How and where should younger people Invest in India

HOW AND WHERE SHOULD
YOUNGER PEOPLE INVEST MONEY
IN THEIR EARLY DAYS OF
EMPLOYMENT?
By: Narendra Pratap

INVESTMENT TIPS FOR YOUNGER
PEOPLE
• You must have noticed that people who have just started their careers are more prone to lavish spending, as for the first time they are earning money and they just want to enjoy it.

• But, they realize it after some time, when they left with nothing in their accounts at that point of time when they are stepping ahead in their lives. And the end results are loans, credit card bills, and cash on call and above all “mental stress”.
• The right approach is to do your investments and savings from the very first day of your first salary arrival. SAVINGS AND INVESTMENT TIPS
FOR YOUNGER PEOPLE
• Always have two accounts:

 One should always have two accounts i.e. one in which salary comes in and the other account in which you would transfer your probable savings.
 Whatever you are going to expend in a month, leave that portion in your salary account and transfer the balance in your second account.
 Keep the debit card of the second account in a lock and try not to use that with a commitment of expending only the amount that is kept in your salary account for a month.
 In case of any emergencies, one should look at the amount accumulated in the second account.

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• Invest in Fixed deposits (Sweep in)

 There is an Fixed Deposit(FD) called as Flexi or sweep in, where you can invest a part of money left in a second account.
 Flexi or sweep in FD will allow you to withdraw money from your FD even through ATMs, net banking transfers or cheques.
 In this case at the time of emergency you can withdraw your money and the balance money will automatically be converted in your new FD at the same rate of interest, thereby, crediting the interest amount earned on the part withdrawal amount in your account.

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• Invest in Recurring deposits

 RD is an investment tool where you can