My father introduced me to investing in 2003. When I started investing, I decided to stay only with equities. But the recession in 2008 taught me the biggest lesson. I had an over leveraged portfolio and when the markets plunged, I saw my portfolio losing almost all its value. That taught me the value of having a diversified portfolio. Since then, I have been investing in a portfolio of diversified asset classes which includes equity, fixed maturity plans, mutual funds, precious metals, bank fixed deposits, and to a lesser extent, company fixed deposits.
These days, it is not uncommon to see the younger generation spending lavishly, sometimes even on credit. So, only by investing early, one can make a second stream of income and a contingency fund which can be used during emergencies.
SRIJAN SINHA, 22
Post graduate Diploma in Management, IFMR, Chennai
I have been investing in equities since I turned 19. I was motivated to start because my father taught me the importance of investing. I am still a student so my parents fund my investments. I have only been investing in equities because I was inspired by a newspaper article in 2005, which had statistics showing that equities had given a greater return on investment than the same amount of money invested across an array of financial classes. I don’t think investing from a young age gives any one an advantage. It is just a matter of choice and interest.
ABHAY KAKDE, 21
B.E. Chemical Engineering, BMS College of Engineering, Bengaluru
It was my father who taught me about investments and its importance. I began to understand how idle money, due to increasing prices, loses its value over time. The concept of beating inflation and adding value to existing investments became clearer as I started reading about the Indian economy, inflation and interest rates.
I primarily invest in equities. Although, the risk is high, the rewards are attractive too. Besides this, I also invest in equity derivatives, bank fixed deposits, infrastructure bonds, mutual funds and Gold ETFs. My goal is to get at least 15 per cent annual return on my investments.
JITIN CHANDEL, 25
Post graduate Diploma in Management, IFMR, Chennai
I have been investing since 2007. I was inspired by looking at those investing around me, and by reading on personal finance and capital markets in the newspapers. I use a part of my salary to invest in equities and equity mutual funds. I save the rest of my money in bank accounts. These investment products are in sync with my risk appetite. I want to save at least 25 per cent of my earnings every year, so that I can invest across select asset classes. I would like my investments to generate 12-15 per cent post-tax returns. I think it is absolutely essential for youngsters to start investing soon so that they can beat spiralling costs and uncertain job conditions. Also, youngsters may be good at understanding new and complicated financial products as they can easily grasp its salient points.
DEEPAK BHATT, 24
Working Professional
I learnt the art of investing from my parents, especially my dad. There were many other sources that played their part in influencing me to invest in newspapers, my peers and of course, my desire to earn extra money. Right now, I’ve chosen to invest in mutual funds, equities and derivatives as I want a high rate of return. I use my salary and some money from my parents in order to fund my investments.
I believe it is really important for youngsters to start investing as soon as possible because besides earning some additional cash, you get to learn about the behaviour of the economy. Your financial burden reduces and you come closer to your future goals.
SAMEER MALIK, 26
Financial Engineering, IFMR, Chennai
Although I have always been curious about investments, trading, and the share markets, I started investing only eight months back. My friend was into trading and I had learnt the nuances from her. I pooled in some money along with some of my close friends and started investing in the equity markets as they offer high returns. Also, since I’m young, I think I can take on high- risk investment products. I’m happy with my choice of investment as I have earned some decent returns.
More than the age of an investor, I think experience is what counts. I make better investment decisions today than when I started out. Saving money is a good habit that will also take care of unforeseen needs that may arise at any point of time.
SNIGDHA SRIVASTAVA, 24
Working professional, Delhi
I have been investing for the last one year. I developed a keen interest in equities, commodities and derivatives trading and started investing in them after learning about investment strategies as a part of my curriculum. Initially, I would fund my investments by saving my pocket money. But now, I’ve started working as a part-time employee. So I invest the money I receive as my stipend. My primary investment goal is to learn a lot about the markets. It is imperative for youngsters to channelise their savings in high return-yielding investments, instead of keeping their money idle in bank accounts, as it is always beneficial to keep an extra source of income on hand.
SITANSHU BINDRA, 23
MBA, IFMR, Chennai
I have been investing for the last three years, ever since I joined my first job. As a child, I would save my money in a piggy bank. But once I started working, I realised the value of investing in order to save taxes. Currently, I’m investing in tax-saving mutual funds through Systematic Investment Plans (SIPs). I am also investing in the Public Provident Fund (PPF) because of the safety it offers.Through my investments, I want to earn both, return of capital and a return on capital. In addition to this, I also want to save on taxes. I think youngsters need to learn about investing from their elders as they have experience and hence, they understand market dynamics better. As you grow older, your responsibilities increase. To fund those responsibilities, it is important that you save and invest.
AKRITI SINHA, 25
Working professional, Delhi
