Monsoon and Equity Investing!

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Hello everyone! My last post was regarding some quick tips for the new potential investors who are new to the world of investing! This post is regarding equity investing.

It is mid July, and it is been raining from a pretty long time! The weather is so mesmerizing when there are light showers and drizzles. But on some days it rains so heavily!

You cannot predict that whether it will rain or not! Will it rain on Monday?  Yes? …No? …Maybe? That’s a bit like investing in equity.

The IMD says it will rain on Monday but it doesn’t. When they do say it will be sunny it rains! Familiar story?

Well, Equity Investing is the same.

Sometimes it is up… Sometimes it is down! Some days there is heavy rain while some days there isn’t any at all! The prices of your stock may rise suddenly one day or they might fall.

Remember how there is rain for several days at a stretch followed by dry spells?

That’s just about what happens with stocks too! You get a rise and a rise and a rise in your stock price for a few days. But on other days it will be a fall and a fall and a fall.

So ultimately what happens when the season is over? If you are a Mumbaikar you will invariably hear that the lakes are full so there won’t be a water shortage this year. That’s what is called riding the volatility. The objective is achieved!

Why not carry an umbrella everyday rather than looking out of the window in the morning before deciding? Ride the volatility in the market and you shall come out with good returns! Don’t panic or don’t be in doldrums.

Another small note:

Do you travel on a flooded road in monsoons? No. You take a detour. Just like that if you know your stock has gone bad, it is always better to take a detour- a different stock!

More later…

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A TASTE OF INVESTMENT TO THE NEW INVESTORS!

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Hello everyone! I know its been a pretty long time that I haven’t posted anything. So here I am back with some interesting tips for our new potential investors.

The graduation results are out recently and a new set of fresh graduates are all set for their upcoming challenging life full of a roller coaster ride. Well, making money is not a difficult task but maintaining the money is a challenging task.

You have got to do so many things at this stage of your life, isn’t it? You have to build your career, raise your bank balance, create an identity of your own in the society, get settled and so on. One of the most important things you have got to do is to plan for your future from now only so that you get a better tomorrow. Your today’s planning & vision will lead to a better  & easy tomorrow! So the way to secure your tomorrow is by investing a part of your wealth now!

I know that you might get a question….Why should I invest?

Investing is simply taking out a part of your wealth to generate funds in future. One of the most compelling reason for you to invest is the prospect of not having to work for your whole life! The ultimate solution to make money is either to work hard & make money or make your assets work for you. The second option is better, right?

So here are some quick tips:

  • Invest regularly.
  • Start investing early in life.
  • Don’t make a haste while investing & selling.
  • Spend time on your investments.
  • Keep it simple, invest in mutual funds.