How to link debt mutual funds to your short term goals? For goals that are going to take less than five years, fixed income makes most sense. These can include debt mutual funds, fixed deposits, Government and private bonds, NCDs, various post office schemes, and a few others.
How to link equity mutual funds with long term goals? Once you know your financial goals, and the asset classes you need for them, the next step in achieving these goals is selecting the right instrument. This approach will help you set rational return expectations, and more importantly won’t lead to disappointment.
Why you should aim to increase your SIP by 15% each year Increasing the SIP amount each year by even 5% can have a dramatic effect on your final goal amount. A 10% increase means achieving 7 lakhs more (or the price of a hatchback). When the increase is 15% the result is a corpus that’s three times bigger.
How to avoid too much debt in your 20s? Here are just four things you need to keep in mind to ensure you don’t go overboard with your loans.
How to own a flagship smartphone every 3 years without credit card debt Considering the importance of this device and how much of our lives are on our smartphones, it could arguably be prudent to invest in the best ones you can. However, considering that the premium ones cost almost as much as a bike, many of us often rely on our credit cards to buy one.
Why you need a larger emergency fund in your 40s than in your 20s? Some people make the mistake of believing that an emergency fund is mainly for those just starting their jobs or are still in their 20s or 30s or have young kids.
Do you worry about the wrong risk? One thing that came out from our discussions was that a lot of savers go for financial products based on their perception of how “risky” they are.
If I invest a lot more in equity will I reach my goals faster? The rate of return can drive investors to invest all their savings here irrespective of goals. The assumption they hold is that if it can grow their money the fastest then if they invest more, they will grow their money even faster.
Four signs your lifestyle is more expensive than you can afford As many sports stars, musicians, movie stars, and crime lords can attest, great income is no protection against a lifestyle your income can’t sustain.
Volatility versus risk - Knowing the difference can help make you richer Like rains, stock markets can be unpredictable, as well. Whether it’s elections one year or a series of tweets by a President the other, markets tend to react.
Which goals need which asset classes? When investing, many people often mistakenly start with a “product”.
What do you do when you have many goals but not enough money? The many financial needs, most of which come to light when we start our families, bring to attention a different kind of problem. We realise we have many financial goals but not enough in the way of earnings to save for these goals.
