How to invest for your life goals and objectives?

• Follow

If you are planning to buy a dream car or going on a dream vacation with your family and don’t know how to accumulate money for this, then the answer is to engage in goal-based investing to achieve your goals. Money9 Helpline hosted Poonam Rungta, Personal Finance Expert to help you understand how to invest based on goals.

Kunal Singh, Pune: I want to buy a house I am 26 years old now. How should I invest to build an amount to buy a property in the next 4 years? I will also opt for a loan but one needs to give a downpayment for that, where should I invest for that?

Rungta: You have decided your goal and time. You have to specify how much amount you will require as a down payment and how much for the loan. And you have to set the amount basis four years from now. You are planning to buy a house in Pune, so you have to keep inflation also in mind. As per my calculation, I believe there won’t be much impact on the rates of prices. So first quantify your amount for the downpayment. You can start with a SIP, you will also have to increase your monthly SIP. You might also look at increasing the time horizon. If you increase your time horizon you can invest more aggressively in equities.

Watch the full video to know more…