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Curious about smart investments? Come along with Viha!
One calm morning, Viha stood by the window, sipping her coffee and enjoying the peacefulness of nature. The gentle breeze and the birds singing made the morning really nice. As she gazed out, she noticed a newspaper on the table fluttering in the air, which caught her interest because it had news about investments.
Since viha is very interested in investments, she decided to learn more from the article. It talked about how successful investors make profits, featuring an interview with Sara, who made a lot of money from her investments.
The article said that being a successful investor is not just about finding good investments, but also about making smart decisions and managing risks.
In school, we’re taught that there’s usually only one correct answer. But in real life, especially in investing, there can be many right answers depending on the situation. This ability to see things from different perspectives is a sign of intelligence .
Successful investors don’t just look for the perfect investment . They know that their skills and decisions are important too. So, being a good investor is just as important as finding a good investment.
And if you’re thinking about investing, it’s important to know about long-term and short term investing.
Long-term investing means holding onto an investment for a long time, usually over a year. These investors focus on the investment’s value over time, even if its price goes up and down in the short term. They hope the investment will grow in value and might get tax benefits for holding onto it.
On the other hand, short-term investin g means holding onto an investment for a short time, usually less than a year. Short-term investors are more interested in quick changes in the investment’s price and might buy and sell frequently to make a profit. They don’t usually worry as much about the long-term value of the investment.
Deciding whether to invest for the long term or short term depends on what you want, how much risk you’re comfortable with, and what you think will happen in the market .
It also depends on the investor and the quality of the investments they make. Good investors know when to borrow and invest wisely.
For example, if you plan to buy a Sony α7 IV, which is priced at Rs 1890, and you find out that the price will decrease by 800 in the next three months, you might decide to borrow the Sony instead of buying it. Then, after the three months, you can buy it and make a profit of 1090.
Finally, to succeed in investing, it’s important to know that there’s not always a clear right or wrong choice. Being a good investor means being able to consider different perspectives and ideas, even if they seem contradictory.
By reading that article, Viha learned that how we invest is more important than just investing itself. She then prepared to follow her routine, reminding her inner self to find ways to invest wisely.
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