Factors which decides on your Investment Decision

Factors which decides on your Investment Decision

 

“……… are subject to market risks. Please read the offer document carefully before investing.”

 

Everyone knows about the Market risk on their investments and try accordingly. But, in an open space, most of us manipulating the term, "Risk". We know that Insurance is not an investment, it just protects our wealth. Still, we are making a wrong decision on Insurance, on behalf of Investments.

We are telling ourselves that we don't have a time to read the offer document carefully, but not really caring itself before or after Investments. Still, it's everyone's choice to making a decision on their own.

There are few factors that may help you to get into the Investment Decision making, with carefully. It takes with the four important factors are:

• Needs


• Goals


• Time


• Returns

If you need to buy a home, then your goal may be a XYZ worth home and plan to acquire in the next 10 years and how could enjoy with your Passion home. Your decision would like taking a loan with EMI or Invest early.

In other terms, you need a good education for your child and the Goal may like a Graduate in Aeronautics which planned for or after 7 Years and the best benefit, you child could become a Aeronautic Engineer. You could save and invest for the 7 year Goal Plan or simply take an education loan and pay later.

So, Investment Decision making is not just about the money on your hands to save or invest. But, the factors will decide how you can plan it.

There is a story,

A crow was sitting on a tree doing nothing. A rabbit saw the crow and asked “Can I also sit like you and do nothing all day long?” The crow answered:”Sure why not.” So, the rabbit sat on the ground below the crow and rested. All of a sudden a fox appeared, jumped on the rabbit and ate it.

 

Moral:

To be sitting and doing nothing, you must be sitting very high up.

 

Kindly share your views / comments with a smile :)

 

www.richinvestingideas.com