Finance Yogi

11 THINGS TO DO TO BECOME a Millionaire    1. Running a business - Tax advantages over a job - Consume, Catalog ideas and start somewhere - It may also lead to fulfillment in life     2. Delayed Gratification - The ‘Marshmallow’ experiment is a proof that people, who are ready to sacrifice something in present for a better future, do better compared to others - The millionaires are ready to delay gratification to achieve something in life.  3. Contrarian with Money - Try to apply Warrant Buffet’s advice “Be greedy when everyone is fearful, and fearful when everyone is greedy” not only Stock Markets but in life as well as appropriately - The people who have guts to go against crowd, are the most successful ones .  4. Managing Risk - Take calculated bets - Risk taking is given in the process of becoming a millionaire - Learn to manage financial risk, career risk or any risk in life. 5. Bruce Lee’s advice - “I fear not the man who has practiced 1000...

Visit my YouTube Channel  Term life insurance is a complete waste of money… Shocked?  Touted as the greatest insurance because the premium is very low compared to the cover. Example, a 25 year-old gets Rs. 1 crore cover until 60 years of age by paying Rs. 978 monthly. Then why do I say it’s a waste of money. Read on: If you only change the coverage to 99 years, the premium increases to Rs. 2,535. You may say, what difference does Rs. 1,557 makes. I will be almost guaranteed of getting Rs. 1 crore. (money back syndrome) Five problems with taking this approach: 1. Inflation – Your Rs. 1 crore cash at your 99 years of age, by simple maths, will be worth Rs. 1 lak today. Sounds like a rip off! 2. Balance amount of Rs. 1,557, invested monthly at 12% index return for next 40 years, will generate over Rs. 1.5 crore in hard cash, which you can use anytime. Buy a Mercedes with it! 3. Smaller premiums are easier to pay, and gets you better sleep. Nobody likes paying more! 4. By paying s...

 Mutual funds are investments that pool money from many individuals and invest it in a single portfolio. Mutual funds offer investors diversification, which means they're less likely to lose money than they would if they had invested in individual stocks. There are three main types of mutual funds: index funds, actively managed funds, and exchange-traded funds (ETFs). Index Funds An index fund tracks an entire market or some segment of that market. For example, an S&P 500 index fund tracks the performance of the 500 largest companies traded on the United States stock exchange. As a result, an index fund is likely to have lower expense ratios than most actively managed mutual funds because it's tracking an existing benchmark for its investment strategies. This type of mutual fund can also be useful for retirees who want to avoid trading costs by investing in an existing benchmark. Active Managed Funds A managed fund is managed by a team of professionals who make investment d...