Droplet Wealth

                                 Ok time for Chapter#2. A quick recap on what we saw in Chapter#1, that a monthly investment started in Jan 2019 in an Equity Mutual fund could have given a return of 19% -23% P.a. or a Lumpsum investment made on the same day would have doubled by now.. Yet not many invested. Lets try and answer that through this blog.                      When we invest, the only thing we look for is "Returns" and here is the return profile of the Investment started in Jan 2018.  An investment of 3000 monthly that is 36,000 for the year will have a ending of value of only ~36,000 with absolutly no growth and in one case,  The current value is lesser than our invested value, Alas!  now tell who will have the courage to invest in Jan 2019 ? Remember the ad - Investment are subject to Market Risks.." That would have played on our minds on loop.  Next lets go back a little more and see how the investment started in 2016 would have fared -  So on a total inves

 We promised to bring you the Chapter#2 of the Why Investing is easy but in the interim, Government published the Interim Budget and I think its reasonable that our readers expect us to write about it and we write about it. So Chapter#2 can wait... Here's the News from the Interim Budget. “ If it ain't broke, don't fix it.” The Government has not done much mumbo-jumbo in the budget and there is hardly anything for middle class as such. Things look far better now than they were in the past and good thing is Government not trying to tinker things, that are working fine, just for the sake for some "Budget-drama".  Where does that leave us? If you have been reading our budget blogs , you will appreciate the fact that we always want to give a personal touch to what the take aways from the Budget!                                    Take Away# 1 Fix it if its Broken This is so much in contrary to what the Government has done with the Budget but gives a very important cu

 We have been planning to write a piece with this title for sometime now. It so happened that last week I was speaking to a good friend from Investing community and he shared a experiance with me. He chanced upon a Doctor and learnt that there are from the same place. So the conversation boiled down to - "What puts food on the plate question". So One was a doctor and another was a full time investor/advisor. The Doctor was quick to point out that - Being Investor is such a easy profession unlike others, One can easily make 30-50% returns every year. My investor friend would only laugh since he knows that he is the not 1st and he will not be last to "think" that investing is Easy.  But of course, Investing is easy. Let me put the facts out here.. Lets say this is Jan 2019 and you started simply started SIP of 10K in a Mutual Fund that invests only in Top 100 stocks or lets say just did a one time purchase of about 1 lac. Here is how the results will look today -  In

                                    Happy Bhogi! Let this be a  Properous Year for all us as we plough the seeds of hard work and seek a good harvest!                         Between Pongal last year and this year, All major Indices of the Indian Stock Market has performed generously, the Nifty 50 has given a return of 21%, the Midcaps have given 51% and small caps gave a more outrageous return of 60% ! and apart from these few select indices like Pharma & Auto returned 37% & 46% respectively. All this in just one year!      As if this  bait is not enough ,the SIP returns since the end of Pandemic look even more extra-terrestial ranging from 33% to 23% yearly!  What do you do now? EXTRAPOLATION            Lets us explain this a bit, Human Mind is more devious that we think it is and is always ahead of us! So Even before we have thought about it, the Mind has calculated and it tell you that  @ 30% return, Our invested money doubles in 3 Years  @50% return, Our invested money dou

                      Happy New Year! This is the 7th New Year for Droplet Wealth and each year, we share the rules of personal finance but this year we wanted it to be a bit different. So we will tell you a real story about how one gentlemen turned 29 Crores into 5000 Crores and the financial lessons we can learn from it. The Story -   The Gentleman we are talking about was a Managing Director in a Luggage brand company and the bosses at the company moved on, gave the control to the second generation. The second generation was not keen to work with our MD. Our MD realized this soon and resigned from the company, purchased a 56% stake in its competitor for 29 Crores. Mind you, He had that much money to invest! Now he was his own boss and working in his own company, though his company had limited market share and was much smaller than his previous company. The slog went on for 12 years and today, his company has overtaken the company where is worked as MD and is valued at 10,000 Crore.

"The journey of a thousand miles begins with a single step." — Lao Tzu     And so we started in 2018. What to us back then was passion turning into a hobby. Passion about stock markets, Equity Investments, creating wealth. The more we spoke about it, the more people got attracted to us seeking opinions & Investment advices more so with the aim of making quick money. We realised the folly that common man commits and wanted to put them on the right path by giving them right guidance through proper financial planning. With this motto, we reached our Milestone#1 - Founding Droplet Wealth.                                                        As the days passed, a lot our acquitances became our clients and they realised the beauty of Equity investments, the importance of financial plan and significance of having a financial Advisor. The word spread and before we would realise, we mopped up the 1st Crore under our advisory and that took to us to our  Milestone#2 - Having a Cro