Change is the only constant and if we have to keep growing and achieve new milestones then we must accept the changes in our life. For the past 4-5 years we have been witnessing this change in the trading community, whom we have been advising on their investment decisions in capital markets. Investing as much money as possible for growth and expansion in the existing business was an obvious choice for every business house and certainly resulted in concentration of risk.

Investment in land was considered the second best by the business house so that they could set up new factories and execute their expansion plans. However, the money left after all these options was probably invested in the unorganized lending market. In the whole process of pumping more money into the business and expanding the land bank, one thing that was overlooked was the creation of a liquid portfolio.

The next generation business community is promoting a change in mindset and has started thinking along the lines of creating a liquid portfolio that not only gives them the flexibility to invest in financial assets in the capital market, but also in a liquid asset at a later stage. builds, which can be done easily. Available for future expansion plans.

Earlier monthly savings like SIP in mutual funds was not a cup of tea for a businessman, it was considered a retail product only for the salaried, but seeing the wealth created by SIP over a period of two decades he realized the fact that A strong liquid portfolio can also be built with such a simple yet very effective tool.

Other factors such as flexibility, taxation, lowering interest rates and diversification within mutual funds that allow them to invest in various asset class categories that range from equities to debt to hybrids to solution-oriented funds and more over the years From a wide range of international funds. have also emerged which gives you the option to invest across the globe.

To summarize with a simple yet effective tool that gives you the opportunity to diversify your investments across asset classes and helps you build a long-term liquid portfolio, making them feel like it’s not a cup of tea. A favorite can be a cup of coffee. Can taste well and make strong and durable wealth creation tools.

Views are personal: The author is Nitish Purohit, Partner, JNV Financial Services.

Disclaimer: The views expressed are those of the author and are personal. TAML may or may not subscribe to it. The views expressed in this article/video are in no way intended to predict or time the markets. The views expressed are for informational purposes only and do not imply any investment, legal or taxation advice. Any action taken by you based on the information contained herein is your sole responsibility and Tata Asset Management will not be liable in any way for the consequences of such action by you.

Mutual fund investments are subject to market risks, read all the documents related to the scheme carefully.

Disclaimer: Content Produced by Tata Asset Management