Personal Finance & Investing : The Ultimate Guide

1. Definition of Equity

2. Why owning equities are important

3. Things to keep in mind while investing in equities in India

Textbook definition and simplification of the concept of Equity

1. Equity as an asset class

2. How equity investments play a major role in financial freedom

3. Understanding the basic working principles of equities

1. Layout of equity markets in India

2. Role of SEBI

3. How stock exchanges work - BSE and NSE

1. Equity as an asset class has the highest returns

2. Risk-Reward Ratio

3. Importance of long -term investing

4. Investing in businesses that you understand

1. Direct and Indirect methods of investing

2. How beginners should invest

1. The methods of investing - Direct and Indirect

2. Indirect method of investing

3. Why mutual funds are important

1. Why mutual funds are the best starting point for beginners

2. How mutual funds actually work

3. How mutual funds are priced - Net Asset Value

1. Types of mutual funds

2. A summary of how they work

1. Understanding Equity mutual funds

2. Classification of equity mutual funds

3. Why they should form a lion's share of your portfolio

1. What to look for when investing in Equity Mutual Funds

2. Quality of the Fund house

3. 10-year historical returns

4. Total Expense Ratio (TER)

1. How exactly to invest in Equity mutual funds

2. Importance of Systematic Investment Plans

3. Rupee-cost averaging principle

4. How compounding works

1. Process of picking the best equity mutual funds

2. Volatility and Risk Appetite

   
   

1. Why Govt schemes should be a part of our portfolio

2. Safety offered by the Govt

3. Main govt schemes to invest

1. Risk and Reward of Bonds as an asset class

2. Rating system of Bonds

3. How to evaluate a Bond

1. Govt and Corporate Bonds

2. Classification of Bonds by the type of coupon

1. Why Gold is the most popular asset class in India

2. Growth rate of Gold as an asset class

3. Avenues of investing in Gold

1. Why investing in physical gold is a bad idea

1. What are Sovereign Gold Bonds

2. Why they are the best way of investing in Gold

3. How SGBs work

1. Asset Allocation is one of the most important facets of personal finance

2. How most investors go wrong with asset allocation and how to prevent it

3. Importance of your background and circumstances

1. How to devise your asset allocation if you are between the ages of 20 - 40

2. Maximum exposure to Equity

3. Recommended allocation pattern

1. How to allocate your assets if you are between the ages of 40 - 60

2. Balanced exposure to Equity and Fixed Income instruments

3. Recommended allocation pattern

1. Why Savings are extremely important for financial freedom

2. Guarding against the YOLO mindset

3. How to understand your spending habits and control them

1. Golden Rule of Savings

2. Understanding Needs and Wants

1. Needs vs. Wants Exercise

2. How to do this exercise on a frequent basis to control your spending

3. How to make that into a habit

1. How much to invest from your income

2. How to balance spending and savings so as to enjoy your life guilt-free

3. Importance of automated payment

4. Harmful effects of social media on financial health