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Samraat

Samraat Jadhav  |2270 Answers  |Ask -

Stock Market Expert - Answered on Aug 14, 2023

Samraat Jadhav is the founder of Prosperity Wealth Adviser.
He is a SEBI-registered investment and research analyst and has over 18 years of experience in managing high-end portfolios.
A management graduate from XLRI-Jamshedpur, Jadhav specialises in portfolio management, investment banking, financial planning, derivatives, equities and capital markets.... more
Rajesh Question by Rajesh on Jun 14, 2023Hindi
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Sir, I want to invest in share market and this is the first time so could you help me out how to start with small amount and which Co. I have to invest for beginners

Ans: Always but Quality comoanies, do your research, add only those companies whose business you understand and think for long term only.
DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Users are advised to pursue the information provided by the rediffGURU only as a source of information to be as a point of reference and to rely on their own judgement when making a decision.
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Ramalingam

Ramalingam Kalirajan  |8320 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jan 16, 2025

Money
new starting to enter share market for investment in equities pls advice
Ans: Entering the share market can be a significant step towards building wealth. As a new investor, you must carefully evaluate your goals, risk appetite, and the right strategies to succeed. While the stock market offers high growth potential, it also carries risks. It’s essential to approach the market with knowledge, discipline, and a clear plan.

Key Considerations for New Investors

Investment Goals: Define your financial goals. Are you investing for long-term wealth accumulation or short-term gains? Clear goals will help you determine your investment strategy.

Risk Tolerance: Understand how much risk you can handle. Equity investments can be volatile, and the market can fluctuate widely. Assessing your comfort level with risk will guide you in selecting the right stocks or funds.

Start Small: As a beginner, start with small investments and gradually increase as you gain confidence. It's better to make mistakes with small amounts rather than large sums.

Building a Solid Foundation

Research and Education: Before entering the equity market, educate yourself. Study different types of stocks, sectors, and how the market operates. Read about financial statements, valuation ratios, and other key concepts to make informed decisions.

Avoid Timing the Market: Timing the market can be challenging. Instead of focusing on trying to predict short-term market movements, invest regularly over time. This strategy, known as systematic investing, reduces the impact of short-term volatility.

Diversification: Never put all your money into one stock. Diversifying across various sectors and companies reduces risk. You can invest in a mix of large-cap, mid-cap, and small-cap stocks.

Active vs. Passive Investing

Active Fund Management: In an actively managed fund, the fund manager makes decisions based on market research. The goal is to outperform the market by selecting the best-performing stocks. Actively managed funds offer the advantage of expert stock selection, sector allocation, and risk management.

Index Funds and ETFs: While index funds or ETFs (Exchange-Traded Funds) track a market index like the Nifty 50, they may not outperform the market in the long run. These funds simply replicate the market’s performance, and often have lower management fees but also less potential for significant outperformance. This can be limiting for a long-term wealth-building strategy.

Why Avoid Direct Funds?: Direct mutual fund investments can be tempting as they come without commission charges, but they come with a lack of professional advice. A Certified Financial Planner can guide you on proper asset allocation, rebalancing, and choosing the right funds for your goals. Direct plans might save costs, but you miss out on the expertise and insights of a professional.

The Right Equity Funds for New Investors

Large-Cap Funds: These funds invest in well-established companies with a proven track record. Large-cap stocks tend to be less volatile and are suitable for new investors seeking stability with moderate growth potential.

Mid and Small-Cap Funds: These funds invest in mid-sized and small companies, which can offer higher growth potential but come with increased risk. As a beginner, it is advisable to allocate a smaller portion of your portfolio to these funds.

Sectoral Funds: These funds focus on specific sectors like technology, healthcare, or finance. They can be high-risk but also high-reward if you invest in growing sectors. However, it is best to invest in sectoral funds once you have a deeper understanding of the market.

Systematic Investment Plan (SIP)

Long-Term Investment: SIPs allow you to invest regularly, which helps you build wealth gradually. It also helps you average out the cost of buying stocks or mutual fund units over time.

Discipline: SIPs instill discipline in investing. By contributing fixed amounts regularly, you are less likely to make impulsive decisions based on market fluctuations.

Cost Averaging: By investing through SIP, you buy more units when the market is down and fewer units when the market is up. This helps average out your purchase cost over the long term.

Taxation on Equity Investments

Capital Gains Tax: When you sell equity mutual funds, long-term capital gains (LTCG) above Rs. 1.25 lakhs are taxed at 12.5%. Short-term capital gains (STCG) are taxed at 20%. It is important to consider tax implications when planning your exit from an investment.

Dividend Tax: Dividends from equity mutual funds are also subject to tax, depending on the income tax slab you fall under. Be mindful of the tax impact when selecting between growth and dividend options.

Building a Portfolio for the Future

Diversified Portfolio: A well-diversified portfolio across equity, debt, and hybrid funds ensures a balance between growth and stability. Equity funds offer high growth potential, while debt funds provide stability and reduce portfolio volatility.

Rebalancing: Over time, the value of your assets will change, and it is essential to periodically review your portfolio and rebalance it. Rebalancing helps ensure that your asset allocation remains aligned with your goals and risk tolerance.

Review and Adjust: The stock market is dynamic. Regularly reviewing your investments and making necessary adjustments based on your changing goals and market conditions is essential for long-term success.

Final Insights

Investing in equities can be rewarding if done thoughtfully. By starting with the right mindset, educating yourself, and diversifying your investments, you can achieve your financial goals over time. Avoid trying to time the market and focus on long-term growth. Mutual funds, especially actively managed ones, offer a good entry point for beginners due to professional management and diversified risk.

Best Regards,
K. Ramalingam, MBA, CFP
Chief Financial Planner
www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment

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Radheshyam

Radheshyam Zanwar  |1601 Answers  |Ask -

MHT-CET, IIT-JEE, NEET-UG Expert - Answered on May 06, 2025

Career
Dear Sir, as my son Inter bord got 91% but in Jee mains 1st attempt got 50% and 2nd attempt got 70%, but he was not eligible for Advance, and he was wrote other college exams as (IIIT Hyd + VIT+TSEAPCET) in that VIT got results as 1.20 Lakh rank and he was eligible for Round of Category of 5th for VIT-AP & VIT-Bhopal, and expecting results for IIIT Hyd and also waiting for other Exams as (COMEDK + MIT + BITS), he was sincerely trying the efforts private college entrance exams, but the results which is not satisfy for him, and getting disappoint, but I was giving the motivation for other exams and do the hard work and focus on, BITS & IIT-Hyd also very tuff and more competitive, as i need to think for the negative side, if he could not get any cut of marks, what is the next option....? I request you pls give any other alternate suggestions for which is alternate engineering university for the course of (CSE AI & ML), my son interested in CSE course only
Ans: Hello Rakesh
First and foremost, I would like to commend your son for his earnest efforts in preparing for a range of engineering entrance examinations. His dedication is commendable, even if the outcomes so far haven't aligned with expectations. As you’ve mentioned, he has not yet been able to meet the required cutoff, which understandably may lead to feelings of disappointment or frustration.
However, the journey isn't over. Significant opportunities still lie ahead with BITSAT and IIIT-Hyderabad, both of which are known to be less about difficulty and more about testing strategic thinking and conceptual clarity. It appears that your son may be facing challenges in effectively managing the vast syllabus or might not yet have identified the right approach to tackle these competitive exams. Understanding how to study smartly for such tests often makes all the difference.
It’s important to maintain a positive outlook and avoid negative assumptions at this stage. You haven’t mentioned your financial circumstances, but if your son is determined to pursue fields like Computer Science, Artificial Intelligence, or Machine Learning, and if merit-based options don’t materialize, admission through the management quota could be a viable alternative. This route is typically available in reputed private engineering colleges, though it comes with a higher financial commitment.
Before considering this option seriously, I would recommend waiting for the results of all the remaining entrance exams. At the same time, it would be wise to proactively visit a few reputed institutions to inquire about the availability of management quota seats, associated costs, and relevant terms and conditions. Many parents secure such seats early on, anticipating the challenges their child might face in clearing competitive cutoffs.
Stay optimistic, there are still several promising pathways ahead.
Follow me if you like the reply. Thanks
Radheshyam

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Dr Nagarajan J S K

Dr Nagarajan J S K   |372 Answers  |Ask -

NEET, Medical, Pharmacy Careers - Answered on May 06, 2025

Asked by Anonymous - May 06, 2025
Career
can i get admission in NFSU through jee mains score only ? because i gone on NFSU admission portal link for B.Tech-M.Tech Integrated program in Computer Science and Engineering (Cyber Security) but they asking about NFAT exam
Ans: Hi,
I apologize for any confusion, but I want to clarify that when the government asked for our support of the ONE NATION ONE CARD system, we did not accept it. Similarly, everyone is required to open a savings account at a bank, and many of us expressed our discontent. However, we can see the positive changes happening in India. If we support the government, they will reciprocate by providing benefits to the citizens.

In terms of education, the government is attempting to implement a new education policy, which has proven to be quite difficult. The education system has changed significantly before and after the pandemic. Now, the government is working on new policies that align with those of developed countries.

Therefore, we cannot expect the ONE STUDENT ONE EXAM system from the government at this time, as it is not included in the current guidelines. Each council or organization has its own set of guidelines, and synchronizing them will take time. At this moment, it is simply not feasible.

The NFAT exam is different from the JEE. In the case of the JEE, they did not notify the aspirants that they are eligible to apply for NFSU, and similarly, NFSU did not mention that JEE rank holders could also apply. Therefore, if you want admission to NFSU, you need to register and appear for the NFTA.

In the near future, we can expect the ONE STUDENT ONE EXAM system from this BJP government for the benefit of younger generations. For the benefit of postgraduate aspirants (for all courses except a few professional ones), the NTA is organizing the PGCUET exam nationwide. In this exam, you can opt for up to four different courses based on your eligibility.

A similar exam pattern is needed for engineering and medical fields as well. As I mentioned, we can expect this change; however, we, as citizens, should offer moral support for the benefit of younger generations. Unfortunately, we often do not provide this support to the government. For example, in the NEET exam, many aspirants do not follow the guidelines even when appearing for the exams.
BEST WISHES

POOCHO. LIFE CHANGE KARO.

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Dr Nagarajan J S K

Dr Nagarajan J S K   |372 Answers  |Ask -

NEET, Medical, Pharmacy Careers - Answered on May 06, 2025

Career
Hello sir I have taken a 1 year drop for neet 2025 from pw online . But now I am scoring only 300 in neet .Now i am very confused what to do should I take one more drop or chose any option. This time i want to join offline coaching and really want to work hard but afraid that the coaching centre after knowing my marks will give me their worst batch so what should i do ?
Ans: Hi Ritika,
You mentioned that you scored only 300 in NEET. While we can't make any judgments until the official results are published, I must say that a score of 300 is quite low.

If you're planning to reappear for NEET, that's a good decision! However, I understand you might be worried about the coaching classes placing you in a less suitable batch. I recommend attending for 2 or 3 days while attending the coaching just follow the below instructions.

Make a list of the subjects and chapters you find challenging. Discuss these areas with your coaching faculty and aim to ask at least 15-20 questions daily to clarify your doubts and enhance your understanding. Additionally, request tips and tricks for each chapter so that you can put in a lot of effort to reach your goal.

Alternatively, you can prepare 10 questions on your own and seek answers from your coaching faculty. If you maintain this practice throughout the course, you'll build your confidence, and the coaching staff may consider changing your group due to your proactive approach in asking questions.

Through NEET, you can also pursue other medical-related courses such as BAMS, BSMS, BHMS, BYMS, BNYS, and BDS.

If you don’t have confidence in yourself, you might consider dropping NEET and exploring other courses. However, I encourage you to take one chance and follow my suggestions.

Additionally, if you are not already practicing yoga and meditation, I recommend starting. These activities can help you concentrate better and reduce distractions while studying.

Best of luck!
POOCHO. LIFE CHANGE KARO.

...Read more

Dr Nagarajan J S K

Dr Nagarajan J S K   |372 Answers  |Ask -

NEET, Medical, Pharmacy Careers - Answered on May 06, 2025

Career
Hlo I have taken a 1 year drop in 2024 for neet but i am scoring only 300 . Now I am so confused what to do I really want to crack neet and this time i want to join offline coaching but afraid that i can do it or not Please tell me what to do
Ans: Hi Ritika,
Good decision! Offline coaching is far better than online coaching because it allows you to focus on your studies more effectively.

You mentioned that you need to crack the exam, so here are some tips on how to do that:

First, identify which subjects and chapters you find challenging and make a list. Discuss these areas with your coaching faculty. Aim to ask at least 10 questions daily to clarify your doubts and enhance your understanding.

Alternatively, you can prepare 10 questions on your own and seek answers from your coaching faculty. If you maintain this practice throughout the course, you will build your confidence.

Additionally, if you are not practicing yoga and meditation, I recommend starting. These activities can help you concentrate better and reduce distractions while studying.

Best of luck!

POOCHO. LIFE CHANGE KARO.

...Read more

DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Investment in securities market are subject to market risks. Read all the related document carefully before investing. The securities quoted are for illustration only and are not recommendatory. Users are advised to pursue the information provided by the rediffGURU only as a source of information and as a point of reference and to rely on their own judgement when making a decision. RediffGURUS is an intermediary as per India's Information Technology Act.

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