Investment avenues for people of different age groups

Investment avenues for people of different age groups

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Created By Admin Last Updated Sun, 06-Sep-2020

Saving money is not a solution as it does not offer growth in return, keeping in saving bank account only gives interest which is not in line with inflation. So the money should be invested in the market in such a manner that it may earn return along with growth.

The investment strategy differs from person to person we will see in this article what avenues of investment are available for people of different age groups.

YOUNG EARNER 

A young individual who has just started earning having no responsibilities of his family on him. If he plans to invest, have various modes where investment can be done.

A young earner does not have responsibilities but he has GOALS to achieve. As he is young and has a longer tenure with him so he can go for equity investment through “EQUITY MUTUAL FUNDS” which offers Growth as well as Capital Protection. With an increase in Income, taxability also arises to reduce tax burden he can go for E.L.S.S OF MUTUAL FUND or a P.P.F investment is suggested. It is also suggested that a person should also have an Insurance Cover so that he has a coverage plan in case of uncertainty.

MIDDLE AGE WITH FAMILY 

As a person reaches to another life stage Goals, Requirements, Needs changes with time so as the investment structure also needs to be reviewed and re planned accordingly.

Now a person needs to shift from pure equity investments to Debt Portfolio or a Fixed Income Earning Instruments. As he has to incur recurring expenses that shall also be kept in mind so he has to maintain liquidity. Goals such as Child Education & their Marriage is inline so for such goals GOLD INVESTMENT is suggested as it is in line with inflation & grows with time.

RETIREMENT STAGE

The later stage where a person retires from his work & now wants his hard-earned money to work for him. For this person has to start planning for his retirement right from the beginning as long as the tenure shall be he will have a larger corpus for him at retirement.

Investing the accumulated corpus (in the earning phase) various government schemes are available such as Senior Citizen Saving Scheme, Pradhan Mantri Vaya Vandana Yojna, Post Office Scheme where money can be invested as these options have lower risk as compared to investment in the equity market. Investment in debt can also, be done considering the risk capacity of individual.

BIG MONEY CAN BE MADE THROUGH

·         HIGH SAVINGS

·         WISE INVESTING &

·         LOTS OF PATIENCE.