Why Long Term Investment Works or is Good

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Email Query from Lakshmi

Hi Manikandan,

I would need some details on investment.

1. All investment guru's recommend long term investment for larger benefits. I am more interested in short term investments as I know my immediate needs and for long term most of us have some LIC or other policies which to a large extent helps in planning. Why is long investments recommended.
2. If investment is to be taken as a full time profession what would be your recommendation should that be taken after going through a course or should we play around with real money.
3. What is the advantage of opening a demat account with your organisation when compared to Kotak or the likes.

Please let me know if these questions can be answered.

[rmani84]

1. All investment guru's recommend long term investment for larger benefits. I am more interested in short term investments as I know my immediate needs and for long term most of us have some LIC or other policies which to a large extent helps in planning. Why is long investments recommended.

Everyone talks of SIP and long term, as it does need trend prediction ... Short term will need precise analytics and often comes at a risk, if you do not handle it

2. If investment is to be taken as a full time profession what would be your recommendation should that be taken after going through a course or should we play around with real money.

I just stepped into doing it full time ... You need to have been in markets for at-least 5 years to think of doing it full time

3. What is the advantage of opening a demat account with your organisation when compared to Kotak or the likes.

With Zerodha, the brokerage is pretty much the cheapest ... You save on brokerage and i plan to give training sessions to my clients who join Zerodha with our reference