Zebu blog

Tag: wealth creation

  • Four Things To Consider Before Investing

    Starting your investment journey can be intimidating but is a necessity considering inflation and economic uncertainty. That is why you need a sound investment strategy to help you meet your financial objectives. At Zebu, it is our mission to help every Indian become financially independent and that is why we have platforms that will help you invest wisely. Please get in touch with us to know more.

    At Zebu, an online share broker company it is our mission to help everyone in India become financially independent, we offer the best online stock market trading platform with the best trading accounts.

    Here are four things to think about before choosing an investment strategy.

    Financial Objectives

    Your long-term and short-term financial goals should be the main thing you think about before you choose an investing strategy. Keeping track of such financial goals will help you make smart choices. Some examples of such goals are getting married, going back to school, travelling abroad, and buying a new smartphone.

    For instance, if you want to save up for a trip to your favourite foreign country, a post office deposit or a recurring deposit could be some of the best ways for you to invest. You can put money in either of these accounts at a post office near you.

    Budgeted, near-term cost

    When looking for a way to invest in India, one of the most important things to do first is to figure out how much you expect to spend in the future. These can be things like your child’s wedding, college, or buying a home.

    If you do this, you’ll have a better idea of how much money you need to invest now in order to get enough money back in the future to pay for any upcoming bills.

    Present Expenses

    When looking for the best way to invest, it’s important to start by looking at what you’re already spending. For example, if you don’t have any big expenses like rent, you will have more money to save or invest for the long term.

    But if you have financial obligations that make it hard for you to save much money, it would be better for you to invest in a financial plan that gives you a good return on your money.

    Financial Dependents

    Most people in India don’t think about how their dependents’ finances affect them when they buy an investment plan. Still, you have to do this because you need to have enough investments or savings to meet the financial needs of your dependents as well as your own.

    For example, if you only have two children who depend on you, you probably won’t need to invest as much as someone who also has to take care of their parents, siblings, and children.

    Investment options for short-term goals

    Plan for investment for one year

    If you like to invest for the short term, even three years can seem like a long time. But there are many 12-month investment plans that can also help you avoid market risks. Here are some good short-term investments you might want to think about:

    • Recurring Deposits
    • Fixed Maturity Plan
    • Post Office Deposits
    • Arbitrage Funds
    • Debt Fund
    • Fixed Deposits

    Plan for an Investment for 3 Years

    3-year investment plans are a common type of short-term investment plan. These plans are best for people who want to make a lot of money in a short amount of time. Here are some choices you might want to think about:

    • Liquid Funds
    • Fixed Maturity Plan
    • Recurring Deposits
    • Savings Account
    • Arbitrage Funds

    Plan for 5 Years of Investing

    Even though five years is a long time, in India a five-year investment plan is usually seen as a short-term investment with low market risk. But compared to other short-term investments, the returns on a 5-year investment plan are much higher. So, here are some choices for you to think about:

    • Savings Account
    • Liquid Funds
    • Post Office Time Deposit
    • Large Cap Mutual Fund

    As an online share broker company, it is our mission to help everyone in India become financially independent, we offer the best online stock market trading platform with the best trading accounts.

  • 7 Investment stories from India that will inspire you to start investing today

    The majority of people invest their hard-earned money in the stock market. However, making money through stock market investing or trading is never easy. The stock market is extremely volatile, and your investments could be in danger. However, many people have become incredibly rich in the markets. What are some of India’s greatest successful stock market investment tales? Who are the Indian stock market investors who have amassed fortunes through investing and trading?

    #1 Rakesh Jhunjhunwala

    Rakesh Jhunjhunwala, dubbed the “Warren Buffet of India,” first entered the Indian stock market in 1985. He got his interest in stock trading from his father, who used to talk about it with his friends, and Rakesh would pay close attention. He enrolled in the Chartered Accountancy program and graduated in 1985 with a professional degree. He then joined the Stock Market and began trading. His first big hit was 5000 Tata Tea shares, which he bought for Rs 43 and sold for Rs 143 in less than three months. This provided him with Rs. 5 lakh, which was a significant sum at the time. Sesa Goa was his next big wager. He bought 4 lakh shares and made a fortune from them. There are a lot of stocks that earned big sums of money for him like Lupin, Crisil, etc.

    His portfolio is now valued at over Rs. 20,000 crores (3.2 billion dollars), with Titan, Lupin, and CRISIL as his top holdings. He is a well-known Indian stock market trader and investor known as the “Indian Warren Buffet.”

    #2 Porinju Veliyath – A member of the middle class who became the CEO of Equity Intelligence

    Porinju Veliyath was born in a lower-middle-class Kochi family in 1962. His early years were filled with difficulties. To support his family, he took on various jobs while also studying. In 1990, he moved to Mumbai in search of work. At Kotak Securities, he was hired as a floor trader. He had never worked in the stock market before. He quickly studied the ins and outs of the stock market and developed into an adept trader. He spent four years there and learned a great deal. He began working as a Research Analyst and Fund Manager for Parag Parikh Securities in 1994. In 1999, he returned to Kochi and started to invest in the stock market on his own. In ‘Geojit Financial Services,’ he made his first significant investment. At the time, the stock was trading at a relatively low price. This investment paid off handsomely, proving everyone wrong. He founded his own portfolio management service (PMS) firm, ‘Equity Intelligence,’ in 2002. He is currently one of the most well-known investors and fund managers in modern history. Stock picks from Equity Intelligence such as Emkay Global Financial Services and BCL Industries have increased by 200 percent, while IZMO and Vista Pharma have increased by 100 percent.

    #3 Vijay Kedia – Vijay Kedia is a successful investor who comes from a family of stockbrokers.

    Vijay Kedia was born into a family of stockbrokers and began his career in the stock market in 1978 out of necessity after his father died. So, in order to provide for his family, he joined the family trading and stock-broking business. He wasn’t performing well at first. He did not give up hope, though, and read about successful investors. He made the decision to invest. He started learning about business concepts. He had Rs 35,000 at the time, and according to his research, he invested it all in a stock called Punjab Tractor. The stock increased sixfold in three years, and his Rs 35,000 became Rs 2.1 lakhs. Following that, he made an Rs. 300 investment in ACC. After a year, the stock had grown tenfold and was worth Rs. 3,000. He proceeded to make profitable stock investments, amassing a fortune of 500 crores. His most important success mantra is “information to locate quality stocks, which can only be obtained by reading.” He cannot be a competent investor if he does not read often.’

    #4 Nemish Shah – One of the top ten retail investors in the world.

    Mr. Nemish Shah is the co-founder of ENAM, one of the most well-known and respected investment firms. He is a very simple man who avoids the media and public attention. His investment strategies are smart and in high demand. In three years, he invested in Asahi India and saw his money grow by 3.4 times. He does not invest in a large number of stocks, preferring to focus on a small number of firms that are very sector-driven. With a net worth of Rs 1,300 crore, he is one of India’s top ten retail investors.

    #5 Ramesh Damani — A well-known Indian investor

    Ramesh Dhamani is well-known for his investments in both publicly traded and privately held businesses. He is known for selecting high-quality equities and holding them for long periods of time. He invests in companies with solid management credentials and processes, following Warren Buffet’s philosophy. In his career, he accomplished a lot of good things that earned him millions of rupees.

    #6 Motilal Oswal Group Founder Raamdeo Agrawal

    Raamdeo Agrawal is the MD and co-founder of Motilal Oswal Financial Services and a founding member of the Motilal Oswal Group. He began buying stocks in 1980 and amassed a portfolio of around Rs. 10 crores by 1994. Then he read Warren Buffet’s advice and worked on his portfolio to select quality stocks rather than acquiring bad ones. His investment portfolio increased in a year. He has a net worth of more than Rs. 6,500 crores (1 billion USD).

    #7 Dolly Khanna, is an Indian value investor.

    Dolly Khanna, a value investor located in Chennai, has been trading in Indian stocks since 1996. Rajiv Khanna, her husband, manages her investments. She made her debut in the fertiliser industry, focusing on a high-quality small-cap business with a monopolistic position. She has an uncanny ability to recognise multi-bagger stocks and knows when to take profits. Her portfolio includes Emkay Global Financials, PPAP Automotives, IFB Industries, and Thirumalai Chemicals.

    Finally, we’d like to state that there is no academic degree in the world that can guarantee you success in the stock market. In the end, it is the experience that teaches you.

  • You Need An Imaginary “Third Child” To Prepare For Retirement

    Knowing how much it costs to raise a child and how much joy it brings isn’t always easy to compare, but it’s smart to know and plan for these costs. In general, it costs a lot to raise a child, from the time it is born to when it goes off on its own. It costs between 1.5 and 2 crores. When you think about how much it costs to raise a child now, having two kids makes sense.

    At different points in a child’s life, there are some costs that need to be paid. These are some of them. In light of the current trends, these costs are based on averages.

    Trading or investing can be a difficult journey without the right tools. That’s why you need the best Indian trading platform with a wide range of features. With Zebu, one of the best stock brokers in the country, your online stock trading journey will be drastically enhanced.


    Expenses at different stages of life

    There is a lot of money spent on medicines and vaccines in the first year after the birth of a child in urban and semi-urban areas. A playgroup or creche costs a lot of money when a child turns two. This could cost anywhere from 50,000 to 1 lakh, depending on how many amenities the creche has to offer. In the early years of a child’s life, the cost of toys and clothes is big because they tend to grow out of them.

    School expenses: Based on recent trends, it looks like more than half the population of parents spend more than half their annual income to pay for their children’s education and hobbies. There are times when parents have trouble making ends meet because the cost of school has gone up. A good school charges a fee of 50,000 to 2 lakh for the whole year. Expenses for the 12 years from classes I to XII would be between 11 lakh and 43 lakh if annual education costs rose by 10% each year. In addition to any tuition or extra-curricular activities that the child will be paying for, this fee will be added on as well.

    Higher studies: Suppose that the average cost of going to school for engineering is about 10 lakh today. In about 15 years, the same thing would cost 40 lakh to 50 lakh, too. The same thing goes for medical degrees. If they cost 25 lakh now, it’s a safe bet that they will cost more than 1 crore in the next 15 years. Even though parents can take out loans to pay for their kids to go to school, the interest rate is still high, even after tax breaks.

    Besides paying for their kids’ education, a family might have to spend money to make their home more private for their grown-up kids. Entertainment costs have also gone up a lot, especially in cities. There are birthday parties to plan, birthday gifts to buy, school cultural events, gadgets, hobbies to keep track of, and so much more to think about.

    In light of the above outflows, it is important for parents to plan their finances so that they don’t spend more than they need to and aren’t able to save for their own retirement. There are also safety nets that need to be put in place, like getting enough insurance and setting up an emergency fund.

    To make sure that you have a retirement fund, you can assume that you have a third child and every time you spend on your first two children, you can invest the same amount for the imaginary third child and invest it in a mutual fund. With a return of around 12-15% per annum, you will be left with a substantial corpus. You can use this as your retirement fund and can enjoy your golden years with enough funds.