Saving/Investing tips for youngsters

I often get questions from youngsters on savings and investments , they are more confused and at the same time more excited on investments after receiving their first salary . 

Below are few tips 



1.  Take Term plan and Health Insurance for you and  your immediate dependents (very important to take  though your employer is providing )

2. Buy something for yourself and family (after all it is your money and it should be spent) , but make sure it wont be recurring expenses

3. From your first salary invest 25% in liquid fund or any F.D (this would be your emergency parking) .     You can reduce this emergency allocation after one year or so and Increase again if you have used these funds in an emergency .

4. Do not get in to EMI's  in early stage of your career and say no to credit cards 


5. Allocate some money for your short term goals like buying a bike or going for a holiday with friends or       family , for this park money in liquid or overnight funds for 6 months 

6. Ensure 50-60% of your investments are made into equity and other 30% in to fixed income like EPF ,     gilt funds and PPF if necessary

7   Take proper advise for equity investment , one can do lumsum investment or SIP in Index funds or   multi cap funds . (take advise from professional adviser) , do not touch this investment for long term and also accommodate some money in direct equity investment .

8. Increase your Investment by 10-15% (SIP and also stock investment) this is the major step in wealth creation


Do take some professional advice for rebalancing of your portfolio and understanding risk management and more to build wealth in a long term . Do not waste a single penny in unnecessary spending and invest most of your income . 

Conclusion : Understand your goals , short term requirements ,  risk appetite ..control your emotions while investing in equities . Take always  professional help . Invest for long term by rebalancing portfolio (whenever necessary)

reach us on pcswealthadvisers@gmail.com
PCS CAPITAL were first generation entrepreneurs in financial services . It was formed with foundation stone for creating long-term wealth for the investors through various financial products like Mutual fund s , Insurance , Fixed deposits and Alternate Asset products . We help you understand your financial objectives and make appropriate plan to realise them with proper risk management. rnYou can leave your contact details for professional help in your investment journey.

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