It is not the ‘timing’ that is more important while investing in any of your financial goals, but it is actually the ‘time’ that you give to the investment. Compounding, which according to the great Albert Einstein is the eighth wonder of the world, plays a major role in making your investment grow.
Therefore, if you think that you are quite young to worry about the retirement, think again and look around, you may find people who have insufficient amount for savings and are instead cutting corners to meet their ends. Therefore, undoubtedly, retirement planning should be your utmost financial goal. In India, many of you believe that your children will take care of you in your golden days. You should be clear that your children are not your retirement fund. It will be a mistake to assume that they will share your retirement burden. Hence, start saving now and let your hard-earned money work harder for you.
The importance of the retirement planning is becoming even more significant with the advancement of the medical field, which is leading to an increased average life of an individual. Hence, the earlier you know the amount you need at your retirement, the less painful transition you will experience in your golden years. It will help you in amassing enough corpuses, so that you outlive your savings instead of the other way round. More importantly, many of us are employed in a private sector, which means you do not have choice for a state-sponsored pension. This means you are on your own when you are retired and hence, it is in your hand to design an achievable path for your retirement fund.
What is the ideal amount you should withdraw after retirement?
After understanding the importance of planning for the retirement, carefully work towards creating your retirement corpus based on the various assumptions and enjoy sitting at the desired corpus at the time of your retirement.
Denne historien er fra January 6-19, 2020-utgaven av Dalal Street Investment Journal.
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Denne historien er fra January 6-19, 2020-utgaven av Dalal Street Investment Journal.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent? Logg på
How To Invest In An Ageing Bull Market
Bull rallies (periods when stock prices rise) and bear declines (periods when stock prices fall) are natural parts of stock market cycles, but they don't follow a fixed timeline.
Should You Entrust All Your Money To A Single AMC?
If you are a market participant, you have probably heard the quote 'don't put all your eggs in one basket', which suggests diversification. Investors often focus on diversifying across categories like large-cap, mid-cap and small-cap, but they may unintentionally overlook diversification across different AMCs. The question arises: is AMC-wise diversification really necessary? Rakesh Deshmukh takes a closer look at this scenario
Wild Swings Engulf Global Equities
U.S. stock markets experienced significant volatility. An early-week rally pushed the markets to new highs, but this momentum faded, primarily due to weaknesses in the tech sector. The major indices had a mixed finish with, S&P 500 and Nasdaq closed lower, while the Dow recorded a notable gain.
U.S. Elections and China's Economy Hamper Commodities
Commodity markets experienced selling pressure in the last fortnight, driven by uncertainties surrounding the upcoming U.S. presidential elections, concerns about the Chinese economy, and increased agricultural production in Brazil.
Wealth Building For Retirement Through Mutual Funds
Retirement is one of the most crucial and lifechanging phases. It marks a period where maintaining your lifestyle becomes paramount even though your regular income stops.
Mastering Investment with Information Ratio
Information Ratio helps in navigating the complexities of the investment landscape by assessing an active fund manager's performance. And though it has its limitations, it remains an essential part of the finance industry. The article explains what Information Ratio is and how investors can use it as another tool
Plan To Be Financially Independent
Each of us aspires to be financially independent as it ensures having enough resources to be self-sufficient and control our finances.
❝Technology is the new game-changer"
With a new breed of young investors entering the financial markets, it is the use of technology that is increasingly playing a major role in how investments are done and tracked. Anand Radhakrishnan, Managing Director, Sundaram Mutual Fund, shares his opinion about how this factor is turning into a significant tool and how it will shape the strategies of his company
What If Donald Trumps?
The potential election of Donald Trump as president in the U.S. carries significant implications for the Indian equity market. It could lead to changes in the global trade dynamics, in particular affecting the Indian IT sector while also raising inflation levels and leading to yet another revision in the visa programme for Indians who want to work in the US. The article takes a closer look at what may lie in store
Sectoral Gains Make A Mark
Benchmark indices continued their uptrend, reaching new record highs, although the pace has slowed as the broader markets faced selling pressures
