Inquisitive Gallivanter

Monday 9 October 2017

Double Our Money By Investing , How?

Double Our Money By Investing , How?

Focusing on wealth creation is more important than making money. The best investing tips we can give to our reader is to concentrate on wealth creation. If quick-money comes in easily, it goes out even quicker. Saving and investment is the foundation of all wealth creation. In order to save properly one must create a budget.

How to double our money? All investors has this notion running in their brains. Very often I find myself subconsciously dragged in the discussion of doubling money by investing. The idea of how fast we can double our money makes us even more curious. Needless to say that if we are doubling our money in 20 years its not worth.

But if we only knew how to double our money in a year, we for sure it will attract lot of attention. Whether we accept or not, but all investors desire to double our money faster. For this if we need to take more risk then we will take it. In stock market people speculate heavily with their money with objective of faster multiplication. But in this article are not going to discuss factors of speculation. We will see only those options which are pure investment option. If we can learn to double our money by investing, we will emerge as clear winners in long term. I call speculators as gamblers. They are not investors, as investors do not gamble, they take calculated risks.

All investors shall aim to double their money by investing them wisely. This is one milestone that will keep you charged and going. Without goals, for sure, you going to end nowhere. So all investors must set a target of doubling their money by investing. Here we see how to double our money by investing.

Double our Money by Investing in Balanced Funds

Investors shall accumulate all types of productive assets. Assets we shall look for are real estate, stocks, mutual funds, ETF, Debt Linked Schemes, Gold etc. But it is not easy for common investor to be able to effectively manage so wide variety of asset types. For me the best solution will be to opt for a balanced fund. Investing in a balance fund through SIP route will give maximum benefits in long term. A balanced fund usually give an average return of 9% per annum. Which means your money gets doubles in nearly 8 years.

Double our Money by Investing in Undervalued Stocks

There are moments in stock market where stocks market index falls very steeply. I am talking about moments like the great depression of 1927, .com debacle of 2001 and US debt crisis of 2008. At these times prices of some best quality stocks fell disastrously. These are the moments when there is maximum pessimism in the market. In these moments of mayhem everybody seems to be busy in only selling their holdings. Investors sell their stocks and keep their money parked in risk free schemes. Some may even keep hard cash in their closet. This is what is a point of Maximum Pessimism. But value investors do just the opposite of what majority does in these situations. Value investors buy more stocks in moments of maximum pessimism. In year 2009, I saw a stock which was trading at 170 levels and within a matter of one 12 months its value rose above 400 levels. It means, in less than a year, there was a possibility of doubling the money. One year back the same stock was trading at 650 levels and now at 410 levels. The point I am trying to make is that, if we concentrate on buying value stocks, doubling our money will be easy. The problem here is that such moments do not come very often and we have to wait for long period. But still this market gives lots of opportunity to those investors who tracks the stocks very intently.

Double our Money by Investing in Stocks Like a Gambler.

Believe it or not but most of the people in stock market falls under this category. They buy stock and “hope” that its market price will appreciate in future so that they can sell their holdings for profit. Such investors never bother to know about investing basics. They simply buy stock by getting influenced by an external agency, without doing any stock evaluation themselves. This form of investing is highly unpredictable. I personally feel that potential investors should not follow this investing strategy. Trained stock market traders use “Future and Options” to add some certainty to this speculative form of investing. But I will suggest that normal investors need to first learn this trade and then venture into this form of investing.

Double our Money by Investing in Retirement Scheme managed by Employer.

In India, it is compulsory for service class to invest in retirement schemes. It not only gives the income-tax advantage buy also develops a retirement corpus. Suppose an average person has a basic salary of Rs 10,000/month. As per rules 12% of basic salary (Rs 1200) will be deducted towards contribution to retirement plan. The same amount of money i.e. Rs 1200 per month will be contributed by your company to your retirement fund. Now this saving will also earn you post-tax return of approx 5.5% per annum.

10 Countries With The Most Beautiful Women.

10. Philippines

Liza Soberano – The Philippines Beauty.

The Philippines people are well known for their good attitude and sweetness but there is another side to this country. It has the most wins in the “Big Four International Beauty Pageants”. See the top 10 list of most beautiful Filipina female stars.

India from space

This is latest pic of map of India from space !!

Wednesday 26 July 2017

Snapdeal's board accepts Flipkart's up to $950 million buyout: Sources

Snapdeal's board accepts Flipkart's up to
$950 million buyout: Sources !!

Snapdeal has accepted Flipkart's revised takeover offer of up to $950 million, two sources said on Wednesday, providing heft to its bigger rival in a high-stakes battle with Amazon.com.

The board of Jasper Infotech, which runs Snapdeal, approved Flipkart's bid of $900 million-$950 million last week, the sources who were familiar with the matter said. A deal is now pending the approval of Snapdeal shareholders, they said.

Snapdeal declined to comment, while Flipkart was .. not immediately available for comment.

But Flipkart's leg up in this ecommerce war requires Azim Premji's blessings. According to ET Now, the merger needs Premji Invest's approval and Flipkart is yet to agree to the terms put forward by the billionaire investor.

Premji has objected to special payments to certain shareholders including its two co-founders and two early backers, Bloomberg had said in an earlier report.

The sticking point has been the differential payments, which are seen as an attempt to win over larger Snapdeal investors and the founders who have to agree to a vastly lowered valuation. Under the proposed terms, early investors, like Kalaari Capital and Nexus Venture Partners, would receive $60 million in addition to their new equity in Flipkart, while founders, Kunal Bahl and Rohit Bansal, would get a combined $30 million.

India's fledgling e-commerce sector is in the midst of a fierce war for supremacy between Amazon and Flipkart at a time more and more Indians shop on the web, helped by a spurt in availability of cheap phones and data plans.

Japan's solar-to-tech conglomerate SoftBank, Snapdeal's biggest investor, is keen to consummate the deal and take an equity stake in Flipkart to profit from India's booming online retail market.

A 2016 report from accounting firm EY noted that e-commerce has grown at a compound annual growth rate of over 50 percent in the last five years in India and the pace of growth is expected to continue, with e-commerce sales topping $35 billion by 2020.

Bengaluru-headquarterd Flipkart had revised its initial offer for Snapdeal to up to $950 million, Reuters reported last week

The board also considered a $700 million share-swap offer by listed e-commerce firm Infibeam but rejected it as too low, one of the sources said.

Infibeam declined to comment.

Separately, Indian private-sector lender Axis Bank is the frontrunner to acquire Snapdeal's digital payments unit FreeCharge for $60 million, the sources said.

Axis Bank did not immediately respond to a request for comment. All sources spoke on condition of anonymity as the discussion are not Public.

RBI stops printing Rs 2000 notes, focus turns to Rs 200 notes

RBI stops printing Rs 2000 notes ??

The Reserve Bank of India (RBI) has reportedly stopped the printing of Rs 2000 currency notes and the new Rs 200 notes are likely to be introduced next month. Mint on Wednesday reported sources as saying that printing of Rs 2000 notes was stopped around five months ago and the government is unlikely to print more Rs 2000 notes.

Officials of the central bank reportedly told the newspaper that the RBI had also accelerated the process of printing the Rs 200 currency notes. The new notes are expected to start circulating by next month.

"About 3.7 billion Rs 2,000 notes, amounting to Rs 7.4 lakh crore, have been printed; that more than compensates for the 6.3 billion Rs 1,000 notes that were withdrawn after demonetization on 8 November 2016," Livemint said, citing an RBI source.

The RBI has reportedly already started printing the first batch of Rs 200 note in June to ensure easy currency availability in the country.

In fact a report by SBI even says that the introduction of Rs 200 note will fill in the "missing middle" even as the new currency in circulation (CIC) has already reached 84 per cent of the pre-demonetisation level.

The 19 July report from SBI’s economic research wing showed that cash on hand with banks was high at 5.4 per cent of currency in circulation, compared with 3.8 per cent before demonetisation. This shows that there is excess cash lying in ATMs or bank branches, most of which could mostly be Rs 2,000 notes, according to the report.

The SBI report noted that though there had been a significant move towards reallocating the distribution of currency towards smaller denominations after demonetisation, there was a mismatch caused by the presence of Rs 2,000 denomination straight after Rs 500.

The new notes of Rs 200 should be out before the end of 2017 and would greatly help narrow the demand-supply gap in smaller-denomination currency bills, it said.

Besides, an ATM machine typically holds 10,000 bills and if these were to comprise, say, only Rs 100 notes, the number and cost of replenishment would go up significantly.

"Herein lies the paradox. Notes of Rs 2,000 denomination in ATMs may find few takers because of the missing middle/Rs 200 note," the report said.

Last week, the Economic Times had reported that eight months after demonetisation and the introduction of new currency notes, bankers felt there was now a drop in the circulation of Rs 2,000 notes. The report had added that the supply of Rs 2,000 notes from the RBI had declined recently, leading to the speculation that there might be a deliberate plan to limit the supply of these notes.

State Bank of India Chief Operating Officer Neeraj Vyas had told ET, "We are receiving currency notes from the Reserve Bank in the denomination of Rs 500 in high-value currency”, and that the Rs 2,000 notes were only coming in as a result of recirculation.

Business Standard had earlier this month reported that RBI would issue the new Rs 200 notes to tide over the shortage of low-denomeination notes, in some parts of the country.

“It will also help in bigger transactions. You can give change for Rs 2,000 in ten Rs 200 notes rather than twenty Rs 100 notes,” said an official, adding that the notes should be in circulation by the end of 2017.