Personal Finance πŸ’³

Income Tax – Old Scheme v/s New Scheme. Which is better?

Intorduction: Income tax is a direct tax that a government levies on the income of its citizens. In India, we segregate our income into 5 heads. That is Salary, House Property, Profit & Gains from Business or Profession, Capital Gains, and Other Income. And, in order to benefit those paying tax, and indirectly promote certain …

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How to Diversify Your Stock Portfolio

Introduction: I try to manage my portfolio just like any professional portfolio manager would. Have been doing it for over half a decade. And, throughout the journey, I have made all kinds of mistakes, and maybe this has made me a better investor than I was during 2014.  And, what I observed is that with …

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How to read a Balance sheet as an Investor

What is a Balance Sheet? A balance sheet is a document that provides information about the company’s financial performance (present & past). It gives a clear distinction between asset and liability. This gives an indication of the company’s financial health. At any particular point in time. The worth of a company can be found by …

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How To Construct a Profitable Investment Portfolio?

What is a Portfolio? A portfolio is a collection of financial instruments such as stocks, ETF’s, Mutual Funds, and other assets that are strategically put together to beat the overall market average return and to have a rate of return (ROI) that’s comfortably over the average inflation rate. A portfolio may include a wide range …

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Best Warren Buffett Quotes

About Mr. Warren Buffett: Mr. Warren Buffett, also known as the “Oracle of Omaha,” is one of the most successful investors of all time. Buffett is the chairman and CEO of Berkshire Hathaway, which controls over 60 businesses, including insurer Geico, battery manufacturer Duracell, and the food chain Dairy Queen. As the son of a …

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Portfolio Allocation, Asset Correlation & its importance!

Introduction: Diversifying our investments into various assets such as equity, precious metals like gold and silver, bonds, real estate, foreign funds, and others. We are minimizing our risk whilst trying to maximize our investment returns. It’s to not put all your eggs in the same basket.  You have to diversify your investments. For all we …

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Fear of Missing Out!

Introduction: Fear of missing out is the sensation or perception that others are having more fun, enjoying better lives, or experiencing more than you are. It is characterized by a strong sense of envy and has a detrimental effect on self-esteem. It is frequently aggravated by social media platforms such as Twitter, Instagram, and Facebook. …

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How to save money and become rich?

Introduction India is a developing country where the middle class has gotten financially stronger over the years and, as adults spending power has increased, even the young have become free spenders and heavy consumers in some instances. With a strong economy, a large population of the young and vibrant generation who are fascinated with emerging …

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Why is Investing in Stock Market a Must?

How should we approach Equity Investing? Equity is nothing but part ownership of a business. You buy the equity of any company, you’ll be the owner of the company to the extent of the shares you buy.  For Example: Let’s take Pai. Limited (hypothetical case), a listed company that has 1000 shares outstanding. This means …

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Should you Invest in Bitcoin?

What is Bitcoin? Bitcoin is the largest crypto network in the world with a market cap of over 590 billion US dollars. Yup, it’s bigger than Mr.Buffett’s Berkshire Hathaway.  It is the single largest. Most widely accepted cryptocurrency in the world. It even has institutional investor backing.   How did we get here? Please note, Bitcoin …

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