New To Investing – Three Storey
Building Concept
Being new to the world of "investing" investors
don’t really have a plan in mind and was so far just setting aside some money
in a Fixed Deposit, from their salary.
Just as with everything we are doing for the first time,
all of us want to make sure we do things in the right sequence.
Build the Ground Floor with Solid Foundation
Secure your 6 months
The future is always unpredictable, but securing the next
six months is highly reassuring. Being prepared for any short-term uncertainty,
in our careers and lives, is very much important.
The first thing an Investor does is set aside a portion of
their salary, as much as they can, but at least 6 months of your expenses, for
an emergency fund.
FINVESTEDGE's Emergency Fund category is designed for this.
Build the First Floor –
Get Insured
Get an adequate life as well as health insurance cover. To
be sure, this is not an investment but a purchase.
The life insurance (Term
Insurance) is a must an investor to take care of the unexpected. The health
insurance is incredibly important considering investor doesn't have an
emergency fund set up yet and a typical emergency that can derail your finances
is a health related one.
Build the Second Floor - Set
a Long-Term Goal and Start investing
Every Investor, are excited about their life's journey and
have ideas about what they want to do.
The next step, therefore, once their emergency fund is
created, is to start saving for the longer term. I suggested that they set
aside 20% of their salary. I based it on an analysis we had done. So a corpus
that can pay the investor 2 lakhs per month in 20 years (about Rs. 3.20 crores)
hence is the goal that he is going to save for.
An Investor can start with tax saving mutual funds due to
the dual benefit of investing in a long term asset as well as saving tax.
To start investing journey these are the only three steps an
investor needs to take to build Financial Wealth. As they get older and earn
more, they can start investing more, but things never get any more complicated.
What's important is getting started early.
Need help getting started? FINVESTEDGE
implement this plan easily by saving for both the long term and the short term.
Get started here.
Have your Wealth Check up done
Mail us At:
finvestedge.in@gmail.com
Happy Investing!
FINVESTEDGE
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