Disclaimer:- The contents of this blog are for information purposes and are not recommendations to any person to Buy or Sell Securities. The informations are derived from sources that are deemed to be reliable but their accuracy and completeness are not guaranteed. The author is not responsible for any loss in investments made, acting on the recommendations made here.

Monday, November 25, 2013

Some Personal Finance Lessons

Investing Rules:-
1)      Invest in equities only that money which you can afford to loose.
2)      Invest for long term in stocks but timing (valuation) is important.
3)      Exit price of a stock should be defined / formulated to cut loses.
4)      Magic formula for happy life:- Expenditure(3)=Earning(1)-Savings(2)
5)      Never invest in structured product. Else try for PPF / FD + equity directly
6)      Only one insurance product is necessary / allowed :- Term plan
7)      Insurance cover should be equal to future educational requirement of child(s) plus requirement of spouse / dependent.
8)      Nobody is expert in predicting the market.
9)      There is nothing called “Law Of Average” in market.
10)  “Buy good companies at fair price than fair company at good price.” Tag line GOOD BUSINESS.
11)  Investing should not deteriorate health – Financial, Physical and Mental.
 

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