The Investment Thread

[thakur_ritesh]

a sound financial planning is a must for a secured future for you never know what tomorrow has in store for us and i am sure we all have our investments planned out well and if not then may this thread be used by members to get some sort of an advise on where to start, where all to invest and type of returns in store with each investment mode.

purpose of the thread will be to share, learn and educate members about such investment modes.

on a scale of 100 please share with us what part you have invested in property/stock market/commodities/bonds/FDs etc, further break up of each eg you say mutual funds, then within this what type of funds you have invested in (equity/debt/large-mid-small cap, etc), if you want to name the funds would be fantastic.

please start of and lets learn and educate each other, and please use the thread to ask investment related questions.

 

[amoy]

Pls enlighten what FD refers to for my knowledge. Property aside, my portfolio is consisting of below (most likely investment institutions/vehicles/products/RoI in China are diff. from India)

1) Open-end Mutual Funds (82% of total market value)
... aa. Money Market Funds (do I put it correctly?) I tend to buy in more unless there're other better products available (20%)
... bb. Bonds Funds (5%)
... cc. Stock/Mixed Funds/FoF (59%)
2) Stocks incl. close-end funds 15%
3) Insurance (an investment+ insurance policy combinded product) 0.62%
4) Cash: 2% Prefer to keep as less cash as possible. Putting almost every penny in (1) and (2)

I'm not sure about terminology. Am I getting kinda risk aversive by turning more and more to 'secure' products?

 

[thakur_ritesh]

FD= fixed deposit. debt based investment, with a fixed return, fixed tenure and made through banks. thanks for sharing.

do share with us the kind of returns you have enjoyed, of the experience you have gained what would you suggest a good mix for a good portfolio and do you consider insurance an investment tool? no investment in commodities? thanks.

 

[amoy]

Subconsciously I don't think of "property" as "investment" (^_^)

* FD: Personally not interested in FD as it provides less fluidity than "Money Market Funds" (T+2) with almost the same return per annum （now in China 2.75% for 1-year FD tax free)

* Equity Fund / Trust products: as issued by banks/trusts they promise much higher return (8-10% per annum). However the threshold is usually rmb 1mln min.. That's contradictory to my preference for "diversification". But my family members prefer this.

* Commodity: Personally feel not suitable for a non-professional like me. But it's worth considering if such products are offered by mutual funds.

* Insurance: Some insurance products offer a return in addition to its coverage like of accidental injuries and can be a collateral. Mine generates a 17% return over a 5-year period.

Open-end mutual funds in stocks/mixed products generate almost 100% RoI thanks to the boom in 2006-2007. But in a long run closed end funds (high %% in stocks with bit in bonds or money market products) offer a higher security margin with a discount in trading.

For individual investor, I think mutual funds are better than directly getting engaged in stocks or commodities. Besides in a long term stocks are more promising than bonds/money products. FD is the "worst" choice.

--- only my personal thoughts

 

[thakur_ritesh]

i would assume there are restrictions in selling and buying properties in china so may be thats why you dont consider property as an investment tool ........... ? in india the returns are one of the finest if one was to hunt for the right place.

FD/debt based investments: well its an individuals call and the risk appetite one has but if one is averse to risk then tools like FDs arent that bad i would assume, much like what i would say for securities/bonds/debt based mutual funds. low returns but assured returns.

* Commodity: Personally feel not suitable for a non-professional like me. But it's worth considering if such products are offered by mutual funds.

* Insurance: Some insurance products offer a return in addition to its coverage like of accidental injuries and can be a collateral. Mine generates a 17% return over a 5-year period.

commodities: can you guys in person hold on to stuff like gold/silver?

insurance: 17% return in 5years or 17% year on year for 5 straight years, pls clarify.


PS: i wont be around for the next few days, so guys keep this thread going and make it as informative as possible. raise questions and exchange views. i am sure a lot of gurus would join the party.

cheers!

PPS: changed the header, thought this one to be much more cooler.

 

[S.A.T.A]

Only means to assuring long term security is investing in long term happiness.what portfolio for happiness.

 

[amoy]

Chinese behind the "iron curtain" (*_*) are not really that different -

1) Property: It's my PERSONAL thinking not to categorize it as "investment". But of course it is. With measures like transaction tax hike, and restricting bank loans to curb speculations/bubbles it takes a longer period for a return on property nowadays. I let out one of my flats .

2) Commodity: of course we can hold stuff gold/silver/jade. Banks issue an investment tool called "paper gold" too. it's totally a matter of personal preference.

3) Insurance: 17% in 5years.

4）In my mutual fund mix I also invest in QDII funds in H Share mainly (Hong Kong Security Exchange) mostly in "China Concept"/Red-chip stocks in an urge to "diversify". But after 3 years it's loss-giving. That seems telling me better to put eggs in baskets I'm familiar with.

 

[Rage]

I currently have investments in an ICICI-Prudential and Principal - PNB investment fund. I've been thinking on a Demat account, but don't have the time or money to indulge in any large-scale trading at the moment. As such, a mutual fund is ideal for me.

I also have a couple of investments in some North American hedge funds. And if any of you are looking to invest in North America, I'd highly recommend the Investment Company of America mutual fund.

On the matter of investments, I've been looking into investing in the Pipapvav shipyard- which was a private shipyard, but has now gone public nevertheless. It recently received Foreign Investment Promotion Board-ordnance to take FDI equity; and is well on its way to becoming the next big thing. It's scrips were trading at a healthy 4.58 crore on Mar.25, and with its tie-ups with Northrop-Grumman &co., it looks set to build a whole range of frigates, destroyers, and perhaps even IAC-II, for the defence industry.

In the latest news: it is even looking to buy foreign oil & gas firms.

 

[amitkriit]

All of you rich guys put ur hands up in the air and give me all your money

 

[Rage]

LMAO Not rich at all. Just like playin' with my money. Were it not for a few savings I was forcibly made to save, I would've almost been wiped out.

 

[Bangalorean]

How many guys on DFI invest in stocks, raise your hands please!

 

[Singh]

Ok I plan to start investing from 2012 onwards, not a lot just a little bit each month. What should I invest in, how much, and with what regularity ?

I am partial towards index funds. Don't have enough to invest in property. I do own some gold.

 

[Yusuf]

A little means a few millions for paaj.

I use to save with fidelity, franklin templeton and birla SIPs. A little in each like the minimum acceptable by them. Not millions like paaj.but that was before marriage. Since marriage not able to save.

 

[Bangalorean]

Singh, If you don't plan to really "trade" in stocks, go for mutual funds. Just IMHO.

You can probably keep your options open by opening a demat trading account with Sharekhan or someone similar, and you can also trade in MFs using your account. If you ever feel tempted to trade in stocks, you can do it using the same account.