Time Value of Money – How it will help you to take right decisions?
The time value of money will help us in our daily lives to make the right investment decisions. I have tried to explain this with a son (child) and parents example in this article, where parents are planning to inherit equallly to their three sons. A Case Study to Know the Importance of Time Value of Money… Three years ago, I got a client. In addition, he is a high-income earner. Moreover, he has two brothers, and my client is the elder son. Again, 2nd Brother started his career recently. And 3rd brother yet to start the career. My client’s …
Investment Adviser- Do you think that he gives only Investment Advice?
Investment Adviser means he gives only Investment Advice. This is the perception among most people. But the truth is He gives advice beyond investments. What Most People think about Investment Adviser… When some body asks me about my occupation. I will tell them that I am a SEBI Registered Investment Adviser. But Most People immediately will ask me this question frequently i.e are you Insurance Agent or Mutual Fund Agent etc. Some People thinks that they have to meet Investment Advisers when they have money in the hand to invest. But the thinking of above category of people is completely …
Financial Planning_ Why it will fail if you listen to Society?
Yes, It is true your financial Planning will fail if you listen to society. Recently I got a call from an I.T employee who already took financial planning from an other Sebi Registered Investment Adviser. Why he contacted me for me? He called me for a 2nd opinion over his “House Planning“. Moreover, He thinks that his Investment Adviser allowing him to buy a house. His adviser advised him not to buy a house till his retirement. But people around this I.T employee and his family members are asking him frequently that when he will buy a house. Why this …
INVESTMENT PLANNING-What is in our hand? (Telugu)
what is Investment? : We earn money every month. We have to save some money for our future financial needs. Investment planning required for this purpose. After doing this planning Investments has to be done. We have to consider few parameters while doing this planing like Inflation, expected Return on Investment, No of years left for the goal and amount available to invest immediately etc. Read this article about inflation and its effect on Purchasing power https://paisahealth.in/inflation-what-is-it-how-it-decreases-purchasing-power-of-money-telugu/ Future Value of Investment : In Investment Planning Time Value of Money plays an important role. Formulae For Future Value = PV*(1+R)^N Pv means …
Investment Future Value- How to Calculate it? (Telugu)
We all work and earn money for our daily household expenses. Then we will spend on household expenses, we try to do investment in the mutual fund, shares, real estate and Life insurance etc for our future Financial needs. Banks will print investment Future value on the deposit slip You may be thinking to buy a house or planning for child higher education etc. But before starting to do invest, it is always better to calculate the future value that you will get from your investment. When you deposit money in Bank Fixed Deposits, They will issue Deposit slip stating the maturity value. …
Financial Goal Future Value- How to calculate?(Telugu)
Your financial goal will increase because of inflation in future. …
Investment delay-How many crores you will lose?
An investment delay will cost you very much. You may lose in crores of wealth also in the long run. Here, in this article, I will explain how many crores you will lose with an example. Case Study for Investment Delay… There are two persons Ram and Shyam whose age is 23 years. Both got a job recently, and the salary per month is Rs.50,000. The salary growth rate expected is 5% every year. Both of them can save up to 20% of the salary per month ( Rs.10,000). But only Ram started doing investment Rs.10,000 per month. While Shyam …
CAGR( Compounded Annuilized Growth Return)- How it is calculated? (Telugu)
CAGR means that we will get interest on interest on our investment. …
Inflation- What it is? How it decreases purchasing power of money? (Telugu)
These days you may have heard about inflation in Media. In this article, I will explain how it decreases the purchasing power of money. What is Inflation? For example, you have vacant land in your city. There is a large number of people are willing to buy your land. Then the price of the land will increase significantly. The increase in the price of goods and services is called Inflation. Example your real estate price increase because of this only. What is Deflation? If is just reverse to Inflation. If there are no one or very few buyers are willing …
Absolute Return or Total Return- What is it and How it is Calculated?( Telugu)
Absolute return means how much total profit you got as a percentage on your investment. …
