FY 2011-12 was the first year when I started investing in something other than my immediate business and I am happy to report, that I managed to actually beat it slightly. Though I did end up with far less cash reserves than what I had hoped for and for that matter, had, at the end of FY 2010-11.
But the best thing was, I managed to go debt free and no longer pay the extremely high credit card interest that I used to pay at the beginning of this financial year, even though I spent almost 50% more on credit card this year!
Second best news was, that even though I didn’t really planed it this precisely, but I managed to reach a nice enough diversification in my portfolio with 59% of my investment ending up in Equity Mutual Funds, 29% in PPF and 12% in Gold Mutual Fund.
Third good news was that despite a lot of turbulence in the market, all my investment grew over the year and I didn’t actually ended up in red, though at one time, it certainly looked like I would.
For FY2012-13, I have gone ahead and revised my targets and I am hoping to invest directly in to the stock market as well, rather than going through the mutual funds. Which can be a lot more risky in the short term, but I guess if I don’t take risks now, then I wouldn’t really be able to take them at a later stage.
So hopefully, my FY2012-13 Investment Overview would be as cheerful as this one and I would be able to achieve the targets I have set in my mind.
3 Comments
way to go.. YS
stock market is naturally the next step.. I don’t know whats your time horizon or what kind of returns you expect from stocks..
In very near future, i am also giving a try to stocks for long term (may be for 3-5 years), but one needs to tread very cautiously in these dark waters..
All the Best…
Thanks Rahi.
As far as investment horizon goes, I don’t really have any at this moment (blessing of being unmarried I guess). I do have a goal which I want to achieve by 2016, but as of now, it does not involve cashing it out.
Guess my primary aim is to create a steady and alternative source of income, which will help me smooth over any dips in my regular earning and at the same time, making the corpus larger and larger.
What I am looking to do, is play the stock markets i.e. buy when it’s low and sell when it’s high and there by generate a surplus which I can then reinvest. Of course this is just something I am hoping to do and I am mentally prepared to take a hit on even the original investment I make for this purpose, it’s just a matter of generating surplus which I can start this off with, which does not make an impact on my regular investments (PPF and MF SIP) and nor on my day to day life.
Good Luck…