- Posted by: Brighter Mind
- Category: Time Value of Money
Many investors actually think of doing an investment, but majority of them find some or the other excuse to defer their investment. Some of the common reason is lack of money, risk of losing the hard earned money, fear of losing the standard of living and lack of knowledge or unawareness of importance of investment.
Here are the 5 most common excuses which the investor can recognise and overcome them successfully to build their financial future.
- It’s too early to invest
Many investors who are in early 30’s generally feel that it is too early for them to start investments. But the fact is that the earlier you start investing, the more time is allowed to investment to generate exorbitant wealth. Also if you have time in hand, you just need small portion of investment to generate good wealth in long run.
Also, it is ever too late to start an investment. So if you are old enough and are thinking that the opportunity has passed, give it another thought.
- Equity investment is a risky affair
Many of us put our life savings into bank saving account and fixed deposits and do not want to invest in the equity markets. The general feeling among most of us is that equity investments are very risky and you can even lose money in it.
The answer to this is – yes, the equity investments are moderately risky. But when you do investments in equity markets for long term, this risk factor becomes negligible. This is because market volatility is for short term and in long term market always tends to be bullish.
Also, it is the only instrument which can beat inflation and at the same time generate good amount of returns for you.
- Lack of money for investment
One of the most common reasons to defer the investment is the perception of lack of money. Many young investors think that if they invest good portion of their income, then they will have to compromise on their standard of living. Also thinking that investing will restrict their budget and will limit their affordability is the reason of avoiding the investments.
But in fact, the investor should think the investment as a vehicle which can create good wealth in long run and should start the investment even if they want to start small.
- Lack to time
Many investors have this reason that they not have time to research about good investment options. Most of us think that we are too busy with our job and family and do not get time to think about investments.
But for your financial life, investing should be your top most priority. This is because investment is the only way to escape the rat race and it will also protect your post retirement life. It is the only way to fulfil your financial goals you want to accomplish.
- Lack of knowledge
Many of us think that investment is very difficult to do and is only meant for seasoned investor who knows ins and outs of the market. Also, most investor thinks that they will lose money in the market as they do not have enough knowledge about the market.
Although it is true that doing right investment requires knowledge, but the fact that you cannot do investment because you lack knowledge and resources is not true. In fact you just need to have a fair idea of basic framework and then you can also take help of the investment expert who can guide you through out your investment journey.
SEBI Registered Investment Advisor ” Brighter Mind ” offers expertise in investment management and has a good track record of delivering higher return on investment consistently. If you are the investor who is struggling with the right knowledge and resources, then Brighter Mind is the one stop solution for you.
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