We as a human being, learn from our mistakes. That is one of the major reasons for our survival. We work hard, we fail sometimes or sometimes we fight with invisible enemies and we stand up better and stronger. This pandemic taught us the importance of home, food, medical facilities, and most important financial stability. Why managing your finance is important and why we need to prepare all the time for any uncertainty.
Some useful learning about investment, we learn from 2020:-
Always plan for the future:
Long-term investments like SIP, LIC, and other plans. Some people say it is risky, but the right information about the company and plans can make your risks low. The saying of staying invested for the long-run has been an apt strategy for most investors. all the noise, that says great opportunity to allocate additional resources to good investments within equity will benefit you.
Study about the risk:
Never invest in any scheme or plan without having proper knowledge about it. This means a study about the company’s performance scheme's profitability ratio, risk factors, etc.
Better investment platform:
Now there are so many online platforms from short-term investments to long-term term investments. Some are government but most of them are private. The digital market is the future but before investing through any online platform or offline do check its authenticity. So, you don’t fall for the fraud. Do your research properly and secure your future by investing in the best plan.
Trust our economy, will benefit you in the future:
As the lockdown regulations are progressively being eased off and the COVID-19 vaccination drive has kicked off, we are already witnessing early signs of a recovery. It is forecast that GDP will b 9.9 percent, India is expected to be the fastest-growing Asian economy in 2021, as per a study by Nomura Holdings.
Risk and goal-appropriate approach to investments
There must be a balance between risk and the goal you set for the investment. Higher the risk, higher the profit, but you have to keep in mind that goal-based asset allocation and investment planning will be increasingly adopted, rather than just a transactional approach driven by “investing for maximizing returns”.