long term investment

Long-term investment

Long term investment means holding assets such as stocks, shares or securities etc..of more than a year usually 3years,5years,10years or even more

    "Only buy something that you'd be perfectly happy to hold if the market shuts down for 10years

Table of contents

• Long term magic

• Long term benifits
• Rules
• Investing Do's, Don't
• Intelligent 

Magic long term investment:

15                                        15

15000                                 15000   

Per month                         per month 

       ×                                        ×

15                                        30

15 for                                 30 for 

15 years                             30 years 

       ×                                        ×

15                                        15

15%                                     15%

Annual returns                Annual returns 

=1 Crores                           =10 Crores 

Long-term Benefits 

• Compounding works to your advantage
• Investment risk drops
• Rate of return is boosted by stock dividends
• Enjoy better sleep at night
• Commissions area very negligible
• Lower capital gain taxes
• Take emotions out of the equation
• Participates in both high and lows

Rules

1. Only RISK THE MONEY you are actually able to use
2. RE INVEST ALL DIVIDEND to grow investments faster
3. Only be investing in thing that you fully UNDERSTAND
4. DIVERSIFY amount different investment sector and Market
5. Avoid PANIC SELLING during Market correction or sell
6. CREATE A PLAN and stick to it

Investing Do's 

• Invest early and offten in low cost investment
• Keep an emergency fund for 6 months of expenses
• Know your investment
• Educate yourself about online investment fraud 

Investing Don't s

• Don't buy and sell stocks frequently
• Don't put all your EGGS in one basket
• Don't take on debt you don't have to
• Don't check your investment performance every single day

Intelligents investing

• An intelligent investor always analyzes the longterm evolution and management principles of company before investing
• Never look for crazy profits,but focus on safe and steady returns
• Always protect yourself from losses by diversifying investment
• Set exact amount for investing every month or quarter
• Always stick to your formula to save yourself from stress never deviate from your game plan
• The only to protect your investments is to maintain self discipline 

What the Rich Don't

• Aim at investing 50% for your family and you 
• Increase your investment at 3% after every income Raise
• Always pay your self first
• Forget about Stock picking put you money into index fund
• Calculated your fees and taxes and find a way to reduce them
• Learn the rules of the game before you Start playing