIO S Arle Bldg. SJ
L 1320 A Mabini Tel.# 727-2716
Tel.# 522-4101
CHAN FELIPE C & ASSOCIATES
BUEVENTURA VICTA & ASSOCIATES Mla. Textile Mkt.
LFG Bldg. QC. Tel.# 244-0052
Tel.# 372-3257
136
CHUA HUAY PIN
1013 J Luna DIMAR C B & ASSOCIATES
Tel.# 245-0974 146 West Ave. QC
Tel.# 926-9997
CONSTANTINO E F & CO.
88 Valero Mkt. DIZON JOSE
Tel.# 889-6105 A 530 J Luna
Tel.#242-0682
CORTEZ ARCELI D
Republic Supermart Bldg. DIZON R & CO
Tel.# 733-6143 126 Dn A Roces QC
Tel.# 374-2457
COSCOLLUELA FRANCISCO OSIAS ENER-MA ENTERPRISES
LAGAC & CO Carmen Bldg. PC
Shamrock Condmn Tel.# 831-1670
Tel.#716-1157
ESGUERRA GERMAN JR.
CREUS ASUNCION BONDOC & CO. Capt. L Gonzaga Bldg.
Cityland Dela Rosa Condmn Mkt. Tel.#733-0213
Tel.# 843-7327
CRUZ NAZARIO ESQYERRA B M & CO
L 462 Sto. Cristo 10 Quezon Av QC
Tel..# 241-9755 Tel.# 732-1144
CUSING ANTONIO FEDERATED SERVICES INC.

M 650 Sta. Potenciana Dña Natividad Bldg. QC
Tel.# 527-3623 Tel.# 742-2453/742-2465/742-2468
CUSTODIO NORMA R. FERNANDEZ BERRIS & CO.

Dña Consolacion Bldg. Q.C 6778 Ayala Av. Makati
Tel.# 912-0601 Tel.# 816-7679
DAN C BAÑAS & CO CPA’s FERNANDEZ SANTOS & LOPEZ

13 Aries Pque 8th Flr Philbank Bldg. Ayala Mkt.
Tel.# 822-3017 Tel.# 812-8331
DE CASTRO DELA CRUZ & COMPANY FERRER JACINTO

CPA’s C Martinez Bldg.
Heart Bldg. Mkt. Tel.# 241-3740
Tel.#899-6363/899-6374
FRANCISCO V A & ASSOCIATES
DE LEON AUGUSTO C 13th PORT AREA
Metro Bank Bldg. Mkti. Tel.# 527-2381
Tel.#892-0097
FUA & ASSOCIATES
DEE SY PUA & CO Danarra Condmn Mkt.
1425 J. Fajardo Tel.# 896-2574
Tel.#781-3421/781-3420
GARCIA AURORA
DIAZ L C & CO G 353 Tanduay
Don Jacinto Bldg. Mkti. Tel.# 735-1729
Tel.#840-2364
GARCIA ISIDRO B & ASSOCIATES
DIAZ MURILLO DALUPAN 8063 Estrella Mkt.
Don Jacinto Bldg. Tel.# 897-1753
Tel.# 894-5892/894-5893/894-5894
57
GARCIA MATIENZO ALON & CO LACSA QUIRANTE & CO.
1314 Commerce Av. Munt. 2243 Jose Abad Santos Av
Tel.# 809-9421 Tel.# 563-4728
GUZMAN DE E P & CO LAYA MANANGHAYA & CO.

134 Timog Av. QC 139 Valero Mkt.
Tel.# 929-3139/927-4817 Tel.#818-9492/893-8507/892-3271
Fax#894-1985
GUZMAN MARINO
A De Veria I Bldg. QC.
Tel.# 373-0831
GUZMAN WILBERTO P DE LAYA MANANGHAYA SALGADO & CO

1619 Rizal Av. KC 139 Valero Mkt.
Tel.#363-4286 Tel.# 841-0181/893-6259/893-6257/894-
1063/894-1098/894-1779/294-1807
IE Estelita Isabelo & Ass
SRI Bldg. PC LEE SEVILLA & CO
Tel.#833-9674 Enterprise Bldg.
Tel.#241-0952
INDEPENDENCE PUBLIC AGENCY
520-C Z P De Guzman LICUANAN CASTRO & ASSOCIATES
Tel.# 735-7104 109 Sct. Chuatoco QC
Tel.#374-4489
J A PASTOR & ASSOCIATES LOPEZ ACCTG & AUDITING OFC
16 R Del Pan Pque 1951 J Abad Santos
Tel.# 807-4560 Tel.# 253-3305
J L MARANAN & CO LUGO & CO

Artex Bldg. 10 Canada Pque
Tel.#243-1615 Tel.# 823-7819
JERRY P TAN & CO CPA’s LUMBA JOSE

Madrigal Bldg. F Taft Ofc Ctr PC
Tel.#243-4303 Tel.#831-0795
JIMENEZ M A ENTERPRISES INC. M R ORIOLA ACCTG. MGT.

Sagittarius Condm Mkt. Trinity Bldg.
Tel.# 816-3877 Tel.# 523-2770/523-2814/526-2113
JOAQUIN CUNANAN & CO M S BANARIA & COMPANY

Human Resources Dept Alforque Bldg. Q.C
Assurance & Business Advisory Services Tel.# 911-8062
Tax Services
Financial Advisory Services MAMURIC AMADO
Multinational Bancorp Center C 2627 Taft Ave.
Tel.# 845-2728 Tel.#523-1985
JOSE LUIS F & ASSOCIATES MANLAPAS ACCOUNTING OFFICE

Phil Banking Bldg. Mkti. 8 A Pres Av Pque.
Tel.# 817-9194 Tel.#829-8332
KATIGBAK & ASSOCIATES MANSILLA REYNALDO

Saville Bldg. Mkti. R Carmen Bldg. PC
Tel.# 896-7564 Tel.#831-1670
58
MARIANO NORTURO Tel#241-6989
M Arnel Bldg.
Tel.# 243-1611 OGALESCO PACIANO JR
818 Ongpin, Manila
MATURGO & ASSOCIATES Tel#733-3113
819 Ilaya
Tel.# 241-8441 OLLADA, FILIPE & ASSOCIATES
378 Dasmarinas, Manila
MELO RUFINO & CO Tel#241-3758
Maritima Bldg.
Tel.# 241-6189 PAMMIT A P & ASSOCIATES
1360 Leon Guinto Sr. Malate, Manila
METRO COMMERCIAL AGENCY Tel#524-2534
Chua Limco Bldg.
Tel.# 241-9361 PASCUAL L R & ASSOCIATES
Ledesma Bldg 2, Manila
METROPOLITAN ACCOUNTING Tel#527-4070
Downtown Ctr. Bldg.
Tel.# 242-1628 PASCUAL PASCUAL & CO CPAs
Ledesma Bldg 2, Manila
MILLARE ARTHUR Tel#527-5485;527-2271
J Myers Bldg.
Tel. 243-4051 PEOPLE’s ACCTG FIRM & TAX SERVICES
788 Ilaya, Divisoria, Manila
MIRANDA ANTONIO Tel#241-8254
A M Tiaoqui Bldg.
Tel.#734-8359 PO LAO MARQUEZ & ASSOCIATES
24 Bohol Avenue, QC
MIRAVITE RICARDO F & ASSOCIATES Tel#928-8242;9242119;845-1660
Pasda Mansion QC
Tel.# 374-3284 PRICEWATERHOUSECOOPERS
FINANCIAL ADVISORS,INC.
MORENTE BENJAMIN O Multinational Bancorp, Makati
2260 Pasong Tamo Ext. Mkt. Tel#845-2806
Tel.# 819-2896
PUNONGBAYAN & ARAULLO, CPAs
th
NR CUSTODIO & ASSOCIATES 20 Tower I The Enterprise Center
Dona Consolacion Bldg., QC 6766 Ayala Avenue, Makati
Tel# 912-5589;912-0601;912-9398 Tel#886-551
Fax#886-5511;886-5507;810-9748
NT SY & CO. CPA’s
State Centre Bldg., Juan Luna, Manila R M VELUZ ACCOUNTING FIRM
Tel#242-2638 27 Matalino St, QC
Tel#434-0480;434-5783
OCAMPO, MAURO C
1018 G. Masangkay Binondo, Manila R S FADO & CO.
Tel#244-7723 Cityland 10 Tower 2, Makati
Tel#815-6384
ODSINADA RIVERA & CO.
GJ Bldg., QC RAMON F GARCIA & CO.
Tel# 373-3489; Manilabankd Bldg. Mkti.
Herrerra Tower, Makati Tel.# 892-5831
Tel#845-0857;845-0865
RAMOS ALEXANDER E & ASSOCIATES
OGALESCO NELIA T 304 F B Harrison PC
Q. Paredes, Binondo, Manila Tel.# 831-5243
59
REDOR EMERSON P SAZON ULPIANO C & CO.
Ayala Life Bldg. Mkti. Delta Motors Sales Corp Bldg. QC
Tel.# 816-3079 Tel.# 373-3527
REJANO PAZ NOVENARIO & CO. SEVILLA ANTONIO Q

Victoria Bldg 4581 Baron Mkt.
Tel.# 521-2493 Tel. # 897-4078
REYES EDUARDO SYCIP, GORRES, VELAYO & CO.

J 1010 Bldg. 6760 Ayala Avenue, Makati City
Tel.# 525-7743 Truckline: 8910307 Fax: 8190872
REYES JOSE T & CO SICANGCO MENOR VILLANUEVA & CO.

260 Dasmarinas V Madrigal Bldg. Mkti.
Tel.# 241-2380 Tel.# 816-4463
RONALDO GATDULA ROSALES & CO. SICANGCO & PAMINTUAN

Legaspi Tower 200 Bldg. Mkti. V Madrigal Bldg. Mkt.
Tel.# 817-7090/817-9214/817-7535 Tel.# 816-4463
ROSARIO ESTRELLITA G DEL TAN RR & ASSOCIATES

134 Timog Av. QC PDCP Bank Center Mkt.
Tel.# 929-3139 Tel.# 817-8469
Madrigal Bldg. Mkt.
SABATER BENJAMIN G Tel.# 819-5241
Victoria Bldg. KC
Tel.# 364-4117/363-3726 TRUST BUSINESS AGENCY &
ACCOUNTING OFC.
SANDI PERFECTO S P Delos Reyes Bldg.
1215 Lincallo Tel.# 241-7141
Tel.#733-9152
TULLO EVANGELISTA LIM & CO.
SANTIAGO ACCOUNTING 1 Sct. Madrinan QC
Don Santiago Building Tel.# 374-2989
Tel.# 521-0078
UNGSON TEODORO C
SANTIAGO GINA R Dona Felisa Syjuco Bldg.
Don Santiago Bldg. Tel.# 528-0814
Tel.# 523-9036
V M TORRES & CO.
SANTILLAN FELICIANO S 18 Mariposa QC
231 J Luna Tel.# 727-7423
Tel.# 242-1676
VALDES CARLOS J & CO
SANTILLAN JIMENEZ & ROQUE CJVC Bldg. Mkti.
Fil-Am Resources Bldg. Tel.# 892-5931
Tel.# 242-1674 VALERA REYES J ASSOC.
22 Tirad Pass QC
SANTOS & SANTOS BUSINESS AGENCY Tel.# 712-1522
Chua Limco Bldg.
Tel.#241-9365 VALERIO VERGARA MARQUEZ & CO.
Burke Bldg.
SAZON SUBA & ASSOCIATES Tel.# 241-5254
Reza Bldg. QC
Tel.# 372-3266 VASQUEZ VIRGILIO M
60
361 Barbosa
Tel.# 734-9373
VELASCO PLACER A WISCO WILFREDO R

Makati Medical Center Mkt. Mla Downtown Palace
Tel.# 892-3364 Tel.# 241-1441
VELOSO ANTONIO A YAP & ASSOCIATES

1319 J A Santos 414 Rizal Ave.
Tel.# 253-3426 Tel.# 733-0210
VERA CASIANO Z P BAÑAS & ASSOCIATES

M De Luzco Bldg. Grd Flr. Daily Star Bldg.
Tel.# 241-3470 13th Port Area
VERA LP & CO Tel.# 527-2381
Vernida IV Bldg. Mkti.
Tel.# 818-8964 ZABARTE EDUARDO & CO
Samanillo Bldg.
VICENTE REYES & ASSOCIATES Tel.# 241-4843
22 Tirad Pass QC 4 Mary Mount QC
Tel.# 712-4201/743-7942 Tel.# 920-7296
VILLAMOR JULIO P
PDCP Bank Ctr. Mkt. Source: 2000-2001 Metro Manila Member
Tel.# 893-6182 Directory
VITUG JUANITO I
Marvel Bldg. 2
Tel.# 241-7661
VITUG ROMARICO G
Equitable Bank Bldg.
Tel.# 241-5757
61
PHILIPPINE CREDIT CARDS AMERICAN EXPRESS INTERNATIONAL
4/f Ace Bldg. dela Rosa cor Rada St.,
SECURITY DINERS INTERNATIONAL Legaspi Village Makati City
CORP. Contact Person: Ms. Aileen Clemente
Diners Club Centre, 114 Valero St., Tel.#815-9311 to 18/817-3141
Legaspi Village, Makati, City Fax # 818-6977
Contact Person: Ms. Elvira Lagrimas
Tel.# 810-4521-40/ 812-1272 UNICARDD (UNIBANKCARD)
E-mail: diners@info.com.ph PSBANK Tower, Sen. Gil Puyat Ave. Cor.
Tindalo St., Makati City
RIZAL COMMERCIAL BANKING CORP. Tel.#845-0101
Penthouse ITC Bldg., Sen Gil Puyat Fax # 845-0118
Contact Person: Ms. Melissa Rodriguez
Tel.# 894-9000/899-9523 STANDARD CHARTERED
6788 Ayala Ave., Makati
PNB CREDIT CARD CORPORATION Tel.#830-1111
PNB Visa Card-Credit Card Operations
Office, 3F Financial Center, PNB Bldg. AIG PHILAM BANK
Roxas, Blvd. Pasay City 100C Palanca St., Makati City
Contact Person: Mr. Guillermo Facundo Tel.#813-7531
Tel.# 526-3474/526-3433/526-3266
UNION BANK
THE HONGKONG & SHANGHAI SSS(Makati) Bldg., Makati City
BANKING CORPORATION LIMITED Tel.#892-0011
PSC-West Tower Exchange Road Ortigas
center, Pasig, City UNITED OVERSEAS BANK
Tel.#636-7300 411 Quintin Paredes St., Binondo, Manila
Tel.#243-0951
EQUITABLE CARDNETWORK, INC.
203 Salcedo St., Legaspi Vill. Makati City AMERICAN EXPRESS
Tel.# 812-5861/67 6750 Ayala Ave., Makati City
Tel.# 818-6731/840-2401/813-8346/813-
CITIBANK N.A 8353
Robinson Galleria Corporate Center EDSA
cor Ortigas Ave., Quezon, City BANK OF THE PHILIPPINE ISLAND
Tel.# 634-3601/40 BPI Bldg. Ayala Ave., Corner Paseo De
Roxas, Makati City
BPI EXPRESS CARD CORP. Tel.#818-5541 to 48
3/f BPI Bldg., Ayala Ave. Cor Paseo
Tel.#818-5541 CITIBANK
8741 Paseo De Roxas, Makati City
BANKARD, INC. Tel.#995-9999
24/f PSC Bldg., Exchange Road Ortigas
Center, Pasig City EQUITABLE BANK
Tel.#634-5911/634-6644 Equitable PCI Bank Towers Makati City
Tel.#893-8675/818-0825/894-1938/817-
BANK OF AMERICA NT & SA 3843
3/f BA Lepanto Bldg., 8747 Paseo
Tel.# 815-5789
62
Credit Lyonnais Securities Phils. Inc.
18/F, Tower 1
The Enterprise Center
6766 Ayala Avenue, Makati City
Philippine Stock Brokers Tel: +63-2 886-5637 to 46 (office); 886-5647
(sales); 891-9386 to 87 (Exchange)
Public Assistance Center Fax: +63-2 886-5692
Philippine Stock Exchange
Tel: +63-2 637-8818; 637-8813 or 636-0122 DBP-Daiwa SB Capital Securities (Phils.)
to 40 Inc.
Email: sbesguerra@pse.org.ph 18/F, Citibank Tower
8741 Paseo de Roxas Avenue
As of December 1999, there are 149 local Makati City
and 35 foreign member brokers of the Tel: +63-2 813-7344 (office); 891-9096 to 98
Philippine Stock Exchange. Following is the (Exchange)
directory of foreign member brokers: Fax: +63-2 848-0105
ABN AMRO Asia Securities (Phils.), Inc. DBS Securities (Phils.), Inc.
3/F, Pacific Star Building 10/F-11/F, Sage House Bldg.
Sen. Gil J. Puyat corner Makati Avenues 110 Herrera Street
Makati City Legaspi Village, Makati City
Tel: +63-2 811-5706; 891-9851 to 53 Tel: +63-2 812-8361 to 68 (office); 891-9131
Fax: +63-2 812-7909; 819-5849 to 33 (Exchange)
Apex Phils. Equities Corporation Fax: +63-2 815-1113; 815-1141
2/F, Mary Bachrach Building Email: dbssph@fapenet.org
Port Area, Manila G. K. Goh Securities (Phils.), Inc.
Tel: +63-2 527-8888 loc. 249 or 219; 891- 36/F, C/D Rufino Pacific Tower
9911 6784 Ayala Avenue
Fax: +63-2 527-5291 Makati City
BNP Prime Peregrine Securities, Inc. Tel: +63-2 811-0930 to 33 (office); 891-8582
14/F, PCIB Tower 2 to 83 (Exchange)
Makati Avenue corner H.V. dela Costa Fax: +63-2 811-1150 or 51
Street Guoco Securities (Phils.), Inc.
Makati City 15/F, BA Lepanto Building
Tel: +63-2 891-2681 to 85 8747 Paseo de Roxas Avenue
Fax: +63-2 751-8196 Makati City
CDIB Venture Investment (Asia) Ltd. Tel: +63-2 810-6801 to 06 (office); 891-9256
Unit 1002, Antel Corporate Center to 58 (Exchange)
139 Valero Street, Salcedo Village Fax: +63-2 810-8113
Makati City HDI Securities, Inc.
Tel: +63-2 867-2181 11/F, Tower 1 & Exchange Plaza
Fax: +63-2 867-2349 Ayala Avenue corner Paseo de Roxas
Christfund Securities (Phils.), Inc. Makati City
603 Diamond Building Tel: +63-2 891-9597 to 98; 891-9607 to 09
EDSA, Cubao, Quezon City (office); 891-9502 to 10 (Exchange)
Tel: +63-2 721-4612 Fax: +63-2 891-9597
Citicorp Securities International (RP), Inc. HSBC Securities (Phils.), Inc.
5/F, Citibank Centre 13/F, Jaka Building
8741 Paseo de Roxas Avenue 6780 Ayala Avenue
Makati City Makati City
Tel: +63-2 894-7690 (trading room); 894- Tel: +63-2 810-5106 (office); 891-9195 to 96
7693 to 99 (sales); 891-9561 to 62 (Exchange)
(Exchange) Fax: +63-2 810-5108
Fax: +63-2 894-7014 Indosuez W. I. Carr Securities (Phils.),
Inc.
63
17/F, Citibank Tower Tel: +63-2 887-1201 to 12 (office); 891-9324
8741 Paseo de Roxas Avenue to 28 (Exchange)
Makati City Fax: +63-2 887-1221
Tel: +63-2 848-0906 (Office); 848-0881 to Paragon Strategic Holdings, Inc.
82; 750-1117 to 18 (Dealing Room)
c/o Grand Plaza Hotel Corporation
Fax: +63-2 750-5611; 750-5612
10/F, The Heritage Hotel Manila
ING Baring Securities (Phils.), Inc. Roxas Blvd. corner EDSA Extension, Pasay
20/F, Tower 1 & Exchange Plaza City
Ayala Avenue corner Paseo de Roxas Tel: +63-2 891-8838
Makati City Fax: +63-2 891-8825
Tel: +63-2 840-8400; 891-9898 (office); 848- Phileoallied Securities (Phils.), Inc.
5213; 848-5228; 840-8480; 840-8483 Unit 906, 9/F, Tower 1 & Exchange Plaza
(Exchange) Ayala Avenue corner Paseo de Roxas
Fax: +63-2 891-9777; 891-9797
Makati City
Email: louie.bate@ing-barings.com
Tel: +63-2 848-5539; 848-5540 (office); 891-
Keppel Securities Philippines, Inc. 9281 to 83; 759-4035 (Exchange)
9/F, Units 9A-9B, Country Space I Bldg. Fax: +63-2 848-5541
Sen. Gil J. Puyat Avenue Email: csi@snap.portalinc.com
Makati City Philippine TA Securities, Inc.
Tel: +63-2 812-2956 to 58; 812-2966 to 67
E-1203 PSE Centre
(office); 891-975% to 74 (Exchange)
Exchange Road, Ortigas Centre
Fax: +63-2 813-8938 Pasig City
Magnum International Securities, Inc. Tel: +63-2 636-0856 (office); 891-9265 to
Unit 2403, West Tower, PSE Centre 69; 891-9276 to 79 (Exchange)
Exchange Road, Ortigas Center Fax: +63-2 631-7942
Pasig City Email: esatapdi@pacific.net.ph
Tel: +63-2 637-0721 to 40 (office) PJB Pacific Securities (Phils.), Inc.
Fax: +63-2 637-3724; 637-3729
7/F, World Centre
Merrill Lynch Securities Philippines, Inc. 330 Sen. Gil J. Puyat Avenue
Unit 19C, Citibank Tower, Citibank Plaza Makati City
8741 Paseo de Roxas Avenue Tel: +63-2 867-8727 to 38 (office); 891-9781
Makati City to 84 (Exchange)
Tel: +63-2 814-5700 (office); 891-9162; 891- Fax: +63-2 867-8571 to 72
9222 (Exchange) Email: pjbadmin@pjb.com.ph
Fax: +63-2 814-5768 Rashid Hussain Securities (Phils.), Inc.
Nomura Securities Phils., Inc. 33/F Rufino Pacific Tower
18/F, Tower 2, Enterprise Center 6784 Ayala Avenue
6766 Ayala Avenue corner Paseo de Roxas Makati City
Makati City Tel: +63-2 811-0855 (office); 891-9005 to 07
Tel: +63-2 886-5240 (office); 636-6029 (Exchange)
(Exchange) Fax: +63-2 811-0866; 811-0302
Fax: +63-2 886-5250
Email: mnlyusonm@mail.nomura.com.hk
OCBC Securities (Phils.), Inc.
Unit 2502-A, West Tower, PSE Centre
Exchange Road, Ortigas Center Santander Investment Securities (Phils.),
Pasig City Inc.
Tel: +63-2 635-5765 27/F, Tower 1 & Exchange Plaza
Fax: +63-2 635-5766 Ayala Avenue corner Paseo de Roxas
Orion-Squire Capital, Inc. Makati City
18/F Chatham House Condominium Tel: +63-2 848-5847 (office); 848-5836 to 38
116 Valero corner Herrera Streets (Exchange)
Salcedo Village, Makati City Fax: +63-2 848-6554; 759-4190
64
Securities 2000, Inc. Warburg Dillon Read Securities (Phils.),
2203-B, West Tower, PSE Centre Inc.
Exchange Road, Ortigas Centre 19/F, Tower 1 & Exchange Plaza
Pasig City Ayala Avenue corner Paseo de Roxas
Tel: +63-2 638-0700 to 19 (office); 636- Makati City
0805; 637-8820; 633-9832 (Exchange) Tel. No.: 754-8888 (office); 634-6662; 634-
Fax: +63-2 637-9404 6909; 634-6210 (Exchange)
Email: office@sec2000.com.ph Fax: +63-2 754-8810
SG Securities (Phils.), Inc. Worldsec International Sec. (Phils.) Inc.
21/F, Antel Corporate Centre 10/F, Tower 1 & Exchange Plaza
139 Valero Street Ayala Avenue corner Paseo de Roxas
Salcedo Village, Makati City Makati City
Tel: +63-2 841-0777 (office); 848-5542 to Tel: +63-2 848-6360 (office); 891-9915 to 19
44; 848-5074 (Exchange) (Exchange)
Fax: +63-2 849-2900 Fax: +63-2 848-6373
Sun Hung Kai Securities (Phils.),Inc. Email: worldsec@pdx.rpnet.com
15/F, Citibank Tower
Paseo de Roxas Avenue
Makati City
Tel: +63-2 813-2041 to 52 (office); 891-9215
to 18 (Exchange)
Fax: +63-2 813-2059
TIR Securities (Phils.) Corporation
Unit 1007, PSBank Tower
• http://www.worldroom.com/pages/wrnph/banking
Sen. Gil Puyat Ave. corner Tindalo St. /stock2.phtml
Makati City
Tel: +63-2 759-3500 to 03 (office); 759-3503
(Exchange)
Fax: +63-2 759-3503
UOB Securities (Phils.), Inc.
Unit 9-C, Chatham House Condominium
116 Valero corner Herrera Streets
Salcedo Village, Makati City
Tel. No.: 887-1066 to 69; 887-1170 (office);
634-6257 to 58 (Exchange)
Fax: +63-2 887-7972
Vickers Ballas Securities (Phils.), Inc.

5/F, Tower 1 & Exchange Plaza
Ayala Avenue corner Paseo de Roxas
Makati City
Tel: +63-2 759-4488; 848-5726 to 31
(office); 891-9933 to 38 (Exchange)
Fax: +63-2 759-4556
Investment House Association of
the Philippines (IHAP)
MEMBERS DIRECTORY
65
AB CAPITAL AND INVESTMENT CORP. ADDRESS: 17/F, Tower One & Exchange
ADDRESS: 3/F, AsianBank Center, Plaza,
328
Sen. Gil Puyat Ave., cor. Tordesillas Ayala Triangle, Ayala Ave, Makati City
St.,
Salcedo Village, Makati City TEL: (632) 849-8988
TEL: (632) 819-3151 to 65; 819-0611 to 22 FAX: (632) 848-5640
FAX: (632) 810-7015
BNP PRIME PEREGRINE INC. ADDRESS:
ABACUS CAPITAL & Unit 1501, 15/F Tower One & Exchange
INVESTMENT CORP. Plaza, Ayala Triangle, Ayala Ave. cor.
ADDRESS: 3/F, Philippine Stock Exchange, Paseo de Roxas, Makati City
TEL: (632) 848-6391 to 98
Center, Pasig City FAX: (632) 759-4707; 848-6420
TEL: (632) 634-5104 to 08; 635-5571 to 74 BPI CAPITAL CORP.

FAX: (632) 634-2108 ADDRESS: 6/F, BPI Bldg., Ayala Ave., cor.
Paseo de Roxas, Makati City
ALL ASIACAPITAL AND TRUST CORP.
ADDRESS: All AsiaCapital Center, TEL: (632) 816-9277; 816-9722
FAX: (632) 818-7809; 816-9811
105 Paseo de Roxas, Makati City
BANCOMMERCE INVESTMENT CORP.
TEL: (632) 813-0188; 818-3211 ADDRESS: 13/F, Jaka Bldg., 6780 Ayala
FAX: (632) 817-1728 Ave., Makati City
E-MAIL: allasia@allasiacapital.com.ph
WEB-SITE: www.allasiacapital.com TEL: (632) 867-3316; 867-3318
FAX: (632) 867-1732
AMALGAMATED INVESTMENT E-MAIL: bancomm@mnl.sequel.net
BANCORPORATIONS
ADDRESS: 11/F, Multinational CITICORP CAPITAL PHILIPPINES, INC.
ADDRESS: 10/F, Citibank Tower, 8741
Bancorporation Centre, Paseo de Roxas, Makati City
6805 Ayala Ave., Makati City TEL: (632) 894-7894

FAX: (632) 894-7349
TEL: (632) 845-2138 to 46
FAX: (632) 845-2187 CONSOLIDATED ORIX LEASING AND
E-MAIL: aib@mfc.qinet.net FINANCE CORP.
WEB-SITE: ADDRESS: 19/F, Solid
http://user.qinet.net/mktfinance/aib/index.ht Bank Bldg., 777 Paseo de Roxas, 1226
ml Makati City
TEL: (632) 892-0481 to 96
ASIAN ALLIANCE INVESTMENT CORP. FAX: (632) 815-6387; 817-3529; 811-4533
E-MAIL: 0002129649@mcimail.com;
ADDRESS: 22/F, The PEAK 107 Alfaro St.
0002087743@mcimail.com
Salcedo Village, Makati City CORPORATE INVESTMENTS
PHILIPPINES, INC.
TEL: (632) 848-2965 to 72 ADDRESS: 22/F, Taipan Place, Emerald
FAX: (632) 848-2954 to 55
Ave., Ortigas Center, Pasig City
E-MAIL: aaic@i-next.net
ATR-KIM ENG CAPITAL PARTNERS, INC. TEL: Pres.: (632) 632-9328; Funds Mng’t
Group: 637-0581; Merchant Banking Group:
66
632-9223; Operations Group: 632-9227; ADDRESS: 3/F, Corporate Business Centre,
Investment Mng’t Group: 637-0241; Credit 151 Paseo de Roxas, Makati City
Evaluation & Monitoring: 632-9245; Systems
Group: 632-9310 TEL: (632) 815-4886
FAX: Pres.: (632) 632-9215; Funds Mng’t FAX: (632) 816-1383
Group: 632-9296; Merchant Banking Group: TELEX: 67766 EXCAP
632-2899; Operations Group: 910-5041;
Investment Mng’t Group: 632-9256; Credit FEB INVESTMENTS, INC.
Evaluation & Monitoring: 637-2899; Systems ADDRESS: 16/F, Far East Bank Center
Group: 632-9296 Bldg., Sen. Gil Puyat Ave., Makati City
DHARMALA CAPITAL INVESTMENT &
TRUST COMPANY INC.
TEL: (632) 845-9888 loc. 9307, 9310
ADDRESS: 10/F, Dharmala Center, 142 FAX: (632) 891-4503; 891-4424
Amorsolo St., Legaspi Village, Makati City
FILINVEST CAPITAL, INC.
TEL: Trunkline: (632) 840-1401; Trust: 892- ADDRESS: 5/F, Oppen Bldg., 349 Sen. Gil
5203; Treasury: 840-1539; 840-1540; Puyat Ave., Makati City
Corporate Finance: 840-1543
FAX: (632) 840-1546; 840-1936
TEL: (632) 890-5550 to 57; 890-5737 DL;
890-5729
DHB CAPITAL PHILIPPINES, INC.
FAX: (632) 890-5555
ADDRESS: 15/F BA Lepanto Bldg., 8747 FIRST METRO INVESTMENT CORP.
Paseo de Roxas, Makati City ADDRESS: 6/F, Metrobank Plaza, Sen. Gil
Puyat Ave. Extension, Makati City
TEL: (632) 813-6551; 813-6554; 813-6558
to 59; 813-6580
TEL: (632) 814-4220; 814-4222
FAX: (632) 813-4104
TELEX: RCA 22122 METPH; EASTERN
E-MAIL: guoco@i-manila.com.ph
63555 METMKT PN; GMCR 45344 MB
PLAZA
EAST ASIA (AEA) CAPITAL CORP.
ADDRESS: 16 & 17/F Trident Tower, 312 GRAND ASIA CAPITAL CORP.
Sen. Gil Puyat Ave., Makati City ADDRESS: 5/F, Bloomingdale Bldg., 205
Salcedo St., Legaspi Village, Makati City
TEL: (632) 753-2000 trunkline
FAX: (632) 753-2066; 845-2278
TEL: (632) 892-2682; 892-2681 or 96
FAX: (632) 812-4055; 815-4692
EBC INVESTMENTS, INC.
ADDRESS: 4/F, Equitable Bank Bldg., INSULAR INVESTMENT & TRUST CORP.
Paseo de Roxas cor. Sen. Gil Puyat Ave., ADDRESS: 10/F, Insular Life Bldg., 6781
Makati City Ayala Ave., Makati City
TEL: (632) 815-9416
TEL: (632) 896-5971; 896-5932 FAX: (632) 816-0686
FAX: (632) 895-0042
INTERNATIONAL CAPITAL CORP.
EDUCATIONAL CAPITAL CORP. ADDRESS: 14/F, Metrobank Plaza, Sen. Gil
ADDRESS: 5/F, Concorde Condominium, J. Puyat Ave., Makati City
cor. Salcedo and Benavidez Sts., Legaspi
Village, Makati City TEL: (632) 810-3994 to 98; 810-4201
FAX: (632) 810-3995; 810-5114
TEL: (632)892-8911 to 18 loc. 143, 146;
810-8461; 840-5640 INVESTMENT & CAPITAL CORP. OF THE
FAX: (632) 840-5639 PHILIPPINES
ADDRESS: 15/F, Solidbank Bldg., 777
EXCHANGE CAPITAL CORP. Paseo de Roxas, Makati City
67
TEL: (632) 811-4656
FAX: (632) 819-0941; 841-0287
TELEX: 62146 ICCP PN PBC CAPITAL INVESTMENT CORP.
KEPPEL IVI INVESTMENTS, INC. ADDRESS: 7/F, Philbank Bldg., 6778
ADDRESS: 9/F Country Space I Bldg., Sen. Ayala Ave. cor. Herrera St., Makati City
Gil Puyat Ave., Makati City
TEL: (632) 817-0901
TEL: (632) 812-2956 to 58; 812-2966 to 67;
813-3116 to 18
FAX: (632) 751-7538
FAX: (632) 813-8938
LIPPO ASIA INVESTMENT CORP. E-MAIL: MPT@philbank.com.ph

ADDRESS: 31/F, Rufino Pacific Tower,
6784 Ayala Ave., Makati City
TEL: (632) 811-0947 to 49; 811-0466 to 67; PCI CAPITAL CORP.

Capital Market: 811-1067; Corporate
Finance: 840-3289; Fixed Income: 811-0529 ADDRESS: 20/F, Equitable PCIBank
to 31 Tower 1, Makati Ave., cor. H.V. dela Costa
FAX: (632) 811-0521 St., Makati City
MULTINATIONAL INVESTMENT TEL: (632) 840-7000

BANCORPORATION
ADDRESS: 9/F, Prudential Life Bldg. FAX: (632) 817-8883; 891-2032
Ayala Ave., Makati City
TELEX: 22068 PN; 45497 PM
TEL: (632) 817-1511 to 15
FAX: (632) 817-7586

PNB CAPITAL AND INVESTMENT
CORP.
NMB CAPITAL, INC. ADDRESS: 3/F PNB Financial Center,
Roxas Blvd., Pasay City
ADDRESS: Suite 14-C, Valero Tower, 122
Valero St., Salcedo Village, Makati City TEL: (632) 526-3041; 526-3514; 526-3480
to 85
TEL: (632) 813-3324
FAX: (632) 526-8484 or 37
FAX: (632) 813-2821
E-MAIL: recromlo@mnl.sequel.net
WEBSITE:
ORION-SQUIRE CAPITAL, INC. http://www.philnabank.com/pnbcap.html
ADDRESS: Suite 34-D, Rufino Pacific
Tower, Ayala Ave. cor. Herrera St. 1200
Makati City PACIFIC ASIA CAPITAL CORP.
TEL: (632) 811-0938 to 44 ADDRESS: 14/F, Ayala Tower One and
Exchange Plaza, Ayala Ave., Makati City
FAX: (632) 811-0946
68
TEL: (632) 848-7149 to 52
FAX: (632) 848-6020 RESOURCES & INVESTMENTS

CORPORATE HOUSE, INC.
ADDRESS: Suite 1705-E, East Tower, PSE

PENTACAPITAL INVESTMENT Center, Exchange Rd., Ortigas Center, Pasig
CORP. City
ADDRESS: 10/F, ACT Tower, 135 Sen. Gil TEL: (632) 637-1400 to 06
Puyat Ave., Salcedo Village, Makati City
FAX: (632) 635-2082
TEL: (632) 815-8066; 812-5725; 818-3874
E-MAIL: rich@stn1.mailstation.net
FAX: (632) 818-4853
PHILIPPINE COMMERCIAL
CAPITAL, INC. SB CAPITAL INVESTMENT CORP.
ADDRESS: 7/F, PCCI Bldg., 118 Alfaro ADDRESS: 18/F, Security Bank Centre,
St., Salcedo Village, Makati City 67776 Ayala Ave., Makati City
TEL: (632) 815-0661; 815-0636; 815-0743; TEL: (632) 840-3740 to 42; 891-1092 to 95
813-3410 direct line; 867-6788 loc. 2776 to 27779
trunkline
FAX: (632) 816-3057; 813-3415
FAX: (632) 891-1089
TELEX: sbcapital@securitybank.com
PHILIPPINE REGIONAL INVESTMENT
DEVELOPMENT CORP.
ADDRESS: 28 N. Domingo St., New STATE INVESTMENT TRUST, INC.

Manila, Quezon City
ADDRESS: State Centre, 333 Juan Luna St.,
TEL: (632) 724-4355; 724-0877 Binondo, Manila
FAX: (632) 724-3290 TEL: (632) 242-1521 to 36
E-MAIL: pride@mail.compass.com.ph FAX: (632) 242-0614
RCBC CAPITAL CORP. SUMIGIN METRO INVESTMENT

CORP.
ADDRESS: 8/F. Y Tower II, Alfaro cor.
Gallardo Sts., Salcedo Village, Makati City ADDRESS: 20/F, Rufino Pacific Tower,
6784 Ayala Ave., Makati City
TEL: (632) 818-4321 to 25; 817-3255; 817-
3317; 817-3250; 817-7084; 817-3058 TEL: (632) 811-0845 to 49
FAX: (632) 813-7083 FAX: (632) 811-0876
69
TEL: (632) 892-8855; 892-1174 to 75
UBP CAPITAL CORP. FAX: (632) 892-0215
ADDRESS: 3/F, SSS Makati Bldg., Ayala E-MAIL: upcc int@i-manila.com.ph

Ave., Makati City
TEL: (632) 813-2778; 812-6356 or 59; 892-

0011 loc. 2633 or 2634
FAX: (632) 813-2777; 818-9744
URBANCORP INVESTMENTS, INC.
ADDRESS: 5/F, Urban Bank Center Urban

Ave., Makati City
UCPB CAPITAL CORP.
TEL: (632) 812-2501 to 04 843-0843
ADDRESS: 14/F, UCPB Bldg., Makati trunkline; debt & equity underwriting: 840-
Ave., Makati City 3031; project finance: 840-3033; USI-
research: 840-3034; USI-sales: 840-3035;
TEL: (632) 818-6763; 811-5832, 840-0809
FAX: (632) 814-2923 FAX: (632) 816-4668; 819-1278
UNICAPITAL, INC. WESTMONT INVESTMENT CORP.
ADDRESS: 3/F, Majalco Bldg., Trasierra ADDRESS: 7/F, Westmont Bank Bldg., 411
cor. Benavidez Sts., Legaspi Village, Makati Quintin Paredes St., Binondo, Manila
City
TEL: (632) 243-3252
TEL: (632) 892-0991 to 96; 893-6538 to 39
FAX: (632) 243-0639
FAX: (632)818-2127
UNITED PACIFIC CAPITAL CORP.
ADDRESS: 12/F, Legaspi Suites, 178

Salcedo St., Legaspi Village, Makati City
70
UK Accounting and Auditing Firms
Grant Thornton
http://www.grant-thornton.co.uk/
One of the UK's largest firms of Chartered

accountants with offices throughout the country
PKF
http://www.pkf.co.uk/
PKF is one of the top ten largest firms of

accountants in the UK.
Lloyd Piggott
http://www.lloydpiggott.co.uk
Chartered accountants located in Manchester.

Provide specialist services to IT contractors and
the music and entertainment industry.
A.B.Edwards & Co
http://www.demon.co.uk/mitreho/abeco/index.ht
m
Chartered accountants providing specialist

advice for landowners and farmers
PRB Martin Pollins

http://www.prbmp.com/
On line accountancy and business advice.
Dendy Neville
http://dendyneville.co.uk
Chartered accountants and business advisers

located in Maidstone, Kent.
Fletcher Greenwood and Co

http://www.fgco.com
Chartered accountants and registered auditors

based in Bradford.
Lubbock Fine
http://www.lubbockfine.co.uk
Chartered Accountants offering acquisitions and
mergers and investment advice.
58
Philip A Beck Francis Clark
http://www.insolvency.co.uk/ip/beck.htm http://www.francisclark.co.uk/
Licensed Insolvency Practitioner based in Chartered accountants located in the West

Cambridge. Offers free initial consultation about Country.
liquidations, bankruptcy and voluntary
arrangements. Peter's Elworthy and Moore
http://www.pem.co.uk/
Burnett Swayne
http://www.burnettswayne.co.uk/ Cambridge based company providing
accounting services and other financial services.
Southampton based firm of chartered
accountants, registered auditors and chartered BKL Weeks Green
tax advisers. http://www.bkl.co.uk
H W Fisher Specialist support for medical, education and

http://www.hwfisher.co.uk agricultural markets.
London based chartered accountants. C M O'Brien and Company

http://www.sbc.uk.com/
H & H Associates
http://www.hhassociates.co.uk Accountancy services for small businesses in
South London and the Southern Home
Certified management consultants and Counties.
chartered accountants.
Hooks
Dennis R. Waters http://www.absite.com/drw/ http://www.hooks.co.uk
Chartered accountant based in South West Chartered accountants based in the Isle of
London. Wight.
RBI World - http://www.rbiworld.com/ Philip Hoyle FCCA - http://www.philiphoyle.co.uk
Consultants for businesses experiencing A Chartered Certified Accountant working in a

international expansion. small business accountancy practice in
Lancashire.
Berg Kaprov Lewis http://www.bklchart.co.uk/
Eacott Worrall
Chartered accountants based in London. Areas http://www.eacott-worrall.co.uk
of speciality include services for computer
contractors Chartered accountants based in the Thames
Valley. Services include setting up UK branches
StamfordsHubbard and subsidiaries for overseas companies.
http://www.stamfordshubbard.co.uk
Birkett and Co. Ltd - http://www.birkettco.co.uk/
Small business accountancy practice in Based in Dorset. Offer accountancy and taxation
Worcestershire. services to individuals and companies
Winters Peter Fairgrieve -

http://www.winters.co.uk http://www.helpforsmallbusiness.co.uk
Chartered accountants and registered auditors Chartered accountants based in South Wales
in London and Surrey.
59
Lonsdale & Partners - http://www.lonsdale.co.uk Douglas Fairless
http://www.douglasfairless.co.uk
North West based firm of chartered accountants.
Offering corporate finance and IT services. Chartered certified accountants, registered
auditors and chartered tax advisers, located in
Liverpool.
Berry and Co -
http://members.aol.com/berryandco/ Essex Abel Hodgkinson
http://www.tax-accountants.co.uk
Chartered accountants and registered auditors
based in Maidstone, Kent Offer accounting and tax advice and services
throughout Loughborough, Leicestershire and
the East Midlands.
Lovewell Blake
http://www.lovewell-blake.co.uk Jonathan H. Marshall
East Anglian chartered accountancy practice http://www.jhmarshall.com
AGN Shipleys chartered accountants Provides independent stocktaking, auditing and

http://www.agnshipleys.com consultancy service to the catering, licensed and
leisure industries.
Providing accountancy services, detailed Budget
analysis, and tax advice, to individuals and Simpson Wreford and Co.
businesses, with offices in London, Godalming http://www.simpsonwreford.co.uk/
and Saffron Walden.
British Chartered Accountants bringing more
Morris & Co than 100 years of accounting experience to you
http://www.moco.co.uk/ via the Internet.
Part of a group of accountancy practices with John Pointon

offices in Chester, Shrewsbury, Welshpool, http://go.to/johnpointon
Wellington and Moreton.
Accounting, tax and company formation
Graeme Tremaine and Associates services.
http://www.tremaine.co.uk/
Blythens
Survey based accountancy practice http://www.blythens.co.uk
Chartered Accountants located in the East

Jayson Newman Midlands
http://www.jayson-newman.com
Blythe & Co
Chartered accountants based in London. http://www.blythe7.com/
Provide a full range of financial services
regulated by the FSA and offer a specialist Chartered Accountants & Registered Auditors
division dealing with IT contractors. who specialise in UK computer contractors.
Saint and Co Blain Pritchard

http://www.users.globalnet.co.uk/~saintco/ http://www.blainpritchard.co.uk
Chartered accountancy practice based

throughout Cumbria and South West Scotland
60
Chartered Certified Accountants and Registered
Auditors specialising in the small business Chartered accountants based in Devon
sector.
Accounting & Computer Services Morgan Griffiths

http://www.ac-s.co.uk http://www.morgan-griffiths.co.uk
Accounting, computing, training and consultancy Chartered accountants, providing services to

services to small businesses in the Mid-Sussex businesses and clients across Wales and
area. England.
Barry Page & Co Poynton Accountants

http://members.aol.com/pagept/ http://www.gpbreakspear.co.uk
Services for one-man companies such as Accountancy services and tax advice,
engineers, computer specialists etc., who may based in Cheshire.
be working through agencies.
David Smith Crosswaite -
Adders http://www.smithcrosswaite.co.uk
http://www.adders.co.uk
Chartered accountants providing professional
Accountant based in Northampton services to individuals and businesses
Demack nationwide.
http://www.demack.co.uk
Morgan Griffiths
Leyland based firm of Chartered Accountants http://www.morgan-griffiths.co.uk
Accounting & Computer Services Chartered accountants, providing services to

http://www.ac-s.co.uk businesses and clients across Wales and
England
Accounting, computing, training and consultancy
services to small businesses in the Mid-Sussex Poynton Accountants -
area. http://www.gpbreakspear.co.uk
David J Beeny & Co. Accountancy services and tax advice, based in
http://www.davidjbeeny.co.uk Cheshire.
Chartered accountants and registered auditors N.R.Barton & Co. - http://www.nrbarton.co.uk

in Dartmouth, Devon, UK.
Chartered Accountants based in Wigan,
Gardiner Hunter & Catt Lancashire.
http://www.gardinerhunter.co.uk/
Riley and Co - http://www.riley52.demon.co.uk/
Specialists in services to computer contractors.
Accountants and registered auditors.
A C Mole & Sons
http://www.acmole.co.uk Bishop Fleming - West Country Chartered
Accountants
Chartered accountants and Registered Auditors http://www.bishopfleming.co.uk
in Taunton and Bridgwater. Bishop Fleming are chartered accountants
operating from a number of towns and cities in
Bromhead and Company - England's West Country.
http://members.aol.com/bromheadco/
61
Abel
http://www.abel.business.co. uk/acct_index.html Windsor based firm offering fixed price financial,
management and technology services.
Rochester based chartered accountants.
Cresswell, Crabtree & Son
Kellys, Chartered Accountants http://www.cresswells.co.uk
http://www.kellys.uk.co
West Yorkshire chartered accountants and
Sussex business advisors providing tax registered auditors
accounting audit consulting and financial
services. Specialists in pop groups, media Gardiner, Hunter and Catt
charities and trade associations http://itaccountant.virtualave.net
Willis Scott Accountancy services UK computer contractor

http://www.willisscott.co.uk with offices close to Heathrow and in Brighton.
Chartered Accountants. Marjoram & Co Accountants

http://www.marjoram-accountants.co.uk
Perrys
http://www.perrysaccounts.co.uk Accountants, VAT and taxation advisors. Based
in Braintree and Clacton-On-Sea, Essex
Chartered and Certified accountants
Accountant 4 U -
Stephen Quay http://www.accountant4u.ukgo.com
http://www.stephen-quay-accountancy.co.uk
Accountant offering full range of services to
Accountant and TAS Software sales and advice businesses throughout the UK. Internet based
services
Michael Reader
http://www.michaelreader.demon.co.uk Andrews Gibson -
http://www.andrewsgibson.co.uk
Chartered accountant. Accountants, taxation and business advisers.
Cook & Partners The Legg Group

http://www.cookpartners.sagenet.co.uk/ http://www.leggacc.co.uk/
Chartered accountants located in Hertford and Accounting and consulting services based in
Stevenage. Maidstone and London.
Chartered Accountants Lancashire Cumbria and Achilles Accountancy -

Yorkshire http://www.aporwin.co.uk/index.html http://www.achillesaccountancy.co.uk/
Chartered Accountants, Lancashire Cumbria Chartered accountants based in Sandbach,

and Yorkshire, Accountants for all your Tax, Cheshire.
Accountancy and Business Plan requirements
Danzig and Co
Potter and Pollard - http://danzig.co.uk
http://www.potterandpollard.co.uk
Chartered Accountants based in Edinburgh
Bournemouth Chartered accountants
established over 50 years, offering a complete Lewis & Co
service. Initial consultation is free. http://www.lewisandco.co.uk
Williams Allan - http://www.williamsallan.com/
62
Provider of general accountancy services and Chartered accountancy practice in Lancaster
advice to small businesses in the Tameside area and Morecambe
near Mancheste.
Felton Associates H W Fisher

http://www.feltons.co.uk http://www.hwfisher.co.uk/indexes/indexes.htm
Chartered accountants located in Wembley. London based firm of chartered accountants
Davidson Consulting M J Wood & Co

http://www.davcon.demon.co.uk http://www.mjw.co.uk
Accountants based in Aberdeen. Services Peterborough based firm of Chartered

include corporate finance and recovery. Certified Accountants and Registered Auditors
Online Outsourcing Robert Dalby Accountancy Services

http://www.online- outsourcing. com/ http://www.robertdalby.co.uk
index.htm
Gravesend based accountant in Kent,
UK accountancy service. Offers management specialising in expanding companies who
accounts preparation service online. cannot yet budget for the full services of in
house financial staff.
Kingscott Dix
http://www.kingscott-dix.co.uk/ K D Chapman and Co.
http://www.kdchapman.co.uk
Chartered accountants with offices in Accountancy and tax consultants.
Cheltenham and Gloucester.
Usher Spiby Chartered Accountants
Davis Grant http://www.usherspiby.com
http://www.davisgrant.co.uk
Offers full accountancy services and helpful
Chartered certified accountants and registered advice on how to increase your profits and save
auditors. tax.
Micro-HELP (Scotland)
http://www.mh-s.co.uk/as.htm
Accountancy service located in Aberdeen.
Browning Hotchkiss and Partners

http://www.browninghotchkiss.com
Chartered accountants. Site offers details of the

Budget 2000.
Taylor Rae
http://www.taylor-rae.co.uk
Chartered accountants and licenced insolvency

practitioner.
CWR
http://www.cwr-accountants.co.uk/
63
ISA Accountants
http://www.isa-accountants.co.uk UK Stockbrokers
Accountants, taxation and business advisers. Barclays Stockbrokers
http://www.barclays-stockbrokers.co.uk/
Bay View Small Business Accountancy
http://www.incometax.ukaccountant.net Share-price look-up and new issues information,
with details of execution-only stock dealing by
Accountant offering affordable accounts telephone, fee and commission-based advisory
preparation, tax, vat, payroll, book-keeping and services and other products.
tax planning services via the internet.
Killik and Co.
Sloan and Company http://www.killik.co.uk/
http://www.accountantsloan.com
Management and administration of client assets,
Cheshire based Chartered Accountants offer a with several branch offices in the Greater
professional, prompt and personal attention. London Area, offering on-line account
management and share dealing services to
clients.
• http://directory.google.com/Top/Regional/Europe/
UnitedKingdom/Business_and_Economy/Financial
_Services/Accounting/Firms/ Durlacher Stockbrokers
http://www.durlacher.co.uk
Durlacher is a research-led, new-media and

emerging technologies stockbroker and
investment firm, based in the City of London
Brewin Dolphin Securities

http://www.brewindolphin.co.uk
An interactive site featuring share prices,

Beginners Guides to the Stockmarket, market
news, research and information about the
Brewin Dolphin Group
Charles Stanley
http://www.charles-stanley.co.uk
Share dealing on UK and international Stock

Exchanges. Stockbrokers: advisory and
discretionary portfolio management; execution-
only; ISAs; and financial services.
Greig Middleton Group

http://www.greigmiddleton.co.uk
Stockbroker and investment manager with over

20 UK and international offices, providing a
personal service which includes share dealing,
64
offshore portfolio management, equity research,
PEPs, ISAs and SIPPs
The Share Centre

http://www.share.co.uk/
Oxford-based stockbrokers with execution-only UK Credit Card Merchant Services

share dealing services and ISAs.
CharityCard
Goy Harris Cartwright http://www.charitycard.org/
http://www.ghcl.co.uk
Unique way for UK tax payers to give more to
UK stockbroking and investment management any charity, any time. Works like a credit card.
house offering internet trading, online portfolio Tax reclamation can give more for your
valuation, stock prices, research and daily favourite causes. CharityCard is operated by
news. CAF (Charities Aid Foundation), a registered
charity in its own right.
Pilling & Co Stockbrokers
http://www.pilling.com/ Egg
http://www.egg.com
Independent stockbrokers Since 1893 - provides
services for ISAs, PEPs, SIPPs, share dealing, Credit card provided by Egg Internet bank.
and investment services. Money back and special Egg internet shopping
area. Competitive interest rate and links to other
European Stockbrokers financial products. Card offers special internet
http://www.europeanstockbrokers.co.uk use safety guarantee.
Stockbrokers specialising in European equity. Capital One

http://capitalone.co.uk
Sucden Commodity and Futures Brokers
http://www.sucden.co.uk/ Credit cards with a standard interest rate of
11.9%
Commodity broker dealing in metal futures, soft
commodities and foreign exchange with online Goldfish
technical analysis of sugar, cocoa, coffee and http://www.goldfish.com
metal futures. Members of London Metal
Exchange, CSCE and LIFFE. Product information and application form for the
Centrica credit card. Offers points on purchases
A1 Stockbroker with special money-off offers. Also Goldfish
http://www.a1stockbroker.com consumer guides and new investment products,
including ISA provided by Norwich Union.
Stockbroker available for share and
stockbroking advice American Express United Kingdom
http://www.americanexpress.co.uk/
Jarvis Investment Management Product information, cash access locator and

http://www.jarvisim.co.uk/ travel office services, with online account access
for card-holders.
Execution-only share dealing service and PEP
and ISA management from stockbrokers in Company Barclaycard
Tunbridge Wells, Kent. http://www.company.barclaycard.co.uk/
Popular UK company charge card used by

100,000 businesses.
65
Shell Visa Card
http://www.shellvisacard.co.uk/
Product information for credit card with no

annual fee that lets you collect usage rewards
easily. For UK residents only.
Marbles
http://www.getmarbles.co.uk
On-line credit card offered by HFC Bank.

Special internet safety guarantee. No annual fee
and easy to sign up on-line.
Credit Card Merchant Services Limited

http://www.creditcardmerchantservices.ltd.uk
Providers of online merchant accounts and

affordable e-commerce solutions for new or
existing businesses. Merchant Services in
association with NatWest Bank. Multi-currency
processing.
Credit Card Buster

http://www.creditcard-buster.com
Interest free credit cards system.
El Mercardo
http://www.cablenet.co.uk/pages/mercardo/ourm
erchant.php
Credit card processing without the need for a

Merchant Account.
Credit Cards APRs Club

http://www.credit-cards-aprs.co.uk/
Provides credit card interest rate comparisons

for the UK.
66
"The American Institute of Certified Public
Accountants is the national, professional
US Accounting organization for all Certified Public
Accountants. Its mission is to provide
Associations members with the resources, information,
and leadership that enable them to provide
valuable services in the highest professional
manner to benefit the public as well as
1. Academy of Accounting Historians employers and clients." The site has news;
http://weatherhead.cwru.edu/Accounting/ information about conferences and CPE
E-mail: kcc@po.cwru.edu products and services; sections especially for
educators, students, and members.
"The objectives of the Academy are to
encourage research, publication, teaching 5. American Society of Military Comptrollers
and personal interchanges in all phases of (ASMC)
Accounting History and its interrelation with http://www.asmconline.org/
business and economic history." E-mail: asmchq@aol.com
2. American Accounting Association (AAA) "ASMC is the non-profit educational and

http://www.rutgers.edu/Accounting/raw/aaa/ professional organization for persons, military
E-mail: aaahq@packet.net and civilian, involved in the overall field of
military comptrollership." This site provides
"The American Accounting Association general information about the organization,
promotes worldwide excellence in accounting membership services, and a list of ASMC
education, research and practice. Founded in chapters by state. It also includes information
1916 as the American Association of about the ASMC's awards and research
University Instructors in Accounting, its programs, career opportunities, and the
present name was adopted in 1936. The armed forces comptroller.
Association is a voluntary organization of
persons interested in accounting education 6.American Society of Women Accountants
and research." (ASWA)
http://www.aswa.org/
3. American Association of Hispanic Certified E-mail: aswa@aswa.org
Public Accountants (AAHCPA)
http://www.aahcpa.org/ "ASWA was formed in 1938 to increase
E-mail: rfr@luca.com the opportunities for women in all fields of
accounting... Members include partners in
"The American Association of Hispanic national, regional and local CPA firms,
Certified Public Accountants is a national financial officers, controllers, academicians,
organization with the primary purpose of financial analysts and data processing
helping Hispanic students, accountants and consultants, recent college graduates and
CPAs enhance their professional capabilities women returning to the work force." The site
while expanding Hispanic representation in has a directory of chapters, membership
the nation's work force." The site has a information, a schedule of area and national
special section for students with information events, and scholarship information for
on the CPA exam and becoming a CPA. accounting students.
4. American Institute of Certified Public 7. American Woman's Society of Certified

Accountants (AICPA) Public Accountants (AWSCPA)
http://www.aicpa.org/ http://www.awscpa.org/
E-mail: web@awscpa.org
"Since its creation over seven decades

ago, the American Woman's Society of
Certified Public Accountants has been the
voice of women in the accounting profession.
56
AWSCPA is the only organization devoted 11. Australian Society of Certified Practising
exclusively to the support Accountants (ASCPA)
and professional development of women http://www.cpaonline.com.au/
CPAs. The Society is also a leader in E-mail: kristiee@ozemail.com.au
addressing these concerns: Gender equity,
The glass ceiling, Work and family issues. To The ASCPA is dedicated to the
accomplish [their] mission, AWSCPA offers professional development of accountants in
in-depth support in six important areas: Australia. In addition to information about the
networking, advocacy, public awareness, Society, the site has news and articles related
leadership, recognition, and education." The to business, accounting, or tax
site has information about meetings and 12. Certified General Accountants'
conferences as well as current job Association of Canada (CGA-Canada)
opportunities. Some areas of the site are http://www.cga-canada.org/
open to members only. E-mail: public@cga-canada.org
8.Association of Government "CGA-Canada is the association of 56,500

Accountants(AGA) certified general accountants and CGA
http://www.rutgers.edu/Accounting/raw/aga/ students.Certified General Accountants
E-mail: ajones@agacgfm.org (CGAs) are professional accountants working
in industry, commerce, finance, government
"The Association of Government and public practice."
Accountants is a professional association of
more than 15,000 individuals representing 13. Clearinghouse for Volunteer Accounting
executive levels in federal, state and local Services (CVAS)
government agencies and departments." The http://cpateam.com/cvas/
site has informationon chapters, publications, E-mail: cvas01@aol.com
conferences membership, and employment
opportunities. "An organization that matches accountants
with community organizations. Volunteers
9. Association of Healthcare Internal Auditors share their skills with California's nonprofit
(AHIA) organizations through two programs, the
http://www.ahia.org/ Technical Assistance Program and the Board
E-mail: ahia@assnhdqtrs.com Member Placement Program." The website
describes CVAS's services, lists organizations
"AHIA is the professional organization for that have been helped, and includes contact
healthcare internal auditors. It is an information for organizations wishing
international nonprofit organization. It is the assistance and professionals who wish to
only organization established for the purpose offer their assistance.
of fulfilling the professional needs of
healthcare internal auditors. 14.European Accounting Association (EAA)
http://www.bham.ac.uk/EAA/
10. Association of Practicing CPAs (APCPA) E-mail: A.M.Lymer@birmingham.ac.uk
http://www.ap-cpa.org/
E-mail:webmasterapcpa@ap-cpa.org "The EAA aims to link together the
Europe-wide community of accounting
"The APCPA was established over 33 scholars and researchers, to provide a
years ago in order to provide low cost CPE to platform for the wider dissemination of
its members. Much has changed during the European accounting research and to foster
past 33 years." Their special features "are and improve research." In addition to
[their] RAP sessions and [their] E-Mail Tax information about the organization, "this site
Rap." In the E-Mail Tax Rap, which is limited contains full details of EAA congresses...
to APCPA members, "you'll ask and answer These details include all calls, programme
questions, receive FAQs, information on details and abstracts for papers presented at
upcoming meetings and events, share job the Congress'."
opportunities, etc
57
15. Financial Accounting Standards Board E-mail: pmcgeady@imanet.org
(FASB)
"The IMA is the leading professional
http://www.rutgers.edu/Accounting/raw/fasb/in organization devoted exclusively to
dex.html management accounting and financial
E-mail: webmaster@fasb.org management as stated in our Mission and
Vision Statements. IMA membership helps
"The mission of the Financial Accounting you stay abreast of the changes affecting the
Standards Board is to establish and improve management accounting and financial
standards of financial accounting and management professions. It provides new
reporting for the guidance and education of insights and ideas in these evolving fields
the public, including issuers, auditors, and and gives our members ethical guidance as
users of financial information. About 1,000 well." There's information here about the
corporations, banks, and other organizations organization, continuing education,
are members of the Financial Accounting certification, and chapters.
Foundation.
Additionally, about 7,000 public accounting
firms and individual CPAs are members 19.National Association of Tax Practitioners
through the Accounting Research Association (NATP)
of the American Institute of CPAs." http://www.natptax.com/
E-mail: natp@natptax.com
16.Financial Executives Institute (FEI)
http://www.fei.org/ "The National Association of Tax
E-mail: nlepelletier@fei.org Practitioners (NATP), founded in 1979, is a
nonprofit professional association dedicated
"We are the preeminent professional to excellence in taxation. NATP was formed to
association for senior financial executives serve professionals who work in all areas of
representing14,000 individuals from over tax practice. Members includeCPAs,
8,000 corporations throughout the United individual practitioners, enrolled agents,
States and Canada. Membership driven, FEI accountants, attorneys, and financial
provides peer networking opportunities, planners." Information about educational
emerging issues alerts, personal and programs, their research services,
professional development and advocacy publications, state chapters, and hot issues in
services to Chief Financial the field are available on site. Most services
Officers,Controllers, Treasurers, Tax or programs listed are available to both
Executives, Finance and Accounting members and nonmembers with members
Professors in academia." receiving a discounted rate.
17.Institute of Internal Auditors (IIA)

http://www.theiia.org/ 20. National Society of Accountants (NSA)
E-mail: iia@theiia.org http://www.nsacct.org/
E-mail: info@nsacct.org
"Established in 1941, The IIA serves more
than 60,000 members in internal auditing, "The National Society of Accountants is a
governance and internal control, IT audit, non-profit organization of professionals who
education, and security from more than 100 provide accounting, tax preparation, financial
countries." The site includes information and estate planning, and management
about the profession, including certification advisory services to an estimated 4 million
and career opportunities, as well as individuals and business clients. Most of the
descriptions or full text versions of Society's 17,000 members are sole
publications, event calendars, news releases, practitioners or partners in small to mid-size
and more. accounting firms."
18.Institute of Management Accountants

(IMA)
http://www.imanet.org/
58
21.National Society of Fund Raising
Executives(NSFRE)
http://www.nsfre.org/welcome/index.html
E-mail: nsfre@nsfre.org
"The National Society of Fund Raising

Executives (NSFRE) is the professional
association for individuals responsible for
generating philanthropic support for a wide
variety of not-for-profit, charitable
organizations. Founded in 1960, NSFRE
advances philanthropy through its more than
17,000 members in 149 chapters throughout
North America." Included are the Code of
Ethical Principles and Standards of
Professional Practice, Donor Bill of Rights,
guidelines for the "accountable not-for-profit
organization," news items, membership
and contact information.
59
UK Accounting Associations
Institute of Chartered Accountants in England

and Wales (ICAEW)
http://www.icaew.co.uk
Site contains information about the Institute,

services to members, press releases and
links.
Chartered Institute of Management

Accountants (CIMA )
http://www.cima.org.uk
The professional body spcialising in financial

management and cost accounting.
The Institute of Chartered Accountants of

Scotland ICAS
http://www.icas.org.uk
Provides a variety of services for both its

members and their clients
The Association of Accounting Technician(

AAT)
http://www.aat.co.uk
Web site with information about the

Association, benefits of membership, and
student information
The Association of Chartered Certified

Accountant (ACCA)
http://www.acca,org.uk
Website containing information about ACCA

and its qualifications, databases and
resources and a range of online services
LEASING
ASSOCIATIONS
60
National
Multi-country Associations United States
Association of African Leasing Companies American Automotive Leasing Association
(AFROLEASE) (AALA)
c/o Leasing Company of Nigeria, Ltd., NIDB Address: 1001 Pennsylvania Ave. NW, Suite
House,7th Floor, 61/73 Broad Street, Lagos, 600 South, Washington DC 20004 USA.
Nigeria Phone: 1.202.6224.7292.
Phone: 234.1.266.6443. Fax: Fax: 1.202.624.7222.
234.266.6463 the national fleet-oriented vehicle lessors
the umbrella organization for the national association.
leasing associations of Africa
Association for Government Leasing and
Asian Leasing Association (ASIALEASE Finance
the umbrella organization for the national the national association for equipment
leasing industry associations of Asia. lessor's who specialize in leasing to
municipal, state and federal governments.
European Computer Leasing & Trading Eastern Assocaiton of Equipment Lessors
Association (ECLAT) (EALA)
1285 Stratford Road, Hall Green, Address: 600 Mamaroneck Ave., Harriston,
Birmingham, West Midlands, B28 9AJ NY10526 USA
England Phone: 1.914.381.5829
Phone: 44.121.778.5327. a regional association generally for equipment
Fax: 44.121.778.5924. lessors located in the Eastern United States
E-mail: jgsewel@ibm.net.
European organization for computer lessors, Equipment Leasing Association (ELA)
brokers, engineering, consultant and transport Address: 4301 N. Fairfax Drive Suite 550,
companies. Arlington, VA 22203-1627 USA.
Phone: 1.703.527.8655.
European Federation of Equipment Leasing Fax: 1.703.527.2649.
Company Associations (LEASEUROPE) E-mail: ela@elamail.com.
Address: Avenue de Tervuren 267, B-1150, the national equipment leasing association for
Brussels, Belgium. the United States.
Phone: 32.2.778.0560.
Fax: 32.2.778.0579. Mid-America Association of Equipment
E-mail: leaseuro@skypro.be Lessors
the umbrella organization for the national formerly IAEL, founded in 1980.
leasing industry associations of Europe Address: 333 W. Wacker Drive, Suite 1750,
Chicago IL 60606.
Institute of International Container Lessors
atin American Leasing Association National Association of Equipment Lease
(FELALEASE) Brokers (NAELB)
the umbrella organization for the national Address: P.O. Box 302, Wayne, PA 19087
leasing industry associations of South USA. Phone: 1-800-996-2352.
America. Fax: 1-610.687.4305.
E-mail: angie@naelb.org.
the national equipment lease brokers'
Other Multi-country Associations association
Association of African Development Finance
National Assocaiton of Fleet Administrators
Institututions (AADFI)
(NAFA)
Address: 01 BP 1387, Abidjan 01, Cote
Address: 120 Wood Ave. S., Iselin, New
d'Ivoire. Phone: 225.20.40.90.
Jersey 08830 USA.
Fax: 225.22.73.44.
Phone: 1.201.494.8100.
E-mail: adfi@africaonline.coci.
the national vehicle fleet administrators'
association.
National Vehicle Leasing Association (NVLA)
61
the national vehicle lessors association. Canadian Finance and Leasing Association/
Truck Renting and Leasing Association Association canadienne de financement et de
(TRALA) location (English/Franais)
Address: 1725 Duke Street Suite 600, Address: 151 Yonge Street, Suite 1210 Box
Alexandria VA 22314 USA. 7, Toronto, Ontario M5C 2W7, Canada.
Phone: 1.416.860.1133.
United Association of Equipment Fax: 1.416.860.1140.
Leasing(UAEL) E-mail: info@cfla.ca
Address: 520 Third Street, Suite 201, the national industry association for Canada
Oakland, CA 94607-3520.
Phone: 1.510.444.9235. Chile
Fax: 1.510.444.1346. Chilean Leasing Company Association
a national equipment leasing industry the national industry association for Chile
association.
China (including Hong Kong)
Wisconsin Association of Equipment Lessors Hong Kong Equipment Leasing Association
(WAEL) the equipment leasing association of Hong
Kong
Australia
Australian Equipment Lessor Association Colombia
(AELA) FEDELEASING
the national equipment leasing association Phone: 571.622.7350; 571.622.7361;
for Australia. 571.622.7383; 571.622.7384; 571.622.7389.
Fax: 571.622.7383.
Australian Finance Conference (AFC) E-mail: informacion@fedeleasing.org.co.
the National Association of Finance the national equipment leasing association for
Companies. Colombia.
Australian Fleet Lessors Association Czech Republic

the national fleet vehicle lessor's association. Association of Leasing Companies of the
Czech Republic
the national equipment leasing association of
Austria the Czech Republic.
Verband Osterreichischer Leasing
Gesellschaften Denmark
the national equipment leasing association Danske Finansieringsselskabers Forening
for Austria. the national equipment leasing association for
Denmark.
Belarus
Belarusan Lessors' Union Finland
Address: PO Box 265, 220098, Minsk--98, Finnnish Finance Houses Association
Belarus. the national equipment leasing industry
Phone/Fax: 375.0172.28.60.94. representative group for Finland.
the national equipment leasing association for
Belarus France
Association Francaise des Societes
Belgium Financieres
Association Belge des Enteprises de Leasing the national equipment leasing association of
the national industry association for Belgium. France.
Brasil Germany
Associacao Brasileira das Empresas de Arbeitskreis der Banken und Leasing--
Leasing Gesellschaften der Auto-Mobilwirtschaft
the national industry association for Brasil the banks and leasing working group of
Canada German automobile manufacturers
62
Bundesverband Deutscher Lesing- the national equipment leasing association for
Gesellschaften E.V Japan.
Germany.
Korea, South
Interessenverband Deutscher Leasing- Korea Leasing Association
Unternehmen E.V the national equipment leasing association for
Korea
Greece
Association of Greek Leasing Companies Luxembourg
the national equipment leasing association of Association Luxembourgeosie des Societes
Greece de Leasing
Hungary Luxembourg
Hungarian Leasing Association
the national equipment leasing association of Malaysia
Hungary. Equipment Leasing Assocation of Malaysia
(ELAM)
India the national equipment leasing association for
Association of Leasing and Financial Services Malaysia.
Companies
Address: Agra Building, 1st Floor, 121 M.G. Mexico
Road, Opp. Bombay University, Fort, Mumbai Associacion Mexicana de Arrendadoras
400 023 India. Finanieras AC
Phone: 91.22.267.5400/5500/6409 the national equipment leasing association
Fax: 91.22.267.5600. of Mexico
India. Morocco
Professional Association of Moroccan Lesing
Indonesia Companies (APROBAIL)
Indonesian Leasing Association the national equipment leasing association
the national equipment leasing association of for Morocco
Indonesia
Ireland
Irish Finance Houses Association Netherlands
the association representing the equipment Nederlandse Vereniging
leasing industry in Ireland Leasemaatschappijen
Israel the Netherlands.
Israel Equipment Lessors Association
the national equipment leasing association for Vereniging van Nederlandse
Israel Autoleasemaatschappijen (VNA)
the national vehicle leasing association for the
Italy Netherlands
Associazione Italian Leasing (ASSILEA)
Address: Piazza di Priscilla, 4-00199, Roma Nigeria
Italia. Phone: 039.06.8621.1271. Equipment Leasing Association of Nigeria
Fax: 039.06.8621.1214. (ELAN)
E-mail: [party's name]@ assilea.it the national equipment leasing association
the national equipment leasing association for for Nigeria.
Italy
Japan
Japan Leasing Association Norway
63
Finansieringsselskapenes Forening ( the Address: PO Box 2940, Randburg, 2125,
Association of Norweigan Finance Houses) South Africa.
the association representing the equipment Phone: 27.011.789.2542.
leasing industry in Norway. Fax: 27.011.789.4525.
Pakistan Spain
Leasing Association of Pakistan Associacion Espanola de Leasing
the national equipment leasing association for the national equipment leasing association of
Pakistan. Spain
Peru Lanka--the national equipment leasing

Asociacion Peruana de Empresas de Leasing association of Sri Lanka.
the national equipment leasing association for Leasing Association of Sri Lanka
Peru.
Sweden
Philippines Association of Swedish Finance Houses
Philippine Association of Finance Companies, the national equipment leasing and finance
Inc. (PAFCI) industry trade association of Sweden.
the association representing the equipment
leasing in the Philippines.
Switzerland
Poland Verband Schweizerischer Auto-Leasing-
Association of Leasing Companies in Poland Gesellschaften
Address: 02-055 Warszawa, ul. Filtrowa 71a the national association of Swiss auto leasing
m.3, Warsaw, Poland. companies.
Phone: 0.22.25.19.43; 0.58.46.84.54.
Fax: 0.22.25.19.43; 0.58.46.80.15. Verband Schweizerischer Leasing-Berater
the national equipment leasing association for the national association of Swiss equipment
Poland leasing consultants
Portugal Verband Schweizerischer Leasing-

Associacao Portuguesa de Empresas de Gesellschaften
Leasing the national association of Swiss equipment
the national equipment leasing association of leasing companies
Portugal
Taiwan
Taipei Leasing Association
Russia the association of Taipei equipment leasing
Rosleasing companies
the leasing association of the Russian
Federation Thailand
Thailand Leasing Association
Singapore the national equipment leasing association for
Leasing Association of Singapore Thailand.
Singapore Turkey
Financial Leasing Association of Turkey
South Africa the national equipment leasing association of
Independent Car Leasing Association (ICRA). Turkey
Address: PO Box 37589, Valyland, United Kingdom
7978,South Africa. British Lease Brokers Association
Phone: 27.021.782.6636. the national lease brokers association
Fax: 27.021.782.3316 for the United Kingdom
South African Vehicle Renting and Leasing British Vehicle Rental and Leasing
Association (SAVRALA). Association
64
the national auto lease companies association
for the United Kingdom
Finance and Leasing Association

Address: Imperial House, 15-19 Kingsway,
London WC2B 6UN England
Phone: 44.171.836.6511
Fax: 44.171.420.9600
the United Kingdom
• http://rosleasing.ru/leasing_world/world.
htm
65
66
Table 16 Members with GATS Commitments in Accountancy
by Sub-Sectors
Country Accounting Auditing Bokkeeping No. of sub-
sectors
Antigua and Barbuda X x x 3
Argentina X x x 3
Aruba X 1
Australia X x x 3
Brazil x x x 3
Brunei Darussalam x 1
Bulgaria x x 2
Canada x x x 3
Chile x x 2
Colombia x x 2
Cuba x x
Cyprus x x x 3
Czech Republic x x x 3
Dominican Republic x x 2
Ecuador x x x 3
El Salvador x x 2
European Union (15 x x x 3
countries)
Gambia x x x 3
Guyana x x x 3
Hong Kong x x x 3
Hungary x x x 3
Iceland x x x 3
Israel x 1
Jamaica x x x 3
Japan x x x 3
Korea RP x x x 3
Lesotho x 1
Liechtenstein x x 2
Malawi x x x 3
Malaysia x x x 3
Maldives x x x 3
67
Mexico x x x 3
Magnolia x 1
Morocco x x x 3
Netherlands Antilles x 1
New Zealand x x x 3
Norway x x x 3
Panama x 1
Papua New Guinea x x x 3
Peru x x x 3
Poland x x x 3
Qatar x x x 3
Sierra Leone x x x 3
Singapore x x s
Slovak Republic x x x 3
Slovenia x x x 3
Solomon Islands x x x 3
South Africa x 1
Switzerland x x x 3
Thailand x x x 3
Turkey x x x 3
United Arab Emirates x x x 3
United States x x x 3
Venezuela x x 2
Zambia x x x 3
NO. OF COUNTRIES 65 62 55
PCI Leasing and Finance, Inc. is a wholly-owned subsidiary of PCIBank. It is the principal
business unit of PCIBank engaged in leasing and financing. PCI Leasing serves commercial clients,
providing direct leasing, sale and leaseback arrangements and dollar-denominated leases. The
company's financing products include commercial and consumer loans, installment paper purchases,
receivable discounting, employee personal loans and receivable factoring. Assets financed include
trucks, office equipment, real property and agricultural machinery.
Euromonitor’s forecast by the year 2000, showed that credit cards are to be
the largest sector of the market including North America and Asia-Pacific. North
America is expected to remain the largest regional market for all types of card , most
especially store cards. North America's share of the store card market is forecast to
stand at around 73% in year 2000 while its share of the debit card market should rise
steadily after 1995 to around 37% by 2000.
Western Europe's share of the global payment cards market is expected to fall in
the second half of the decade as other regional markets display more buoyancy. The
68
region's share of the debit card sector is for example expected to slip to less than 20%
by 2000 compared to almost 32% in 1995.
In the Asia-Pacific region, an increase is expected in all four market sectors

over the next five years. Its share of the global charge card market is forecast to rise
from around 22.1% in 1995 to around 32.5% in 2000.
Table 26. Regional Market: Forecast Number of Payment Cards in Circulation by Sector
1995/2000 (In Millions)
%
1995 1996 1997 1998 1999 2000 growth
1995-
2000
North America 1,073.2 1,158.2 1,257.0 1,363.4 1,488.4 1,606.3 49.7
Asia-Pacific 372.2 408.5 464.9 531.8 602.6 687.2 84.6
Western Europe 232.3 239.4 244.9 249.8 253.9 256.9 10.6
Latin America 102.5 113.3 125.4 139.1 154.7 173.3 68.9
Southern Europe 75.5 80.5 85.0 89.2 93.4 97.0 26.8
Eatern Europe 1.2 3.5 8.8 15.9 23.7 30.6 2,450.0
Africa & Middle 7.9 9.5 11.4 13.6 16.4 19.7 149.4
East
TOTAL 1,865.9 2,023.1 2,197.4 2,402.8 2,633.1 2,871.0 53.9
Source:Euromonitor: Global Market Information Database
Based on Euromonitor 1995 Global Market Information Database, the number

of charge cards in circulation is forecast to increase by more than 50% and to reach
almost 85 million by 2000. Most of the expansion will result from increasing rates of
ownership in the emerging markets. Demand is also increasing for corporate
purchasing charge cards of the type now marketed by American Express.
Table 27. World Market: Forecast Number of Payment Cards in Circulation by Sector 1995/2000
(In Millions)
1995 % 2000 % %growth
1995/2000
Credit cards 745.4 40.0 1,194.9 41.6 50.1
Store cards 559.0 35.9 870.9 30.3 30.2
Debit cards 395.2 21.2 720.3 25.1 82.3
Charge cards 55.3 3.0 84.9 3.0 53.5
Total 1,865.9 100.0 2,871.0 100.0 53.9
Source: Euromonitor: 1995 Global Market Information Database
Global spending on payment cards is forecast to reach US$3,536.3 billion by

2000, 82.4% increased compared to 1995. Spending on debit cards is expected to
increase by 94% in 2000. The full potential of this card is yet to be realized in many
markets, a situation which should be corrected as the decade progresses. Debit cards
spending in the US is expected to increase four fold by year 2000.
Spending on credit cards is also expected to remain high over the next five
years rising by an estimated 89% by 2000. This will be enhanced by an increase in the
number of outlets which accept credit cards and by the attractions to card holders of
the various card user reward schemes being offered by the major card issuers. It is
69
also expected that first time holders of credit cards will also contribute to the overall
increase in the credit cards expenditure levels.
Cash outlay on charge cards is also forecast to increase by over 80%

between 1995 and 2000 due to the general trend for higher travel and entertainment
spending. Most of the leading charge card companies have devised particularly
attractive user reward schemes and expected to result to high spending levels.
On the other hand, spending on store cards is forecast to increase by 50% by

2000. This sector has less scope for large spending rises than the other three types
of card. Many stores offered discount schemes in order to sustain average annual
increases in store card spending.
Table 28. World Market: Forecast Spending On Payment Cards By Sector

1995/2000 US$ billion (constant 1995 prices)
%growth
1995 % 2000 % 1995/2000
Credit cards 1,049.0 40.0 1,997.2 55.9 88.5
Store cards 364.1 35.9 705.5 20.0 93.8
Debit cards 327.5 21.2 491.1 13.9 50.0
Charge cards 197.8 3.0 362.5 10.3 83.3
Totals 1,938.4 100.0 3,536.3 100.0 82.4
Source: Euromonitor: Global Market Information Database
Factoring. Factoring is essentially useful to manufacturing, industrial and trading companies

which accumulate substantial receivables out of their usual business transactions. This enables cash
flow to the client and help sustain sales volume.
A business needs sufficient capital to meet its current commitments but if money is tied up in
receivables, the business can be irreparably harmed. Receivables should be converted within a minimum
period of time so that the company does not lose its liquidity, exhaust its credit and find its growth
potential limited. The firm can reduce its receivables by having better credit policies, better policing of
credit or by more diligent collection policies.
Factoring is a sale of accounts receivable on a without recourse, notification basis. In a factoring

arrangement, a company sells its accounts receivable to a bank or finance company called factors.
Factors are companies involved in purchasing outright the accounts receivable of their
customers. The factor is responsible for granting credit to the business customers in exchange for their
accounts receivable. In other words, the factor assumes all risks in regard to granting credit and
collections.
There are two types of factoring payments: with notification and without notification. Under
payments with notification, the customers paid directly to the factor while payment without notification,
customers pay directly to the seller of receivables.
Moreover, the factor may withhold a certain percent of the value of accounts receivable as
protection from any customer returns and allowances. The amount withheld is known as "factor's
holdback". Final settlement of the factor’s holdback is made only after the factor receivables have been
fully collected.
70
1.2 Contribution to the Economy
Table 5
1998
Value (in Million % Share to the
PhP) Economy
Accounting Services GVA
Philippine GDP 888,875
Philippine GNP 931,127
Accounting Services Employment pax) 9,997
Philippine Employment (pax) 31,278,000
Financial Services GVA

Philippine GDP 888,875
Philippine GNP 931,127
Accounting Services Employment pax) 59,742
Philippine Employment (pax) 31,278,000
71

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An In-depth Study on the Accounting and Financial

Industry In the Philippines

Dr. Tereso Tullao, Jr.

Dr. Teresita Nadurata

August 17, 2001

2.0 Forward Linkage/Market 16

3.0 Backward Linkage/Market 17

4.0 Laws Hindering/Facilitating 18

5.0 Market Potential/Foreign Market Demand 29

6.0 Industry Association 39

7.0 Strengths and Weaknesses 40

8.0 Supply Capability 42

9.0 Opportunities and Threats 51

10.0 Action Plan Enhancing Competitiveness 53

11.0 Performance Monitoring Scheme 55

Table 29 Sectoral Forecast 2000-2004 ( US$million) 35

Appendix A SWOT Analysis 70

Given this background, and taking into consideration the information

Scope of the Industry

A working definition of financial services industry is that group of institutions

Structure of the Industry

Industry structure has a strong influence in determining competitive rules.

Firms in the Industry. Unlike most professions, accountancy is largely

The Securities and Exchange Commission’s record as of December 31,

Leasing is still a growing market since it is just being practiced in the

Employment. According to National Statistics Office, there are 101 firms

In the Philippines, the following are some of the legislations and

In addition, professional services have subject to extensive direct and

The Code of Ethics prohibits the CPA to advertise his professional

At present, Batas Pambansa Blg. 178 or otherwise known as the Revised

Financial equipment leasing is supervised by the Securities and Exchange

Foreign Market Demand and Competition

The countries with GATS commitments in accountancy services: Austria,

In France, the commercial presence of accounting and bookkeeping service

Market Demand. The UK market for accounting, auditing and bookkeeping

In the article written on financing of small firms in United Kingdom, Lund

Data published in Leaseurope revealed that in 1998, the number of leasing

Most of the business services sectors have an industry associations.

Moreover, many industry associations have successfully lobbied for the

Quality and quantity of Training

Training programs are usually grouped into technical training, professional

Opportunities and Threats

Opportunities. Accounting services industry provides to CPA firms through

Opportunities. Financial services industry provides opportunities in terms

Threats. Dependence on debt to improve one's standing in the community.

Given this background, and taking into consideration the information

1.0 The Industry

Accountancy offers the opportunity for challenging and rewarding careers in

Accountancy has an essential role with respect to the implementation and

The Financial services industry generates about $2 trillion a year in

Financial services companies earn money in a wide variety of ways, though

The accounting services encompasses auditing, accounting, bookkeeping

The skills developed by the accountancy professional have practical

A working definition of financial services industry is that group of institutions

United Nations Central Product Classification (UN CPC)

Based on the UN Provisional Code, accounting, auditing, bookkeeping

Table 1. Accounting Services Industry Definition based on the UN CPC

Table 2. Financial Services Industry Definition based on the UN CPC

Portfolio management Portfolio management services on behalf of clients including decisions

Exclusion: Advisory services on personal financial planning not involving

Philippine Standard Industrial Classification (PSIC)

The National Statistics Office used the Philippine Standard Industrial