How to begin Investments in Stocks:

How to begin Investments in Stocks:

For beginners, don’t think too much, only thing needed is to start investing and follow these steps.

If you are completely new to share market, then kindly do following things:

                1. Start Direct Mutual Fund investment in Midcap and small cap mutual funds.

                2. Buy shares of 20 companies selected from top 100 companies.  Use MPTDS criteria.

                3. Buy shares Every Month or every Week. Zerodha SmallCase can help to start Share SIP (though not recommended as a medium)

                4. Initially, buy equal quantity of shares. Once you learn Portfolio optimisation, then change the weightage of each share.

                5. Wensex Junior has good shares (is an example, do your own research before selecting the stocks)

Portfolio should be Goal based.

It means Separate Portfolio for each goal.

E.g.

                Retirement portfolio  (15 years duration )::  Mid and small cap mutual funds and shares

                Child Education portfolio( 6 years):  Large cap shares, Hybrid MF and Debt mutual fund

                Clinic establishment – (3 years): Debt funds

LESSONS LEARNT:

1. MF could be the new generation LIC because they can give average returns.Wealthcon’s ultimate objectives is Direct Investment in stocks.

2. Do it yourself.  FINANCE is YOUR responsibility. You can’t outsource outside.If youdon’t know,  LEARN it.

                a. Open Demat account.

                                Broker : Zerodha, Upstox, Angel, Sharekhan (Your choice)

                b. Transfer ₨ 10000

                c. Learn to place buy and sell orders of shares.

                d. Buy 10 shares of Niftybees, 1 share of Reliance, 1 Share of HUL, 1 share of HDFC bank, 1 share of         TCS and remaining money in ITC.             e. Login every Sunday to see the value and track for 5 months.