Investment mistakes you should avoid during the market downtime

Choosing the perfect investment tool is challenging because there is no shortage of investment options available in the market, which can be even more complicated when the market isn’t in your favour. Turbulent markets make investing even more volatile and unpredictable than it already is. Making haste or investing without fully understanding where you’re putting your money could lead to lower returns or capital erosion.

Here’s a list of common investment mistakes you should avoid during turbulent times to demystify this issue.

Do not neglect your financial goals

Aligning your investments with your financial goals is extremely important as this will prevent you from making the wrong investments. It also gives an individual a direction to work towards. Before investing, computing your income, expenses, liquidity requirements, expected recurring expenses, and financial goals are significant.

Don’t put all your eggs in one basket

Individuals make another common mistake by putting their hard-earned savings into only one instrument. Say an individual invests all his savings in a fixed deposit with high FD rates for a long tenor. Even though it is a perfectly safe tool, he could have gotten a higher return rate if he waited more or laddered his deposits. If he invests all his savings in stocks and the market tanks, he could lose his initial capital. So, the best way to deal with this is diversification. By diversifying your investments, you mitigate risks and achieve better financial health. It is beneficial for long term growth as well.

Bajaj Finance has recently increased its FD rates. If a senior citizen and a regular citizen invest Rs. 5,00,000 in an FD with Bajaj Finance for a special tenor of 44 months. Here’s how much they can get at maturity.

Here’s how much Bajaj Finance's FD rates for regular and senior citizens can get at maturity.

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Here’s how much Bajaj Finance’s FD rates for regular and senior citizens can get at maturity.

Don’t refrain from taking advice from financial experts

If you are new to investing, you should get guidance from financial experts or seasoned investors. It will help you in avoiding a few mistakes, if not all. You can always benefit from the advice of those who have learnt from their own mistakes.

Avoid panic buying and selling

Many investors make the typical panic buying and selling mistake when they face losses in a volatile market. When you invest in such a hurry, you might use tools that do not bring long term value to your portfolio. Instead, one must always stay calm and look for opportunities.

These are a few common mistakes investors make when investing during turbulent times. Now that you are armed with information on avoiding making mistakes, let’s shed light on the ideal investment tools you can use amidst market uncertainties.

The fixed deposit comes across as a clear winner in this case as you can get guaranteed returns and safety of deposit. Also, with few financiers like Bajaj Finance Fixed Deposit, you can enjoy high FD interest rates. Apart from the high FD rates, there are other benefits when investing in an FD with Bajaj Finance. Some of them are listed below.

Features and benefits

  • Minimum deposit amount of Rs. 15,000 per month
  • Attractive interest rates go up to 7.35% p.a. for regular investors and 7.60% p.a. for senior citizens.
  • Flexible tenors between 12 to 60 months
  • Special tenors have higher interest rates (33 months, 44 months, etc.)
  • Loan against FD facility up to 75% of the FD value.
  • Premature withdrawal
  • Choose payout frequency based on liquidity requirements with the non-cumulative FD plan
  • Online FD calculator to estimate your returns at maturity
  • Invest online with simple steps.
  • Small monthly instalments starting at just Rs. 5,000 with Systematic Deposit Plan facility.
  • Highest Credit Ratings – CRISIL AAA/STABLE and [ICRA]AAA(Stable)

These are the key benefits you can avail of when you invest in a Bajaj Finance Fixed Deposit. Armed with this information, you can now confidently chart your investment course through these volatile markets and choose a tool that fits you right.

Disclaimer: This article is a paid publication and does not have journalistic/editorial involvement of Hindustan Times. Hindustan Times does not endorse/subscribe to the content(s) of the article/advertisement and/or view(s) expressed herein. Hindustan Times shall not in any manner, be responsible and/or liable in any manner whatsoever for all that is stated in the article and/or also with regard to the view(s), opinion(s), announcement(s), declaration(s), affirmation(s) etc., stated/featured in the same.

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