City Reports

7 types of investments that are working great for Jaipur youths

March 14, 2021, 4:21 pm

youth investment

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Jaipur: Several new survey reports have showed how youths in the city are ahead in the curve in learning about personal finance and investment in their 20s.

The PinkCity post spoke to several of these budding investors and market advisors to get an idea of their investment mantras.

First investment- invest in yourself

All major CEOs in past one year have foregrounded need to learn new skills to survive the post-covid world. Many redundant jobs have already been gobbled up by swift automation; remaining few are on borrowed time before they are replaced by a new AI based tool. It is therefore, important to invest in personal learning which includes new coding languages like Python, machine learning, data learning etc. The city’s youths in their 20s, are honing up their communication skills, basic algebra, and buying books on market, economics and psychology to meet the new challenge.

Equity for financial freedom

Many youths in Jaipur said that after reading about famous investors like Naval Ravikant, they all decided to earmark a major part of their monthly income for buying some equity. “After I read about Warren Buffet and Naval Ravikant, I made up my mind I have to own some business or at least part of it. I invested in a business that is owned by my friends, and I am already getting good returns as passive income. Given the fragility of the modern workplace, you should aim for some financial freedom to sustain in 21st century,” said Deepndra Sharma (26), an MBA graduate who works as sales representative in the city. In fact, many in Jaipur are attending regular free seminars to understand market before they invest.

Spend less then you earn

Nischal Yadav, a freelance coder told the PinkCity post that he has made a special emergency fund to meet any challenge that he may have to face in the future, “When troubles come knocking, you need proper wherewithal to sustain yourself. I designed a very comprehensive budget that includes everything from my monthly mobile recharge, gym fees, fuel expenditure etc, I don’t spend a penny more that exceeds my budget. Whatever is left after monthly spend goes to my emergency savings account,” Yadav said, adding that he now has enough to keep him afloat for well over a year even without having to work.

Short term and long-term investment

There is a sudden spurt in number of youths setting up their demat accounts to invest in stocks. Gautam Khandelwal, a stock trader, said that every month at least a dozen youngsters comes to him seeking financial advice and to open their demat accounts. “Many of them are as young as 22, they invest for long term in order to outlive the  everyday disruptions of the market, usually investing in time trusted stocks,”he said, adding that some youths insists on diversifying their portfolio to reduce risks.

Gold

The all-weather friend of any investor is gold. Despite many unexpected ups and downs in the market due to covid-19 pandemic, the value of gold remained an assuring presence for many young investors. One investor, a 29-year-old employee at a private firm said that every month he purchasedsome and also invested in gold bonds which eventually gave him a huge impetus. “I was investing in gold as soon as I got a job, which  about five years ago. Sometime in 2020, I decided to sell some of my gold investment to buy a good property.  Now I am using gold to invest in real estate,” he said.

Equity mutual funds

Choosing a good equity mutual funds requires a deliberate search. People who invest in this sector needs to be mindful of the lurking loss, however a good fund manager will be able to help you to steer clear of potential high losses.  Jaipur’s youths said that one should venture into this area only after a good market research and through talks with a manger.

National pension scheme

This is a long term investment plan which one should start paying attention to, as soon as one started earning. Managed by the Pension Fund Regulatory and Development Authority (PFRDA), the city’s youths said that one can choose to invest into NPS as per one’s convenience and risk ability for good returns.

First published: March 14, 2021