Attitude towards INFLATION protection - 99% investors fails

''Inflation'' an invisible enemy to your wealth creation process that keep on eating away almost 50%-100% capital value with the passing of each day , Hardly 1% investors knows this nuance of the inflation factor while investing.

India since 1957 facing 7%-8% of Consumer Price Inflation year on year basis , a 1 re coin has literally no value today , a value of 100 INR currency note is degrown to Re 1 only in last 65 years , means things become 100 times more expensive than what it was 65 years ago .

An investment done having generating 7%-8% of return will keep your money value intact in future ,there is no scope for wealth creation , almost majority of financial savings are struggling to beat rate of inflation because of the reason that inherent return is not more than 3%-8% .

Government's small saving schemes , Banks Deposit programs , Real Estate Rental Income are not generating enough return that could beat inflation.

investors think that they have their investment at no risk while investing in above mentioned instruments but literally they are at more risk if they think they are not taking enough risk while investing .

If majority of investors keep their investments in Post office , Banks , Real Estate and Gold than how come Indian economy will get benefit of Financial prosperity ?

Equity , PMS , AIF , Private equity, Mutual funds , REIT , INVIT are the financial instruments that manages your investment funds with a highly professional framework and beats inflation in a big way , almost sometimes generates returns in the range of 12%-20% in long term horizon ,

CPI means consumer price inflation consists of the inflation of FMCG - Fast moving consumer goods and CD- Consumer durable , In last 20 years Lifestyle Inflation also gets added to General Inflation , Technological advancement and Social Networking over global platforms entails additional regular consumption of IT goods and services , today Smartphone, Laptop and  Tablets with broadband and wi-fi connectivity becomes a essential spending points and consumer keep on buying IT goods and services regularly , till 1991 inflation composed only household expenses but after the LPG - Liberalization , Privatization and Globalization people earns more and spend more and that added to inflation that literally ended up to 8% -10% rate of inflation , 

People's life has changed in last 2-3 decades but their investments are in old fashioned way , There is a huge mismatch and that will kill the financial well being of the country.


 

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