Tag: finance

Women in Stock Market

Jan 3rd, 2023

We all know and heard about stock market. Some may or may not invested in stocks. I have seen 98% men in stock market as experts, advisors etc. The participation of women in stock markets is hardly 2% .

Few days back I was watching a program on one of the channels about participation of women in stock market and why their participation is less. According to the survey which was the base for that program. People don’t trust on financial advices of women that’s why they prefer to have men as their financial advisors. People have more faith on men advice then women.

I have seen women in every field their participation, contribution, dedication, hardwork, success. But I wonder why our presence is less in stock market. Women, be it homemaker or working women knows how to handle home finance , they know budget, they know to buy things on discount, they know how to save money. But women fear to take risk in stock market and invest in stock market.

It’s not easy but also not so difficult to deal in stock market. If we gain knowledge, invest our time learning about stocks. I am damn sure we can do wonders in this field too. We can prove the survey data wrong. The calculations, the figures, charts, stock market terms seems unknown, difficult to understand, boring. But when you learn, these all becomes easy to understand and eventually you build interest in it.

It’s good exercise for your brain too. Doing calculations on daily basis, figuring out which share will work for you, studing the data, analysing, go through latest news of stock market. It keeps you busy, it makes you learn new things daily. ‘The more we learn the more we grow’.

I see hardly 2-3 faces (women) on stock market related channels. Happy to see them. The knowledge they have, encourage me too. It makes me learn more. Stock market is just like ‘earn while you learn’ you have to dive in the ocean of stock market and it will teach you how to swim. I am not an expert, can’t say much about this huge world of stock market and when I be partial towards women it surely doesn’t mean I am against men. People being judgemental about what a female should do and not do is the reason everytime it reflects in my blogs. The more we lift each other up the more we light up the direction towards success.

I heard about global markets but in India more transperancy, investor friendly actions are needed. The taxes, brokerage, though they are nominal but should be told to the shareholder, investors. Though we got receipt of each and every transaction sometimes we wonder why a particular charge is being levied.

Investors and traders are two different people. If you wish to enter the market, first decide what you expect from market you want daily profit as a trader or you want to stay invested as shareholder of a company and enjoy return every quater of a financial year as well as stock appreciation too.

More and more women should join this amazing world of stock market and can earn at the comfort of their home, without stepping out of their home. You just need is always be updated about current stock news, stock fundamentals, technicals and chart analysis. Ofcourse money to invest in stock market.

Irrespective of any gender, no one can predict cent percent movement of stock markets globally. It’s risky yet very attractive to be a part of it.

Happy investing, happy earning.

Ramneet Kaur
Savings & Investment

Aug 20th, 2022

Saving

Saving is when you have 100 bucks and you keep aside 10 bucks. Be it in a piggy bank or somewhere in your locker. 10 bucks will remain 10 bucks it will not grow.

Investment

Whereas investment is when you have 100 bucks and you put 10 bucks from it in a bank FD, mutual funds, buy shares etc. The 10 bucks will grow from a period of time.

Today we have more smart investors than people who save money in piggy bank. But, it all starts with saving penny by penny in a piggy bank and this habit of saving money in early age leads to investing your saved money in different instruments of investment and let the money grow on its own pace.

Buying Gifts from saved money

Children who learn to save money in early age, know the value of money. They save their pocket money to buy certain highly priced products. It puts more efforts and value to that product which is bought by saving money. I have seen an advertisement on T.V. which shows a child saves money to buy a gift for his mother, on her birthday. How much feelings and values are connected with the gift.

You can buy anything on credit

For creating demand companies offer their products on credit. You can buy a high end mobile, refrigerator, car, bike on EMIs today. If this facility would have not provided what you will have done? Either you won’t have buy it or you would have buy after saving money for it. EMIs have made us stop saving money. How a person can save money if he has to pay EMIs?

Attractive offers and Discount

The discounts and offers attracts everyone. The savings can be done to purchase at the time of festival discounts and offers. Invested money on the other hand beat inflation and fulfill long-term goals.

Good credit score leads to Good amount of loans

Do your mobile rings and person offers you loans of different kind without any documentation? If yes, then your credit score might be very good. People who often pay back their loans on time, pay credit card bills on time fetch good credit score which benefits them in the form of further loan offers by the financial institutions. They create goodwill in the form of good credit score and attain trust of so many financial institutes that banks call them and offer loans.

Which is your best investment tool?

You would have come across many financial advisors who misguide you and sell inappropriate insurance policy, mutual fund, health insurance etc. They evaluate your long term need and goals, your short term requirements of money after that they suggest you where to invest your money. It’s good to know how much money is required to be invested today to fetch desired returns in future. But don’t trust these financial advisors blindly. You have different apps and websites also which will do the same for you. Policy Bazar is one of them, which will guide you and you can compare which policy is giving what benefits and which policy is cheaper.

Saving money is important but investing your money is more important as it makes your money grow. Happy saving, Happy investing.

Ramneet Kaur
World economies are in recession

May 10th, 2022

World of happiness not only talk about feelings, thoughts, interesting life experience but also have a practical outlook towards life. To share things with readers which may affect their life and how all can react to a particular situation after getting the knowledge.

Today I was watching a vlog on, world recession and came to know that world economies are already in recession phase. The difference is that some economies of world are growing at low rate and others at high rate. Some countries are becoming more rich others poor. This is all due to COVID. We all have seen problem in demand and supply. Raw material needed to make a product is still being affected due to low supply which makes it more dearer. Some countries import is other countries export. There wasn’t smooth functioning anywhere in the world. International flights were not allowed, every sector in the economy were affected. Salary cuts, closed small businesses, inflation, everything is affecting growth of any economy of the world. Cash flow is not smooth.

COVID has made people think differently the way they used to think before outbreak of pandemic. People spend less on weddings and functions, travel and vacations. According to that vlog we as an investor must invest globally but I don’t think so. According to me if we stick to our own economy, in simple words, if we invest in our own respective countries will boost our respective economies growth The gain will be sustainable.

I am not against global investment. I am only saying that if a Switzerland citizen don’t see any scope in European markets then only he should switch to other economies for investment. The sectors which are most affected should be given relaxation from govt. Last two years have taught all of us that ‘simple living is sustainable’. Health and education is most important aspect of life.

How inflation has affected common man

Recently read an article in newspaper stating how inflation has affected small snacks vendor will make it easy to understand. A small snack vendor due to increase in prices of raw material increase price from INR 10/- to INR 20/- and loose so many customers. The things which he used to buy earlier cost him INR 700/- now cost him INR 1000/- but when he tranfer this increased cost to his customers, he loose many customers, as a result his sales decreased.

Same is the case with big companies, they can’t trasfer their increased cost of manufacturing to customers fearing loosing customers resulting less profits. Operating cost has also increased. The mindset of a customer is, if it’s expensive he will not buy it or buy less.

Remember, stick to the basics spend on basic needs, don’t overspend, save for future, invest in your health and education. The economies which provide free healthcare and education to their citizens are the happiest economies.

Ramneet Kaur
How to grow your savings?

Sep 23rd, 2021

When a habit is cultivated to save, we initially save in a piggy bank, then think to deposit in a bank. So that, our money will be safe. We felt the gladness that the money saved will be a help in future. The next step comes when we think to grow our savings too. Question arise in our mind is it necessary to grow our savings? What do you mean by growing the savings? How to grow our savings?

We all know the saved money is to be used in future. The necessity could arise may be after 6 months or after 6 years, we never know. So the saving should be done in such a manner so that it can beat the effect of inflation. For example, If a thing you purchase today is of 100 INR after 6 years that thing may cost you 120 INR so the purchasing power of your money gets decreased with the increase in inflation. It’s not the scenario globally, there are countries where you have to pay banks, to safeguard your money. Every country’s economy works according to their financial policies. So what I want to convey is that choose that particular instrument to save your money so that it also fetch you some good return to beat inflation. Saving is that amount which we save from our income and investment is surplus amount which we are willing to invest to make profit out of it.

In order to appropriately grow your money it’s important to know all the aspect of a saving scheme or fund. If you want more liquidity then saving account is an option or you can deposit in liquid fund also. But you have enough money in savings then opt for mutual fund. There are many mutual funds which are available in market, you have to choose one according to your needs. You can start your investment from as less as 500 INR.

I like mutual fund investment than investment in shares as its very time consuming and stressful to invest in shares as compared to mutual funds. Go for mutual funds and grow your savings so as to meet your future requirements. There are people who still trust traditional instuments like fixed deposit for safety of their money but it’s not recommended at all.

You can also buy gold coins or gold bonds which ever you like as it will also fetch you returns and it can also be used to take loans. The jewellery which we buy always has an emotional value attached to it and we get carried away by it. So, don’t consider gold jewellery as investment moreover it also has high making charges which make it less valuable as compared to gold coins. For investing your savings in gold always go for gold coins or gold bonds. So that when you sell it, your heart don’t break or you don’t think that this gold was given to me on so and so occassion by special person and has emotions attached to it, which is in case of gold jewellery.

Be wise to choose for your future. As you control stearing of your life.

Ramneet Kaur
Financial Planning

Aug 26th, 2021

Financial Planning, as the name suggest is today’s topic of the blog. Today we will learn how financial resources can be utilised in such a manner that we don’t have to worry in future about finances. We earn money and spend on daily or say monthly expenditures of ours, be it household expenses or travelling expenses. Expenditures are fixed and we have to bear them, that’s why we earn, so that we can run a family. There are many expenses which we have to add after marriage or say after a baby comes to the family.

When we have to raise a family, we have to think about present expenses and future expenses too and save for it too. Let’s say if a person has to save for his son’s higher education, then how much he should save monthly so that at certain period, when he needs the money, a good corpus should be available to him. This is called financial planning. When we plan for our future. There are many financial experts who will provide you with details about it, but according to my personal experience one should start saving from an early age. The habit of saving money is good for all. At least 20% of the earnings should be saved for future.

You might be wandering how financial planning is related to happiness. Yes, It is, when we are financially secure, it gives us peace of mind and it becomes reason to be happy. Now a days, people like to invest their money in shares, mutual funds, Bitcoins. These instruments of investment have market risk involve in it as you may or may not get the required return after investment, but they give good returns in long run. If you can stay invested for long term then these will fetch you good return on your investments. Now the question arise, how to evaluate, how much money is required or how to plan our finances so that our old age expenses, higher studies of our child and other expenses of future would be met with the returns on investments? The answer to this question will be different in each case. As it depends upon how much one earns, in which field his child wants to persue his career, lifestyle of the person. All these factors affects financial planning.

When we plan our finances systematically, we will have peace of mind in future and at present also feel pleased and say to ourselves that yes I have done a right thing to save money for my future. Though future is unpredictable, but we have to be also ready for any and every emergency, for that we must have emergency fund. We must enjoy life, go for vacations, have party, see movies, etc. and at the same time save money wisely for the future too. Always opt for health insurance and live a healthy lifestyle too. When you are more cautious about your health, you save so much money which might be spent on medical bills.

Start investing small amount of money from an early age, this will not only built a healthy habit of saving but also helps in forming a good corpus for future. Try not to use credit card or use it occasionally. Be it business or job, a fixed monthly income should be divided into

1. Household expenses.

2. Medical expenses

3. Travelling expenses

4. Food and entertainment expenses

5. Savings

6. Emergency fund

7. Education fund.

Always think about saving before spending. Teach this healthy habit of saving to your children too, how? Buy them a piggy bank and tell them to save their money in it. On their birthday, open the piggy bank and deposit that money, collected by them in their bank account.

They will feel more than happy to see the financial transaction done by them in bank at so early age. It will not only teach them how to save money but also make them future ready to deal with banking system. On every special day, be it birthday, annivarsary etc. invest, be it a small investment, investments will earn you returns.

These small steps taken by us in present will fetch us optimum amount in future. Financial planning will give you sense of satisfaction, security, happiness too. Plan your finances according to your future needs.

Ramneet Kaur
Life Insurance

Jul 7th, 2021
You might be wondering that how Life insurance is today’s topic of my blog. Because I want to share all the information with my blog readers which can be helpful to them. So, if it seems boring or irrelevant topic for you then please don’t read further. But if you are interested, then read it till end.

As I worked in an Insurance Company and is a Post Graduate in Banking and Insurance Management. May be my blog will be helpful for you.

Insurance is of two type: Life Insurance and General Insurance. Life insurance covers life and General Insurance covers home insurance,vehicle insurance and mediclaims. One more type is travel insurance. You might have received a call from some life insurance company with some attracting plan. First of all, never take life SE insurance which gives you returns, because sole purpose of life insurance is to cover life, that’s it. Go for Term plan.

If some insurance company call you with attractive returns never buy it. There are many schemes available to get higher returns like mutual funds, share market ( but it’s risky investment, with higher returns). Always, Always, Always read the term and conditions before signing the proposal form of Life insurance. Because ‘Insurance is a subject matter of solicitation’, which essentially means that insurance has to be requested or asked for, not sold. This phrase , which is found in all insurance advertisements in India, was mandated by IRDA, and it means basically that: Insurance is the product that is being sold by this advertisement.

You declare all the information on proposal form and declare that all the information mentioned is true and sign it. The insurance company has the authority to accept or in some cases rejects and some cases put loading on premium to be paid. Loading means you have to pay higher premium for your insurance.

After insurance company accepts the proposal, then you will get policy document delivered at your home. Always, Always, Always read the policy document thoroughly, it will definitely take time but it’s important. Insurance company can take back policy and give back your money if you don’t like the policy after reading all the details.

Why I am emphasising on reading the policy document is because when you will go for claim in insurance company they will ask you many questions with documents. And they are right on their hand because they have to pay lakhs of rupees. It’s our negligence and selfishness of insurance advisor that create problem at the time of claim.

Whenever you take an insurance policy always ask the insurance advisor that, what is claim settlement percentage of that insurance company? Claim settlement percentage means from 100 how many claims were being settled and paid. This percentage will tell you how efficient and true are that insurance companies employees are. If initially the proposal form is filled correctly and insurance advisor gives you right information then, that insurance companies claim settlement rate will be on higher side. Don’t blindly trust on insurance advisors. Read the document carefully.

Hope this blog will help you,next time when you take any life Insurance plan.

Ramneet Kaur