Tuesday, October 22, 2019
News

Impact of General Elections 2019 on your Investment Strategy

   SocialTwist Tell-a-Friend    Print this Page   COMMENT

| April 15, 2019 6:41:47 PM IST
Pune (Maharashtra) [India], Apr 15 (ANI/BusinessWire India): With the 2019 Lok Sabha Election fever reaching a crescendo, the market is likely to face high turbulence and volatility. While no one can predict upswings or slumps, it is important to devise a strategy to defend your investments, no matter how the market reacts.

Instead of just focusing on profits, take volatility into account when parking your funds in various vehicles. Once the economy stabilises post the election results in May, there will be greater visibility in terms of how the market is performing. During these times of increasing market volatility, read along to follow the right investment strategy.

Safeguard your portfolio

According to Morgan Stanley, the equity market in the run up to the 2019 elections will show a stable performance, as per historical trends. Experts believe that before every election, the market has always shown stable highs and lows.

However, predicting how the market will move, post the elections, could be difficult to determine. Hence, risk-averse investors seeking high stability must invest in fixed-income instruments like fixed deposits, which offer higher returns with stability.

Plan for security with FDs

During the end of 2018, the repo rates were hiked, which resulted in higher FD interest rates. However, the RBI recently cut the repo rate by another 25 basis points, bringing it down to 6 per cent from an earlier rate of 6.25 per cent. This means that the high FD rates you can enjoy now may soon alter, and now is the best time to invest in this safe and secure investment.

For safe and guaranteed returns, invest with reputed issuers like Bajaj Finance FDs. Backed by ICRA's safest MAAA rating and CRISIL's highest FAAA rating, Bajaj Finance Fixed Deposit offers assured returns of up to 8.75 per cent along with an extra 0.25 per cent on FD renewal. This makes it one of the best FD interest rates you can enjoy at present. Owing to such substantial, secured returns, FDs can form a larger slice of your investment portfolio right now.

Managing growth-oriented investments

Last year, the performance of stocks, equity mutual funds, debt mutual funds and real estate failed to impress investors, and this year again with increasing market volatility, it is best to consider safer investment avenues.

Since 2019 is the year of General Elections in India, volatility is likely to be at an all-time high. Most investors get swayed by projections of possible election outcomes, which tempt them to time the market.

Instead of investing right away, you may want to wait for a market correct before allocating a significant chunk of your savings in growth-oriented investments.

For those who are already invested, it is best to ride through the imminent crests and troughs, instead of liquidating your investments, during fluctuating stock indices.

This story is provided by BusinessWire India. ANI will not be responsible in any way for the content of this article. (ANI/BusinessWire India)

 
  LATEST COMMENTS ()
POST YOUR COMMENT
Comments Not Available
 
POST YOUR COMMENT
 
 
TRENDING TOPICS
 
 
CITY NEWS
MORE CITIES
 
 
 
MORE BUSINESS NEWS
BA airhostess suspended after drunk frie...
Swiss VP meets Goyal to discuss ways to ...
Banking ops affected due to bankers stri...
Higher seat quota for Gulf carriers on c...
Start-ups to get access to GeM portal fo...
Equity gauges in the red, Infosys plunge...
More...
 
INDIA WORLD ASIA
Gourmet Kashmiri restaurant opens in Lut...
Delhi HC issues notice to EC, Centre on ...
Nothing unconstitutional about dividing ...
Govt employees of UT of J-K, Ladakh to g...
PNB scam: Two fresh applications filed i...
Motihari shelter home: 2 girls found, 2 ...
More...    
 
 Top Stories
Nationalism dominates SL prez poll ... 
Banking ops affected due to bankers... 
Chile mass riots toll increases to ... 
Kartarpur project a positive develo... 
Microsoft acquires Cloud file migra... 
BSP leaders' face blackened, parade... 
'Sanju' bags award at Australian In... 
France Football gives explanation o...