Well, this is my first attempt to crowd source content. Thanks to Quora, I raised a question and had to spend a few credits to a few, although couple of them were generous and "free to ask".
Through this post, I would like to draw my followers & readers to visit my Quora profile and to Quora.com. Time used up here on quora isn't spent, rather invested.
I thank each of those who had contributed with their perceptions and approaches to personal finance. Please note, none of this is a personal recommendation, rather this is a crowd sourced ideas to derive multitude in the personal finance area.
What's a good strategy to save, invest and multiply money?
Through this post, I would like to draw my followers & readers to visit my Quora profile and to Quora.com. Time used up here on quora isn't spent, rather invested.
I thank each of those who had contributed with their perceptions and approaches to personal finance. Please note, none of this is a personal recommendation, rather this is a crowd sourced ideas to derive multitude in the personal finance area.
What's a good strategy to save, invest and multiply money?
There are various ways to save money.
1) Cut down on uncessary expenses.
2) Add another source of income.
3) Dont buy unnecessay things.
4) Full utilization of resources.
All this needs commitment.
Start investing savings, in various segments that may vary from person to person on risk bearing capacity.
You can invest money in(sequenced low risk to high)
1) fixed term deposits with bank
2) Bonds, Debentures
3) House property
4) Stocks
5) trading derivatives.
1) Cut down on uncessary expenses.
2) Add another source of income.
3) Dont buy unnecessay things.
4) Full utilization of resources.
All this needs commitment.
Start investing savings, in various segments that may vary from person to person on risk bearing capacity.
You can invest money in(sequenced low risk to high)
1) fixed term deposits with bank
2) Bonds, Debentures
3) House property
4) Stocks
5) trading derivatives.
There is no "good strategy" which is universally "good" for everyone.
Each individual has a unique financial profile. His/her income, assets, liabilities, time frame, needs, desires, aspirations, liquidity needs, risk appetite, tax status are all different from others. As such, we all have to design a "unique" investment strategy as per our "unique" financial profile.
For example, a young IT professional's investment stratgey would be totally different from a young person having his own start-up. Or, a person with no children will have a different strategy from those who have kids. Or a person who has to take care of ageing parents will have to think differently from those whose parents do not need their children's financial support. I can go on and on. But I guess you get the point.
Most people merely copy others or follow a product-based approach. Instead, they must follow a person-based approach with they and their family as the key focus point. You may also read my blog on this: http://blog.wealtharchite
Each individual has a unique financial profile. His/her income, assets, liabilities, time frame, needs, desires, aspirations, liquidity needs, risk appetite, tax status are all different from others. As such, we all have to design a "unique" investment strategy as per our "unique" financial profile.
For example, a young IT professional's investment stratgey would be totally different from a young person having his own start-up. Or, a person with no children will have a different strategy from those who have kids. Or a person who has to take care of ageing parents will have to think differently from those whose parents do not need their children's financial support. I can go on and on. But I guess you get the point.
Most people merely copy others or follow a product-based approach. Instead, they must follow a person-based approach with they and their family as the key focus point. You may also read my blog on this: http://blog.wealtharchite
The answer is in your question. Save, invest and let your money compound. Have discipline and let the power of compounding work in your favor. The exact strategy will vary from person to person depending upon your financial and risk profile.
Here is piece on personal finance tips for young people that you might find useful.
12 Personal Finance tips for young professionals | Personal Finance Plan
Here is piece on personal finance tips for young people that you might find useful.
12 Personal Finance tips for young professionals | Personal Finance Plan
save 50% from your salary, invest in good mutual funds, and see multiplying your money starting from 3 years onwards.
Money saved is money earned. Start investing in good quality businesses thru stocks OR mutual funds and stay invested for 10 years and more and see the multiplication in money.
Sip*
*Systematic Investment Planning.
The content above has noot been edited retained as mentiond on Quora.
- Karthik Vengatesan
Follow me on Quora I Twitter I Facebook I LinkedIn
The Author conducts Career Thinking Sessions at Educational Institutions. Would you require a day's workshop or session, write to - Click Here!
Follow me on Quora I Twitter I Facebook I LinkedIn
The Author conducts Career Thinking Sessions at Educational Institutions. Would you require a day's workshop or session, write to - Click Here!
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