Far more money has been lost by investors preparing for corrections or trying to anticipate corrections than has been lost in corrections themselves- Peter Lynch During my initial days of investing, I felt that systematic investment plans are not very smart. However, over the years, I have realized that it is one of the most …
Systematic investment plans – How to make money? Read More »
I’ve never known anybody who can time the market. I’ve never known anybody who knows anybody who can consistently time the market- Burton Malkiel Aiming to time the market is futile.Purpose of this article is to focus more on asset allocation. We all know that right asset allocation is the main driver of portfolio returns. In …
The article was first written in May 2015. Since then yield came down crashing and long-term gilt funds delivered great return. The yields have changed since then and there is upside risk and hence, one needs to prefer short term govt bond funds. I am reposting this, just to clarify few conceptual points that many …
In my personal experience, a simple approach to investing works the best. The simple idea that works is to invest regularly at all times, invest more when valuation is attractive (NIFTY PE less than 18.6) and take some money of the table when valuation is expensive (NIFTY PE >22.1). The below points illustrate this: 1. …
“The investor’s chief problem—and even his worst enemy—is likely to be himself.” – Benjamin Graham Recently, I have been reading a book on behavioural investing by James Montier. The book gives a lot of insights into the behavioural mistakes that most investors make. It also argues that successful investing a a lot of about following …
Cannot control the market, control yourself for investment success Read More »
For majority of investors, a diversified equity portfolio, bought over time, will prove far less risky than dollar-based securities – Warren Buffett Many equity investors worry about the volatility of equity market. The desire to time the market arises from investor’s desire to avoid loss. But what exactly is loss? Is it decline in the value …
Can you suffer loss from SIP in equity mutual fund? Read More »
Failing to plan is planning to fail. While our best laid plans may go awry given the glorious uncertainties of life, there is still no excuse to plan. Sometimes, it is difficult to visualize, especially when we are young, what will happen to us when we are old and when we are unable to work. The …
“Far more money has been lost by investors preparing for corrections or trying to anticipate corrections than has been lost in corrections themselves.” A few weeks ago, at the peak of demonitization gloom, I asked a friend if he was investing in equities. He told me that he would invest only when NIFTY is at …
Take the plunge, don’t wait for the elusive market correction! Read More »
We all have heard about Saradha groups scandal in which common people were duped of their savings. Instead of getting the lofty and unrealistic returns that they were promised, they soon realized that they have been cheated. This is really very unfortunate. Below, I am going to tell about some characteristics of a ponzi schemes that …
A journey of thousand miles begins with a single step – LAO-TZU Similarly, a journey to achieve financial freedom, journey to accumulate the corpus for your kids education/marriage or your retirement starts with regular and disciplined investing. Most investors are worried more about which stocks or sectors will deliver higher return. They are also more …
Key to wealth creation- Starting early and staying invested Read More »
