Investments cannot be classified as good or bad. Its just that, there is no one-size-fits-all approach to it. Something, which might have earned you a fortune, might not suit your friends. So, instead of listening to others, it is suggested that you make your own judgment. We have listed 20 products, which you should think twice about before parking your money.
Real Estate
You buy a house for `two crore hoping that in the next ten years it will grow tenfold. But after paying offthe EMI, taxes, renovation and maintenance, the net profit in hand is usually much smaller than you expect. Buying a house makes sense if you are living on rent. However, it should not be viewed as a long-term investment. Besides, as contrary to popular belief, real estate gives you only about 10 to 12 per cent return, unless you are super lucky.
Precious Metal
Pulling offa Scrooge McDuck and dipping into a pool of gold coins might be an ultimate fancy, but gold and silver sitting pretty in your vault does not add value to your investment. On the other hand, if the same fund is invested in human capital or a lucrative business model, it can create immense wealth. The entire concept of capitalism is based on this theory. However, there is a good side of investing in physical gold too. It can be looked at as a hedge insurance that can save you during times of political or economic unrest. But other times, it is a lousy form of investment.
Experts Speak:
It acts as hedge insurance during political or economic unrest. Other times it’s a lousy investment
Precious Stones
If you are about to spend a fortune on a Tiffany’s rock, think through before it’s too late. Popularity of precious stones picked up 15 years back as sleek jewellery became a rage among youngsters. But it is on a downturn again. And re-sale value of diamond or other precious stones is very low. Unlike precious metals whose price might shoot up during time of distress, precious stones show no such trends.
Expert Speaks: Bad investment
Cryptocurrencies
Esta historia es de la edición October 2018 de Outlook Money.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor ? Conectar
Esta historia es de la edición October 2018 de Outlook Money.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor? Conectar
Gold ETFs And FoFs
While Indians love to invest in physical gold, even mutual funds offer the option, but in paper format.
PLANNING TO BUY CHILD INSURANCE? THINK TWICE
Child insurance plans combine insurance and investment but often offer low returns due to high costs, making a combination of a term insurance cover and mutual fund a better option for securing your child’s higher education needs
How Do You Define Happiness?
Money does buy happiness, but after a while, the appeal fades. We talk about our relationship with money, but, maybe, it’s time to revisit our relationship with happiness
Avoid Crypto As It Is Highly Volatile
I am 22 years old and have recently started working. I want to invest a small portion of money in cryptocurrency. How should I go about it? Does it require a huge capital investment?
Invest Right, Don't Speculate
The lure of high returns and quick gains from equity tips, cryptocurencies, and equity F&O can be enticing. But remember, return of capital is more important than return on capital
The Wedding & Budget: Is Minimalist Trend The Right Knot For You?
Indian weddings are known for their pomp and grandeur, but minimalist weddings are also in vogue now. Dia Mirza was one such celebrity who went for a minimalist wedding. If you also want to keep things minimal on your big day, here’s how to do it
Here's How To Buy An ETF?
Mutual funds are the preferred choice for retail investors. However, they come at a cost and fund management risk, apart from other risks. A smarter alternative is to invest through ETFs.
How Passive Funds Help Diversify
Passive funds provide a simple way to invest in broad markets as well as in specific themes and sectors, making them ideal for an investor's satellite portfolio
The Rise Of Passive Funds
The popularity of passive funds among retail investors has risen post Covid, and fund houses are out with many variations of ETFs and index funds. Does this category present a new opportunity for investors?
Tax Reforms: What's In Store?
The government is working on reforming the existing Income-tax Act, 1961. The impending reforms have raised many questions in the minds of taxpayers. Will the old regime and deductions be done away with? Will it really simplify your life? What's the need for these reforms? We try to answer these and other questions regarding tax reforms
