The demand for everything is skyrocketing in this constantly changing world. Both earning money and saving money are not enough to live peacefully. Growing money is the key factor to have a secure life in the long-run and therefore one should know the art of growing money. The soul of the art is to invest in different schemes.
Mentioned below are 10 things to do to make your money grow:
Set Your Priorities
The first step to grow your money is to set your priorities. No priorities setting can be done unless there is no budgeting. When you are budgeting, actually you are controlling your money and using it in the right direction at the same time.
Go To Bank
All banks provide their customers with savings schemes like Fixed Deposits (FD), Recurring Accounts, Public Provident Fund (PPF) and Senior Citizen Savings Scheme (SCSS) which help customers to earn interest. These schemes can be vulnerable owing to changes in government policies, reverse repo rates and interest rates.
Mutual Fund, Capital Market, Systematic Investment Plan (SIP) and Gold ETF are the different options to grow your money. All options not necessarily give returns. It is better to search a particular investment scheme which suits best to your needs and requirements before investing.
Hire Fund Manager
A Fund Manager will help you to invest your money in a particular investment scheme. He will allot you with units and the value of these units, known as Net Asset Value, which changes on a daily basis. Basically, his role is to manage the fund’s investments and to ensure that the fund’s strategy is going well as per your goal.
Free Yourself From Debt
Debt is one of the barriers for any investment success. In order to grow your money in investments, your first job is to get rid of debt and the second job is to develop a habit of not taking the debt unless it is too much necessary.
Look at your expenses closely and cut unnecessary expenses so that you can invest more money in investments. Buying unbranded products from the market and turning off your lights in your absence is helpful to reduce expenses.
Investment Diversification means if one investment performs worst, then you may have other investment options which are performing well over that same period. Stop putting all your capital under one investment type in order to reduce your portfolio risk and increase your returns in the remote future.
Using one’s own perception and judgment while investing is the best idea. Try to avoid investing your money in portfolios which you don’t understand. Invest your money in plans/schemes which suits your necessity.
Consistent investment is the key to successful investment. If you invest on a regular basis, then you don’t need to think about the best time to invest. Consequently, you will chase the performance and you will get the best in return in the future.
In order to grow your money and become rich, you should start investing fearlessly. Keeping money in a savings account is not the good option for your money’s growth because it might outrun by inflation and lose the value of the money at the end.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]