HOW TO INVEST 10 LAKH RUPEES IN THE MARKET AND HOW
After March 2020, in March 2022, the same chaos has happened again in the stock market. Market volatility has escalated, with companies down 40-50% from their 52-week highs, with investors somewhere in the lurch. The biggest blow to this tsunami has been futuristic investors who have shown a bit more optimism on the tech segment – like US My, Zuckerberg’s Meta investors and IndiaMyPaytm investors. Apart from this, those investors have also suffered more, who have put all their money in one sector.
But you will be very happy to know that in the meantime there are many such investors who did not make much difference. In fact, they are confident that as soon as the market picks up the slightest bit, their overall portfolio will turn green again and profit margins will grow exponentially. Now you are wondering who are these investors and how do they make such smart investments. Well, it’s about diversification!
Come let’s see what is diversified investment, and why it is important for every investor – whether you want to invest 1 lakh or 10 lakh rupees
So, what is a good strategy for diversified investing?
Whether we are facing a Russia-Ukraine war crisis or global or domestic pressure, one thing is clear, investors should be prepared for our ‘worst’.
Unfortunately, the degree to which the stock market is operating in 2022 is certain, this volatility will continue this year – so it is very important that you make a properly disciplined asset allocation commensurate with your risk tolerance level – so that tomorrow no matter what happens to them. But your boat of this long-term equity strategy is not only to float in it easily, but also to give you a lot of profit going forward.
The dot com crash, the Great Recession and the Covid-19 meltdown have left us discovering that the best time to practice disciplined investing with a diversified portfolio is before ‘diversification’ becomes a necessity.
So if you have 1 lakh or 10 lakh surplus today, let us see how you can strategically invest that amount.
Well, to begin with, it is important to diversify your 10 lakhs in different sectors in such a way that you can grow your capital by 18 to 25% annually.
Blue-chip stocks and value stocks are quite underpriced – be it automobile mine, manufacturing mine, pharma mine, financial mine, IT or banking stocks – so you can invest in these equities. Apart from this, you will also have to do dividend stocks, large-cap, mid-cap stocks while doing this.
Apart from this, one can also diversify investments in index funds, bonds, foreign based ETFs and commodities especially gold. Ideally, 60% Equity My, 30% Debt My and 10% Commodity My should be diversified so that no matter how much FD rates come down or there is a tsunami in the market, your investment cycle continues and you get better and better. For the sake of returns, starting from now till your retirement – be it the threat of war, global tensions or inflation!
Diversification is about trade-offs. Diversification reduces an investor’s exposure to a single stock, industry or investment option. While this can potentially cut into an investor’s return potential, it also reduces volatility, and more importantly, the risk of a bad outcome.
It is therefore imperative that investors take diversification seriously, otherwise it is nothing short of a gamble for investors and in the long run it can actually spoil the hopes of investors expanding their nest egg to support them in their golden years. could.