Make goal-based investments | Fusion - WeRIndia

Normally people want good returns when they invest some money in equities or debt funds. But, financial experts suggest that goal-based investments are better than normal ones that are invested without any goal.

You can better utilize your funds if you save for a purpose and lockup your funds than the money invested without any purpose.

Whether you want to buy a dream home or car, or go on a vacation or for your or your children’s higher education, you should have some money.

Money is one of the most essential things in all stages of life. So, if you do not have enough money to meet your basic needs or medical emergencies, then you may face a lot of trouble.

Hence, in addition to having emergency fund, one should have adequate money to meet financial goals. So, invest your money goal-wise.

Here are some tips to make goal-based investments:

• Unlike what many people think, financial planning is not a one-time thing. It should be reviewed periodically.
• While reviewing your financial plans, you should consider your age, financial responsibilities, risk-appetite and the availability of funds in your funds. Based on all these, you should invest your money.
• Before investing your money, prioritize your goals. Group your goals according to their category like short-term, medium-term and long-term.
• Then set a finish line at how much you need to meet your goal and how much time you have to reach it.
• Divide the type of investments. Investing all your money in a single type of investment is not a good thing. Considering the adequacy of funds and risk-appetite, invest your money in different types of investments.
• Review your investments and revise if needed by taking advantage of newer and better opportunities.
• In this way, make your investments wisely and achieve your financial goals.

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