Make your money work for you!!

Save & invest regularly Investing for a longer time is more effective than waiting until you have a large amount to invest.

Start early Small investment made early in life can generate a larger amount

than a larger investment made later in life.

Investment returns should exceed inflation

The returns on investments should exceed the rate of inflation (FD rates usually do not fulfil this criteria).

“Slow, steady and smart wins the race”

Cornerstones for Successful Investing

Investment Options• Debt : Fixed returns, low rates of interest

- Fixed Deposits (8% - 9.5% for 1 year)- Public Provident Fund (8.70% lock in 15 years)- National Savings Certificate (8.5% lock in 5 years)

• Equity : Varying returns (yearly average is 15%) - Shares - Mutual Funds

• Alternative Investments - Real Estate - Gold

"In investing, what is comfortable is rarely profitable."

FD / PPF v/s Stock Market

2005 2006 2007 2008 2009 2010 2011 AVG

-60

-40

-20

0

20

40

60

80

100

FDMFPPF

1. Stock Markets can give negative returns eg. 2008 and 20112. To beat negative returns one needs to be invested for longer periods

of time ( 3 – 5 years).3. The losses of 2008 have turned into gains in 2009 and 2010 for those

who waited patiently.

"Investing should be more like watching paint dry or watching grass grow. If you want excitement, take $800 and go to Las Vegas."

Fixed Deposits – Pros and Cons

Safe Investment, low risk.Benefit of income tax if held for 5 years.

Low rate of interest.Rising inflation can wipe out the interest benefit.Taxed at normal rates if not held for 5 years.Penalty for premature withdrawal.Bank Guarantees only of Rs. 1,00,000 per depositor per bank.

"How many millionaires do you know who have become wealthy by investing in savings accounts / fixed deposits? I rest my case."

INFLATION

Mutual Fund Definition- Pools money from many investors

- Invests in a mix of stocks, bonds and other securities

- Managed by professionals

“Small drops of water make a big ocean”

FALSE Impressions about

Mutual Funds

• Mutual Funds are only for experts - FALSE• Mutual Funds invest only in stock markets - FALSE• One needs to have a large sum of money to invest - FALSE• All funds have high risk - FALSE• One needs to constantly track the movements in the market

- FALSE

“ Myths have a very long memory”

Benefits of Mutual Funds

• Professional Manager• Portfolio Diversification• Tax Benefit (ELSS schemes)• Flexibility & Convenience• Well regulated• Transparency • Power of compounding• Outperformed every other

asset in the long run

Growth of Mutual FundAssets Under Management in 2014 is 9.87 lakh crores

Ask yourself What is your contribution towards the same?

Why are there so many people investing in MFs?

2005 2006 2007 2008 2009 2010 2011 20140

200000

400000

600000

800000

1000000

1200000

Rs. In Crores

Rs. In Crores

Mutual Fund Houses in the market

• SBI• HDFC• ICICI• Reliance• Franklin Templeton• Etc. (another 35 + mutual fund houses)

Who should invest

• Anyone who has a time frame of 3 years plus• Anyone who has a basic idea on the concept

of Mutual Funds• Anyone who has Funds of Rs. 1000 and above

as cash in hand or in the bank

“Do something today that your future self will thank you for”

Reasons for not investing

• Ignorance, is it a bliss?• No guarantee of returns• Negative publicity• Financial Terminology• Neophobia : Fear of anything new• Confused about choices and options

“Replace fear of the unknown with curiosity”

Do you need a Financial Planner???

• Are your returns on investments optimal?

• Are you financially ready for – Marriage, New car\house, starting a family, Children’s education, Retirement etc. ?

• Who advises you on cash flow management, retirement planning, investment planning, insurance planning, tax planning etc. ?

Financial Planning

Just like A

doctor is consulted for better health A

financial planner is consulted for better wealth

“ A year from now you may wish you had started today”

Lets Begin

Contact DetailsE-Mail : presleyffernandes@hotmail.com

Mobile : +91 9820890098

“ There's nothing wrong with procrastination. Or is there? I'll leave it to you to decide, but only if you make the time “