Last Updated: Sunday, June 25, 2017

Be a Good Parent; Invest in Your Child’s Future

Investment plan for children, where to invest for kids, Best investment plan for children,

Watching your little kid play in front of you may make you wish that she stay as this cute little bundle of joy forever. However she grows, you know. And as the proud parents, it is pretty important that you get prepared for it. Well, this also goes for everyone who is married, expecting and to those who are about to be married; get prepared.
If you think that preparation means being just smiling parents who never quarrel in front of children, then you are making a big mistake. There is more to it than what you think. To know most things you can ask your own mom and dad, read parenting books or speak to your married friends.
Among all that, it is important you set your financial background secured. For a bright future for your daughter, it is important that you are financially sound. Therefore start to invest in your child as early as possible.

Places to Invest for Your Child’s Future


Insurance Policy: The first thing about being prepared is to provide security for your child, even if either you or your spouse is gone. The best option is to start an insurance policy in your name and the claims made out in your child’s name. This way you make sure that she gets a chance to make it on her own, even in your absence.
Moreover, these provide tax benefits and no loans can be taken on these policies thus preventing funds from being used for other purposes. Thus it is always wise that you invest in child insurance policies.

ULIPs: Unit Linked Insurance Plans are same as insurance policies except that they provide income too. It is a better option because insurance policies do not provide income but is rather a security measure. However, these ULIPs invest in equity markets to provide income. This makes it a riskier investment than insurance policies.
Because of this double advantage these are more suitable investment options than other forms of fixed savings like NSC, post office savings, bank deposits etc.

Bullions: You may think that this is a traditional form of investment, especially for the girl child. However things are changing. Investing in bullions is also a good strategy to tide over rising prices and as an investment asset. This is mainly due to the growing demand for bullions across the world. Investing small amounts in bullions every year can go a long way in supporting your child when she grows up. Bullions have been steadily rising for many decades now.
You can also try to invest in gold bars and coins instead of jewelry. This will ensure we are not cheated on the money we pay for as in the case of jewelry. This is a risk free investment as gold and silver always will have an intrinsic value. Besides, silver has industrial applications too, increasing its demand world wide.
Real Estate: This is also a value appreciating asset like the bullions. One problem though, is that land or property is hard to buy, considering the huge amount needed to acquire it. However, real estate has the potential to provide a steady flow of income in the form of rent. It can be used as collateral in obtaining huge amounts of loans. Moreover, your children will feel secured growing up as there is a definite way to cover up their future expenses for education and living.
Equities: You can buy stocks in the name of your kids, but remember that investing in shares is highly risky. If you feel like the market will go up then invest long-term in stocks with a good track record. In comparison to stocks, it is always better to invest in mutual funds as your fund manager will know better about the markets than you do. Any way, do not invest your bulk savings into equities for kids, but rather choose to invest 10% to 15% of your income into it. For better earnings over a long term, you can opt for an SIP plan to invest in mutual funds for kids.
There are other savings options where you can invest your money for the future of your child. These include bank deposits, National Saving Certificates (NSC), Post office savings, Public Provident Fund (PPF) etc. Most of these provide you tax savings, even if enrolled in the name of your kids.

Things to Know When You Plan Your Child’s Investments

Before you head out to put your money in every option available, wait for a moment and consider planning your limited resources. Here are some things that help you to make the best out of your limited income.


  • Start Early: Think about the future of your child very early. A good suggestion is to start investing in her future long before you get married. Now don’t get surprised. The earlier a person invests the more income the person gets. With limited income it would be foolish to wait for marriage and birth. Lots of precious time will be wasted if you wait for the right time to start investments. As they say the best time in the world is now. So start investing now and secure your child’s future.
  • Set Goals: We all know that life is unpredictable but a little planning hasn’t hurt any one yet. Even if life turns out different than we expect it is worthwhile you plan ahead for the emergencies that can come later in life. Therefore, when you start investing in your child’s future set goals to build up a corpus within a stipulated time. Plan about your child’s education, and how much she needs at each point of her life. You must also plan and invest for the lifestyle you are planning for her. By setting goals you are actually disciplining yourself in financial matters and securing your child’s future.
  • Compound Investing: Whatever plans you come up with, they are no good if you haven’t factored in the power of compounding. Make sure that most of your income from interests is pooled back into the investments itself. This way your income grows manifold than if you had used up all your interest income.
  • Count Inflation: Every investment plans must factor in inflation. Your money will lose value in the long run because of this. Therefore manage your investments in such a way so as to receive maximum returns above the inflation rate but never compromising on risks.
  • Tax Implication: When planning for your investments you must be aware about the tax laws and how it will affect your investments. There are investment options to by pass taxes. If you are not able to understand the complex world of taxes it is better you hire a tax consultant to get the picture.

When planning for your child’s future use funds that are not needed immediately. Otherwise, you may get tempted to liquidate your investments, thus spoiling all plans and putting your child at risk.
Your child looks up to you for her every need now. Years will pass and she will grow up to face world on her own. Yet she will look up to you at times of crisis for your support and love. Make sure that you are ready then, as you are ready now to pick her up when she starts crying.

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Last Updated: Saturday, June 24, 2017

3 Steps to Become Financially Independent



Financial independence is something everyone desires. The earlier we attain it the better. Most of you think that to attain financial freedom, all you need to do is just put in a more hours of work a week. That is not the case. Putting in more work alone, could not guarantee financial freedom to a person. You need to do much more than that to live a life of financial freedom and that too as soon as possible.
Actually, there are a few ways in which we can achieve financial independence. Though it sounds rather simple, these methods will help you achieve financial freedom in life.

Step 1- Start Saving: 
How to save crores| Investment idea and 3 Steps to Become Financially IndependentThe first step to financial freedom flows from your ability to save as much as possible from the income you get. Without developing a healthy habit of savings, you cannot enjoy financial freedom. If you are overspending and do not save, no amount of income is going to satisfy you. You will live a life of a pauper even if you are earning a 6-figure salary.
Life is hell for a person earning high income, if he has no plan to save. How much more will it affect someone who has only just started to work and is getting only fresher’s salary?
Make saving your second nature. If you are someone, who is only starting on in life then make sure you start saving as soon as you get your first salary. Don’t decide to start saving after a year or after getting married. Start saving from day one. Once saving becomes a part of your character, you would automatically find avenues to save money. It becomes programmed in your brain. Then, it really becomes fun for you to find ways to save money as much as possible.

Most of us are tempted to enjoy life during the first few years before we start saving. After all what is life without some fun? But that is a big mistake. Once you fall into an extravagant life style, then it is hard for you to adjust to simple living latter on. Therefore, it is wise if you start saving early on. It will help you to live below your means and when your salary increases you won’t be forced to raise your spending to match your salary hike. You will be able to save that much money.
If you are passionate about saving and eager to attain financial independence then try out Aggressive Saving. This is a form of saving, in which you go to any lengths to save a huge part of your income. The aim of this kind of saving is to save as much as 60% to 70% of your salary. This means living the life of a hermit for a few years. Though it sounds bizarre, it really works. In addition, you need not do it for the rest of your life. Practice it for a few years. Once you have a corpus of money with which you could invest in high returning assets you could go back to live a normal life with normal spending.
The best thing about saving is that you could discipline your life and channel your limited resources to avenues that are more productive and important to you.


Step 2 – Add More Income Sources: 

To be financially independent you need to continuously bring in revenues. Only this will ensure you financial freedom as soon as possible, especially when your present income is not much.
This means that you must do part time jobs in order to make extra income. The part time jobs must be simple jobs so that you do not jeopardize your present higher income-generating job. It would be good if the part time job is near your home and is not too demanding or stressful. A work as a cashier or a shopkeeper at the local supermarket would go a long way in bringing in extra income.
If you have any other talents like writing, drawing, music etc., then you could make an income out of it. You could write as a freelancer or sell your drawings etc. Those who have talent in a musical instrument can make extra bucks by teaching others. Turning your talent in to money helps you to bring in extra revenue and also a chance to pursue your passion.
Always see to it that income from your main work goes into saving and take care of your expenditure from what you get from your part time jobs. This practice helps you to save much more because after a while you won’t feel like spending more than what your part time jobs offers you.
Also read: 6 Reasons Why you need 'Term Insurance Plan'

Step 3 – Invest Your Surplus: 

Money is idle and loses its value if it stays idle. So invest your savings in assets that gives you good returns. When you invest, do not go about investing in every high risk asset and definitely do not invest in something because someone just told you. Poor investment decisions is worse than not saving. This is because you stand to lose your money without getting any returns by foolish investment decisions.
The best way to invest is to invest in a portfolio, which contains assets that are high yielding but risky and in assets that gives low returns but are less risky. Make detailed research on these investments and invest wisely.

Do compounding when investing your savings. If you have a steady job, the only way you could make lots of money is by doing compounding investment. It means you must reinvest your returns from the investment. This helps you to increase the amount of money you invest and thus gives you higher returns.
These are often repeated words. You must realize that there are not short cuts to become financially free. You must struggle hard and follow the time tested ways that we have outlined here. For someone who is determined and has a will to succeed these methods is all that he needs to become financially independent at an young age.

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Last Updated: Monday, June 5, 2017

Top 15 Quality Stocks Trading at Low P/E - List #1

Image: Latest List of Top 10 Quality Stocks trading at Low P/E

Labels; Indian stocks with low pe ratio, Low pe stocks in India 2017, Low P/E stocks moneycontrol, Stocks with low P/E ratios and high dividends, Low P/E stocks BSE NSE, PEG ratio of Indian stocks 2017, Stocks with P/E less than 5, Multibagger penny stocks for 2017, Multibagger Small cap Indian stocks for 2020, List of midcap stocks in India, Best penny stocks India 2017, Indian penny stocks with good fundamentals, Large cap multibaggers stocks list NSE trading at low P/E, Stocks below Rs 10 in NSE/BSE, Indian good fundamental stocks with strong fundamentals 2017-18.


P/E ratio stands for 'Price to Earning', is one of the calculations for evaluation of stock, PE ratio or PE multiple is the easiest way to find undervalued or multibagger stocks. In most cases, it is not necessary to calculate the PE ratio of the shares because it is easily available on the Internet. Nevertheless, the calculation of the PE ratio of any stock is simple. P/E ratio is calculated dividing market price of the share by the net earning of the company. Simply the lower the PE is the cheaper a stock is said to be. It should further be noted that P/E should not a single parameter for your investment decision. An investor should first go through the fundamentals of the company then preference should be given to the low PE Stocks. 

Also read: latest list of Top 10 Low P/E Stocks

Here is the latest list of Top 15 Low PE Quality Stocks having sound fundamentals, you must have in your portfolio. All these stocks are trading at low PE. We have shortlisted these stock based on their P/E ratio (Price Earning Ratio) as well as some other parameters like fundamentals, Technical aspects, Book value, Dividend yield, Management efficiency etc. All the data have been taken from the official site of NSE, BSE and financial portal like Moneycontrol, Google finance and yahoo finance as on 18th November, 2016.



Latest list of Top 15 Quality Stocks having sound fundamentals trading below low P/E;


1.     HCL Tech : CMP 763.85 P/E 15

            52 WK LOW/HIGH 706.40  889.90

2.      Infosys : CMP 920 P/E 14.98

            52 WK LOW/HIGH 901.00  1279.30

3.      JK Tyre & Ind : CMP 122.80 P/E 6.51

            52 WK LOW/HIGH 73.80  161.40

4.      Mirza Internatonal : CMP 72.95 P/E 10.93

            52 WK LOW/HIGH 72.10  145.00

5.      Munjal Auto : CMP  89 P/E 15.88

            52 WK LOW/HIGH 61.80  116.80

6.      Poddar Pigments : CMP  204.25 P/E 10.47

            52 WK LOW/HIGH 120.70  264.85

7.      Shemaroo Entertainment : CMP 324.85 P/E 13.54

            52 WK LOW/HIGH 221.10  374.90

8.      Sintex Industries : CMP 74.20 P/E 5.93

            52 WK LOW/HIGH 62.40  105.34

9.      Tech Mahindra : CMP 445.30 P/E 14.50 

            52 WK LOW/HIGH 405.50  564.00

10.  Trident : CMP 51.90 P/E 9.61

               52 WK LOW/HIGH 37.15  63.40

11.  FirstSource Solutions : CMP 35.25 P/E 8.18

               52 WK LOW/HIGH 28.65  53.65

12.  Genus Power Infrastructures : CMP 39.35 P/E 14.25

              52 WK LOW/HIGH 33.25  62.45

     13 Cosmo Films : CMP 344.20 P/E 5.66

             52 WK LOW/HIGH 212.50  431.00

    14. Gujarat Alkalies and Chemicals : CMP   345.25 P/E 8.40

           52 WK LOW/HIGH 143.30  433.60

     15.  Noida Toll Bridge Company : CMP 13.00 P/E 3.32

           52 WK LOW/HIGH 11.50  27.85 ~Avoid this stock

Find video;


update:
This post was originally written on 20/11/2016, you may notice that some of the data has been changed. So we have made a fresh list of Top 10 Low P/E stocks to buy now click the link to read it or simply watch this video;


Please further note that this post is purely for education purpose and the author does not intent to any stock recommendation through this post, you must exercise due diligence or ask any stock market expert before reacting on current post. Please read our standard disclaimer.


Search Keywords; Low PE stocks in NSE, Low PE stocks India 2017, Low pe stocks moneycontrol, Stocks with low pe ratios and high dividends, Low PE stocks BSE NSE, Stocks with PE less than 5, Low PE stocks 2017, PEG ratio of Indian stocks 2017, Best Indian stocks to buy for long term investment, Best Indian stocks for long term investment 2016, Best stocks to buy in India November 2017, Top 10 stocks to buy in India 2017-18, Top 10 shares June 2017 at low P/E ratio. Quality shares trading below 10 PE November 2017. Multibagger stocks to invest in India 2020. Best stocks to buy in India for long term multibagger 2017. Good fundamental stocks to buy for long term. Hidden Gems, Long term Investment multibagger stocks in Indian Share market.



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Last Updated: Thursday, June 1, 2017

Market at peak; Top 10 Mid cap & Small cap stocks that can return upto 50%


This year, the stock market witnessed a secular bulls race behind the steep inflows of foreign funds and the strong involvement of domestic investors, in a sense, that fueling various reform initiatives and plans for governments Promote economic growth inches.

To give perspective, the Sensex benchmark between May 16, 2014 and May 25, 2017, a huge 6.628 points, or 27.5 percent, rose when the index closed at a record level of 30,750.03.

Not just that, the broader markets, too, showed exemplary performance on the bourses with the BSE Small-cap Index zooming 88 percent and BSE Mid-cap Index spurting 83 percent during the period under review.

We have prepared a list of 10 small & mid cap stocks from different brokerage which investors can bet on every dip for a time horizon of 12 months:

Top 10 Mid cap & Small cap stocks recommendation by Broking Houses


Alkem Laboratories: CMP Rs. 1862*
BUY| Target Rs 2257

Angel Broking has given a price target of Rs. 2,257 with Buy rating. The broking house believes robust growth in domestic pharma business on back of its leadership in the acute therapeutic business. Not only domestic business but also this pharmaceutical company is all set to launch more products in the USA market.

Key Numbers:

  • MARKET CAP (RS CR) :22,313.22
  • EPS (TTM) : 67.89
  • P/E : 27.49 
  • INDUSTRY P/E : 25.26
  • BOOK VALUE (RS) : 292.95
  • DIV (%) : 635.00%
  • DIV YIELD.(%) : 0.68%
  • PRICE/BOOK :6.37
  • FACE VALUE (RS) : 2.00


Dewan Housing Finance:  CMP Rs. 411*
BUY| Target Rs 520| Return 28%


Angel Broking maintains a buy recommendation on Dewan Housing with a target price of Rs 520. Dewan Housing Finance (DHFL) has a focus on the low and medium income (LMI) consumer segment. It has increased its presence in tier-II & III cities where the growth opportunity is immense.
Dewan Housing Finance (DHFL) focuses on the Small to Medium Income segment (LMI). It has its presence in Tier II and III cities where growth opportunities are huge and increasing more and more. 

Standalone Numbers;
  • MARKET CAP (RS CR) : 12,889.34
  • P/E : 4.45
  • BOOK VALUE (RS) : 249.39
  • DIV (%) : 80.00%
  • INDUSTRY P/E : 25.33
  • EPS (TTM) : 92.49
  • PRICE/BOOK : 1.65
  • DIV YIELD.(%) : 1.94%
  • FACE VALUE (RS) : 10.00


Jagran PrakashanCMP Rs. 179*
BUY| Target Rs225| Return 23%
Angel Broking has given a 12-month price target of Rs 225 with buy rating on Jagran Prakashan. The economic recovery should have a positive impact on the growth in advertising and circulation. In addition, the acquisition of a radio business (Radio City) would also increase the company's revenue growth, said the report by Angel Broking.


CESC: CMP Rs. 895
BUY| Target Rs 910| Return 7%

Edelweiss has given a price target of Rs 910 and maintains a Buy rating on CESC. CESC recently has undermined it's operations in 4 different segments; manufacturing, distribution, retail and IT & mall.
While the participation of the new companies would be similar to CESC, the split is a relatively logical division and one that seems appropriate to investors. It retains the intrinsic value and offers potential shareholders a more specific investment / game and a certain value / multiple expansion.
"We believe that the restructuring of the business segments (split between generation, sales and retail) will reposition the CESC in a way that will focus on every business segment," the note said.

Standalone Numbers;
  • MARKET CAP (RS CR) : 11,901.63
  • P/E : 13.79
  • BOOK VALUE (RS) : 660.86
  • DIV (%) :100.00%
  • INDUSTRY P/E :15.27
  • EPS (TTM) :65.10
  • PRICE/BOOK :1.36
  • DIV YIELD.(%) : 1.11%
  • FACE VALUE (RS) : 10.00

Cholamandalam Invest & Finance (CIFC) : CMP Rs. 995*
 BUY| Target Rs 1140| Return 12%
Axis Securities has given a 12-month price target of Rs 1140 and maintains a buy rating Cholamandalam (CIFC). Cholamandalam Invest & Finance is now a Pan-India player with presence across 25 states via its over 700 branches and growing presence in Loan against property business (now 30% of AUM).


Standalone Numbers;
  • MARKET CAP (Rs. Cr.) :15,937.96
  • P/E : 22.18
  • BOOK VALUE (Rs.) : 280.03
  • DIV (%) : 45.00%
  • INDUSTRY P/E : 35.01
  • EPS (TTM) : 45.99
  • PRICE/BOOK :3.64
  • DIV YIELD.(%) : 0.44%
  • FACE VALUE (RS) :10.00

Brokerage House Prabhudas Lilladher's Top pics
Glenmark Pharma: CMP Rs. 611*
BUY| Target Rs 974| Return 45%
Prabhudas Lilladher  has given a 12 month price target of  Rs 974 with Buy rating and believes that the company's rating is severely affected by the post-strong performance of Q4 FY-17 and it trades at a PE of 17x and 13x FY18-E and FY19-E earnings. Prabhudas Lilladher believes that current rating underestimates US growth potential in core business and gradually reduces gross debt while it unnecessarily overestimates the number of risks associated with ROW. 
Indraprastha Gas Ltd (IGL) : CMP Rs. 984
BUY| Target Rs 1,149| Return 16%
It is expected that IGL will report healthy volume growth over the medium term supported by the constant conversion of private vehicles and taxis. The increase in legal activism in view of greater pollution will make CNG the preferred choice of fuel. Prabhudas Lilladher has given a 12 month price target of Rs 1149 with Buy rating.

Jindal Steel & Power Ltd: CMP Rs. 118*
BUY| Target Rs 180| Return 59%
Jindal Steel & Power Ltd trades at cheap valuations with P/B of 0.7x, EV/EBITDA of 6x and EV/T of US$710, the domestic brokerage firm Prabhudas Lilladher values the stock at Rs180 with an estimated growth of this steel business at 6.5x FY19 and power operations (2,400MW) at Rs45m/MW. Supported by a wealthy portfolio of value-added products in slabs, RUBM, Rebar, MLSM; JSPL is the best placed to take advantage of the demand from a turnkey oil refinery, windmill, railways, defense and construction industry.
JK Lakshmi Cement: CMP Rs. 475*
 BUY| Target Rs 625| Return 28%

JK Lakshmi cement a well-know brand in Indian cement sector and with a 7% market share in the region, it is the fifth largest cement producer in North India. Growth of JK Lakshmi cement is well poised as one of the most efficient operations. It has a strong entry into the most profitable eastern region with a capacity of 2.7mtpa along with increasing consolidation in Gujarat. JKLC is one of the top pick of Prabhudas Lilladher in cement sector with 12 month target price of Rs. 625 at EV/EBITDA of 12x FY19E.
Sadbhav Engineering (SEL): CMP Rs. 315*
BUY| Target Rs372| Return 17%
The stock is trading at core PE of 15.1X FY18E earnings. Prabhudas Lilladher continues to believe SEL will be the key beneficiary of strong outlook in road sector and improving outlook in Mining and Irrigation sector notwithstanding the current quarter's under-performance. A sound budget and strong management team give us more comfort. Real Estate Company expects the company to deliver a CAGR of 23 percent of FY16-18E earning law. Healthy balance sheet and strong management continue to give us additional comfort. The brokerage firm expects the company to deliver 23 percent earning CAGR over FY16-18E.
*All prices are derived from NSE as on 25/05/2017

 Top 10 Mid cap & Small cap stocks that can return up-to 50%
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The views and investment tips expressed by investment experts on Money n Business are their own, and not that of the website or its management. Money n Business advises you to check with SEBI certified experts before taking any action.
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Last Updated: Tuesday, May 30, 2017

What is Bitcoin? | Bitcoin the fastest growing investment

What is Bitcoin & how does it work?


Bitcoins are probably the most well known cryptocurrency. You can use it for non-participating payments from third parties, such as the government, a bank or market regulator. Consider bitcoins as a shared book by several users. When you pay for a product or service with bitcoins, or be paid, the transaction is concluded in a ledger. Computers using complex mathematical equations, compete to confirm the transaction. The winner receives more bitcoins. The process is called "mining". But do not get caught. Only the geeks of the computer get their coins way. Bitcoins are electronically transformed into long strings of code having a monetary value.














FAQs: How to invest in bitcoin in India, Should I invest in bitcoins, Best way to invest in bitcoin, Can I make money with bitcoin, Invest in bitcoin mining, How to invest in bitcoin stock, Investing in bitcoin 2017, Investing in bitcoin reddit. Zebpay Bitcoin buy sell.