1.1 – Why invest?
Investing is essential; it helps you fight inflation and create wealth, enabling you to be independent and not rely on anyone during Financial hardships. The video below will take you through more practical reasons for investing.
Download the excel here. The following video looks at all the financial intermediaries involved in the capital markets.
We recommend reading this chapter on Varsity to learn more and understand the concepts in-depth.
Key takeaways from this chapter
- Risk and Return go hand in hand. Higher the risk, the higher the Return. Lower the risk; lower is the Return.
- Invest in securing your future
- The corpus you intend to build at the end of the defined period is sensitive to the return rate the investment generates. A slight variation in rate can have a significant impact on the corpus.
- Choose an instrument that best suits your risk and return appetite.
- Equity should be a part of your investment if you want to beat inflation in the long run.