What are the asset classes available for investment?

Bank deposits: Very liquid with almost zero risk and at the same time the returns are limited after taking into account the tax part (around 7% net of tax)

Real estate: High return high risk especially in case of buying and selling of land. Mostly illiquid but long term capital appreciation is always much better that bank FD's. The capital requirement is always much higher.

Commodities: It includes metals like Gold ,silver, copper, aluminium, crude etc : This is generally for end user who wants to hedge his future requirement. High risk and High reward. Not generally advisable for retail investor.

Equity Investment: This relates to investment in the equity capital of the company through stock exchanges. High risk and High reward for short term investor and almost zero risk for long term investor. The average annual return on a mutual fund is 17% in the last 5 years including the current year which saw capitulation of the stock market.

Here we are referring to investing in Indian equity market.

The prices of the stocks that are traded on stock exchanges are based on the following.

·  The fundamentals of the company that is listed in stock exchanges

·  Liquidity flow from domestic and foreign investors(demand and supply for the stocks)

·  The sentiment of the investors

·  Lead from global market

·  Future outlook of the companies traded in the stock exchanges

The basic principle of investment:

Buy low and sell high

Warren buffet the 2nd richest man in the world who started his career as a news paper boy has built his entire wealth by investing the companies which he thought will grow in the future. His basic principle of investing in stock market is " Invest when every one is afraid to invest and sell when every one becomes greedy to buy the stocks". These are his principles of this living legend and he is successful all through his life . He is currently 75+. The Indian market scenario is currently reflect the principle of this legend (every one is afraid of investing).

What can we do for you?

We can help you to identify multibaggers (stock which can multiply in its prices over a period of one year)

We can buy those stocks through India Infoline trading account

We can help/guide you to buy stocks through on line and off line (by calling our office)

We churn your portfolio by selling stocks which have reached their intrinsic value and buy stocks which are undervalued

Our service will be able to service your requirement whenever you need it.