“BEWARE OF LITTLE EXPENSES: A SMALL LEAK CAN SINK A GREAT SHIP“
In a country like india where an individual is trapped into so many tensions & taxes , it has become vital for every individual to become aware of all the expenses , weather small or very small , and to really Think about those expenses as necessity or not. Often , it is those small expenses that leads to big trouble. We should always remember that there are some Investment Opportunities always available to us for our betterment & while planning an investment of any type the 3 major parameners that one needs to consider are : SAFETY , LIQUIDITY & RETURN ON INVESTMENT .
SAFETY : FIXED DEPOSITS with public sector companies would be safer. Deposits on Gold would be relatively safer than investing in Equity shares. Since EQUITY shares rank last in safety , this should not make one feel that all equity are risky. There are many BLUE CHIP COMPANIES which have maintained a steady growth rate and where the value of shares has always shown a positive side.
LIQUIDITY : The most Liquid Investment would be a CURRENT ACCOUNT in a bank which fetches no interest. The next would be FAVINGS DEPOSITS ACCOUNT in banks. Even GOLD , SILVER , SHARES are easy to Liquidate. At the bottom would be REAL ESTATE ASSETS which usually cannot be liquidated on demand.
RETURN ON INVESTMENT : It is very important to predict the ROI in advance for bigger picture. The higher the security and liquidity , the lower the rate of return and vice-versa.
LETS TAKE CHARGE OF OUR PERSONAL FINANCIAL MANAGEMENT