Investing Strategy For Non-Finance

To Learn Stock Market from Zero Level click here  Day - 1 >>
Investing Strategies (Where No Research is Required).
This strategy is best suited for those who have money but neither they have knowledge of stock market nor are they interested to learn stock market because of any reason.

Funda is very simple, If you are an working person and don't have enough time then how to utilize your savings to get a handsome return via stock market investment?

  1. Read my post from Day-0 to Day-6, so that you can understand basics of stock market.
  2. Open Demat Account with Broker.
  3. Start Investing In Index Fund like NiftyBees.
Note - post of Day-0 to Day-6 will let you learn the basics such as what is Demat Account, Role of Brokers, What is Index etc.

that's it.

Reason for doing the above.
  1. There is nothing sure in Stock Market, No matter where you invest your money but there is always a risk involved to lose the money.
  2. But there is an Exception to the Point-1, If you see the record of any index such as Nifty-50 or Sensex ,there you will see a consistent rise in long term which can return you 13-15 percent interest irrespective of market fluctuation because of Traders sentiment or Economy Health status.
  3. So even if you are having zero knowledge of stock market you just go through my post from Day-0 to Day-6 and learn to invest in index to get return of 13-15 percent annually that can beat many professional wealth managers too.
Short Description Of Index Fund.

In india around 6000 (six thousands) companies are listed in major Stock Exchange, it's practically impossible for an individual specially who is not involved completely in stock market operation to track the performance of all those 6k companies, so we have stock index such as Nifty-50 and Sensex to give us a rough idea about the health of Indian stock markets.

Here Nifty-50 is a collection of best 50 companies of NSE similarly SENSEX  is bundle of 30 best companies of BSE.

As I have stated above that in long term these Index will rise consistently since it is comprised of best companies from different sector. It should be noted once a particular company performs poorly this will be replaced by New company performing better consistently.

Now with the above information every single individual will wish to invest in Nifty-50 or SENSEX since in long run it will return handsome profit with guarantee.

But now the question is how to invest in Index such as Nifty-50 or SENSEX.

Since Index is just a way to represent the health of Indian stock market, it's not a company where you can invest.

So if you want to invest in Index you need to invest in all the 50 companies with certain calculation that is quite complex for normal individual.

We have another way and that is the simplest way i:e Investing  in Index Fund.

To Understand the Index Fund let's first understand about Mutual Fund.

Question: What is Mutual Fund?

Answer: If you don't have enough knowledge about Investing you can give your money to a professional(Individual or Organization) and they will invest your money in your behalf. The way of investing money via such vehicle is knows Mutual Fund Investment.


But here the risk is what if you can't find good Mutual Fund, again you need to put huge effort to research a good Mutual Fund and still there is no guarantee that they will return you benefit consistently. They can play with your money as they want.

They could have invested in DHFL, CCD, Tata Motors, Yes Bank etc. This is just to inform you that once you give your money to Mutual Fund Managers they can invest anywhere they want for their personal benefit in terms of research or money.

Question: What is Index Fund?

Answer : As we have already come to know that best way to invest money in stock market for those who is not involved in stock market for full time is to invest money in Index such as Nifty-50.


So our appetite is what if there is a mutual fund who can invest money in only those companies which are listed in Nifty-50 so that we can be ensured that our mutual fund manager is not wasting our money for his own personal benefit such as research or something else.


Fortunately we have that option and it is NiftyBees.


NiftyBees is a Mutual Fund traded on NSE managed by Payal Kaipunjal from Goldman Sacs.

Since it is Mutual Fund traded on Exchange , you don't need to consult with any fund manager rather you can invest in this ETF(exchange traded fund such as NiftyBees) in the similar way as you buy/sell shares of normal companies such as Reliance, Irctc, Hdfc etc.

The full form of NiftyBees is Nifty Benchmark Exchange Traded Scheme.

Old name of NiftyBees is Nippon India ETF Nifty Bees.

Updated on 23-March -2020

Only few days back NiftyBees was trading at around Rs 130 and today it is trading at around Rs 80. So if you accumulate it at this price, may be it falls to Rs 75 or Rs 70 but there is a guarantee that in long term it will rise beyond 130 may be within few weeks or few months.

This all has happened chiefly because of Corona Effect, today or someday once market starts recovering then Stock will start shooting higher and more higher.

If you have enough money in saving account this is the right time to utilize your money in Stock Market.

This is not  the only option to get stock at huge discount , below are the list


NiftyBees  fell from 130 to 80(40% Discounted)
Irctc                      2000 to 850(60 % Discounted)
Naukri -              3000 to 1600 (45% Discounted)
Reliance -             1600 to 880 (45% Discounted)
HDFC Bank -       1300 to 750 (40% Discounted)
Marico -                   400 to 235 (40% Discounted)
Infosys -                  800 to 500 (35% Discounted)
TCS -                     2200 to 1600 (30% Discounted)

Above list is just an instance ,many such others are there.

Banks give 4-6% in a year here you will receive at least 20% in few months only. Choice is yours.

Note - for simplicity Figures are  rounded off.


But still I am not recommending to invest in Individual stock since as a non-fiance guy if you don't have such bandwidth to keep tracking the health of individual company then simplest way is to invest in Index fund such as NiftyBees.


Thumb Rule - Never invest the whole money, keep money with you for more better opportunity.

Disclaimer - Money is yours, so listen everyone's but invest at your own risk.

Happy Investing.

  

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