A few days back I had posted some financial resolutions. I had promised to do a follow up on the same. Here is the first part of the promise. The resolution no. 1 was: I will write down my financial goals. I am sure, you are thinking Oh My God, this is boring. Sure. Success [...]
Suzie Orman runs a popular program in the US of A which is simply titled “Can I afford it?” wherein people call in to ask “Can I afford a second hand Mercedes which costs me $ 45,000?”. Then Suzie sizes up the situation checking up whether the person has some money in her/his savings account, [...]
Do you want to know the real secret to successful investing? It’s a deceptively simple little thing called an investment policy statement, or IPS. An IPS spells out an investor’s investment philosophy, asset-allocation targets, and expected results. It also lays out a plan for how the investor will monitor his or her portfolio. We will [...]
An investor without investment objectives is like a traveler without a travel destination – said Ralph Seger. When Alice asked the cat in the famous tale – Alice in Wonderland- where should i go. The cat says it pretty much depends on where you want to go. Alice says it does not matter, the cat [...]
If you pay taxes honestly about 50% of what you earn goes off in various taxes – income, service, securities transaction, etc. Now take away another 28% in housing EMI, then another 7% in building maintenance etc. It means your government, and your house have taken away 85% of what you earn. So the 15% [...]
Goal Setting is deciding the end-point of your planning exercise – determining where you want to go. The more tangible your goals, the easier it is to plan for their realization. Begin by listing both your short and long term financial goals. Short-term goals are things you want within the next five years – a [...]