Posts tagged ‘Financial Capabilities’

September 29, 2011

What is Rupee Cost Averaging

There are many investors who prefer to invest in lumpsum into an asset class and forget about it. And there so many investors who are not able to invest in an asset class at one go. So they do it by investing a fixed sum regularly.

When one invests in any asset in one go s/he buy the asset at prevailing price at that time. S/he is not get affected by price of asset at the buy price as her/his buying price is fixed. But one who invests a fixed sum regularly s/he buys assets at different prices.

In financial market there is always volatility. So price of assets changes. Some times the price increases and some times the prices falls. And an investor who keeps investing regularly is forced to buy the assets on the prevailing prices.

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September 29, 2011

Investment Options with Regards to Mutual Funds

There are a variety of options available to the investors when investing in mutual funds. The investors have options in these investment plans to choose from according to the needs and financial capabilities as well as the financial goals. The investment plans offered by mutual fund houses are aimed to satisfy various needs and financial goals of the investors. The important options for investment plans that mutual funds offer are as below:

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September 27, 2011

Take Care of These Rules before You Invest

Investment is an activity that requires so many things ingrained from knowledge, skills, resources and experiences. But it is known to you that it can be done without any hush-hush by taking care of some basic things and rules. Those basic roles are as below:

  • Have an investment plan and goal in place before you make investments.
  • Don’t have over expectation from any investment. Never ever think that any investment is going to give you 10 times return in few months.
  • Learn to ride on the tide. This means try to cash market fluctuations grabbing right opportunity to earn some money.
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September 26, 2011

Get Out of Debt Trap

One often takes the route of debt to satisfy his/her needs when the needs are beyond his/her financial capacity. At that point of time s/he feels blessed but if this is not managed properly, this blessing turns out to be a curse and then s/he feels cheated and finds her/him caught in a trap of debts.

Various Forms of Debt

There are so many kinds of debt available in the market; formal as well as informal. You can borrow in such ways:

Credit Cards: These are the most risky debt available in the market. The cost of credit card loans ranges between 35%- 50% per annum. Use only when it is necessary.

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