This is your first job. You are happy, healthy and young. You have dreams, ambitions and people to enjoy every moment with. You spend carelessly, without worrying about tomorrow. But what will you do, when you’ll have family and responsibilities to meet, with retirement knocking at the front door. If you want your life to run smooth, then you must avoid doing things:
Choosing to invest is not just a great, but wise option. As inflation growing with passing time, fulfilling future goals would be tough than thought. Investing do involve risk, but when managed they tend to give higher returns than any government saving plan or scheme. With little patience, one can even earn more profits in less time.
Not Investing in SIP
SIP is a great mode to grow money, especially for those, who do not wish to put a big amount in investment and go for a more secured way to grow money. With awesome returns, when invested in debt fund, you can attain flexibility of withdrawing money without breaking the entire investment.
Overlooking the Power of Compounding
People who following traditional method of growing money, like making a FD or PPF, must know how the “Power of Compounding” works and how it can help them grow more money in less time. Where compounding allows investors to earn money from previously gained interests, the investors has the opportunity to gain higher returns on similar amount as FDs.