The Art of Money by KG

Dear Friends, Hope you all are staying safe with your family in these tough times of Covid-19. With ample of time in hand, I definitely suggest to sort out your finances, realign the portfolio as per your risk tolerance and future goals. You all should have heard about the current Sovereign Gold Bond (SGB) scheme going on for the current financial year 2020-21. SGB is available with tenure of 8 years with exit options available in 5 th , 6 th , 7 th  year also. With Akshay Tritiya round the corner, why not give SGB a shot ? If you need more details before making an informed decision , please read below.   Let’s discuss about this scheme in detail. What is Sovereign gold bonds (SGB) scheme? SGB is a government security issued by Reserve Bank of India on behalf of Government of India. It is denominated in grams of Gold. You can buy from a minimum of 1 gram to a maximum of 4 Kilograms. SGBs are simple and useful substitute of holding physical go

Dear Friends, Investment is very important but even more important is investment with an objective to create a balanced portfolio. If you invest in haphazard way it will give you serious troubles at times when the asset in which you are investing is not giving a good return. For example : If you are very aggressive investor and keep investing all your money in Share market and do not make investment in FD or other debt instruments , then you need to depend on market to be on high to get a decent return. You cannot withdraw your money anytime. You need to time the market and it is very tricky. Second scenario, you are very conservative investor and you invest all you money only in FD. Then the biggest loss you will have is you will get a meager return in actual terms. With an average inflation of 5%, your FD giving a return of 7-8% actually gives you 2-3% of return. And if your total interest income is more than Rs. 10000 in a financial year then you need to pay tax