Is it possible to become rich by trading

[mutualguru]

I am starting this poll to find out whether a retail investor(a common man) becoming rich by trading in indian market is a fantasy or reality. This voting is for those people who have become rich themselves by trading or knew those traders personally who became rich by trading.

Please no guess votes and also don’t consider famous personalities like Rakesh Jhunjhunwala

 

[Smart_trade]

How do you define being "Rich"?. Is it 50 L, 1 Cr,2 Cr ,5 Cr or 10 Cr or few hundred crores ( few have made it ). In my view if one has fullfilled all his financial needs and has surplus which will be sufficient for his lifetime then he can be considered rich.

So please define what is "Rich".

Smart_trade

 

[TradeJoker]

How do you define being "Rich"?. Is it 50 L, 1 Cr,2 Cr ,5 Cr or 10 Cr or few hundred crores ( few have made it ). In my view if one has fullfilled all his financial needs and has surplus which will be sufficient for his lifetime then he can be considered rich.

So please define what is "Rich".

Smart_trade

:clap::clap::clap::clap::clap:

 

[Dax Devil]

I am starting this poll to find out whether a retail investor(a common man) becoming rich by trading in indian market is a fantasy or reality. This voting is for those people who have become rich themselves by trading or knew those traders personally who became rich by trading.

Please no guess votes and also don’t consider famous personalities like Rakesh Jhunjhunwala

Rich is really a relative term. I have heard a story, don't know true or not.
In 1930s a young Rockefeller hair got lost in desert. A week or so later when eventully he was found he looked like a ghost. Later interviewed about his experience, he said: As long as one has food to eat, water to drink, clothes to wear, a bed to sleep in and a body which is healthy, one should be damned to hell if he asks God for anything else.

 

[rkdrkd2006]

theoretically possible...grow your money..make you rich richer day by day

 

[TradeJoker]

In 1980's if u invested Rs.1000 in Infy , it become Rs.30cr now

 

[mutualguru]

How do you define being "Rich"?. Is it 50 L, 1 Cr,2 Cr ,5 Cr or 10 Cr or few hundred crores ( few have made it ). In my view if one has fullfilled all his financial needs and has surplus which will be sufficient for his lifetime then he can be considered rich.

So please define what is "Rich".

Smart_trade

When creating this poll this thought passed my mind but I myself dont know how to define "rich". Your definition of rich if one has fullfilled all his financial needs and has surplus which will be sufficient for his lifetime then he can be considered rich. seems a perfect fit

 

[Smart_trade]

People who grow rich dont get their riches from just one source. They will have trading, investments, fixed income, mutual funds and real estate in their portfolios.They create multiple income sources and they are not dependent on just one income stream.

So they start with trading with small capital, trade successfully, invest part of their earnings in growth stocks, then invest in mutual funds and real estate in their wealth building phase. After that comes wealth preservation phase in which they also include fixed income securities and mutual funds in their income streams....but all that is created from trading income. This is practically possible, no daydreaming, it is done by many and being done by many traders.

Buying Infy or Wipro ,Eicher Motors or Bosch at the start alone should not be considered as only way to make wealth. How many could identify these stocks when they were unknown....so buy them after they have proved their worth and they get onto the growth path and still continue on a growth path.

If a trader makes Rs 50-60 K in trading and spends 25 K and remaining 25-35 K per month is put in any investment avenue which gives him 16-18 % CAGR....in 15-20 years he can be rich...but if one wants to be rich in 2 years then be prepared to rags to riches to rags to riches and again rags roller coaster many times in those 2 years and 95-98 % will end up blowing up all the money they have. "Slow and steady wins the race " is true in trading and investments too....being rich takes time,patience and hard work.

If anyone after 4-5 years of trading has a doubt about whether wealth can be made from trading then it is better that he switches over to any other profession/ business before it gets too late ,because one has to first believe what one wants to achieve.

Smart_trade

 

[suri112000]

Recently I have come across a research report which looks into the intricacies of being rich and attaining financial freedom. I will try to replicate what it intends to convey.

Look at your average monthly expenditure to run your home, family, household expenses, education, medical, bills etc. Say you can meet your monthly expenses with Rs..20,000 per month. (It varies from individual to individual). So, your annual budget is Rs.2,40,000.

To secure basic level of financial freedom, you should have 25 times of Rs.2,40,000. ie Rs.60,00,000 in ready cash or its equivalents like Savings Bank, Gold, FDs in banks etc.

To secure comfort level of financial freedom, you should have a minimum of 50 times of annual budget. ie Rs.1.20 crore in cash/cash equivalents.

To secure complete financial freedom, you should meet comfort level requirement and three times of Rs.1.20 core ie Rs.3.60 crore in Real Estate/Costly jewelry/Vehicles.

The figures are based on present value of rupee. If one aims to secure financial freedom in future a rational inflation rate is to be considered to arrive at the figures.

Hope this helps to know who is rich or financially free.

 

[Smart_trade]

In your poll you are asking both opposite questions in same sentense "Is becoming rich by trading a reality or fantasy" . Ask one question like "Is it possible to become rich by trading" as you have done in the caption of the thread.

Smart_trade