This is a title that is sure to catch attention. As investors in the markets, we want the upside but not the downside. After all, we want our money to grow up and not go down. It is the reason we invest.
We also know that it doesn’t happen that way. Investing is about working with constraints and about making trade offs.
There are ways, though, to make the tradeoffs work better, make investing safe and yet work towards our goals.
What are they?
I can list down many ways.
But not today.
I ask you – how will you make investing safe for yourself, your portfolio, your goals?
What steps will you take?
What will you avoid?
You can add your answers as comments to the post on the blog.
You can also add your answers on twitter. (link below)
Your work is not going unrewarded.
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So, come on.
I look forward to your contributions.
Hi Vipin
Steps I will take to make my investing safe
1. I will make sure that my short term medium term and long term goals are well defined will choose mutual funds and ETFs based on the period and then will continue to add these funds through SIPs.Will choose 4 to 5 diversified mutual funds and continue with SIP
2. I will have debt and equity ratio fixed and will keep allocation in check with periodic rebalancing with new money.Will keep accumulating more in case market corrects and will rebalance if equity goes up.. Depending upon the situation.
3.Will have sufficient amount of term and health insurance so as to i don’t have to withdraw money meant for my goals.
What I will avoid is
1. Panic selling even if I see my portfolio down by 50 percent or more .
2. Will not buy lumpsum at all due to fear of missing out will stagger the investment.
3.Will not run after any new fund or IPO which is not my portfolio just to overdivesify…Will stick to my plan
Regards
Bhagwant
Great!