Have a question on Investments? – Ask Here.

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Our financial advisory team will answer any and every question you have regarding investments in Mutual Funds or otherwise, feel free to ask your question in the comment below and we will reply to it within 24 working hours.

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Author: Fino Admin

Admin account of FinoTrust Blog. Managed by the content marketing team.

12 thoughts on “Have a question on Investments? – Ask Here.”

  1. Which is the better path: invest small, learn and become better, or read, observe, learn and then start investing?

    1. (Answered by Varun)

      Do you remember learning Mathematics? Yes, right? Did you do it by learning all the algorithms, theories and then getting down to solving a problem?

      No! You did it chapter by chapter. You first learned addition, then you learned multiplication, you solved the problems and over the years you got down to learning more advanced concepts of calculus, geometry etc.

      Fortunately investing is not as complicated as maths and many smart people have worked very hard to simplify it over the ages (i.e. they launched the concept of mutual funds 🙂 ) but nevertheless, you cannot comprehend “investing” unless you start investing a small amount and understand why it’s growing or declining.

      As for me, I graduated in 2010 and started investing in stocks by 2012. However, it was only in 2014 after I went through a rude shock of volatility in equity (this was the time when Narendra Modi was swearing as PM) that I shifted my focus to mutual funds and eventually ended up starting FinoZen and FinoTrust. com to help investors to plan their investments safely and wisely 🙂

      In a nutshell, you can understand multiple theories by reading but to really understand, you will have to get your hands dirty!

  2. Can I make 1 lakh earning every month from 1 crore cash? I don’t want to put my money in equities/f&o/derivatives/sip/mutual funds etc

    1. Mutual Funds would have been the best way for you to go about it, however if you do not want to do it personally, following are the options you have –

      a) Take a hit of 50% on your target of Rs. 12 Lacs in year and invest Rs. 1 Cr. in FDs. You will get a rate of return of 6% i.e. Rs. 6 Lacs in a year

      b) Contact a Wealth Management company and try to broker a deal with them that you will give them Rs. 1 Cr. as an investment and you will need Rs. 1 Lac per month, anything over and above they can keep it. (Though I have never done this and reputed wealth management companies will not operate like this, you can try targeting tier 2 ones)

      c) Give out as loans to multiple people you know (micro-lending or P2P lending) and ask for Rs. 1 Lac per month, this is a net Interest Rate of 12% per year which is still lower than what this people will get from banks. So, as long as you can be assured that there won’t be default, you can try this way too.

      d) Last but not the least – let go of your prejudices and invest in Mutual Funds, you can earn upto Rs. 70K per month risk free (Yes, there are almost risk free mutual funds known as liquid mutual funds) and if you wish to go upto Rs. 1 Lac per month then you can diversify your asset amongst risk free, low and medium risk. It is definitely achievable.

      All the best.

    1. You need a stable income i.e. you are looking for an ultra low risk investment.

      Currently the annual rate of returns of an ultra low risk investments are broadly as follows –

      a) Liquid Mutual Fund – ~7%

      b) Bank Fixed Deposit (with 1 year lock-in) – 6.5% to 7%

      c) Ultra Short Debt Fund – 8%

      Now as you need money per month, FDs doesn’t make sense as there is a lock – in.

      Assuming a safe interest rate of 7.5% pa, and to have Rs. 10K per month as returns, you need to have a principal = (10,000*12)/7.5% or Rs. 16 Lacs.

  3. My salary is rupees 22000 per month. I save Rs 15000 per month. What should I do with the money that I’m saving?

    1. First of all congratulations on being an extremely efficient saver.

      You should do the following things –

      a) With the 1st month of money you save buy a term life insurance for yourself and make your parents/wife as nominee. This will cover your family in case of any unforeseen situation. Take a cover of Rs. 25 Lacs, assuming you are between 25 – 30 right now, you will get this cover for 3–5K per year.

      b) With the remaining money take a health insurance for you and your dependents, take a Rs. 2 Lac cover, should charge you Rs. 5K per year.

      Both of this you can buy at any third party online Insurance companies like Policy Bazzar or Coverfox.

      c) After the bases are covered, create an emergency fund for yourself and your family – this should be around 5- 6 months of your salary i.e around Rs. 1 Lac. Concept of emergency fund is that your money is safe and growing and you should have access to this money at any point in time. Use liquid funds for this and try FinoZen mobile app for creating an emergency fund.

      d) After a year or so when you have created an emergency fund, then start investing in Mutual Funds for creating wealth. Go to FinoTrust .com and choose a time period/amount you want to invest and select the scheme or combo which suits you best.

      Cheers! and all the best.

  4. https://www.quora.com/Can-I-use-my-money-invested-in-finozen-for-tax-exemption/answer/Varun-Gupta-48?srid=ufeNM

    Nice answer…ref above link; although I have some queries regarding the 5th Plan you suggested :-

    To achieve say Child education or creating wealth, If I invest for say 15–18 yrs regularly.

    How to track that investment, as you have suggested that in folling points that withdraw the money sfter some specified time: –

    2) Balanced Combo – to be withdrawn after 1 – 2 year – target 10% – 12%

    3) Balanced Combo – to be withdrawn after 3 years – target 12% – 15%

    4) Equity Combo – to be withdrawn anytime after 3 years

    Then, After withdrawing that money, where to invest (in which funds) and how do I need to change the investment strategy when I will be nearing my investment tenure.

    Thanks.

    1. https://www.quora.com/My-CTC-package-is-19-Lac-per-annum-What-is-the-best-way-to-manage-my-investments-My-current-annual-investments-are-75k-for-LIC-1L-for-SBI-Pension-fund-1L-for-NPS-40K-for-HDFC-Tax-saver-18k-for-a-health-plan-and-75K-for-PPF

      Nice answer…ref above link; although I have some queries regarding the 5th Plan you suggested :-

      To achieve say Child education or creating wealth, If I invest for say 15–18 yrs regularly.

      How to track that investment, as you have suggested that in folling points that withdraw the money sfter some specified time: –

      2) Balanced Combo – to be withdrawn after 1 – 2 year – target 10% – 12%

      3) Balanced Combo – to be withdrawn after 3 years – target 12% – 15%

      4) Equity Combo – to be withdrawn anytime after 3 years

      Then, After withdrawing that money, where to invest (in which funds) and how do I need to change the investment strategy when I will be nearing my investment tenure.

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