Welcome To Bakshi Finance

Happy Life

Introduction to the Investment

There are 2 kinds of young people- the average happy-go-lucky kind and the smarter kind who happen to be always confident about themselves. The second variety of young people usually are the ones who grow up to be high and responsible positions in their adult life. One of the most prominent differences between the two kinds, is the way in which the smarter variety become aware of time and money management at a very early age. Both Time and Money, have to be managed well if one has to be happy and comfortable positions in the future.

How Investment Plays Role in Our Life

Every year, millions of students throughout the world leave for college to work toward a better life for themselves and the families they someday hope to have. They spend countless hours buried in books, studying for exams, and then, after graduation, working full time jobs plus overtime to attempt to put food on the table. What if I told you there is a better way?

One of my earliest accounting professors pointed out that a young college student could amass a substantial fortune over a small & regular investment, ensuring that no matter what else happened in his life, he’d be confident about having a dignified and financially trouble free life.

Few simple rules to remember:

Money saved is money earned.
Making your money work for you while you are earning or studying, is important to create wealth.

It’s really simple. Imagine that the summer before you left for college, you worked and managed to save up Rs.10, 000. You, with incredible foresight and maturity, know that it’s going to get much harder to invest on your own. You’re a big fan of investors such as Warren Buffett, who at 76 years old has amassed over $50 billion.

Realizing that you don’t need anywhere near that much, you want to create a backup fund that silently, yet powerfully, works for you without anyone in your life knowing about it.

Here’s what you can do:

Take the Rs.10, 000 of capital and divide it into four piles.
Choose four excellent, blue-chip companies that are likely to earn high rates of return for long periods of time such as SBI, ITC, Infosys, Dr.Reddy, etc.
Choose the option to have all dividends reinvested.
Stick the certificates and paperwork in a safe deposit box at a local bank. Now, ignore them for the next 46 years.

When you are the same age as Warren Buffett is now (76 years old), return to the safe deposit box. If history holds true and you managed to earn the historical rate of return on equities, you should have roughly approx a 10 million or more in equity built up as a result of the long compounding period.
Now, if you want to live well during your lifetime, you’re going to have to do what you planned on originally – work hard, get a higher education, invest intelligently, and control your expenses. But it is comforting to know that no matter what you do, there is a secret portfolio compounding for you in the background that can provide you with your wants and needs?

Important Decision at Younger Age

Strong financial knowledge and skills are critical to future success. Down the road, when you will head off to college or begin careers, you will face choices and responsibilities that will have long-term effects on your financial futures. You must be prepared to make wise decisions about earning and spending, credit and budgeting, and saving and investing.

Awareness of the Responsibilities

You will also face the responsibilities of your Life Partner, kids, Siblings, Father, and Mother at their old age.

You will also go for new House, new Car, new Electronic Gadgets, for you and your family as per the technology age, without caring the heavy cost.

An excessive debt level is the life equivalent of handcuffs. One of the biggest financial dangers for youngsters is taking on too many "Bargain" deals such as zero-down financing, no payments for twelve months or other similar gimmicks offered at Automobile, Electronic Gadgets, furniture stores, and home improvement retailers.

Your parents saving will exhaust some day and they may not be in a position to earn after certain age.

Now here comes your role to handle and take charge of everything, like House maintenance, commutation, grocery, Property tax, Water tax, festivals, Good & Bad occasions, etc.

Along with this you need to search out for your space and peace of mind, with your loved ones.

And that’s the time when we start admiring our parents, and wonder how they plan to manage everything without making us realized.