Cover Story
- Times of uncertainty are full of challenges; it gets tough to predict trends and a small mistake can turn deadly. We bring the 10 most likely financial mistakes you could make, and how to grapple with them.What’s your financial quotient? How the experts got it wrong
- Rakesh Mishra booked five flats in a single project near Delhi and planned to sell four. But for more than a year, there was no appreciation in prices and he couldn’t find any buyers.
- Gopal Krishna Murthy realised the downside of F&O when he lost Rs 18,000 on a margin call. “I was carried away by the possibility of making big gains on a small investment,” he says.
- A believer in frequent portfolio-churning and even quicker profit-booking, Rakesh Goyal has realised that his strategy isn’t working as well due to the higher tax on capital gains.
- Rajshekhar spent Rs 11,400 on an iPod Nano in February. “Had I waited a few more months, I could have bought a new mobile phone along with the iPod,” he says.
- Shash had 12 credit cards, on which he had revolved about Rs 1.5 lakh. When he realised his finances could not cover even one card, he cut down to six cards.
- Which bulb do you use at home? A lot of us still use bulbs, because at about Rs 25, they are cheaper than a CFL, which costs Rs 125, and a 2-Watt LED, which costs Rs 450-700. Never mind that the CFL lasts around four times longer, and an LED at least twice as much.
- Ashwini Dhingra was a production engineer, then got a management degree and specialised in marketing in an IT firm. Unhappy, he learnt new skills and joined advertising.
- Although 15% of Reetesh's annual package is variable, he takes the amount as a given and uses it for investments, while the fixed pay is used to meet regular expenses.
- General elections in India have had an immediate impact on economic growth. You should be aware of such implications since elections are around the corner.
- Forecasting is a science. But in uncertain times, it becomes an art. Unprecedented turn of events in the past 12 months has made experts look like tyros.
When in doubt, just stay out
The high level of cash in the portfolios has riled some of our bullish readers. Dipen Sheth explains his reasons for staying 50% invested.Midcap and Smallcap indices book loss
In the past year, the Midcap and Smallcap indices have lost much more heavily than the Sensex and BSE 500. Since the beginning of the year, the newer funds have performed better than the older lot. This is because the younger funds have been able to avoid the brunt of the downturn in the markets, even as the older funds remained invested. Bonuses, buybacks and rights issues offered by companies can affect your investment returns. Learn how to make the most of them. On mint street
How does the central bank manage your wallet? Why do you use Rs 500 and Rs 1,000 notes frequently and are flashing the debit card more often? Here are some answers. It isn’t, if you consider the many ways it can be used to rob you of your cash. We list some common traps and ways to avoid them. This facility promises high returns on your bank deposits without compromising on liquidity. Your world: Currencies
A snapshot of the rupee’s performance to help you take decisions on travel and overseas investments. Moving with the Market
For the first-time equity investor, index funds are a relatively safer option as they take the guesswork out of investing. Besides, the charges are lower. The risks in mutual fund investments arise from the probability of a fall in the NAVs, which can be attributed to market risks and company-specific risks. Money Today-Plexus Management evaluate IDFC Strategic Sector (50-50) Equity Fund: This is a high risk, high-reward fund, where a small mis-step by the fund manager can lead to big losses, and vice versa. Identify your financial needs and risk appetite before investing, says Ved Prakash Chaturvedi, MD, Tata Asset Management. The silver lining
Many investors are convinced that after the Sensex plunged 41% in six months, the key indices can fall no further. It looks like they could be right. Can things really improve? Festive offerings
With the festive season fast approaching, airlines and hotels are gearing up to woo travellers. Book your tickets before mid-September to avail of the best offers. Fowl play
Eggs are not only an important source of nutrition for many people in urban India, but are a key ingredient in bakery products and processed foods. Tech support, anyone?
There’s nothing easier than logging on to the people in the know—and the service is almost always free. Dogged effort
When Mumbai-based Wasiff Khan decided to experiment with a daily tiffin service for dogs, he didn’t expect that the Homecare Dog Food would grow into a Rs 75 lakh packaged meal business. What's your financial quotient?
Every day, we conduct a financial transaction that requires an informed decision. Whether it is taking a loan, using a credit card or opening a fixed deposit, a little knowledge can get you a better deal. Check out how financially savvy you are with this short quiz. Misled by mis-calculation
Though the Bangalore-based Ganapathys have invested in the right instruments, they have wrongly estimated the total investment required. How does a systematic withdrawal plan help an investor?
Prashanth Amin of Kolkata wants to know how the systematic withdrawal plans offered by mutual funds work and the tax implications of investing in one. Will STT be treated as tax paid or as an expense?
Entire STT payment will be treated as expenditure against the income from trading of shares. Why most of books you review are by foreign authors
In a globalised world, a book on finance by foreign authors is relevant for Indian readers too. Moreover, very few Indians have written on this subject. From the Executive Editor
These are trying times. They are also optimistic ones. Read our cover story to find out the wrongs, and workable solutions to be richer. Old script, new screen
Midway through a thriving career, Raghav Kher ran into a business opportunity. He exploited it with passion and came up with the Rs 25 crore Seventymm. Why right goes wrong
The author demolishes 13 of the most popular investment strategies and suggests ways to make them more effective. Despite the academic writing style, the book is a must for every equity investor, says Kamya Jaiswal. 
