Investing in bonds is not easy and safe as people think it is. There are a number of risks involved. While the first 5 risks are well-known, the last two and are more important in my humble opinion. These risk of investing in bonds are:Interest rate riskReinvestment riskCall RiskDefault RiskInflation RiskPortfolio Concentration RiskOpportunity Cost RiskInterest Rate […]
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Yield curves have inverted, recession is expected soon, this recession will be worse than the last !!! It’s all doom and gloom, or is it? Sharp falls in market prices generally make headlines across all media. And no sooner when the index falls, predictions of more doom start pouring in from all corners. Clearly, the mood is […]
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The two basic approaches to get your money working for you are:Investing for returns, &Investing to achieve financial goalsInvesting For ReturnsThis is a common way of investing for short-term investors who look at returns over and above inflation to justify the risk of investing. There is no clearly defined financial goals apart from getting ‘X’ […]
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My rant about ‘The Investment Guru from Canada’This article is going to generate a lot of ‘controversy’, so here I go…Just the other day, a long-time client of mine and a good friend called me up and said ‘He wanted to meet me, and discuss a few things’. I thought this was a normal request, so […]
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In the previous article – “Rich or Wealthy, Which is Better“, we saw that Wealth is measured in time, i.e. the more money you have, the more time it will last at a given rate of spending.So is there a way that we can work for our money once, build our wealth and get paid forever?This […]
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Why being wealthy is different (and better) than being rich Many people think that being Rich and being Wealthy are the same thing. But there is a difference between the two: The rich have lots of money but the wealthy don’t worry about money. – Robert Kiyosaki (Author of ‘Rich Dad Poor Dad’). The ‘Rich’ might have […]
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So, we have been through the first two steps of ‘How to Invest Safely’ series. Step 1 – Understand the Basics. Step 2 – Know the 3 Musketeers of Investment. Now we look at the difference between ‘Saving’ and ‘Investing’, and which is right for you. These terms may sound very similar, but are very […]
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By now, if you have been in Dubai for more than 6 months, you would have been called by 8 banks, 56 ‘financial experts’ and countless other people vying for your attention and money. The script is often the same and so are the products, with financial advisors a dime a dozen. It is safe […]
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When you invest in anything, you generally tend to worry about only the 3 musketeers of investment, ‘Safety’, ‘Access’ and ‘Returns. How Safe is my money? What Access do I have to it?, and What Returns do I get from my investment? There is no investment vehicle or ‘asset class’ in technical terms that offers […]
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This article is probably the most important newsletter you will read, ever! This week was the most exciting week for the world of investments. Berkshire Hathaway had a live webcast of their 51st shareholder’s meeting in Omaha. Not only that, Warren Buffett and Charlie Munger, chairman and vice chairman of Berkshire Hathaway took questions from shareholders on various topics for 7 hours. The […]
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When I meet NRIs in the UAE to discuss their planning and investment needs, they often remind me of the fixed deposit rates being 9% back home. They feel that compared to the U.A.E. banks that offer only 3% per annum, the Indian FD rates are much better. Consequently NRIs in the UAE send a lot […]
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Everyone knows that inflation eats into savings and increases costs. But what a lot of people grapple with is how does one insure oneself against inflation? In this article we discuss why it is important to invest wisely particularly if you do not want to keep running (working hard) just so that you can stand […]
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FCNR Account & swap deals Recently the Reserve Bank of India (RBI) announced several measures to stabilise the Indian Rupee against the US Dollar. Among them was a swap deal on FCNR deposits where the RBI has opened a window to the banks to swap fresh FCNR dollar funds, mobilised for a minimum term of […]
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There is no such thing as easy money, or free money, unless you happen to win the lottery. No matter which career or business you choose, you will have to put in the time and effort to be a success. But there is a way to Create a Second Income through investing as recommended by […]
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Have you received an Email or SMS similar to this: “We provide sure-shot stock market investment tips. Enjoy the free trial for 6 months. If you are satisfied, you can enrol for the premium investment tips package anytime”? Warning: Do not fall for “sure-shot investment tips – trial package”. Also have you wondered how anyone […]
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