Wednesday, January 12, 2011

Investing ? -- Make it boring

Investing is all about Capital Preservation and Capital Appreciation . Simply put investing is all about making sure that you do not lose money and that the money you invested earns a decent return.

Investing is never about thrills and excitements , if thrills and excitements is what you crave for , then you would need to visit a Casino.

So what adjectives must we associate with good investing , well to be frank "Boring" .Greater the mastery you have achieved in managing your money , more boring and may be more predictable you will be in your investment style .

i) There is hardly any excitement in finding a good Mutual Fund and starting a SIP in it ,

ii) There is hardly any excitement investing in companies like ITC,GAIL,COLGATE and then to hold on to these stocks and let them compound

iii) There is hardly any excitement in maxing out your PPF contributions

iv) Neither is there any excitement in increase your contribution to VPF/EPF

As boring as these may sound , these are the investments that would build you, your long term wealth

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