Read the passage. Alexander knew how to watch his money. He understood the importance of budgeting and rarely spent beyond his means. He put part of his paycheck into a savings account each month without fail and even subscribed to an investment magazine. Based on the context of the passage, what is the meaning of the phrase watch his money

Handle his money wisely.

Explanation:

'To watch his money' is an idiom.

An idiom is a phrase or a group of words used to mean something else. An idiom can not be understood in a literal sense but to understand it applied meaning needs to be understood.

For example, 'on cloud nine' is an idiom which means to convey the meaning of extreme happiness.

In the same manner, 'to watch his money' is an idiom that means 'to handle the money wisely.'

So, the use of this phrase in the question means 'to handle the money wisely.'