Why do we save and How should we Invest

In the last three months or so, ever since the lockdown has been enforced all across the world, the household savings rate has gone up substantially despite an increase in unemployment/loss of income. No outdoor eating /parties/movies, no shopping other than necessities, no travel are the main contributors. Why do we have to save money?  … Continue reading Why do we save and How should we Invest

Make your money work for you!

You want to become rich! Make your money work for you 24×7, 365 days a year. Do we know how people become rich? They invest money in creating assets and poor people create liabilities.  So before we proceed, let’s understand in simple language what is an asset and a liability An asset is anything that puts money … Continue reading Make your money work for you!

Why we sell-off during market corrections?

Have we ever thought why most of us sell off our investments during market corrections? Is it because we need the money or is there any other reason(s). We all must have taken a ride in the roller coaster; when it goes up we feel excited but feel scared when it goes down.  It’s the … Continue reading Why we sell-off during market corrections?

Are we loosing money by investing in Bank FD?

Rates of interest on various small saving schemes have been slashed substantially by the Government of India wef  01 April 2020.  The annual rate of interest on Bank Savings Account would be around 2.75% and Bank FDs will fetch you 5.5% to 5.8% for one to three years of term deposit. Further, interest accrued on these investments … Continue reading Are we loosing money by investing in Bank FD?

Understanding Investment Risks before Investing

Brutal fall in Indian stock markets over a period of last one month or so has left most of the equity portfolios bleeding. Fall has been so fast and vociferous that it wiped out almost all the gains of equity mutual fund schemes for last 3 to 5 years and in some cases up to 10 … Continue reading Understanding Investment Risks before Investing

Are you paying Income tax on Interest Income?

As part of direct taxes, all of us are paying Income tax to Government of India. Income tax is levied on following two parts of income: 1. Earned income which is earned by us in a financial year(Apr to Mar)2. And the interest income which gets accrued on our savings / investments There is hardly any scope … Continue reading Are you paying Income tax on Interest Income?