1.
An Introduction to Equity and MF
Investment

2.
• What is an investment?
• Why invest?
• Financial Goals
• Personal Goals
• What are good investments?
• Holding Cash
• Holding Money in Saving A/C
• Fixed Deposit
• Fixed Income
• Equity
• Real Estate
• Gold
• Others

3.
Asset Class Returns

4.
What has been the yearly return from India
Equity Market?
It has doubled your money every 6 years, in
last 20 years!! [ Rule of 72]

5.
Why Invest Stock Market?
• Ease of investment
• Can start small
• Power of compounding [ 8th Wonder ]
• Money is liquid
• Tax Benefits
• Wide Selection
• Wealth Creator
• Others….

6.
How to invest in stock market?
• Online and Offline
• Individual Stocks
• Mutual Funds
• Advisors
• Equity Linked Schemes
• Others

7.
How to make good returns in stock market?
• Buy insurance first
• Get educated / read daily
• Invest what you can afford to loose
• PATIENCE!!
• Ability to sit on losses
• Long term horizon- invest and not trade
• Consistency
• Others…

8.
Types of Investment Strategies?
• SIP/SWP
• Lump sump
• Fundamental ( Intrinsic Value, P/E, PEG,
ROIC, Growth Rate etc. )
• Macro, Sectorial
• Technical
• Algorithmic
• News and Events Driven
• Contrarian
• Others…

9.
Watch out for PE and PEG…
RP’s Rule of Thumb- PEG > 2 is expensive

10.
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31-Jan-16 10-May-16 18-Aug-16 26-Nov-16 6-Mar-17 14-Jun-17 22-Sep-17
SENSEX PE RATIO

11.
Sources and Future Read…
• http://www.bseindia.com/indices/IndexArchiveData.aspx?expandable=1
• www.moneycontrol.com
• https://www.google.com/finance
• www.finance.yahoo.com
• http://www.bseindia.com/markets/keystatics/Keystat_index.aspx?expandable=2
• https://en.wikipedia.org/wiki/Warren_Buffett
• https://en.wikipedia.org/wiki/Peter_Lynch
• https://en.wikipedia.org/wiki/George_Soros