1. When the goal is long-term wealth creation, even as an additional source of income for office-going investors, the premise is that you buy stocks and hold them for value appreciation and dividends.
2. The stock should, therefore, be a bargain when you buy it.
3. It should be a company with a high-quality management which treats an investor as a partner and conducts its business in a way which is in your best interest by enhancing shareholders’ value.
4. It should be in a line of business which can withstand the test of time.
5. If you are able to choose such a company after combining all these factors together, then you can hold it for the long-term.
6. You also need to have belief in the market, time, understanding balance sheets and inclination to do this successfully and with conviction.
7. On the other hand, if you're looking to benefit from equity with investments in regular small amounts, you can opt to systematically invest in well-performing mutual funds, which take these investment decisions on your behalf, by offering various options as per your risk-return profile.
8. This will be a better way of trying to benefit from the market situation prevailing today.
9. Investing systematically in equity over all market cycles by choosing the mutual fund mechanism is the best way to proceed.
10. Remember that there is no right time, just the right way, for wealth creation.
2. The stock should, therefore, be a bargain when you buy it.
3. It should be a company with a high-quality management which treats an investor as a partner and conducts its business in a way which is in your best interest by enhancing shareholders’ value.
4. It should be in a line of business which can withstand the test of time.
5. If you are able to choose such a company after combining all these factors together, then you can hold it for the long-term.
6. You also need to have belief in the market, time, understanding balance sheets and inclination to do this successfully and with conviction.
7. On the other hand, if you're looking to benefit from equity with investments in regular small amounts, you can opt to systematically invest in well-performing mutual funds, which take these investment decisions on your behalf, by offering various options as per your risk-return profile.
8. This will be a better way of trying to benefit from the market situation prevailing today.
9. Investing systematically in equity over all market cycles by choosing the mutual fund mechanism is the best way to proceed.
10. Remember that there is no right time, just the right way, for wealth creation.