What trees can teach us about investing Like growing a Chinese bamboo tree, there are no instant gratifications. You need to stay put and keep the faith in equities.
Do you need to focus on focused funds? Focused equity funds follow a similar investment philosophy by maintaining a tight portfolio of not more than 30 stocks. Their aim is to hit the bull’s eye with the right stocks (bought with high level of conviction) and earn a higher return.
Signs you are not making enough money Here are the signs which will let you know if it’s your income to blame. A combination of some of these signs will establish the need to prop up your income levels.
Can you afford a pet? Pets – be it dogs, cats, birds, turtles or rabbits - are adorable and bring unconditional joy into our lives. Many of them don’t cost much to purchase. However during its lifetime its owner shells out a considerable amount.
The types of funds that most investors can safely ignore Among the five broad categories, SEBI bunched schemes into further sub-categories to bring uniformity in their features. Such classifications have made comparisons easier for investors. However, there are some fund types that investors can safely ignore.
Are you spending too much on your wardrobe? How to know if you are spending more than necessary on your clothes?
Are your investments growing slower than your fund is? This could be why. What could explain the difference between fund and investor returns?
How much health insurance cover should you take? Assuming eight percent inflation, medical costs could quadruple over the next two decades. A surgery that costs Rs 4-5 lakh today could become Rs 20 lakh over the next two decades. While a cover between Rs 5-10 lakh is adequate for a young family today, it needs to be regularly topped-up – to match the rise in health care costs.
Capitalise on the sharing economy. Rent anything and save big. People like Shekhar are increasingly capitalising on the rise of the sharing economy. It’s not just house, but furniture, washing machines, TV, wedding jewellery, iPhones and pianos that are increasingly being taken on rent.
Should frequent portfolio churning by the fund manager worry you? Portfolio Turnover Ratio is calculated as a percentage of sale or purchases of securities (whichever is lesser) made by a mutual fund scheme during a particular period (usually a year) divided by its average assets.
Can your friend be your financial advisor? There is an element of comfort in dealing with friends. “At least, they wouldn’t cheat you” is the usual reasoning. But then, there can be pitfalls as well.
How to save money on your utility bills We need a phone to communicate, internet to browse, electricity to live and gas to cook. In a way, it’s our life line. Expenditure on these utilities can’t be completely done away with. However, by spending smartly we can chop-off the excesses and save for your future.
