We need some advice
- Thread starter Neha17
- Start date
Hello everyone 
My mom wants to invest in stocks but she has never done it before so we are doing it through stock broker and i was wondering if we were to invest about 20 or 25 lakhs in stocks through stock broker can we expect at least 1 lakh monthly income? or would that be too unrealistic? If not then how much can we expect to get monthly in current market?
Need some advice plz
We are completely new to stocks btw we just started learning about it through books and online free game trade and stuff like that but we dont plan on doing it ourselves anytime soon so lol
My mom wants to invest in stocks but she has never done it before so we are doing it through stock broker and i was wondering if we were to invest about 20 or 25 lakhs in stocks through stock broker can we expect at least 1 lakh monthly income? or would that be too unrealistic? If not then how much can we expect to get monthly in current market?
Need some advice plz
We are completely new to stocks btw we just started learning about it through books and online free game trade and stuff like that but we dont plan on doing it ourselves anytime soon so lol
Will u ever put in 10 lacs in a business before contemplating and learning about that business ... the same stands for the stock markets.
Learn .. learn and learn .. take your time ... do not hurry else those 25 lacs can become 2.5 lacs very fast ....
And yes .. I am not scaring you away BUT showing you what can happen too. Of course you can make it 50 lacs too BUT not before learning.
Any other query .. pls do put it on here .. there are many here who will help you ...
Neha,
Sumetsj and Murtaza are dead on! Brokerages have one sole motive, and that is fees generation. The long term health of their client's portfolio is not priority. Besides, The Starving Trader knows of some "tip-monkeys" working at brokerage firms who indulge in indisciplined and poor analysis techniques while recommending ridiculous tips to their clients.
What you want to do if all you want is an "invest and forget" approach is one or more of the following:
- Guaranteed return instruments: Such as FDs, Post Office Bonds, Treasury Bonds, and so on.
- A slightly risky approach will be to invest in "defensive" mutual funds. These finds do not use your money as aggressively but instead focus on spreading your risk to keep out volatility and stable, albeit small returns.
- Actually decide to get into full time trading! This will take lots of studying, effort, and perseverance on your part. Don't let people who just dabble in stocks and that have had 1 or 2 good wins tell you otherwise. Remember, most folks will tell you about the 1 or 2 times that they won, not about the 10 times that they lost.
The best solution would be to put 60% of your capital in fixed return insturments, 30% in defensive mutual funds, and only about 10% to an actual "stock advisor" if you really, really want to pursue that approach. Understand that it is entirely possible that you won't see a big chunk of that 10% in the future.
Risks, risks, risks! Always identify your risks.
The Starving Trader.
Sumetsj and Murtaza are dead on! Brokerages have one sole motive, and that is fees generation. The long term health of their client's portfolio is not priority. Besides, The Starving Trader knows of some "tip-monkeys" working at brokerage firms who indulge in indisciplined and poor analysis techniques while recommending ridiculous tips to their clients.
What you want to do if all you want is an "invest and forget" approach is one or more of the following:
- Guaranteed return instruments: Such as FDs, Post Office Bonds, Treasury Bonds, and so on.
- A slightly risky approach will be to invest in "defensive" mutual funds. These finds do not use your money as aggressively but instead focus on spreading your risk to keep out volatility and stable, albeit small returns.
- Actually decide to get into full time trading! This will take lots of studying, effort, and perseverance on your part. Don't let people who just dabble in stocks and that have had 1 or 2 good wins tell you otherwise. Remember, most folks will tell you about the 1 or 2 times that they won, not about the 10 times that they lost.
The best solution would be to put 60% of your capital in fixed return insturments, 30% in defensive mutual funds, and only about 10% to an actual "stock advisor" if you really, really want to pursue that approach. Understand that it is entirely possible that you won't see a big chunk of that 10% in the future.
Risks, risks, risks! Always identify your risks.
The Starving Trader.
| Thread starter | Similar threads | Forum | Replies | Date |
|---|---|---|---|---|
| G | Need advice | Mutual Funds Discussion Forum | 0 | |
| H | Need Mutual Fund Advice pleeaasseee | Mutual Funds Discussion Forum | 1 | |
| L | Hello, need advice | Options | 0 | |
| R | Advice needed with regard to Option Trading | General Trading & Investing Chat | 2 | |
| X | Investment Advice needed for Mom | Mutual Funds Discussion Forum | 0 |
Similar threads
-
-
-
-
Advice needed with regard to Option Trading
- Started by RiddhiPD
- Replies: 2
-