Presentation on basic Investment idea for youth.

Basic about personal finance and investment ideas also strategy.

1. Investment Presented By Arup Kumar Sikdar Lecturer in Automobile Engineering

2. What is an Investment? An investment plan is like a roadmap for your financial journey. It helps you decide why, where to invest, and how much to invest so that you can achieve your financial goals. These goals can be buying a or rent a house or car, children’s education or marriage or retirement planning.

3. Capital is protected. One should earn good profits on investment. Beat the inflation. Investment should have lesser risk. Investment should tax efficient ( lesser tax on profits ). Should be able to build wealth for needs (Marriage, travel, retirement etc.) Investment should be easy to redeem. What is Good Investment?

4. Invest to your own Before investing for creating wealth, first protect yourself to take life insurance and health insurance. Insurance can help protect you and your family from financial difficulties that can arise from accidents, illness, and disasters. It can provide financial stability and help cover expenses like education, loans, housing, groceries, medical expenses and property damage etc. Remember Do not mix insurance and investment; Treat insurance as purely protection against risk.

5. Insurance Types General Insurance. Health Care Coverage Automobile Insurance Homeowners Insurance Insurance against fire Travel Insurance Term Life Insurance Unit-Linked Insurance Plans (ULIP) Whole Life Insurance Endowment Plans Child Plans for Education Retirement Plans Life Insurance

6. Investment Options Low-risk investments: Medium-risk investments: High-risk investments:

7. Low-risk investments Low-risk investments are those types of investments that possess a very minimal level of risk or zero level of risk. They offer stable returns, which are typically the guaranteed return on the investment. Saving Bank A/C, Bank FDs, Government Bonds, PPF, NSC, POMIS, Liquid mutual funds, Sovereign Gold Bond etc. are the example of Low-risk investments.

8. Advantage and disadvantage of Low risk investment Disadvantage Lower gains in long term. May not beat Inflation. Lower flexibility for locking period. Advantage: Stability Security Safer for Short term goal. Tax exemption benefit in profit (some cases).

9. Medium-risk investments Medium-risk investments are those types of investments that are slightly riskier than low-risk investments. These investments seek to produce decent returns while assuming a moderate level of risk. They are appropriate for investors seeking a portfolio that balances growth and stability. NPS, Corporate bonds, Money market, Treasury bills, Treasury bonds, Real estate investment trust, Debt fund, Government Bond etc. are the example of Low-risk investments.

10. Advantage and disadvantage Advantage: Low risk high returns compare Low risk investment. Investment horizon 3 to 5 years. Safer for Short term goal. Capital gains by beat inflation. Disadvantage Limited flexibility. Returns depends on several factor like: Act of God, Government stability, Government initiative, Geopolitical issues in other countries etc. Little volatile.

11. High-risk investments High-risk investments are generally market-linked investments that carry higher levels of risk. These types of investments seek to give higher returns in future, that too with significant volatility and uncertainty. They are suitable for investors willing to take higher risks and want to earn a return from market fluctuations. Stocks, mutual funds, Unit Linked Insurance Plans, Venture capital investment, Cryptocurrencies, IPOs, Forex, Commodity Futures etc .

12. Disadvantage Volatility. Uncertainty. Illiquidity. Higher Investment Thresholds. Greater Emotional Involvement. No tax benefit. Money might be Zero at any point of time frame. Advantage: Higher the investment horizon, lower the risk and higher return. Capital gains by beat inflation. Easy to achieve long term goal. Diversification opportunities.

13. Strategy for Investment 1) Know Your Why 2) Establish Financial Goals 3) Assess Risk Tolerance 4) Be Honest About Your Budget 5) Understand Investment Options 6) Time is Your Superpower. 7) Diversification 8) Start Early and Invest Regularly 9) Educate Yourself 10) Monitor and Rebalance 11) Manage Fees 12) Stay Disciplined and Patient

14. Important disclosure “The first rule of investment is don't lose. The second rule of investment is don't forget the first rule.” – Warrant Buffet.

15. Thank you