Start Saving!

It doesn't matter whether you make a return of 2 percent, 10 percent or even 100 percent on your investments if you have nothing to invest!

So the first logical step is to start saving money to invest.

This might sound as dumb, but many people including myself had to go through a phase where we spend a lot of time thinking, reading books, blogs, watching videos about investing techniques, tips, and tricks. While we have very little to no funds to start investing with.

As there's a saying which goes,

Little by little you can safely stock up a small reserve of money, but not until you start.
Let's say you wanna retire after 30 years and what matters at end of 30 years is NOT what returns you got, what matters is the net worth of your portfolio. It doesn't matter if you put that money from your pocket or the market rewarded, end of the day what are you left with! That's what matters when you want to retire or achieve financial freedom at any age.

Here are a few simple tips:

Fundamental Analysis of Tata Motors #StockScoreCard

Tata Motors is an Indian automobile manufacturing giant who makes everything from the cheapest car to trucks to military vehicles! They even own Jaguar and Land Rover!

If you judge by the sales revenue, Tata Motors is much bigger than Maruti Suzuki!!!

Is it enough if a company is big and has more sales??
Is it enough if a company makes great cars??

Tata Motors is a classic case to prove just the opposite!!
Keep reading,..

Fundamental Analysis1. Growth StoryTata motors has been aggressively launching new passenger vehicles in India hoping for a turnaround from a record loss-making track record.

On the other hand, Jaguar Land Rover has been investing heavily on new models and has promised to the goal of electrification of every single model by 2020.

Just remember couple of important facts:
More car models DOES NOT mean more sales!
More sales DOES NOT mean more profits!

This is exactly what's happening with Tata Motors.

Last 5 years, there has been a lot going on with respect to the roadmap,…

Power of Compounding

Ever thought of how money can work for you, instead of you working hard for money??
Today, we are going to cover just that!
In fact, we will show you a simple trick for your retirement savings!

Imagine you invest 1 Lac Rupees in a mutual fund which typically grows at 15% interest per annum.

Take a look at below table and be surprised how fast your money grows:

Year 0: 100000.00  (+0%)
Year 1: 115000.00  (+15%)
Year 2: 132250.00  (+32%)
Year 3: 152087.50  (+52%)
Year 4: 174900.62  (+74%)
Year 5: 201135.72  (+101%)

Yes, you "DOUBLE" your money in 5 years!
If you are still in doubt, you can double or triple check the above math!!

Imagine you stay invested for 5 more years, can you guess what will be your returns?

Year 6: 231306.08  (+131%)
Year 7: 266001.99  (+161%)
Year 8: 305902.29  (+205%)
Year 9: 351787.63  (+251%)
Year 10: 404555.77  (+304%)

Yes, your 1 Lac investment is now grown over "4X".

As Einstein said, Compounding is the eight wonder of the world, one who understands it, earn…

The secret benefit of Diversification #IntelligentInvestor

BasicsLet's say you invested all your money by picking 10 different stocks in the automobile sector. If the government announces any policy like changes in taxes, upgraded crash norms, new engine standards etc., this can have a huge impact on the company's performance, at least in short term.

Imagine, if you had diversified your investments across sectors like automobiles, IT, agriculture, construction, Retail, Oil & Gas etc. you wouldn't have got affected as much as you have in the first case.

In simple words, Diversification means spreading your investments across different companies/sectors/countries.

FYI, there are some mutual funds which invest in countries like United States, China, and other emerging markets. You can take advantage of these funds for diversification across countries as well.

Known Benefit
Common sense tells us that diversification helps us reduce the risk of our investments.

Thus, the probability of you losing your capital is reduced drastically as yo…

Fundamental Analysis of Maruti Suzuki #StockScoreCard

IntroductionMaruti Suzuki is the manufacturer of the most popular cars in India. It is a subsidiary with ownership of 56% by its parent Suzuki Motor Corporation (A Japanese firm). Maruti Suzuki has given some of the best selling cars in the past including Maruti 800, Omni, Alto, Swift, Swift Desire, Ciaz and Baleno.

Fundamental Analysis1. Growth StoryMaruti Suzuki is a true  market leader with a lion's share of 50% (source) in Indian Passenger Vehicle (PV) segment. This simply means that one in two cars sold in India is made by Maruti Suzuki! 

In the last five years, the company has doubled its revenue and profits which is an incredible performance. 

Recently, Suzuki also announced a partnership with Toyota on various aspects to improvise the capacity utilization, improving sales and global expansion (Africa).

Maruti Suzuki is definetly posied for growth looking at the long term.

2. Shareholding PatternPromoter (Suzuki Motor Corporation) holds 56.21% of the company shares which is a ve…

Trading vs Investing - Showoff!

Well, everyone wants to make tons of money in stock market, nobody comes to do charity! 😜

While everyone is trying to figure out different ways and techniques to make profits, there are two approaches to which you can broadly classify all of them into. They are - Trading and Investing.

There are millions of traders who have made lots of money and who believe trading is better than Investing and of course vice versa.

So which one is the right approach?
The answer is both!

In cricketing terms, it is like asking the coach if straight drive better or off drive better??
Again, the answer is both! you need to know how to play the right shot the way for the right ball!

The trick is to understand the underlying mechanics and first practice before you can play for real!!

In trading, typically one either buys and sells the stock within a day or maybe holds it for a few weeks max!

Traders generally look at the charts to identify certain patterns, trends and make a prediction if the sto…