One mistake can ruin your years of earnings. In this case, before investing anywhere, one should compare the investment options properly.
By putting money without thinking you can get into trouble. Never invest all your money in one place.
Everyone wants to put their money in such a place where you get better returns, as well as your money, should also be safe. If you too are planning to invest your earnings somewhere, then you should pay special attention to some important things. Today we should take care of these 7 things.
7 things including your risk-taking ability and financial goals
1. It is important to understand the goal of an investment
If you are planning to invest, then it is important for you to first know what you are investing for. Your goal may be short term or long term. By having a fixed goal, you will be able to meet your need by planning better.
2. Understand how much risk you can bear
Risk-taking ability varies from person to person. In this case, assess your risk appetite before investing anywhere. Because if there is something wrong with taking more risk than your capacity, then you can get into trouble.
3. Do not spend all the money in one place
Never invest all your money in one place. You should diversify your portfolio because the money you have invested does not necessarily give you returns. Suppose you invest 100-100 rupees in two places. You got 10% return in the first place and 5% loss from the second place. So even then you will remain in profit. On the other hand, if you have already lost 10 percent and you have gained 5 percent from the second place. So in such a situation, the benefit from the other place will reduce your loss.
4. It is necessary to properly compare investment options
One mistake of yours can ruin your years of earnings. In this case, before investing anywhere, one should compare the investment options properly. You should see which scheme or scheme has given much return over the years and whether it is safe to invest here.
5. How long do you want to invest
Take special care of how long you want to invest your money or can do it. Because many saving schemes and schemes come with a lock-in period. That is, you will not be able to withdraw your invested money in this period. That is why take special care that there is no lock-in period in the place where you are investing and if there is so much.
6. Don’t be afraid of ups and downs
If you are a new investor, then be a little cautious in such times. Because awareness in investment can save your money. Never be afraid of short term fluctuations and set long term goals. This will help you make the right investment.
7. Do not invest full money
You may need money anytime during the Corona era. That is why do not invest all your money. At such a time, you should have an Emergency and Protection Fund. Always keep the money of daily expenses for 3 to 6 months with you. Use this fund in an emergency only.
Source: www.bhaskar.com
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