How to invest money

Know More About Investment.

Investing is essentially about growth, usually at a fixed rate for a specific purpose. Technically, money in the bank is also an investment, because you get interest on that amount. If your money is growing, then you are investing. Usually most of us start investing either randomly or it is done for us. Your contribution to the EPF is not made because of tax savings. In fact, it was supposed to be a pension fund of various kinds. Your EPF money is invested in government securities, FDs, and corporate bonds. About 5% of the investment is also in the stock market.

Money is invested and it achieves a rate of return (the current growth rate is just over 8%). It's a good example of an investment made for you. However, a real investment is when you have a purpose (which may be poorly defined at the beginning), a timetable for that purpose, and expected growth expectations or a requirement. ULIP and non-life insurance contracts, mainly subsidies, are good examples of accidental investments. Many of us prefer to save taxes rather than invest and grow our money.

However, a real investment is when you have a purpose (which may be poorly defined at the beginning), a timetable for that purpose, and an expected growth expectation or requirement. If the purpose or objective is of a long-term nature, you will choose investments that are suitable for that purpose, such as shares and company shares or investments that rely on shares and shares. If your purpose is short-term, you choose fixed income investments such as FDs or debt mutual funds. In both cases, you invest by investing your savings in investments that are designed for a specific purpose.

Therefore, it is so important to have a goal. If you're just getting started and have no idea what to invest in, do it as follows:

• Invest something in the unknown - give a 4 month check in fixed investment such as a liquid fund or family home. It's called the Crisis Fund.
• Invest something in the short term - choose a liquid or short-term fund again. Use it for things like vacations.
• Invest something in the long run - it can be for things you don't even think of, but like retirement. Choose a good mutual fund for this purpose. A prudent fund or a diversified equity mutual fund would be a sensible choice. You can start with an acceptable amount, for example, 1000 Rs per month.