{"id":344,"date":"2021-02-23T19:17:06","date_gmt":"2021-02-23T19:17:06","guid":{"rendered":"https:\/\/stockezy.com\/?p=344"},"modified":"2021-02-23T19:34:45","modified_gmt":"2021-02-23T19:34:45","slug":"why-should-one-start-investing-money-early-in-life","status":"publish","type":"post","link":"https:\/\/stockezy.com\/why-should-one-start-investing-money-early-in-life\/","title":{"rendered":"Why should one start investing money early in life?"},"content":{"rendered":"\r\n

Congratulations on thinking about how to invest your money at an early age. I have tried various investing strategies to make money, such as investing in domains, websites, and of course, the stock markets.<\/p>\r\n\r\n\r\n\r\n

I believe the best strategy one can follow is to invest money in stock markets. The only caveat, you need money to start investing. And if you can only invest a small amount, you need to keep investing monthly for a long time.<\/p>\r\n\r\n\r\n\r\n

I think financial knowledge is necessary to start investing in the stock market, but that can be learned, isn’t it? You need to first understand about stock markets, and the best way is to gain knowledge by reading several books like the Intelligent Investor. Don’t rush yourself in the markets without fully understanding how the stock market works.<\/p>\r\n\r\n\r\n\r\n

Consider the importance of investing in markets early:<\/strong><\/p>\r\n\r\n\r\n\r\n

Let’s say there are two brothers Akash and Ankit:<\/p>\r\n\r\n\r\n\r\n

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Now see the advantage of investing earning. Compounding can make you rich, and the above example proves this.<\/p>\r\n\r\n\r\n\r\n

If you can save 10 L at 25 (by working extremely hard) and invest that money in the markets and double your money every three years (20% returns every year), then in the next 30 years, that 10L will become 100cr.<\/strong><\/p>\r\n\r\n\r\n\r\n

Although this might not be 100% accurate, but the goal is to make 2-4 Cr in 20-30 years of your career via the stock market, which I think is pretty doable.<\/p>\r\n\r\n\r\n\r\n

It would be best if you bought shares of businesses that can double your money every three years. And you want to hear something great? There are more than 100 stocks that have done better than that.<\/p>\r\n\r\n\r\n\r\n

Is it easy? No, making money is never easy! But again, this is doable, and by hard work (reading and researching), you can definitely achieve this.<\/p>\r\n\r\n\r\n\r\n

The greatest money is made when the bear market is over, and the bull market starts.<\/p>\r\n\r\n\r\n\r\n

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Source:\u00a0What is a Bull Market? | 5 Bull Runs in India – Yadnya Investment Academy<\/a><\/figcaption>\r\n<\/figure>\r\n\r\n\r\n\r\n

Did you see the returns by the Sensex? Again the above is achievable, and you just need two things:\u00a0<\/p>\r\n\r\n\r\n\r\n

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  1. Patience<\/strong><\/li>\r\n
  2. Buying the Right Business<\/strong><\/li>\r\n<\/ol>\r\n\r\n\r\n\r\n

    If you will truly invest in the business instead of the price fluctuation, then you would make money. You need to invest in the long-term and share the vision of the company and its promoters.\u00a0<\/p>\r\n\r\n\r\n\r\n

    Don\u2019t buy a good company at a high rate, meaning don\u2019t overpay for the business, which can be a recipe for disaster. Good stock with great fundamentals should justify its price, and once all the parameters are checked, you should only invest in such businesses. Finding the right company is a lot of hard work as you need to read & analyze the company balance sheet, annual reports, etc.<\/p>\r\n\r\n\r\n\r\n

    Time – The friend of the great business<\/strong><\/p>\r\n\r\n\r\n\r\n

    In short, have patience and invest in great companies early, invest for 10\u201315 years period, read everything you can about markets to gain knowledge.<\/p>\r\n\r\n\r\n\r\n

    Happy Investing.<\/p>\r\n\r\n\r\n\n

    Happening\u2019s Around the Stock Market<\/span><\/strong><\/strong><\/h3>\n\n\n\n

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