So far we have talked about how to invest and where to invest to get good return. In this article we will talk about the investment objectives that most of the people follow most of time behind every investment. Mostly people need some driving force to invest, very few people only invest to create a long term wealth. Although these days the scenario is changing rapidly as recently I have studied that in last few years mutual fund investment via SIP has been remarkably increased in our country. That means people are discovering the stock market and creating long term wealth. Anyway, let’s list of the top 5 reasons or motives or investment objectives for which most of the people prefer to invest.
Top 5 investment objectives – Which one is your?
Income Tax Saving: I know many salaried people will immediately agree with this topic as this is one of the biggest driving force behind many investments in our country. Most of the insurance policies, Tax savings FDs, ELSS funds are sold during that phase of the year only. Do you think you are also investing when there is a need to save income tax?
Building Retirement Corpus: Retirement is gradually becoming one of the most wanted investment objectives for most of the salaried people as the concept of pension has been ruled out from the system. Every individual is now started thinking how retire with a handsome amount so that they can be able to continue the similar lifestyle till they die. You might have also noticed that many financial institutions are launching many retirement plans to attract investors. Not only that Govt is also encouraging investment for retirement via Atal pension Yojna, NPS or National Pension scheme etc.
Saving for Girl’s Future/Marriage: The situation of a girl child in our country is not up to the mark. This is reason Govt is launching many social security schemes to encourage people to save more for their girl child. E.g. Sukanya Samriddhi Scheme is one such example. One more reason is creating wealth or enough money to get the girl child marry. I don’t want to start the discussion on Dowry system in our country, but I am sure this is one of the biggest investment objectives at least for the parents who have a daughter.
In general kids education & marriage is one of the biggest expenditure of every family. So, every one is saving a good amount of money for their kids future irrespective of gender.
Buying a House or Car: Buying a car may be considered under luxury but buying a house is a must for every family. What ever is income capacity, every individual is dreaming to have their own house in some day. And for that every one is saving money to manage the down payment these days, as buying a house is very easy with the help of home loan. So, when are you planning to buy your first flat?
Building Investment Habit and Long term wealth Creation: Now this point is quite broad which will include any kind of purpose. Generally people indulge in such investments without any goal and they try to aside their surplus money in some investment tool for a longer term so that their money also grow with time. If you have met all your investment goals and want to save more money then you can always choose some guaranteed long terms investment tool and keep the money aside to grow. Are you investing regularly?
So, what is your reason to invest so far? Do you have any other investment objective which is not covered here? Could you please share the same by writing a simple comment below.