Savings involves keeping money in a safe place where the principal remains unchanged (like keeping wheat in a godown), while investment involves placing money in instruments where the principal may grow but carries risk (like investing ₹100 to get ₹105-110). Inflation acts as a 'rat' that erodes the value of money over time, making it essential to invest in instruments that can outpace inflation. The Indian stock market evolved from the Bombay Stock Exchange (founded 1875) to modern exchanges like BSE and NSE, with SEBI established in 1992 to protect investors after the Harshad Mehta scam. For young investors (20-35 years), the recommended approach is to first build an emergency fund, then invest in debt funds for stability, and gradually increase equity exposure for higher returns, understanding that equity investments are volatile but historically offer 17-18% average returns over 7-8 years.
PAISA PATHSHALA - Paisa Pe Charcha
Added:Hello friends, I am Vikas Kapoor Alternatives Back to you again from Geopolitics I am present. Today is very special for me There are guests who I think are a common man from whatever aspect he may be, Big for him because of his background It is an interesting subject. what we discuss Are going to do it. Savings and Investments is the subject of. Will give it a try.
Will run the series. We start from the basics Slowly and studiously we will go to the The last part will be its investment.
We will go over it so that a common man can be fully benefited and what to do with it It is inside him so that he can understand it well Before I do that, I want to introduce I would like to say hello to Navneet Sharma ji Hello Vikas ji, hello your viewers also to Thank you for taking the time to come to my podcast I am very grateful to you for I would like to tell you about Navneet ji.
I will say that he has a long history of 31 years.
Experience in the corporate sector Out of which he has been an entrepreneur for 9 years.
Doing my work. I will come to that too.
His experience is 22 years old It is within multinational and national companies.
If I talk about multinational then Vodafone He was in a senior position and I was in the national team.
If I talk, I mean there was a bank also. stand It was a chartered bank and in National it was HDFC Edge was in a leadership role within the bank.
Like I said, this has been going on for 9 years.
Is in an entrepreneurial role. inside him He worked on three different projects They are working. very aggressively Financial Services, BPO, Services and In agriculture. Their core area That personal confidence of theirs That is wealth and investment management.
Above. Credit Risk and Revenue Above the management. Their extensive He has done the work in Northern and Taxed in the Western States Specifically.
And currently it is SEBI approved.
Registered Investment Advisor. And Certified which is their National Institute of Security Markets NISM Edge He is a certified investment advisor Financial Planning and Management through FPSP Standard Board International Body Hai Ye Age An Investment Specialist. It's at the same time because their investment It is a good portfolio. This is a writing There is also faculty. Like in IMT Ghaziabad He has given this session. After that Admission to Chandigarh University and then Business School Jammu and its Management After the department of Squash Our agriculture university is inside in Jammu and MIT's Business School and He primarily lectured there.
Wealth Management delivers Top, Investment Management, CRM, Above CEM and Forex Management. So I will understand that this is not a small thing but a very big one.
This is their profile and by doing this means These are the contributions that are being made to today's Budding Joe means a normal Joe guy reading If a child studies, his employability increases.
It will increase if he has additional things Understanding practicals more quickly and clearly Come. So I thank them again to appear on our podcast. and to go Further question in my mind is as Normal because I absolutely love a Le Mans My knowledge in investing is much higher.
Not there. So I'll ask like a A normal person should understand that What is investment and savings? So First of all, I will start by saying that the present Which is ours because this channel is about geopolitics So the first one is ours which is today's The scenario of the world is so fragile It has become so that every third day someone or the other The war is going on. Whether it's in Ukraine or Russia Be it Israel, US versus you know Iran Be with. China Russia Indirectly He is involved in it. Whether it is India It was like a four day war with Sindoor But it is running permanently. somewhere There is no proxy war going on from anywhere.
Used to be. Plus there is terminal inside Pakistan.
There is terminal in Bangladesh. So our Neighboring Countries and Asia and Across Something or the other is going on in the world. which is Making Scenario Very Very Bad Now a Days. So because of that the biggest hit is He is a common man. This old fashioned I am no longer in the state in which I sit here There is more fighting going on somewhere inside Jammu.
within our West Asia and I think that I am not going to have any problem. No I am wrong. My problem first He will come as a common man. So on top of that I I would like to ask him about Navneet ji. Now I will be quiet for a bit. handover to these I will do everything whether it is saving or investing How can a normal person be a consumer?
You should save it for a rainy day So that if there is any problem tomorrow, he does not have to face this problem.
It may happen that I may be in need of food or money.
Where will I get it from? So over to you Navneet ji.
Friends subscribe to my video Do it and don't forget to like it.
Thank you very much Vikas ji. You've had too long Gave introduction.
There is no doubt that my experience It has been in different areas. and right now For the last five to six years I have been investing and Any study related to wealth management After that, discussions took place at different places.
It also happened, there was discussion also. So the most The important thing is that you have taught me this He gave me a chance and I was still looking for this opportunity.
I remember that in such a long career, whatever we People have made assumptions about investing or Mistakes you make while working in a corporate sector we did or what we learned If I take that to the new generation or whatever They have something in common if we can sum them up and tell them this.
What to do and what not to do both of which The addition is That's what I try to do for the students Tell me in the middle where there is a common forum We all meet here. Today we still try I will try to tell you all those things Because we also make mistakes in our time.
We do. So we will discuss all those things also.
We will do it and what you discussed today Regarding the scenario, that scenario is definitely A very dynamic scenario has happened at this time.
And that the size of India has become so big that now we have a small company sitting in a silo There is no country. Anything will happen in the world today So it has an impact on us. Now We Matter We do in the world economy as well as in the world's Now We Matter in Geopolitics Too So this is the scenario of India. The rest of your The questions that are coming up are savings and This investment is very interesting.
Topic Why is it important in today's date? General first So many of us, all of us, we are saving who probably considers investment as the same thing Are. But if we search even literally and If you try to find it practically, Both are very similar There is a type but that is a big difference. I Let me give you a small example. old In those days or as farmers were, they used to harvest crops once.
They used to plant and what are some of the crops for your food for the whole year They used to keep it in the godown and whatever else were selling outside which they kept for their food.
What is that to him, if he accepts it?
kept four quintals of wheat for himself we we So those four quintals of wheat will be useful to them.
At a time when wheat is not being produced or which There is no time Non-Seasonal Joe Time A quintal will remain four quintals only and He has kept four quintals, so four It will remain quintal only. There may be someone in between If there is an attack of rats, if something happens then four Three are left. But yes he did his Renee Saved something for the season.
This is an example of saving.
Like you deposit money into your savings account whether you kept the money or you Packed in a box as per old times I did it and kept it aside.
What is called a bank.
Yes.
So whatever money you keep, it will remain the same.
Went.
Technically it remained the same. But practically Some rat or the other eats it. that's me We will discuss in detail later.
What is the name of that rat?
So whatever we have in the savings account in the bank Whatever I have kept is the same savings. however today in the times when even in the olden times People were a little educated and understood a little.
Those who understood things, they used to invest their money They had a spare It's not just about money, it's about resources.
Is The spare parts were kept in such a place which may carry a slight risk But if you If he has invested ₹100 then he will give him ₹100 in return.
105 110 or some amount increased and you get a little bit There will be a risk element but it will increase.
Got it. So if you have done those two ways You divided the resources, one resource that That which you have kept for absolutely emergency purposes placed in which you do not expect that It will grow but it will keep you away from your home.
Available inside.
Available as a liquid.
Yes, yes, that's your saving.
And that part, that portion which you have seen somewhere I placed it in the hope that if I placed 10 If there are, it could be 15 or it could be 12 Are.
Even if you invest 100, it can become 110. So Meaning, the investment you make involves a little risk.
Whatever you are increasing we we We practically call it investment.
Can.
Ok?
So first of all, definitely first you have your You have to complete that house which is your emergency Is. Savings and then whatever other than saving He will be saved with your investment Have to go in the direction.
There is a little element of risk involved in it.
Is. Risk is involved in both. Different It is kind of. We will discuss the rest later.
Investment of investment Navneet ji It also has something to do with inflation.
How to calculate Inflation, so look at the inflation that I told you of grains A little bit about inflation for the audience.
A little bit about what happens in that in Hindi Translate it, I will also come in that Just now when I gave you the example of grains So I said that the mouse would eat some grains.
Is.
We That exact inflation is your The rat is the one who eats money.
we we Ok? And in that and grain case, so be it It could be if you sprayed some medicine or kept it protected in a place where If the mouse can't enter, you might even survive.
Go.
But whatever your cash currency or money is From the rat that bites him You can never escape. to that rat It is called inflation. If we who Also a student of Economics or Commerce He introduced the concept of time value of money.
You must have heard that money is worth its time.
Along with this its value also decreases.
Meaning if you buy something today for ₹100 If it is available for ₹100 then the same thing will be available next year After one year you will get it for ₹15.
What he means to say to the audience is that Piggy If you deposit ₹100 in the bank, then next year It may remain at ₹97 or ₹95.
its price is so much Its price will be devalued.
So ₹100 will no longer remain ₹100, it will reduce. So So if you have money, resources Resources means what is in currency If they have resources and are not earning If they are not increasing then they are practically decreasing.
Are happening. [nasal sound] Meaning whatever the inflation rate of your country will be It is different at different times. Today From 20, 30, 40 years ago, that 10%, even 15% It used to happen. Fortunately, that 5% as of today is around. between four, five and six Rotates. So, as of today, we assume that Let's take whatever money I have in cash.
It is lying there. If he is not earning then he is Its value is decreasing by 5% every year. These There is inflation.
so therefore I, friends, simplify a little more.
I do. You are inside the bank today.
You will keep ₹100 as your nominal savings.
It is a savings account. So that gives you a rate of Interest on savings is 3% or 2.5% You will get it close. That's all I get.
In average Ok? So how much is that? If inflation Our 5 is between six and between percent If we talk about annual, then 3% in three I got a minus of ₹100, I invested ₹3 I got more but inflation increased At 6%, I will lose ₹3 next year.
If I don't get any benefit then investment What Navneet ji means to say is that it happens Which will make your money earn more than inflation Meaning, you have put something inside such a product The money invested will give you a return for the year.
6% of the 10% received went into inflation. I If I calculate then 4% net is your profit Done with respect to the savings you made It has been done as an investment. This is me I wanted to say it in a simplified way.
Yes Navneet ji.
So now we have discussed savings and investments.
I have seen the difference that the investment will be that which Will beat your inflation. when meaning If we say it roughly in simple language then to your money Will increase.
Will increase. Ok? So the rest of you You are talking about geopolitics in that There is no doubt that as of today As I said earlier, we are now fully Matter in the world economy. We Ok? When we matter, we both positively and negatively Will be impacted.
Will be affected.
Now a recent example which you first There was the Russia-Ukraine War. We have no direct There was no involvement in that. a little bit There was involvement that some of our students They were stuck.
The population is not very large there.
Was. Not our NR or similar but There were definitely students. So that was a small one.
once he was brought back, despite We were also impacted. why is that Were there any impacts? Because one thing came out.
that we are from Russia Used to take oil. And that of the whole world Western economies were Western economies Was gathered in the fight against Russia.
So he tried to object to this.
India tried to import oil from Russia Why are you taking it?
Why are you taking it? America did that too that this money that India is investing in this It is being used in the Ukraine war. Yes that's what they meant to say, that's what they meant to say The concept was to say, but okay, that's okay anyway.
Because the word now means that we will never Let's talk about multipolar words sometime They talk about bipolar but they Practically, it remains bipolar mostly.
In multipolar, people side when they are extreme When a situation arises, everyone is someone or the other.
Side takes it So India means India without any reason There was an impact and incidentally at that time That tariff discussion with our USA also started then any of our agreements There was also talk about it, so all that The entire discussion should be impactful.
And the main reason for this was that in the last 101 For years we have also had a lot of discussions with the USA.
A big trade had been started, so as soon as That discussion turned a little bitter.
They were forced to shut us down.
If he said that, we became impacted in ourselves.
Ok? Same situation right now with us who are in the West It happened in Asia, it happened in West Asia Is. Now even in that, Iran and America are fighting among themselves.
Have been. We have nothing to do with it. Ok?
But what we are saying is that two men threw stones.
Have been. Our house came in the middle.
I have arrived.
Ok. That stone is falling on us.
How is it falling? that when he talked about the Gulf Now we get 90-92% of our oil from outside.
Let's export. Meaning our energy We import the source of this and that Mostly what it was It was limited to those countries including Iran.
Right now we were not taking it because of the session.
But other countries like Qatar, we People used to take gas. From Saudi Arabia to UAE We get oil from all these people in different forms.
Used to take. We When we reduced the oil of the rush Or if it is reduced then mostly Our dependence had come upon them. Then Firstly, we used to take oil. Second, when he Gulf has stopped what we call hormones If they are closed then there are many others too.
All our trade with Gulf countries If it happened then he came. So we don't want to Even if we are there, don't call us a part of this war.
But the loss that we suffered was Had to bear it. So, your first The question is that with geopolitics It is definitely related to economics.
It is related and it is now of such a large size It has been said that we are all impacted at some point or the other.
There will be, there will be So if we do the rest of its session further We will discuss it that way but broadly it is a If I say about it in a single line So now this same thing happens every time.
It is coming out that this multipolar word I or bipolar word, whatever you want to call it.
The clarity that no one has is that We always keep our options open Will fall. So we have to and our jo a The basic term is that we should not put all our Eggs in a single basket. So our Dependency on a particular country Should never remain.
Should not remain.
This is one of its So there is a very fine balance as of today.
In Geopolitics. See Hindustan Israel and Iran are sworn enemies.
We make as much from Iran as we do from Made in Israel. We defend against Israel They take a lot of equipment. very good Our deal has just happened recently. and Iran In case of, we take the rest of the things from them.
Chahar airport is our port We have got that entire setup done. Aldo There was some damage to it a few days ago. But We are friends with both of them. So Geopolitics like this only that you fine You have to walk with balance. No, my next The question is Navneet ji, what is the background of this A normal human being who moves on may I should take that one which has monthly salary.
or on contractual basis which is daily wage Number of days a month he works Will do it, get money, get good, get bad I will not go to that, I am a fan of these people.
What is the source of investment for Tomorrow there will be so much impact on them.
But they must have some money in their pockets.
So that he can come back to his home from there because I see big examples like Covid It happened when people lost their jobs.
Many people had so much loan that they did not have backup.
Since suicides have happened, this concept has become bigger.
He became more aggressive and aggressive that Investment is very important so that You are able to know take out in Rainy Day Money from there and raise your family You can Look, now you are talking about the common man or the common man.
will we talk in that The most important thing is that you absolutely The logic of starting from the beginning You will know how much income you have.
Ok? What are your expenses after that?
Is. Meaning you get everything according to your budget.
Will have to start. Absolutely that each one should have his own income and his own budget.
Investment or savings, whatever it is That method has to be planned.
So every person whom we call in the local language There are as many sheets as there are sheets.
The situation that is about to be removed.
So, this is the biggest thing I want to say first.
I'll start with a different approach because Whatever your investments and savings The journey of investment It all depends on which part of life you are in.
Be on stage.
Ok?
In which session there is a 25 year i.e. 20 to 30 years a young man who has just has started earning and has liabilities Right now it is limited for whatever session Similar sessions are available when you are 30 to 40 years old.
Or if you go between the age of 30 to 45 years Social changes will happen a little bit.
Okay, conceptually they can remain the same.
But the practical aspects may change.
Similarly, the bracket of 40 to 50 will go to 50 Bracket from to 60 and Bracket after 60 Absolutely.
Ok? those brackets on top of it are different will depend on the method and after that your What is the difference between income and expenses?
How much can you practically save?
It depends on that too. So this There are different instruments. Even then If we talk in very practical language because I'm so interested since 20 The initial stage that we have till the age of 35 quote or up to 30 years old because 60% of the population India depends on this.
So this is the most impacted.
So when a girl aged 20 to 35 years takes only 35 years Let's take it. For the age group of 20 to 35 years I will start with the first thing. I so I want to go below 20 as well. We [sound of clearing throat] one, like There were habits in our homes even earlier that Children used to have a habit of having a piggy bank to plant or the one which we call bugni in Dogri also speak Was that one to put on okay after that Nowadays, even small accounts are opened at home.
Used to take someone's RD account, opened it I made some savings in the name of a girl child.
So that's a great way But my biggest suggestion is that Children should get used to that.
It is okay that he is doing something or the other, something or the other.
Start saving that from your pocket money.
If they do this, it becomes their habit from childhood.
Is.
Ok? Whether he gives something of his own to Buy it but they will know the value for money And when they collect it, they collect it.
So a normal small thing with less money You can take it. But when she accumulates and grows The amount can be a huge amount You can buy valuable things. this thing They should understand.
Ok? But I'll jump straight in.
That as soon as you start earning even a little Curry. For that I say that someone It is also possible that a child who is 18 or 19 years old Start earning something even at the age of has been or saving from your pocket So at the age of 18, your PAN card or Whichever means it becomes yours Okay, you should invest at the same time.
You should get into the habit of saving So maximize your savings as much as you can.
After you have completed your major requirements Okay, because I keep saying this over and over again.
I believe that you should keep that 20 to 30 years of age as yours.
Skill development is your education and There is also a need to improve yourself.
There is no compromise on that. no home The parents should do it, not the child himself.
Needed [nasal sound] Ok? Yes, after completing all that Complete your learning items first After doing this, whatever you earn after that There are different ways you can save him.
Can pass.
Ok? So he starts them immediately.
Should be given. Now as far as we are concerned that we are talking about investment instruments So in instruments we basically Divide the investment into three parts Are. Firstly, you have a completely basic fund.
That the basic thing is what we are saying that you first take care of your emergency Whatever the scenario is, it has to be covered.
How much percentage do you suppose a person earns ₹100?
Used to be. I am taking an example as an Like Le Mans, so any of that is 101% him should invest No Investment 101% No Investment What is his expense if he is earning ₹100?
Yet it is You are earning ₹100 if that poor man's house The cost is only ₹80 Then this situation Maybe it all depends on his parents.
The opposite is that if he is earning ₹100 and his The household expenses are ₹20, meaning I am giving an example.
So if he is saving that 80 then I am I would say save 80% of your 80.
Well, actually, the formula is this.
The formula is that first you calculate your total.
Check your total income.
And what are your compulsory expenses?
It would have been a very small exercise for him.
that you have completed your last three months Make a short list of expenses.
So you will get the basic idea that let's say Let me understand this a little bit instead of 100.
Let us give an example of suppose one The man has a child. I am 25 years old.
He has just got a new job. His ₹00 There is a salary.
There is a salary.
Ok? He earns ₹00.
Now I am giving that example. the child is So his family is not demanding anything from him right now.
Have been.
Ok? Assume that he lives somewhere Used to be. Living away from home, Chandigarh living in or residing in Gurgaon So he has his own expense of Rs 20,1000.
Ok?
Ok? So now 300 is left.
Ok? So I assume that 10 or 15,000 as his own and expenses are further in his account.
Will go. We So now his expense is Rs 20,000.
He got another 10-12,000 rupees. ₹1,000 is his son's It is happening today's date.
Ok? So if he budgets it will look at the expenses of the last three months and Average will see that I am saving 10 then he Immediately give him 10% of your investment.
Should be put in a category.
Now the moment he changes his job next year And its expenses are almost saved.
Are. But his salary should be 50 to 80000 It goes away or becomes 1 lakh. then to him Come on a little bit, he will upgrade his. So We had given him those five earlier, 20,000 Your expenses and ₹100 based on your skills Development from this point of view, so 10 that You can add more but the rest should be Shift to the investment part Part Because this is the only time in the beginning when you If it is near then the meaning of saying rough is when you Decided your budget So whatever investment you have, then top it up Keep it on priority.
First comes your salary, so first The installment of your investment No, or whatever that bucket is, immediately first Take it out. Remove it so you can't see the scope.
May it not remain.
Yes, you did not see it. After that your Come to the expenses. But then I am I am repeating that your skill development Pay on your personal development Do not compromise on that.
He did not find any compromise. if someone Focus on your hobbies like reading books Constructive Hobbies If you like books on constructive hobbies I am fond of reading Definitely spend on that first.
If you want to learn any other skill, Some to play games, some to do sports, This kind of travel is for those who have their own Do that while staying within your budget. in that There is no compromise. But beyond that that the wastage which we can say we If you check it a little, it is He will definitely give you his instruments You should do it by doing it.
Ok? And after this The next question that comes to you is that What are the instruments? So that We can discuss instruments separately.
Are. But roughly speaking, first you have to know your income.
For those aged 30 to 35, increase your income and The remaining amount after budgeting the expenses Yes, he has to allocate it.
Suppose I am trying to say this to a man As you said, the salary is Rs 500.
He is saving Rs 10-15000 per month. Now The next question that comes to him is Near the child. Alldo is very aware these days As much as our generation is the young generation, but The question arises that where is that ₹15,000?
Invest otherwise in his account It will remain there, okay, I will see you next month.
So, in a way, it seems to me that If he leaves it like this for three or four months That's also an opportunity loss within the account.
It will remain for that particular youngster So how do I find out that I Where can I put what I can be it Related to instruments The next step that comes Yes, now look at what The young one, which we call 20 to 35 year category we we By the way, when we talk about financial planning If we discuss the subject then we I suggest to everyone that first you next because if your job is good your If the studies are good then if such a thing happens in it It seems that in today's date the job Everyone is at risk. So therefore the most First of all, it is said that the next three Or the six-month fund that you have Monthly expenses should be that much Needed If you have that much as a savings account Will not say in an FD We Meaning, which is readily available to you in one click yes So suppose if his total is 300 There is expense So he has to fill his bucket first.
minimum of three months 30 * 3 I am giving an example for the one with Rs 500.
₹1 lakh of his Ok?
It must be lying there. Liquid as a Liquid Fund First he has to fill that bucket. To all The first thing to do is fill that bucket.
I have to fill it.
Once that bucket is filled His Keeping that bucket as it is, now Immediately to the young age person immediately Should shift to pure investment. Now that In case I am assuming? That The one who The category is We We generally call that category because of its He is near the age of retirement or There are approximately 35 to 40 years left for earning There are leftovers In which he still has to earn more salary has increased Absolutely Okay, so his major expenses are which are major goals We The one that requires huge amounts right now It's still far away So that's definitely anyone who's a little older.
Comparatively higher risk There are instruments. We He can invest in that. like me Let me give you an example, like what I used to do earlier We did not discuss whether we had What are the revenues of the investment?
Let me tell you that roughly your There are three basic things available. one then There's your Simple Bank. You have two in the bank There were different types of instruments. One you saving You keep the money in the account. Second, you can invest in FD I keep it. Ok? Same with FD A similar product is RD.
Absolutely.
Ok? So Ray dip those people already I know it. Then you have a The meaning of the type of Dept is that it became liquid.
In technical language we call it liquid.
Let's say. This is almost liquid.
After that we have a second category Dept. Dept means that we are the one to whom Fixed The returns we are getting include bank FDs Will also come in the day category.
Ok? Generally you people who spend 15-20 days We consider monthly FD as liquid.
Let's take it and the one beyond that which is six months Or the FD which is beyond one year We would have accepted it in the category of deputy Are. So there is one in the bank which is yours for one year Above I felt like I had a different word. Dept.
It is what is borrowed.
Yes, you have lent it, right?
Yes, we have given it. It is the opposite.
You have given it.
We have given it to the bank. You DBT, we call it De Instrument Let's say.
So that's in the day category besides our More great instruments from Pass Day Are. Like the simplest one as of today It is about mutual funds. So in mutual funds What is happening now is what used to happen normally.
Earlier, the companies that you used to have were also like this She produced a variety of instruments in which Any big company like yours is a She used to issue instruments that would give that company Lend it to me.
Absolutely.
Ok? She used to withdraw at 10% and 12%. Now!
She also takes it out. But right now mutual When funds also entered into it, they also Produces a variety of instruments. Second The instrument I'm going to tell you about I am that Dept.
We So day means that you have to do it relatively Fixed type of returns will be available.
Ok? But the liquidity in it The portion is of normal liquid funds the comparison is a little less because you Deputy, you make a commitment that you will work for one year for two years or three years or for several You can also invest money for five or 10 years.
are you investing So there's a little bit of liquidity in there.
It is comparatively less. But in that which The returns are from normal liquid funds It will be more. Like average you value due to Are you in India today?
Let's say somewhere between 6% and 9% and 10%.
Fixed type of return is 100% fixed so that also will not happen but fixed type You can get different types of returns In instruments, that department is It has different categories like if you If you are doing FD in the bank then it is one of your If you have FD of 2 years or 3 years then In that you will get a particular interest of 7% 6% Whatever average is going on, sometimes senior They give more interest to the citizens.
will be. You can invest FD directly in any company.
are doing a part of their unsecured funds There is a fund. In that you will get up to 7, 8, 9% According to the category of the company you Invest with fixed returns You can.
There are some government obligations.
Well, you can take that too.
You can invest in that also. in that There are some tax savings as well.
So you can do that. But all those long years There are instruments of. In that you have one Your amount for a particular amount of time has to commit. But its advantage What is that you know your returns.
Do you know how much you are getting?
You know eventually and peacock and lace The principal can assume you are secure.
Are.
But you can't break it in the middle.
It cannot be liquid.
If you get it broken, then this is what will happen in breaking it That's generally in that, then something that interests you.
Will give loss.
Will give.
Some situations like this happen. in many You can't break it. In many you lose It happens.
and one of his A healthy alternative has arrived which Mutual funds that are debt funds We So like if you have debt funds in a company If you are doing it then you are in the same company you are taking a risk So if you do the same thing with a mutual fund will you do it through So maybe he's in 20 companies.
If you invest, your risk will be diversified.
Hoggett gets So it's always better if you dept Participating in the instrument So it is better that either you go to the Government of Are we doing it in some fund in India?
So that's fine, that's your more less secure.
It will happen but liquidity could be a big one.
Problem because of Government of India Mostly funds are very long term Are. 5 years are up to 10 years.
There are.
So there is a loss in breaking it or It happens. So you can invest in a mutual fund company.
will you do it through So, governments of different maturities Funds are also available and different Corporate funds across maturities It is available.
Ok So that's your second category day fund in that It will be applicable. So yours is three The share was telling that liquid fund in which Your interest is low but the returns are low But it is readily available to you.
Instantly available.
Ok? Day funds in which your liquidity Limited but your returns and principal Whatever it is, more less more and less son 100% There will be no safety security there.
But your peacock and lace is secure. Third The category we talk about is equity.
Are.
Speaking of stux.
Yes, so we are talking about equity.
The third method was equity.
So in equity I told you earlier that when there are two equity Talking about equity mutual funds in equity If you do or talk about direct equity Equity can be done both ways.
Equity means stocks or shares and when If we are talking about Equity Direct It became direct that you in companies Companies by opening a demat account directly I am buying shares directly and if If you are going through mutual funds then In mutual funds, you give the mutual fund company giving your money away So that's directly your equity stocks.
Depending upon the stocks of companies in Which category of scheme have you taken?
There is a large cap Li, there is a small cap Li Or are there any other different schemes?
Is. If you have taken it in, then someone who The manager of the mutual fund company on your behalf That means thousands of customers like you who Your 10,000, 20,000, 1 lakh, 10 lakh, 20 One lakh rupees would have been given. Combine them all into one fund It creates. Then he made a list of Companies are formed. Usap Wo Makes investments. So roughly this is That you can invest in stocks directly when mutual If you are investing through a fund then that Your return in the situation that I You will get 3 to 5% of the liquid mentioned earlier.
Your interest in debt can go up to 7% to 8% or 9%.
What history says in equity is this That's somewhere around 10% to 15% Average of 17-18% in some schemes which we call XIR or Return on investment to you Return on investment is in the long term in the long term She gets it, but there's a catch.
When you are investing in equity This is that equities are volatile. He is one It does not move in a linear line. Dept. Yours Generally it will work in a linear line that you will get every a fixed amount once a year or quarterly You will get this much return. In equity It will always run like this for you and never You will not get any returns in any two years.
Will come. It may even decrease. But then After that, if the return comes then it will come in a year.
30% 40% returns will also come. But India's The history of India is that if you spend three years Generally we do one every three to five years Business believes So if you have carried out two businesses, that means Roughly seven to eight years if you invest the money has been kept So you are completing roughly two businesses.
So you have achieved heights and If you have caught both the lows then your average 10% plus of people in the Indian market Average returns have ranged from 17% to 18% to 20%.
Which is very very handsome. If I Let me assume on average that if someone has 12% If there is an average return, calculate it according to the thumb rule.
If you look closely, his money doubles every six years.
It is happening. So that compounding is happening.
Once it doubles, then it becomes four the next time.
will be multiplied. Got it, right? means two for two benefit of compounding this compounding this Is. So that's why what I'm saying is that He is young, he has time, he is 8 years, 10 years, Can wait for 20 years, 15 years. So He should invest his maximum equity Directly or through mutual funds You should try to apply it. If If he does it directly then after learning or through someone With the help of or through mutual funds.
So that's the way Like I, I, friends, I will come to this.
Because now the talk of shares has started We have to deliberate a little about the shares.
I would like that in today's date, the segment in which we We are discussing from 20 to 35 years I myself am working in the corporate sector.
Am. I have seen that youngsters are new Those who used to join us when we joined What was the scenario of the corporate sector then?
There was something else but the one who joins today first All day long he talks about stocks and shares So a little deliberation on the shares itself We do. I would like to ask Navneet ji that its historical background is a little tell me what is the stock and after that You can touch the face of the B world a little bit.
India pe aa jaaye and then we will discuss in Details on equities. development is very This is an interesting topic and this topic I I also wanted to because when I was still in college I also go So the first question people would have is Whenever we invest our wealth Let's talk about management or anyone else.
So today's crowd, today's young people He is very interested in it and Especially when it comes to the journey of all these startups.
It has happened in India and India is in this mor and less a Startup Very large hub The hub has been So today's generation is in this. more of his There has been a lot of interest in this.
has increased.
Ok? So it increased. So everyone is on this Let's talk. So I also want to This topic must come up in our discussion.
came and we understood its concept well understand from Understood.
Because what happened in between was that when Corona When everyone sat at home at that time, people Many people opened demat accounts.
Because a lot of people have apps.
If it went then it happened in the app also. So I deliberately I want to discuss this topic also because It was that some people were accidentally doing the work they were doing through the app.
They're treating it like a video game.
Trying to play. to them I Conceptually, when I discuss this thing If I do, I will add a sentence right now.
I'm warning you that it's very wrong.
It's a thing. We will discuss it in detail next.
do. So that's why I want to Basically everyone who is young, even the elders, If you understand this concept conceptually, then this concept is very will understand it better and then we able to make informed decisions and such I said that there is risk in equity.
If you are involved then your risk is also calculated.
Will be done.
So let me talk about the big thing first.
that equity as we call it or stocks Let's say what does it actually mean Is?
So if we talk about the literal meaning of stocks If you do it then basically if you have a concept We all must have heard it when we read it in our childhood.
We are the top ones in moral science.
Sometimes when we read stories, one of them It is said that there is power in organization, something like this There used to be a story that the wood when the stick was collected You will break the wood easily, if you have it then break it.
you won't be able to He broke down, that was a concept, that was a concept.
That it was a small job that a single man had to do.
When he went, it did not happen but as soon as 10 If people did it, then the biggest The difficult task was also accomplished. So this concept It goes into that. what is a concept that in the old times you did one thing Was. You are afraid to do it. he either It is difficult, big or risky. So In both situations, if four people did it So that reduced. So the concept is the same I know that multiple people when one When he went to do a particular work, firstly his Energy became unified and secondly their risk It got diversified.
The risk has been mitigated.
The risk has been diversified. So if we Talking about the present modern stock exchange If we do that, then its history is what it is today.
In the form we can find stock exchange or stocks His history goes in Europe.
we we In Europe, when all these people in the 1500s and 1600s In different countries, all of them did India I had heard the name of the golden bird By name, everyone from there is from Europe.
The businessmen had left from there. So there Something called the East India Company was formed.
And I too have been reading this in the past few days.
It was a great surprise that the East India Companies There were also two. The Dutch East India Company was There was an East India Company in England. They Both were East India. Both from India They were coming towards. Besides that, French also Have come. The Portuguese have also come. But he Had made it. So first of all the East India When the company became Dutch, they did so around 1602.
is around then they The East India Company was formed in England in 1600.
But the one built by the Dutch in 1602 He and some other people together started that company.
He created that concept that people had.
Then they made it from there together.
By pooling your resources and investing money If someone had built a ship, he would have done it, so that would be a The Company That Became What Was the Modern Day In the concept, for the first time, that one concept It was made by 10 people together, meaning a type Whether that partnership has been done or shares have been created.
So they formed a company together and The concept became a kind of stock exchange Of.
Then he took that thing forward He went ahead and first did it in 1602.
A joint stock holding in Amsterdam by doing one The Dutch arrived. Came to the Netherlands.
Yes, the same one that I told you earlier about 1602.
They later formed it together nearby. So One he became the first in Amsterdam.
Then it continued slowly and gradually. After that First in 1773 It had a coffee house in London. his name Was Jonathan's Coffee House.
Later he joined the London Stock Exchange Got converted.
I got converted.
There were about 23-24 businessmen sitting inside it.
They got together a Kind of stock exchange as it is called Initial form of stock exchange.
He started it.
in which what were they doing in it That everyone has played their part Made their respective shares tradable. We We made it tradable okay I'm going to do this today I am in business. I want to leave now So I send my share to Vikas Kapoor I give. So one type of share that is available nowadays The transfer process has started.
Start.
So this is starting conceptually. So Roughly speaking, you could say that the first London Stock Exchange 1773 We exchange Stock from what used to be a coffee house Yes, that became in the name of convert in exchange Went. After that, these same people came to America also.
They went. So business in America too There was a lot of activity. then after that The New York Stock Exchange is formed in 1792 In.
Because it became independent in 1776.
America.
Yes. So in 1792, the New York Stock Exchange was formed.
The exchange we call Wall Street Which we all know today.
I'm taking a little notes from it.
I don't I hope Don't go wrong.
Stay correct. Yes.
Ok.
And after that we reach here and then in the world It had already started and everyone in India too They had started coming. Everyone had already come. So Then its foundation started being laid in India also.
Was. So in India, as we all know, Impact of the East India Company of England It was the highest. Dutch French short remained in the colonies. But the biggest one The effect was The East India Company of England was his. So they started a business And in the beginning most of the business which Cotton and spices were imported in India. So Many cotton mills started coming up.
Bombay Ahmedabad and its surrounding areas Because it was a cotton belt. So here Many cotton mills were built. Then cotton When the mills were built, then its cotton traders were also there. They were Indians, many of whom There were cotton traders and mills. Then Those cotton traders, this year is 1875.
Of. We So there's a really interesting thing that's happening right now.
There is Dalal Street which we call Dalal Street They say there is a B.Sc. there, there are about 24 cotton A Banyan Tree Called Bird's Sitting under a tree, he did this Discussed whether we too have any such common If you make something of exchange type then that You can call it a kind of foundation of BS.
This happened in 1875 In 1875 there was a street called Dalal Street Meaning in their concept because they all The commission agent is called in that language The brokers speak. Although in the North Not so good use of Word It happens but that is a very common word, waste.
Meaning in India Offenses to there is respectful word.
Meaning basically the commission agent has to The broker is called Word. So in his name that street Dalal Street became what is now Bombay.
Stock exchange was established. So that means a It is an interesting concept. a banyan tree When I grow up and sit under a tree said that which So he laid the foundation of what is now known as the present Day B.Sc.
Let's say. So he's an informal type.
There was an exchange. We conceptually consider him as much Can't speak strong. that informal type There was an exchange of.
So his work started again. then his Many big instruments were made. Then the company The law has arrived. Company Law during the British period Have come. The shares have been transferred. means everything Something more became most of formless. But The Sussex we call it today Yes, there was no barometer. something to someone Didn't know what was happening? whatever would have been It used to happen internally there. So that OPEC No one knew anything. so therefore Rest of the people who are not around Bombay who had no direct dealings with the companies If they had nothing to do with it, then they came to this market Didn't understand at all. If you've ever seen a movie Sometimes in the industry at that time, someone It also appeared in the pictures that he had In share then generally related with him It was believed that he became rich in a single day.
Or if I had to tell any other negative then I would know As soon as he left, all his money was gone.
flew.
So the people who were away from Bombay Le Mans was a huge deal for him.
It was a scary situation, something like this would have happened Is.
Something happens that messes up there.
Is. But those around Bombay or those in it People were involved in the trade, they understood it.
They were there and they were good, the work continued. In this The British also had a role to play No Britishers 19 That must have been the role of the Britishers Because he was already doing business were just doing The company laws that were made before 47 The company laws that have been made are mostly of British law were mixed around Okay, he also did some Indian stuff.
He also abandoned the old methods.
Like there is a term called Hundi word, you use it.
You do that too, it is used if you old stories and tales of our own If you listen to these words of Krishna there too The word hoodi is used several times in the story.
Which we call FD today.
If it is not a promissory note type then let's talk.
When that story is told about Krishna and Narsi Mehta, one of his devotees, had a hundi It is said that Krishna ji gave him a hundi.
I gave it to you in writing that you should take the money from there.
So that is FD as of today's date, so that is our Those things in some shape in India's economy We can have that discussion someday.
That what kind of role is that, but now we are modern If you are talking about the stock exchange He might have taken some of that from India as well.
But broadly speaking, that law should be a little formalized.
It had happened but it was OPEC and the general public was not aware of its more about I did not know, there was no awareness So the general public found out in 1986 when He was the first to create a Sensex.
In 1986 Yes, what we call Sensex, Sussex What was an average of 30 shares He took it out and that was its value.
She called him Sussex, at that time his The value was 500, the first one being Sussex, 549.549 That was it, if you map it next, then today its The rate is Rs 77000, so roughly if someone 579 in that Sussex if one had bought a 549 If you understand in Le Mans, then at that time The ₹49 is equivalent to ₹77,000 today.
In 1986, they passed 86 more.
It's not old, we all were there I mean, I gave my 10th exam the same year.
Were. Absolutely.
Ok. If someone had told him, he After two-three years, my PAN card was also made.
Could have done.
If we had known at that time in 88 then It may be worth Rs 1000.
So if I invested ₹1000 there at that time Would. I could have afforded even Rs 1000. We So that would be 777 and that would be 000 if I had assumed Look, you could have invested Rs 10,000. It could be our If parents were earning then it could have been 10 also.
If that was 10,000, then that thousand would be 10,000.
Meaning 7 lakhs just by sitting and doing nothing.
It would have happened. So this is the concept.
I remember my father's paper shares Those who used to go out will also come. Now we are history are talking about.
After that, Phirki Laws is a little so strong There were no people and many people participated too.
Were not doing it. Then a lot of people He must also be looking for loopholes in this.
So this continued after 86. Then Sussex too when He became a little bit in the media.
Things also started getting covered. So then whatever There are people who misuse That too in the middle Let's come. Then again, that was in 1992.
I am saying this because all these things Available in paper. People also posted stories Have seen it. These web series have also been made.
We are giving this as a brief summary.
I am saying this deliberately so that people We will relate.
We will relate. Ok. then again in 1992 That is a scam which is known as Harshad Mehta scam.
We do.
And incidentally, I also remember that I followed because at that time I I had already joined MBA. So to get into MBA Because we had started studying. so to me Remember at that time we were in the Economic Times great magazine I wanted to study in the library.
So that was the concept. So because of that, a lot All things went up and down in the market. Ok?
That too was a big reason why people Confidence was built first because at that time The market moved very fast in the last two-three years 19 Especially from 1990 to 1992, people The money also doubled and tripled.
We also liberalized the rupee in 1991.
I had opened up, that too had happened So but after that when the scam happened the scam happened If he got caught, he came down immediately and then People's confidence has been shattered by this Those who were naysayers before would say no No, this is wrong, he said, look, we See, we told you so I told you not to take it This is wrong, but those who took it There were two or three types of people in it, someone was like this Who bought it for Rs 10,000 and sold it for Rs 15 He says okay, the poor guy who got 20 The one who was left with 10, the poor guy started crying.
He was the third one who was sitting outside.
He said no, look at this I did it first I had said that something was wrong, so it was alright.
But one advantage of this was that the awareness level It became very big but the biggest benefit from it was Whatever happened, in today's times we all He laid the foundation for the people and that is what happened.
The government of that time came into action and The government of the time has made one which you call one The institute was named SEBI.
Securities and Exchange Board of India That was a SEBI Act that came into effect in 1992.
The discussion had started around 88 But as soon as that 92 scam happened, then He suddenly had to come into the picture.
He quickly did that and till today SEBI You are existing, my introduction I also mentioned that SEBI approved If the body has become gurning, then that of SEBI If you check the main preamble also, then its Prembal says this. He is in the first line Says that investors are protected Investor interest. He is in the second line Bolta Hai Development of Securities Exchange etc. etc. all these second third The line speaks. The first line he says Meaning you should understand his priority that first The line speaks of invest investors To protect interest. then when came into the picture from So then the level of transparency and All the rest were levels and they kept increasing.
After that NSC comes again in 1994 And the biggest beauty of NSC was that NSC has given him this from day one.
Tried to do it online from day one.
Before that, we all were doing it. You Everyone must have seen that certificate.
The NSC tried from Day One to Some online. So I remember my MSc.
At that time, because we were slowly getting into the job.
When I went, some of my friends who were After studying from a good engineering college IT was also new, meaning computer science.
So some of my friends found out that he A friend joined TCS and he Moved from TCS to NSC project So this was what he was doing on NSC.
He started that, he was one of those people Who created the NSC?
made So NSC kind of understand that the world's One of the earliest electronic exchanges It became a 100% electronic exchange.
In shifted and after the advent of NSC, again BS also started becoming more transparent.
SEBI started increasing the losses. So Then our transparency, our laws Gradually, new things came into being.
And we kept learning.
Ok? Before that, what I am going to tell you about this stock I was making the history of the exchange, telling There was a scam in India before the scam.
There were also regional stock exchanges. You are surprised Hoge Ke Besab Pehla Bombay Me Banana Sec If I may ask you a small question, We can guess which second it will be.
We will install it in some big city but Just a second, you can guess right now.
Where will the second be made?
Where can we build it in India after Bombay?
Made in Gujarat Exactly second was Ahmedabad I mean, when I first thought about it, I I thought it would be Kolkata after that.
Because big Chennai will be no because it was Related to cotton, initially everything was cotton.
There was trading going on in this.
The trade was taking place.
Shares were probably not happening either. Only The commodity of cotton is being traded Will happen. Maybe this is what his bill would have been.
Exchange I understood it.
So sometime in the 1800s Made there, made in Ahmedabad. After that Then in Kolkata in the early 1900s Made in Kolkata.
Then in Chennai it reaches 1990-99 24 stock exchanges were formed in India.
Well, up to 89.
There was a stock exchange in Ludhiana. that I I have seen it. I have also seen it working.
There was a stock exchange in Indore. in Jaipur There was a stock exchange. So the total became 24.
Then when this scam issue of 1992 happened and When NSC went electronic Then the working of all those exchanges Because when electronics came, these The work that people had started reducing Done. Because if there is one me and my Transparency if electronic payment is available If I am still waiting then I will go to Ludhiana Stock Exchange.
Why would I deal with the exchange? Ivar I I live in Ludhiana.
So then people started shifting to that.
Went. Volume National pay started coming.
Yes, so the volume shifted to that. So Then gradually the government took over this stock exchange.
Also from the point of view of transparency Gradually, now this stock exchange building Are living as. Some of these Perhaps he did some small activity rented it out to a bank, did something Gave. But now the major activities in these Yes, that too is closed. But just for 24 Stock Exchanges of Historical Fact were in India They had been made.
And as of today, two are left.
Then there are different ways to become a stock exchange.
Started. Practically in today's date, our There are six stock exchanges nearby.
Good.
Ok. In which BSE is a very big one.
still exists in which shares and everything happens. NSC and Incidentally NSC and BSE now by volume Ranked among the top three or four exchanges in the world Have gone. Top of the world.
Ok? So much volume is happening in these.
Ok? Apart from that, the six that we have are Different stock exchanges for commodities Are made. MCX is one of them.
MC Which is Metals and Commodity Exchange In which your commodity including agriculture Commodities are traded and metals Commodities like gold and silver have become Aluminum Nickel Gold bonds etc. will come inside it.
We will discuss this sometime, whether Very interesting for our traders It happens. Ok? Point of sale in agriculture View is very helpful for farmers Which is your commodity exchange. a lot of it All the commodities that are It's like your cumin These kinds of things are traded. oilseeds and Oil, edible oils, all these are traded.
He plans his crop accordingly.
Can do.
just recently You will be surprised. electricity as well The exchange has been created.
Good Electricity exchange has been established.
That is also there. We will discuss that topic separately some day.
You can keep it to discuss it in detail.
For. n for a commodity other than that NSCX is its name NCDX National Commodity Exchange. So commodity I have two for you. Like right now for stocks, two Done BS and NSC, you have the option Went. You have to do B.Sc in NSC Have to do it. MC for similar commodity also MCX and NCDX.
Ok.
that'll be. Apart from that, two stars are absolutely recently [sound of clearing throat] last He has come into the picture in the last two-three years. This is it Our Gift City has been built in Ahmedabad.
It is made according to that. one of his names Hai India IX It is called Gift City Exchange.
Trade takes place in the international market.
Ok? And similarly an NSC IFSC Is. This is also built inside Gift City.
Both are in Ahmedabad.
Yes. So its working has just started.
It has happened. He is not that popular yet. But This is mostly for foreign dealers.
There is more importance for his work. For us These four exchanges are That's for us.
So two out of six are doing foreign deals.
Are. All four are within India.
Yes, no, even among those from India.
Foreign people can make deals.
Can make a deal. But that exclusively For foreign.
Yes. So we will cover those details some other day.
Can. If we do it for ourselves, then our There are four things that are useful for me.
They are useful.
If I have to invest in stock exchange shares Have to deal.
Yes, yes So for me BS and NSC are important Is.
Whatever things are related to shares, whether Be it derivatives or whatever. And if my If one has to deal in commodities then MCX and NN CDX which is Yes, NCDEX is inside it.
Ok? That is also in MCX now.
It has become more popular. NCDEX now There hasn't been that much volume build up.
Ok? So we will discuss those topics separately some day.
You can take which one is right for traders commodities for jewelers Exchange is very important.
I think a lot of jewelers You must already be using it. But if you don't do So someday for us trader brothers or A separate series for jewelers how these things can be done for them Will be helpful. It is very helpful.
Agriculture is very important for farmers.
Ok? So this was the rough history of I wanted our youth to He basically has this thing How did we get started? from where to where The most important thing I want to add to this What I want is this The transparency level is We The regulatory framework that our governments have bodies, they have done this in the last few years The incidents that are happening all over the world He learned a lot from them because they were very This is a dynamic field. Cash involved in this Is. Ok? You are making money, you are losing money had been. So cash is involved. so therefore There was always a risk involved in this. lived And there is volatility. Ok? Volatility is, There is risk. So they did it very well I also learned from my mistakes along the way.
things that happen elsewhere in the world I was there, I learned from there also and our Rules and regulations are big now.
I can speak confidently because I I am in this field. We read. So I can say with great confidence that today's One of the most in debt Transparent and Secure Exchanges In The World It is from India. I mean clearly, openly I am confidently saying that one of the Most Transparent Confident Transparent Regulated Transparent and what you call easy to operate Consumer Friendly Yes, this exchange which is there in the world, will be ours will be ours Especially NSC and BSE will also be equal.
Even now in America and so on, the kind of The instruments are so strict right now.
No, because America So this is the size of India in the world If you take the size of the customers who stock Dealing in the exchange like I am Now you have become such a normal consumer.
India's share will be at the top as a Consumer Look Count I am not saying value wise, I count I am saying wise Count wise it may be if not now Count wise will be done in a while It will happen but we will give the volumes to America.
We're not even in their One Tenth yet.
Volumes in terms of amount involved Volume in terms of transaction nickel have gone ahead More in volume is less Number of transactions may be we get out Have already done. I was in a meeting yesterday So there was a discussion going on that on 30th June I am talking about commodities. June 30 [sound of clearing throat] to commodity 45 lakh crore trading in the exchange It has happened.
Good 45 lakh crore worth of trading in a single day in a day in an exchange in an exchange When we compare the value America will move ahead. So in America that Volumes are involved because you simply You will say that their meaning is the volume of value.
Yes, their economy is 10% better than ours.
times larger is big So secondly there, like in India still Those who invest directly or in equity market He is indirectly involved, he hardly There might be five or 6% or 7%, maybe seven or eight.
Total demat accounts are around crores through a mix or some of the rest through equity are participating And what will be its growth approximately?
Year on year because people are increasing I am watching every day Look, there was a biggest jump in it.
Before the time of Covid, one had his own It was moving at a fast pace. After 92, The awareness level had increased and was increasing.
But that was the time of Covid when everyone Was sitting at home.
Yes, there was no revenue. Can't go out.
where did you put the money some apps some people because everyone I wanted to be in some way.
It gets engaged. So ideas in companies too Were leaving. So I'll try a little That I avoid naming any company here And at that time there were one or two companies like this Those who launched the app and they A lot of features have been added to it.
Brokerage free, although nothing is free But let's put it in this shape.
If presented, your cost is absolutely low.
Is Started starting with a small amount If there is transparency, we are already looking at it.
When she grew up, people started teasing her with small things.
When I started doing it in Covid with the amount, During and after COVID Say one word and there will be a quantum jump here.
It has come and incidentally during the time of Covid His returns on entry were also very good.
Because during the time of Covid, almost 30% The market was down by 40% So after that he entered there Increase it by 30, 40, 50% in the next one year.
Returns came, some shares of some doubled There were also So those people thought that this is a big thing.
There is an easy way. There is such a wrong topic It is not easy but by chance it happens.
Isn't it a term that you have to initial If you get success then your confidence increases.
goes increases that product That time, then we who are still on the journey So he came into that today's just one me If I tell you the figure, then as of today, approximately Around 300 crores every month only and Only mutual fund ships are coming in 300 crores every month without stopping non-stop Other people invest directly in some stocks.
They are putting it in, they are taking it out.
This is a different figure, so this is a figure report.
It goes, right?
300 crores every month So, Rs 3600 crore per year is just for ships.
It's coming inside Yes, I am coming inside the ship.
Now someone might be taking a little bit out of it.
Even if it goes out, see the net is 101 crores.
Only 100000 crores will be returned.
Friends, it has been shipped systematically.
investment plan We will talk in detail but just a figure wanted to give So roughly speaking, this was your growth part.
This right now But despite that, I will tell you now I am saying that right now we are only 7 to 10% people I am also participating in this.
Developed markets like the US There 40 50 60% people said yes, so what you The question I just asked is that youngsters who I do Vikas in that and give you simple I will tell you in a way that your Investing and trading are two different things.
There are activities.
we we Now whenever you are coming into this field then You must first be absolutely clear that What is your purpose?
Ok?
Ok? If your purpose is investing then That should be your clarity and if your If your purpose is trading then you should have clarity.
Needed And I say this in very clear terms.
I am saying openly that the investment is that's a long term process that Requires Patience That Requires Knowledge That requires expertise.
Investing also means long term.
Yes, investing is about the long term.
Ok? And investing is your part time The work may be done.
Investing can be a part time job. You If you study yourself then you read and your part Divide your time by an hour or two a day or even You can give three-four hours a week. You You can invest yourself. or you If you have given that mandate to someone else whether through mutual funds or you any investment advisor or any If you have given funds to PMS then your He will do it on behalf of me. That monthly with you or If you review it quarterly, your time It will look like that. So investing is a long Term Journey. It Can Be Done as a Part Time. So people who are doing their jobs or If they are in some other business then for them Definitely investing is advisable.
It is adviable.
There is no problem even if you do it directly.
Is. Do it part time by studying or working under someone Thru she will be. But what trading is Trading is a full time job. This is me I am saying this again and again. Trading is a full Time job. The example you are giving me It is possible that what you bought in the morning was sold in the afternoon.
That comes under the category of trading.
This is a full time job. If this is an age Doing a part time job. Because if he If he is doing trade along with his job then he He is doing injustice at both places.
Ok? I'm a little blunt on this matter.
In.
Ok? We all must have done it too.
But over time you will realize that he is somewhere He will not commit any mistake anywhere. I give you a Let me give you a small example. This is real life Is. At some point of time, we are at different times.
I kept meeting different people. so one We met Doctor Sahib in some city.
He is an eye surgeon. Ok? So that When we were talking generally, he He used to do this kind of activity through trading.
At that time, then he was looking for an advisor May someone help me. So we said that He says I have been doing this activity for three to four years.
Am. He asked how it was going.
Type? So I have a friend who has a CA.
He used to come to get his returns made. find him there For.
So he said that he says that with me I used to do this. So I have so much problem I got so used to it because What does the trader do next morning?
takes the trade then if his The horizon is the same for two, three, four hours, then When he took the trade, he then I'll have to look at him again and again, okay?
Stress builds up in the mind, good I bought it for this much, now it costs this much He says he wants to sell it, I have this habit.
I became sad and one day I realized that I am in the operation theatre and he is a There was a break of one minute so that the patient could get some We portioned some of it. His The next portion had to be done. So generally to me Meaning, what you say is that without my knowledge My phone opened, I opened it unknowingly.
So I started checking myself.
Look at the anxiety, it is so depressing that After a while I realized what I am Doing there is a patient lunge at the patient Lung on the yes. keeping his eyes open Is. The next few acts he gave me The person who would be his assistant called out.
It will be sir. That's why I realized that what am I, what do I mean what am I doing I am doing this work That means anything can happen to him.
Then I said that I immediately By doing this he said, this is wrong and then he If this goes wrong then I will move ahead I will not do this work from now on, I will stop it wherever I will give my portfolio to someone else.
The guy is fine, he was an example, a similar one And there was another example of his doctor.
My son was studying in AIIMS.
Good So he said that he also did this Similarly, she also had a similar incident.
Told that my son studies with so much difficulty After clearing NEET, I got admission in AIIMS. says He is there right now, even two years ago, he I noticed that I study less. So Sarah That day those two or three boys Engaged in trading. so to me I am very worried about how he will pass?
So, I mean, one who in small examples giving you. So this is trading. So Trading Ye Trading and futures and options I'm coming to that. That's about trading It is a part. So first you need to be absolutely clear I want to get back to you by investing If you are trading. Trading It is a full time job. If you like trading If you want to do it then you have to do some other work.
You should not do that. And this is the first The part is that first you then you have the whole time I have to devote myself to it. The second trading is a Meaning you are back to the same example that you are on the road You are walking on Ok? You boarded the train and sitting down The driver is driving the train. Ok? And You have to reach your destination. You Did you pay him for the train ticket or you?
By sitting in the bus. This has become a way Which is investing?
Ok?
To cover the distance, you have used your vehicle.
Took it out. Now you sit in your car and You are driving to Delhi. We Two trains now when you sit in your train How much concentration do you need while training?
Needed? Pay full attention to the road What is driving you Because now you have control in your hands.
did you take it?
Now you just need full time in it.
In one the driver is someone else, in the other the driver you own There is someone else full time and the safety is also less.
Neither is the safety of your bus and train different and Priceline is just like your mutual fund They are so many people, so many He spent a lot of money on protection.
You are driving the car yourself in this on safety.
If you want to run it then trading is just like that You also need training again.
You should also know how to drive in the train there.
You don't need to drive to sit.
You have to board the train. So here I am telling you the same example again that Trading is a full time activity. First The thing is that when you spare all the time You can do it, you can concentrate only then You should be trading. And the second one is this that without learning it like I did to you Gave an example of driving. as long as you have You don't have a license, you can't drive.
You will get it, right? So as long as you learn properly Not there. Now how many types of trading are they?
If it happens then that is a different topic. Butt Generic If I say, if you learn it for the first time The first condition is full time job.
This is a business, a proper full time job.
The second is you should learn. to learn Then you have to decide your strategy. Then You have to go to training.
Have to go.
So that's for all those people to whom you have given me The example given is that they are doing wrong.
Yes, I am busy during my job hours. time if They are doing they will end up maybe Someone might as well make some small money.
[sound of clearing throat] I'm not doing that in that because It is a matter of chance that someone may become one.
Money But that will be somewhere in the long term.
But it will harm you will cause harm okay you have to do it it's a good business we we But then you focus all your time on that.
If not above then you will be able to drive Give the license to someone else. Whether he Give it to an advisor, whether it's you or Give it to the mutual fund company. two in his hand And you get proper consultation on your work.
do it. Let me tell you this again in a different way I am saying that if you want to make money from this So either do it full time.
Ok? The money you invest, The gain from your investment There is gain in investing. If you have business If you want to earn it purely as income Then you should consider trading or something like that.
If you want to do an activity, then you will have to learn it.
Trading has to be done by taking trading. So this That's it for all of them. That is the wrong way.
To do. Ok.
So we discussed a lot on equity. Its if anything other than No, above this, if you go further into it, you Want to discuss how to do it Are we we If you want to trade and if you If we want to invest then small topic if I, if you tell me now If you want, I can cover that too.
If you want to participate in stocks The simplest method among them which is absolutely simple Is. The simplest way for that is this that he can invest in any mutual fund Sit and discuss with an advisor or someone If it does, then most likely through mutual funds.
There is an easy way. But how ever little C excitement also comes in equity.
People are starting to understand. People are learning, I am reading. So direct equity also you With someone's advice, sitting with someone You can do it. But the most important thing The first thing that will come is that you need a demat account.
In this It is necessary to open it. It won't be possible without him.
I want to open a demat account. Demat Account Will open. So after opening the demat account you in that In your existing bank account The demat account will be added.
You can take a demat account in it. Bank You can take it from here also. Otherwise, many large brokers There are houses, there are apps through them You can open a demat account. Ok? And After opening a demat account, stocks can be deposited in it.
I you can do it. But I'm going back to this thing I am repeating again and again that this himself If you want to learn We.
Ok? That could be a different topic for you.
If you want to learn, how do you learn it?
For youngsters, if you ever told someone that If we have to discuss then how can we do it?
But you have to do it only after learning it. Because I will roughly put this in another way I will understand. There is a very big ocean. Ok?
There is enough sea for everyone to fill their stomach.
You will get your share of buckets.
You will get it. Ok?
Ok? But you only need to do your part Have to find the bucket. Your two things It is important. What is your risk appetite?
Is?
means you How much risk can you take?
How much risk you can take is important.
Is.
Ok? And your decision is There should be an informed decision. Now the risk Appetite can vary.
we we Ok? But unlimited risk is anyone's is not with me. Nor is there any need to take it. Now From the point of view of risk appetite, I If I tell you, it means there are two men. give one to The stomach is filled with bread. one is filled with six Is.
So the risk of both is the eating appetite of both.
What we call it is different.
It is different.
Ok? If the person with two eats four, then his There is a risk of stomach upset.
So the one for six is also unlimited.
Can't eat. That too after 10 Your stomach will definitely be upset. So roughly this The risk appetite is different for everyone.
And that but one thing is sure that he Not unlimited. So, manage your risk appetite.
According to you in the instrument party Participate and then decide Should be an informed decision that you learn and make yourself If someone learns then he becomes informed or the one who An informed person, a trained person When I told you, it became an informed decision.
If these two things coincide, it means Know your risk appetite and make informed decisions Get informed and then you can be at peace.
Okay, and the third important part is this that your Liquid is your emergency fund we we Or your allocated fund is a particular For work.
Ok? That emergency fund is not used in this Should be. Why? Because in this your Returns are variables. In this Only those funds should be invested which You allocated for the long term.
It has been allocated.
Ok? So long term when I'm talking about So three years plus ideally five years plus But let's accept five years plus or minus.
Let's go 3 years plus There should be a plus.
Let's get the funds that will be required later.
The same funds should be allocated in this.
Must be allocated.
So this is the way Goodness, I would say that Thank you so much Navneet once again.
We will take this forward. Friends, let me tell you It is not over here. these episodes Will continue. We do this at regular intervals will continue to increase little by little over To take it to a different level Because Navneet is an expert on this.
Can go into a lot of technicalities. But I think it will take some time Because it is important to understand the audience and quite a lot of the audience that's watching the audience I request those who are my subscribers I will tell you that you want something specifically.
I want us to podcast that kindly.
Mention it in the comment box so that Let us conduct a session at the top which will be useful for everyone.
Come. So don't hesitate. Kindly Subscribe to this channel and see it again and again Input your value inside the comment box Give it. Thanks friends. Thank you.
Related Videos
Campagne CA$$$H Pourquoi revendiquer un meilleur financement? (version nov.2022)
trpocb
153 views•2022-11-03
Modern Privilege and Perspective
Samvoyage1
858 views•2026-04-16
Davos 2019 - Global Economy in Transition
wef
19K views•2019-02-09
The Vertical Long-Run Aggregate Supply (LRAS) Curve
educo-mr
908 views•2025-12-10
Stimulus Loans and Shadow Banking: The Growth of Chinese Financial Markets and the US Experience
BFIVideos
3K views•2019-05-23
Institute Insights: The Implications of Interest Rate Addiction
UNCKenanInstitute
100 views•2019-09-25
The Grouse Shooting Problem
tgsoutdoors
73K views•2019-09-08
Cost to raise child from birth to 18 has risen 36% since 2023
kgun9
198 views•2025-05-14
Trending
WOW! Judge TURNS THE TABLES on Trump in His OWN $10B LAWSUIT!!!
MeidasTouch
197K views•2026-07-23
Playstation NO DISC/NO BUY Fight Is Over...
DavidJaffeGames
4K views•2026-07-23
Steam and Xbox Just Dropped The Hammer On PlayStation
OhNoItsAlexx
9K views•2026-07-23
Americans Confused in Australia for 17 Minutes Straight
IWrocker
17K views•2026-07-23