When it comes to ‘financial’ advice, ‘save your money' is one of the most popular things you’ll hear. However, as the economy has grown and become more sophisticated, investing is a great way to not only save but also grow your money.
One of the basic questions that most investors are up against is, “How to start investing”? To begin with, you cannot invest at random. Buying a random stock or a mutual fund is not the answer.
If you identify quality equity assets and hold on to them with patience for the long term, you are bound to generate wealth. Why it is that equity generates wealth over the long run? The answer substantially lies in the power of compounding.
The actual fundamental difference between savings and investments become apparent only when you consider the extent of wealth creation over a longer period of time. If you put all your money in a liquid fund, then it is hard to create wealth.
When you try timing the market you are effectively speculating on the market direction. The problem is that you don’t have control over factors like elections, Fed rate changes, RBI announcements etc.
It is not just enough to have a good income. There are 3 more important steps involved here. Firstly, you need to squeeze the maximum savings out of your earnings. Secondly, you need to ensure that your long term wealth creation funds are invested in
Portfolio investments are about creating wealth in the long run and your investment strategy has to be built on that. Whether you invest in direct equities or in diversified mutual funds, there is the logic of wealth creation to equities. Let us see
The idea of not putting all the eggs in one basket is to ensure that the overall risk is managed better and even in a worst case scenario the investor has some positive returns to fall back upon.
The Securities and Exchange Board of India (SEBI) has been working closely with the exchanges to constantly inform investors about their rights in equity markets.
Catch them young and watch them grow; nowhere does this work more effectively than the realm of investments.
One may wonder as to how is debt related to investments. Actually there is a very subtle relationship.
What exactly is diversification when it comes to your investments? It is all about not putting all your eggs in one basket. It is about spreading your risks.
Trading and investing in the equity markets has an element of risk to it.
Since the liberalization of capital markets in 1992, SEBI has played a pivotal role in the financial markets in two ways.
Are you new to investing and wondering what IPOs are all about? Or are you looking to know more about how you can invest in one?
The Contract Note as a concept originated when electronic trading did not exist. Back then, investors would personally contact their brokers to place orders for stocks and bonds
You can refer to it as the Income Statement or the Profit & Loss Account in an annual report. It means one and the same.
Ratios are the relative measures of financial statements. There are different facets of the income statement and the balance sheet which, when combined, can give interesting insights into the performance and health of the company in question.
Planning to meet certain goals in your life by investing your savings?
Initial Public Offerings or IPOs are shares of a privately owned company that are offered for the first time to the public to invest in.