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New to Investing

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Some times people do feel that investing in stock market,Mutual Fund etc are rocket science.However this is not true !!!!
A lay man also can do this......


how ????

Also people get confused with few buzz!!!! word like debt , portfolio, ipo etc...

Here in this post i will stress on those parts where you will get to know many thing as such :)

Here we need to understand what is investment ???? And why people generally invest ????

The money you earn is partly spent and the rest saved for meeting future
expenses. Instead of keeping the savings idle you may like to use savings in
order to get return on it in the future. This is called INVESTMENT ... Is not it !!!

The purpose of investment broadly is due to either

■ earn return on your idle resources
■ generate a specified sum of money for a specific goal in life
■ make a provision for an uncertain future

The question arises when we have a question when can we start investing???

Ans is as early as possible.... probably from your school days .... from your pocket money ......
then make it a practice for life time till your death with discipline....

Then for how much duration we should invest ??
as long as possible.... :) compounding of your money .....

Then WHAT ARE THE THINGS WE SHOULD TAKE INTO CARE WHILE INVESTING ?????

1. obtain written documents explaining the investment
2. read and understand such documents
3. verify the legitimacy of the investment
4. find out the costs and benefits associated with the investment
5. assess the risk-return profile of the investment
6. know the liquidity and safety aspects of the investment
7. ascertain if it is appropriate for your specific goals
8. compare these details with other investment opportunities available
9. examine if it fits in with other investments you are considering or you have already made
10. deal only through an authorised intermediary
11. seek all clarifications about the intermediary and the investment
12. explore the options available to you if some


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