This Article is for Beginners who are waiting on the Sidelines to get into the Stock Markets. This is a great time to start building Portfolio's of Quality Companies as Everything is Available at quite Reasonable Price.
How & where should you Invest?
Those who have Knowledge & Understanding of the Markets can start Accumulating Bluechip Stocks which are down 25-30% from their all time highs. Remember , this is not the time to go & hunt for Multibagger type of Stocks. Stick to the known names & accumulate Bluechip Stocks only.
Those who cannot identify Companies themselves are advised to start investing via MULTICAP SIP ( MUTUAL FUNDS). SIP works best when Markets are down as you get to average your NAV at lower prices every Month.
Do we know where & when will the Markets bottom Out?
Only the God & a Liar knows when will the Markets bottom Out nobody Knows when will the same happen. So when I say to start investing I'm Referring to invest at least 40% of your Investment amount now & rest on every dip.
Do not be over excited and start buying Everything from tomorrow itself. There is good chance that you get stocks at much cheaper level.
There is nothing to be Worried or to be Panic about. There was a much bigger Crash in 2008 but soon after that the Biggest Bull Market of all time Commensed. So instead of Predicting the Market & Bottom better we focus on the things which are Controllable & in our Hands.
Be Disciplined & invest Regularly. Do not give importance to Unnecessary news because everywhere you are Witnessing just panic as of now. If u follow this Process , I'm sure you would be rewarded with Great returns in Coming Years.
I will be Investing 40-50% of my Investment amount Tomorrow & rest will slowly keep Accumulating if theres any Dip.
When the Stock Prices are high People say it's Overpriced & when the same is Available 30% Cheaper they are afraid to buy. Everything was looking good just a Month back & now Everything looks junk. Views and Perspectives change quite easily & Quickly. After 4-6 Months you would be Grateful to yourself for investing in this type of Market Crash. In my 11 Years of Experience I've always noticed that when everybody is highly pessimistic and talk as if World is going to end Tomorrow , generally Markets bottom Out around that phase . We are almost in this kind of phase now. You should have been Fearful of Investing when Nifty was near 12000-12400. Tomorrow you might get Nifty near 8700-9000 if you are Fearful still then you will keep waiting for life but never find a Proper entry / exit level. So the Choice is yours , keep waiting on the Sidelines or start taking action.
I conclude this Blog by hinting a Famous Quote from my Investment Guru.
Be Fearful when others are Greedy & be Greedy when others are Fearful - Warren Buffett