- Name: Weal Management pdf
- Size: 578 KB
- Total Pages: 144
- Language: English
- Format: PDF
- Quality of pdf: Excellent
Weal Management pdf read online
Excerpt from the pdf
What is investing?
An investment operation is one which, upon thorough analysis promises safety of principal and an adequate return. Operations not meeting these requirements are Speculative- Benjamin Graham – The Intelligent Investor
Power of Compounding?
If you leave a small portfolio invested, its value will mushroom over time through the miracle of compounding. As you earn investment returns, your returns begin to gain returns as well, allowing you to turn a measly investment into thousands of rupees if you leave it invested long enough.
The more money you save and invest today, the more you’ll have in the future. An amount of Rs. 100,000 which compounds @ 15% after 50 years is worth, hold your breath Rs. Eleven Crores.
What is investment risk?
- Investment risk is related to the probability of earning a low or negative actual return.
- The greater the chance of lower than expected or negative returns, the riskier the investment.
- Two types of investment risk – Stand-alone risk & Portfolio risk