Smart Investment

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Being.smart said:
if you got huge bank balance, and your age is less (20s-30s), buy lands where development has just started, might pull you huge money 20-30xxx in 20 year time frame, this in turn will surely help to help your kids to get higher education when they will be in 20s age grp
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Investing in land is sound advice, but you don't need to have a really heavy balance for doing something like that. They key is to choose the land that is on the outskirts of a city/town and is really cheap today, but is expected to rise in value with the expansion of the city.

Back in 1997 we purchased two plots of land totaling about 576 Sq.Yards for about 4.25 Lac. Today (after 15 years) due to rapid development in the locality, a sq.foot of that land is now worth 3.5k taking the value of the entire land over 1.8 Crore. That is about a 43 fold increase over a 15 year period. About 1.5 year back, I purchased about 280 Sq.Yards of land on the outskirts of Hyderabad for 4.6 Lac. As the urbanization continues, the value of the land increases in value.

I have seen people who were rewarded with a 20 fold increase in value of land over a mere 4~5 year period in Chandigarh.

JuGGa said:
#[member='rite']

Why do you think that one has to have 2-5cr liquid cash at least to invest in realty sector? One can also do same with a bit low budget like 50L or near about. Given that realty sector is one area which gives you one of the fastest returns and less risky, if one has money to invest, one should do it. My family has done even less investment (<< 50L), and incurred a profit of double in around 5-8 yrs.
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Just Ignore him buddy. He is the infamous TechBoi of international fame and is well known even on International forums for being absolutely clueless about everything imaginable and for his nonsense.

Buying land in the middle of city for a few Crores does not make sense at all. Its the cheap land on the outskirts one has to target when making such investments. Of course in some cities, the rates are already over bloated, but its not entirely out of question to find land which can be purchased for a few lac. Real estate in such areas doesn't usually decrease in value and depending on the location/you own luck, the value may jump up drastically.
 
Man, you are saying this because you are looking back. You dont know how it will chalk out in next five years. You may be getting very moderate return if you compare it with MF.

There are many who wish they had picked some stock at some given point of time in history, but that is history, what you invest now is for future
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Vince said:
I was feeling bad that I hadn't invested in SIP for mutual funds.

Am glad I didnt, and didnt go for Nifty tracking funds!

http://capitalmind.i...of-nothingness/
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Every aspect in life has ups and downs.Its same as the relation between diamonds and coal.Both come from the same source.

Wherever you invest, its not necessary that you will always earn profit,unless the investment is in some savings account.

Suppose you had invested money in property and the property turned out to be a mess, Adarsh scam for an extreme example.

honest1 said:
There are many who wish they had picked some stock at some given point of time in history, but that is history, what you invest now is for future
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Even i have seen people who have invested in some good stocks and earned good profits.It all depends on the skill to analyze markets.

If you go for SIP's u'll have some of the best MBA grads and financial experts to minimize the risk for you.

You just need to be patient in the downs and not come to conclusions.
 
Well, isn't looking back the only way to analyze a decision? You cannot say "Oh, looking back, it was a good decision, so lets forget the consequences we suffered."

Hindsight is 20/20, but one has to look at every decision in hindsight to ensure better decision-making in the future.
 
Guys plz continue talking abt investment. I would like to know how you all make smart investment. This will help each one of us in savings as per today's time.
 
Is life /health insurance necessary when your office offers reimbursement in major hospitals(health insurance) and when when you have no one depending on you(life insurance)?
 
shady2pac said:
anyone...
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About health insurance.
You'll have to consider the fact that at some point of time you might not be under cover, eg. when switching jobs, temporary unemployment, employer who does not provide health insurance etc.
You can individually buy a policy at any time. The premium changes based on your age, pre existing conditions, etc. If you buy a policy now, the premium after 5 years will be lower than you buying(starting) the same policy 5 years down the line.
The advantage of buying a policy now and continuing it will be reduced premiums and no extra premium on any illnesses that you suffer after the policy starts. The disadvantage is you'll be paying premium but won't probably use it to the fullest as you already have the employer's policy.

About Life Insurance,
If you have absolutely no dependents then you can skip it. I would however suggest getting a term policy with additional disability/accident riders so that you yourself will be the beneficiary in case anything unfortunate happens.
Your employer might be covering this too but the same advantage applies as above. The disadvantage also goes away as you can claim all valid insurance policies in case of a disability.

This point is valid for both types of insurance.
Check the fine print and find out if any thing is not covered which you think you will need.
As a parallel example of car insurance, during the monsoon floods in Mumbai, cars damaged due to the natural calamity were not covered under the general car insurance, there was an additional clause for it. Many insurance policies now carry a terrorism rider which increases the premium slightly.
So if something you require is not included, it is better you get a personal policy which covers that requirement.
 
Thx for the input @pr0ing ....i absolutely have no dependants. Both parents are pensioners and wife also works for the same company as i do. And temporary loss of employment is never a worry as we work for a PSU.
Now then since life insurance is not required what are the options i have to invest money. how good are the retirement plans? Can you share your views on them.
Thx
 
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