Happy independence day!!!
We are celebrating 71st independence day but what about financial freedom? Large number of people in this country give up their desire just because they can't afford.
People who have batter financial management become wealthy in other words people who know how to make their money to work for them become rich and achieve financial freedom.
No matter how hard you work, how much you earn if you can't manage your finance properly you would never achieve financial freedom.
To prove my point let's take an example of two people.
In early 2000 two persons, person 'A' and person 'B' employed in small shops in small town earning 3000 per month as salary. Person 'A' bought a colour TV which was costing nearly 25000 at that time and person 'B' bought a plot of 100 yards with that 25000 rupees. After 10 years that TV's value depreciated to 2500 from 25000 and that plot turned into an asset of 25lks... This is how properly managed finance can reward you and help you to achieve financial freedom.
It's never too late if you have made mistakes like person 'A' then it's time to change your mind and learn financial management.
Investing is the way to fight inflation and meet your future expenses. Because a rupee earned today is worth more than a rupee earned in future because of rising inflation and best way to deal with rising inflation is investment.
We have investment avenues like insurance, banks, post office saving schemes, gold silver, real estate, mutual funds and stocks.
Taking insurance is good because it gives life cover along with saving and return on that saving but rate if return is relatively lower.
Bonds, Banks and Post office schemes also gives a relatively lower rate of return and sometimes you can't even fight with inflation during the high inflation periods.
Money can be invested in gold and silver. In these metals money can be invested either in the form of jewelry or in form of bar. Buying a gold bar is not affordable for every one and purity of jewelry has a question mark with it.
Real estate is another popular way to invest money but investing in real estate might not be affordable for them who are just now starting their career because investing in real estate require huge money and liquidity is also major problem.
Stocks and mutual funds are best way to invest your money and timely investing in these will definitely help you achieve financial freedom.
Investing in stocks is an art and if master this art then their is no power that can stop you to earn and achieve financial freedom. --Sunil Rathi
Feel free to drop me a mail to sunirathi@hotmail.com to know further about value investing.
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