How to invest money in 20s ?

 How to invest money in your 20s?                        

1.  Decide why do you want to invest?
2.  Invest in your financial knowledge
3.  Set your financial goals
4. Decide where you will invest 
5.  Make your budget 
6. Start Investing as soon as possible 

 Why do you want to invest?

•  Before you invest, you decide why do you want to invest.  If you want to invest to become a millionaire then this mindset is correct but if you want to invest crores of rupees just to spend them then this is a wrong mindset.  You can never become rich with this mindset.  Suppose you got a good return on investment and you buy a car with that money, your investment will again become zero .But if you then buy a car.  When you have the money to buy 10 cars like that, your investment will grow and you will become rich.

How to invest in your financial knowledge?

•  How rich or poor you will become will depend on your financial knowledge.  That's why first of all you increase your financial knowledge.  To increase financial knowledge, read more books about Elon Musk, Jeff Bezos, Mark Zuckerberg, Bill Gates, Dhirubhai Ambani and Warren Buffett, the world's biggest investor.  From which you will also know how he became so rich and how you can become rich.  You can also learn a lot about investing by reading Warren Buffett's book.  Apart from this, you can also join some courses from which you can learn a lot because the more you learn, the more you will earn.           

  

   Set your financial goals.                      

•  First of all, set your financial goal. Goal setting is also very important because until you do not set your goal, you cannot complete it.

    

How to make your budget?

•  You can use the 50:30:20 rule to make your budget.

1. Out of whatever you earn, you should run your household expenses with 50%.
2.  Spend 30% on the things you want to have because your desires are also important.  If you don't enjoy your youth then when will you.
3.  You keep 20% only for investing.  By which you will be able to grow your wealth.

Where to invest in your 20s?

•  Best 3 investments in your 20s-

1.  Index Funds
2.  Stocks 
3. Real estate

•  Index Funds -  Index funds hold top 30 companies listed in Sensex or top 50 companies listed in Nifty.From these we find out how the market is and your return will also be decided by the performance of the market.

     If you are a beginner and you do not have any investment knowledge and you do not have time to research stocks then you can easily invest in Index Fund.

    Benefits of investing in Index Fund

1.  You will easily get 12% - 15% annual return in Index Funds.
2.  It has a very low expense ratio as compared to Mutual Funds. 
3. You don't even have to do any research in this.
4. In this, you know which companies' shares you are buying.
5.  In Index Funds, your portfolio is diversified so that even if one or two stocks do not perform well, you will get good returns.

•  Stocks - Companies sell their stake in the form of stocks, so that you too can become a shareholder of that company.  To invest in stocks, you have to learn Share Market, how to select stocks and how long to hold them.

 Benefits of investing in stocks

1.  If you buy good stocks after doing research, then you can get more than 20% return from stocks.
2.  In this you also get divdend.
3. In this you can easily withdraw money by selling shares.
4. In this, you can make your best portfolio by choosing shares from yourself.

•  Real state - Especially land is the best investment in India because India's population is increasing very fast and according to that the land is also decreasing very much.  Right now the population of our country is 140 crores and by 2025, India will leave China behind and become the world's largest populated country.

 Benefits of investing in Land

1.  With the increase in population, the value of your land will also increase very fast.
2.  By buying land at a good place, you can build a house or shop in it and give it on rent, so that you will continue to earn passive income.

•  Start Investing - The sooner you start investing, the sooner you can become rich.  Warren Buffett is so rich today because he started investing only at the age of 11.  He was able to grow his wealth with the help of compounding in the long run.