Start Investing

Start Investing:

In this topic, we are going to see when one to start investing and what factors one should consider while investing.

When one needs to start invest?

Invest Early - By investing early, one can allow their investments more time to grow, whereby the concept of compounding increases their income, by accumulating the principal and the interest or dividend earned on it, year after year.

Invest Regularly - Investment doesn't mean the one time effort by simply putting money and watching it's growth. One should invest regularly on monthly basis at their earlier age itself (may be at the time of entering into a good job).

Invest for long term and not short term - One's goal or vision while investing should be in long term and not in short term. Because, the long term investment only growth in good manner than short term.

What are the key factors one should consider while investing?

Before making any investment, one must ensure to:

1. obtain written documents explaining the investment
2. read and understand such documents
3. verify the legitimacy of the investment
4. find out the costs and benefits associated with the investment
5. assess the risk-return profile of the investment
6. know the liquidity and safety aspects of the investment
7. ascertain if it is appropriate for your specific goals
8. compare these details with other investment opportunities available
9. examine if it fits in with other investments you are considering or you have already made
10. deal only through an authorised intermediary
11. seek all clarifications about the intermediary and the investment
12. explore the options available to you if something were to go wrong, and then, if satisfied, make the investment.