A General awareness session designed to give participants a better understanding about savings and various investment options available in the Indian context.

1. Understanding Savings and
Investments
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YOUR KEY TO WEALTH

2. THE COMPANY- Target Capital Holding
Offers Investment Advisory Services
Managed by professionals with over 18 years
of Investment and Advisory experience
Offers accurate and timely in- house research
Facilitates hassle free trading and demat
account opening through tie-up with leading
brokerage house- Reliance Securities
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3. Aim of the Presentation
 A General awareness session designed
to give participants a better
understanding about savings and
various investment options.
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4. Importance of Savings
Delaying Makes it Difficult
Rate of interest 10% 10 % 20 %
Monthly savings Rs. 1,000 Rs. 5,454 Rs. 2,000
Tenure 30 years 15 years 15 years
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Amount
accumulated
Rs. 22.79 lakh Rs. 22.79 lakh Rs. 22.68 lakh

5. Target Capital Holding
Rule of 72
 The number of years it will take for your
investment to double at a given interest rate.
Interest Rate Years
6% 12
8% 9
10% 7
12% 6
15% 5
20% 4
25% 3
30% 2

6. What is Inflation
Inflation is a
sustained
increase in the
general price
level of goods
and services over
a period of time.
Inflation reduces
the purchasing
power of money.
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7. The gnawing effect of Inflation
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Current price years
Future price at
8% inflation
Interest
rate
Future
amount
₹ 20,000.00 12 ₹ 50,363.00 6% ₹ 40,000.00
₹ 20,000.00 9 ₹ 39,980.00 8% ₹ 40,000.00
₹ 20,000.00 7 ₹ 34,276.00 10% ₹ 40,000.00
₹ 20,000.00 6 ₹ 31,737.00 12% ₹ 40,000.00
₹ 20,000.00 5 ₹ 29,387.00 15% ₹ 40,000.00
₹ 20,000.00 4 ₹ 27,210.00 20% ₹ 40,000.00
₹ 20,000.00 3 ₹ 25,194.00 25% ₹ 40,000.00
₹ 20,000.00 2.6 ₹ 23,328.00 30% ₹ 40,000.00
Interest rate must beat Inflation rate
Rs 20000 takes 12 years at 6% interest to double but in the same time
an item which cost Rs20000 will cost Rs 50000 in 12 years at 8%
inflation.

8. How To Earn Extra Money To
Fight Inflation
Stock
Markets
Corporate
Bonds
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9. Stock Markets
Unlimited Investment
opportunity.
Earnings in form of
Dividend and Capital
appreciation.
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High Liquidity
Hedging opportunity
to mitigate risk.
Pros
Variable rate of return
Fear of Capital erosion
Cons

10. Stock Market Returns (4years)
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30% growth
last year
Markets in uptrend
since H2 2011

11. How to Invest
 Decide on Investment duration
 Understand basic concepts of Stock market
 Decide on whether to opt for self investment or to seek
professional assistance
 If Self investment – Do your Home work
 If professional help- Study manager’s track record
 Identify a good broker and obtain economical brokerage
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rates
 Always add brokerage and taxes to obtain your cost
price.
 Monitor your portfolio periodically.

12. Basic concepts- Stock Markets
 Index-Nifty/Sensex
 NSE/BSE
 Blue chips
 Scripts
 Terminal- Buy/Sell
 Price charts
 Bulls/Bears
 Demat Accounts
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13. Never buy/sell
because an
acquaintance
has done so.
Always
Remember
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Buy/Sell
should be
backed by
logic.
Control
greed.
Sustainable
returns is more
important than
Be patient
immediate
returns.

14. Target Capital Holding
Terminal

15. Corporate Bonds/ NCD
 Corporate bonds or non Convertible
Debentures are debt instruments which
pay fixed returns .
 These bonds are backed by the credit
worthiness or reputation of the issuer.
 Can be purchased directly from the
issuer during the issue period or
purchased from the stock market when
the issue gets listed.
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16. Yields higher
interest than bank
deposits.
.
Fund does not get
locked in during the
duration of the
instrument.
They are liquid.
Can be bought and
sold in the
secondary market
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Pros
Risk of default
Interest income
taxable
Cons

17. Slide Source:The Economic Times ,article by Prashant Mahesh
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18. Invest Wisely
and Make
Your Money
Work For You
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