EVEN THE BEST What can you learn from this? SPORTSMEN FAIL ... · also means a great potential to...
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Every sportsman has to undergo a strict fitness regime. If you want to be a successful investor, you need a fitness plan for your money too. Here are five important tips. WHAT NEXT? Balanced Fund are all about playing it well. Scan this QR code to know more. Steps to download and scan a QR code: 1) Download QR code app on your phone. 2) Run app and scan the QR code. 3) Your smartphone reads the code & navigates to the destination https://goo.gl/n9jcJk Mutual Fund investments are subject to market risks, read all scheme related documents carefully. IN THE NEXT EDITION: Indians are known for their craze for cricket. But they’re also known for their patriotism. In the next edition, let’s move from sports to national pride. Let’s talk about financial independence - for you as well as the less fortunate care-givers. For more details, follow us on Twitter #swatantra; Email queries or suggestions: [email protected] Please mention ‘Swatantra in TT’ in subject line. For more such financial advice, Scan the QR code or head to our website: http://www.beswatantra.com Cricket legend, Sachin Tendulkar has been out on ‘0’ 20 times. Plus, he has the most record of getting dismissed 27 times before hitting a century in the 90s. Footballer Lionel Messi has been the World Player of the Year (FIFA Ballon d'Or) four times. But his international debut was a disaster - he was sent off after merely 47 seconds. Famous basketball player Michael Jordan has won Olympics, 6 NBA championships and 5 Most Valuable Player awards. But he’s missed more than 9,000 shots in his career and lost over 300 games. EVEN THE BEST SPORTSMEN FAIL TO WIN SOMETIMES LET’S LOOK AT SOME OF THE TOP PLAYERS AND THEIR RECORDS: Let’s have a look at the risks of some low-risk investment options: Fixed Deposits: The banks can fail to pay back your deposit. Your FD is only insured for up to ` 1 lakh. Government Securities: Considered the least risky, but governments can default on payments. Even India has. Public-Provident Fund: PPF suffers from two types of risks - the risk that the government can default on a payment and the risk that you will not be able to reinvest your interest at the same higher rate. This could undo the power of compounding. The good thing about the risk of market volatility: The players mentioned above have tasted failures. But that didn’t stop them from touching career highs. Such drastic highs and lows is what financial experts call ‘volatility’ in investment parlance. In the investment world, risk does not just mean high chances of failure. It also means a great potential to earn high returns. What can you learn from this? Nothing in the world is perfect. Where there’s a win; there will be a loss. Similarly, your portfolio may seem perfect. You may follow all the best- known practices. But you cannot avoid a loss in life. There is no option in life or investments that has zero-risk. Record-setting Tennis player Roger Federer may have won 18 Grand Slams. But he still lost 247 in his career of 1104 matches. EXPERTSPEAK Considering your investment horizon and age, Equity Mutual Funds are a good option. You could achieve your goal corpus of `1 crore by investing in Equity Funds every month. Start at an early age. This will help you compound your money. A monthly investment will help you average your costs in volatile times. In the past 30 years, Equity Mutual Funds have given average rolling returns of 13%–16% annually. This should determine your return expectations. Monthly Investment (`) Expected Returns after 30 years 1,200 16% 1,800 14% 2,300 13% 2,900 12% Remember, Equity as an asset class cannot guarantee returns. So, it is good to have a range in mind to estimate the expected returns. HERE’S WHAT THE EXPERT SAID KAUN BANEGA CROREPATI: THE GAME PLAN I am 30 and earn `6 lakh annually. I want to save `1 crore by investing for 30 years. What should be my monthly investment? What will be my exact returns after 30 years? BINOLI DODHIWALA Inorbit Corporation, Mumbai WORK TOWARDS YOUR FITNESS EVERY SINGLE DAY. Successful sportsmen take their fitness seriously. They work towards it every day. After all, you can’t turn fit overnight. You become fit little by little every day. With your investments too, it’s the small steps that matter. Don’t count on investing in lump sum. Opt for Systematic Investment Plans (SIP). YOU NEED ALL-ROUND TRAINING WITH VARIATION. Every sportsman plays other games while training. This helps build all-round strength and fitness. Plus, it can be monotonous to live in the gym. Your investments too need all-round exposure. Diversify. Don’t just invest in one option. Fitness tips for your money NEVER START EXERCISING WITHOUT A WARM-UP. With your money, always start small. For example, a new investor can start experimenting with a Systematic Investment Plan of ` 500. DON’T MISS LEG DAYS NO MATTER HOW PAINFUL. Be it Cricket, Tennis or any other sport, you need strength in your legs. You need to stand on your legs for hours; go against the tide, and succeed. With investments, Equity bears the weight of ensuring you gain wealth and get high returns. LEARN TO CONTROL AND STABILISE YOUR BODY WEIGHT FIRST. Similarly, first learn to make do with what you earn and spend. Make small allowances at first. Once you get into the habit, you can start allocating more money to investments. *This content was created exclusively for UTI Swatantra. Visit www. beswatantra.com for more information Cricket has 11 players. Hockey and Football have 11 players too. But your investments are more like Tennis – it’s a one-player game. You serve the ball, and hit back at the opposite serve. Similarly, no one can make your money decisions for you. So, you cannot follow or copy another plan. You need your own plan. Even with a Mutual Fund, you pick the right Fund and Scheme. Thus, you decide what kind of assets you want to invest in even though it is the Fund Manager doing the actual investing. Bottom line: Sit with your financial coach and form your own game plan. Don’t follow the herd. Pave your own path. Investment is an individual game, not a team sport
Transcript of EVEN THE BEST What can you learn from this? SPORTSMEN FAIL ... · also means a great potential to...
Every sportsman has to undergo a strict fi tness regime. If you want to be a successful investor, you need a fi tness plan for your money too. Here are fi ve important tips.WHAT NEXT?
Balanced Fund are all about playing it well. Scan this QR code to know more.
Steps to download and scan a QR code:1) Download QR code app on your phone. 2) Run app and scan the QR code. 3) Your smartphone reads the code & navigates to the destination
https://goo.gl/n9jcJk
Mutual Fund investments are subject to market risks, read all scheme related documents carefully.
IN THE NEXT EDITION: Indians are known for their craze for cricket. But they’re also known for their patriotism. In the next edition, let’s move from sports to national pride. Let’s talk about fi nancial
independence - for you as well as the less fortunate care-givers.
For more details, follow us on Twitter #swatantra; Email queries or suggestions: [email protected] Please mention ‘Swatantra in TT’ in subject line. For more such fi nancial advice, Scan the QR code or
head to our website: http://www.beswatantra.com
Cricket legend, Sachin Tendulkar has been out on ‘0’ 20 times. Plus, he has the most record of getting dismissed 27 times before hitting a century in the 90s.
Footballer Lionel Messi has been the World Player of the Year (FIFA Ballon d'Or) four times. But his international debut was a disaster - he was sent off after merely 47 seconds.
Famous basketball player Michael Jordan has won Olympics, 6 NBA championships and 5 Most Valuable Player awards. But he’s missed more than 9,000 shots in his career and lost over 300 games.
EVEN THE BEST SPORTSMEN FAILTO WIN SOMETIMESLET’S LOOK AT SOME OF THE TOP PLAYERS AND THEIR RECORDS:
Let’s have a look at the risks of some low-risk investment options:
Fixed Deposits: The banks can fail to pay back your deposit. Your FD is only insured for up to ` 1 lakh.
Government Securities: Considered the least risky, but governments can default on payments. Even India has.
Public-Provident Fund: PPF suff ers from two types of risks - the risk that the government can default on a payment and the risk that you will not be able to reinvest your interest at the same higher rate. This could undo the power of compounding.
The good thing about the risk of market volatility:
The players mentioned above have tasted failures. But that didn’t stop them from touching career highs.
Such drastic highs and lows is what fi nancial experts call ‘volatility’ in investment parlance.
In the investment world, risk does not just mean high chances of failure. It also means a great potential to earn high returns.
What can you learn from this?
Nothing in the world is perfect. Where there’s a win; there will be a loss.
Similarly, your portfolio may seem perfect. You may follow all the best-known practices. But you cannot avoid a loss in life.
There is no option in life or investments that has zero-risk.
Cricket legend, Sachin Tendulkar has been out on ‘0’ 20 times. Plus, he has the most record of getting dismissed 27 times before hitting a century in the 90s.
Footballer Lionel Messi has been the World Player of the Year (FIFA Ballon d'Or) four times. But his international debut was a disaster - he was sent off after merely 47 seconds.
Famous basketball player Michael Jordan has won Olympics, 6 NBA championships and 5 Most Valuable Player awards. But he’s missed more than 9,000 shots in his career and lost over 300 games.
Cricket legend, Sachin Tendulkar has been out on ‘0’ Cricket legend, Sachin Tendulkar has been out on ‘0’ 20 times. Plus, he has the most record of getting dismissed 27 times before hitting a century in the 90s.
Footballer Lionel Messi has been the World Player of the Year (FIFA Ballon d'Or) four times. But his international debut was a disaster - he was sent off after merely 47 seconds.
Famous basketball player Michael Jordan has won Olympics, 6 NBA championships and 5 Most Valuable Player awards. But he’s missed more than 9,000 shots in his career and lost over 300 games.
Record-setting Tennis player Roger Federer may have won 18 Grand Slams. But he still lost 247 in his career of 1104 matches.
EXPERT SPEAK
Considering your investment horizon and age, Equity Mutual Funds are a good option. You could achieve your goal corpus of `1 crore by investing in Equity Funds every month. Start at an early age. This will help you compound your money. A monthly investment will help you average your costs in volatile times.
In the past 30 years, Equity Mutual Funds have given average rolling returns of 13%–16% annually. This should determine your return expectations.
Monthly Investment (`) Expected Returns after 30 years
1,200 16%1,800 14%2,300 13%2,900 12%
Remember, Equity as an asset class cannot guarantee returns. So, it is good to have a range in mind to estimate the expected returns.
HERE’S WHAT THE EXPERT SAID
KAUN BANEGA CROREPATI: THE
GAME PLANI am 30 and earn`6 lakh annually.
I want to save`1 crore by investing
for 30 years. What should be my monthly investment? What will be my exact returns
after 30 years?
BINOLI DODHIWALAInorbit Corporation, Mumbai
WORK TOWARDS YOUR FITNESS EVERY SINGLE DAY. Successful sportsmen take their fi tness seriously. They work towards it every day. After all, you can’t turn fi t overnight. You become fi t little by little every day. With your investments too, it’s the small steps that matter. Don’t count on investing in lump sum. Opt for Systematic Investment Plans (SIP).
YOU NEED ALL-ROUND TRAINING WITH VARIATION. Every sportsman plays other games while training. This helps build all-round strength and fi tness. Plus, it can be monotonous to live in the gym. Your investments too need all-round exposure. Diversify. Don’t just invest in one option.
Fitness tips for your money
NEVER START EXERCISING WITHOUT A WARM-UP. With your money, always start small. For example, a new investor can start experimenting with a Systematic Investment Plan of ` 500.
DON’T MISS LEG DAYS NO MATTER HOW PAINFUL. Be it Cricket, Tennis or any other sport, you need strength in your legs. You need to stand on your legs for hours; go against the tide, and succeed. With investments, Equity bears the weight of ensuring you gain wealth and get high returns.
NEVER START EXERCISING WITHOUT A WARM-UP. With your money, always start small. For example, a new investor
experimenting with a Systematic Investment
LEARN TO CONTROL AND STABILISE YOUR BODY WEIGHT FIRST. Similarly, fi rst learn to make do with what you earn and spend. Make small allowances at fi rst. Once you get into the habit, you can start allocating more money to investments.
Cricket, Tennis or any other sport, you need strength in your legs. You need to stand on your legs for hours; go against the tide, and succeed. With investments, Equity bears the weight of ensuring you gain
*This content was created exclusively for UTI Swatantra. Visit www. beswatantra.com for more information
Cricket has 11 players. Hockey and Football have 11 players too.
But your investments are more like Tennis – it’s a one-player game.
You serve the ball, and hit back at the opposite serve.
Similarly, no one can make your money decisions for you.
So, you cannot follow or copy another plan. You need your own plan.
Even with a Mutual Fund, you pick the right Fund and Scheme.
Thus, you decide what kind of assets you want to invest in even though it is the Fund Manager doing the actual investing.
Bottom line: Sit with your financial coach and form your own game plan. Don’t follow the herd. Pave your own path.
Investment is an individual game, not a team sport
