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Holistic investment planners, financial planning Chennai, Private wealth management Chennai

Holistic investment planners, financial planning Chennai, Private wealth management Chennai

Financial Planning chennai India, Private wealth management chennai India, Investment Advisory India, Systematic Investment Plan, Mutual Fund SIP, Mutual Fund ELSS, Tax Saving scheme

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Market Crashed

How to survive from market crashes without any negative impact emotionally as well as monetarily?

Whenever the words ‘recession’, ‘market downfall’, ‘global economic crisis’ come in picture, I think about Mr.Rudy Giuliani, the mayor of New York, when the twin towers were hit on sep 11th, 2001. He was put under a situation where he was blamed for unpreparedness, death toll increasing everywhere and people all around the globe looking at him with different emotions. The way he handled the crisis amidst political, global pressure and his personal issue of fighting against prostate cancer, it is just amazing.

Because of market euphoria, investors start thinking, “this time it is different. The things will be very rosy hereafter”. Don’t think like that. There could be recessions or market crashes anytime. Are you and your investments, well prepared for it? How can you cultivate similar emotional strength as of Giuliani’s while facing the recession and market declines? Read on to learn more.

Why does the market crash?

No one had any clue about a terrorist attack on twin tower and followed by a huge crash in the market. Always expect the unexpected market crashes and better learn to accept it too.

Do you know the most common reasons for market crashes?

At times, wrongly spread information make the traders to sell off the stocks and creates panic attack in the market.

Apart from recessions and global economic downfalls, the fraudulent activities like the Harshad Mehta scam (he used the flaws in the system and created an artificial bull market, then market crashed heavily when he get caught) and Satyam scandal (the stock value differed from the book value and market crashed when its MD Ramalinga Raju get caught for fraudulent activities) played major roles for market crash.

The ‘famous’ product collapses like housing bubble in the USA, and the dot.com bubble of recent times take a solid part in market downfalls. There are political reasons (unexpected defeat of BJP in 2004), natural disasters (Tsunami, Japan earth quake), terrorist attacks (Twin tower attack, Mumbai Taj hotel attack) are the reasons created unexpected impacts in the global market.

Do you know the best unknown secret to invest on stocks without worrying much about risk?

Did you know the shocking news when approximately 23,000 Americans committed suicide after market crash in 1929 and continued in 30s? The October 24th 1929 is still known as the ‘Black Thursday’ in market history when Dow went down by 23%. Winston Churchill who visited New York, a week after the crash, witnessed an incident where an investor who lost hugely due to the market crash fell from the 15th floor and went into pieces. This was noted in Churchill’s diary as well.

These kinds of suicides happen in each and every market crash. What is the reason behind these suicides? They are over exposed to the stock market. They have invested in stock market beyond what they can afford financially and psychologically.

Say, you have 10 lakhs to invest. Because of market crash the 10 lakhs can erode in value. Are you financially capable of absorbing this capital erosion? This effectively takes you to the assets allocation. How much money you need to invest in safe assets and how much money you can invest in risky assets? Don’t get over exposed to the market at any point in time beyond the pre-determined asset allocation.

Are you psychologically prepared to take risk? Up to what percentage of loss you are comfortable to tolerate?

Unless you get clarity on how much risk you are comfortable in taking financially and psychologically, you will not be able to proceed further. The soiled mirror never reflects the rays of the sun; similarly those who are not clear about their risk affordability and tolerance are deluded by the illusion of market hype. They will never reap the benefits of the stock market.

Stock market is not for short term investments. Is it so?

Ok, you have invested ‘X’ amount in stock market by keeping ‘Y’ amount in other safe investments. What should one do while market crashes? Just wait for the market to revive back.

Lehman brothers had to close its sub-prime lender due to mortgage crisis. The increasing subprime mortgage misdeeds and foreclosures resulted in decreasing securities backed by these mortgages led to huge loss to BNC mortgage, a subprime lender of Lehman brothers in 2008. Investors hurried to sell those stocks and the market crashed. Look at what happened just in three years for those who waited patiently with the stocks. The stock values returned to 100%. Imagine what one will achieve if wait for few more years. Success seems to be largely a matter of hanging on after others have let go.

Stock market like Phoenix gets back to shape in a matter of time. If you invest your short term money if market crashes, then you may not be able to wait till it recovers and you may be forced to book loss. Invest only your long term money in the stock market.

Are you matured enough to handle the market crashes?

If you are emotionally matured, market crashes will not disturb you. If market crashes are disturbing your inner strength then you are not emotionally matured. Peter Lynch rightly said, “You get recessions, you have stock market declines. If you don’t understand that’s going to happen, then you’re not ready, you won’t do well in the markets.” How the market works is unpredictable and no one can predict the impact when market falls down.

You have got 2 options. You invest in the stock market only to the extent that the market crashes will not disturb you. The second option is to develop your emotional maturity so that the market crashes will not disturb you at any exposure.

If you follow any of the 2 options, no market crash can disturb you. If you get emotionally disturbed during market crashes, then it is time for you to choose the best which works for you from the above 2 options. Change is the only thing that never changes.

Are you emotionally stable enough to handle the market fluctuations? Do you want to develop the key attributes to become a strong investor? Are you ready to make this change? If so, the market is yours. Play your game and win it too.

Understand economic recessions and expect the unexpected market crashes. Don’t invest another rupee until you could do this. Once you could do this, then you are all set to survive from market crashes without any negative impact emotionally as well as monetarily. Also you are well prepared to accumulate wealth through your equity investments.

Also, to be a successful long term investor, having a well drafted financial plan will be of immense help. To create a sound financial plan, I strongly recommend you to take advantage of our

 
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Jey S
Jey S
24. September, 2021.
I have been using Holistic Investment Planners for the last three years. Mr. Srinivasavaradhan answered all my questions and doubts very patiently during the first free consultation. I was able to clearly define my short-, medium- and long-term goals once I signed up for the comprehensive plan and got their investment plan suggestion to achieve my goals. They are very polite and highly professional whenever I contact them for any queries or make investments. They never pressurize you to invest on their recommended financial products. I would have been lost money by investing directly without their help since I do not have time and knowledge about different financial products. Risk planning is also done as part of financial planning. Truly, they are holistic planners when it comes to your financial planning. They help you to define your life goals, understand your financial resources and establish a plan to invest towards reaching those goals. They do review your plan as you progress to make sure that you are on correct path to achieve those goals. Kudos to the team and keep up the good work!!! I am happy that I found holistic investment planners for my financial planning and management.
aksaswadkar
aksaswadkar
24. September, 2021.
I was about to retire and really not understanding how to invest money to have financial freedom and fulfilling my goals. Was desperately searching on internet way out and fortunately came across Holistic Investment Planners. I read number of articles on their website and realized that this is the agency which I want and engaged their services for my retirement planning. It is an excellent experience to be associated with Holistic. Right from day one our interaction was fantastic and they gave me such a wonderful plan that I had never imagined. I am fortunate enough to be in the client list of Holistic. I have recommended Holistic to my friends as well.
Lionel Faber
Lionel Faber
16. September, 2021.
I've been availing their services for the past year. They are highly knowledgeable in the field and are very patient with all doubts and queries. Personalized financial planning is provided keeping your short term, medium term and long term goals in mind. They do not pressurize you to purchase schemes of their choice. They provide their input and suggestions and leave the decision up to you which shows their honesty and high principle.
Sridhar
Sridhar
8. September, 2021.
Financial planning brings peace in life. Holistic Investment have supported in arriving financial plan based on future goals. My investments are regular since then. They are professionals in their business, will recommend others.
Nitesh Agrawal
Nitesh Agrawal
6. September, 2021.
I have been using Holistic Investment Planners from last one year. The journey has been fantastic. Being a finance person myself I always thought we can look after and plan own finances also. However, due to lack of time and deciplain the things are not always as desired. After joining with Holistic Investment for the first time Icame to know the Financial goals and quantified them. Some dreams were unrealistic based on the earnings and savings so had a reality check. Also got the information and deciplain of investing on regular and more rewarding securities. I definetly suggest to use Holistic Investment Planners. They are professionals, available and hear youor full story before presenting plans. They are flexile in the sense if there are some urgent deviations required, they help to plan the same. For all professionals/individuals I would suggest using professional help of Holistic Investment Planners for best results in long term investment and financial goals achivements. Last advise will be to start early in your life. It really pays well to start in the beginning itself else the dreams needs to adjust :)
Swetha Vasanth
Swetha Vasanth
6. September, 2021.
This is my first year service with the Holistic Team and I would say that they are very much helpful in creating a financial plan and follow ups during the year. I would definitely suggest them if anyone who is willing to proceed with their savings professionally.
Joseph Mathias
Joseph Mathias
6. September, 2021.
I came to know about Holistic Investment Planners online while searching for different investment ideas. Once I contacted them the journey was very smooth. Mr. Ramalingam explained all the aspects of Financial planning in detail and it opened my mind. I realized how important it is to have a Financial planning. Mr. Rajan suggested all the requirements as per my goals and made a Investment plan keeping in mind of my goals. I started my Investment journey with them. I wish I had done it some years back then it would have been in a different level. Review meetings were held every six month to check the implementation of the plan and check the results as per the requirements and to check if any changes required. Overall it was a good experience with Holistic Investment team and would like to continue in the years to come.
Srinvas Kannan
Srinvas Kannan
30. July, 2021.
I came across Holistic investment planners almost 5-6 years back, but I did not have the trust since I had met a few of them who did not sound promising. Then I started investing through a financial advisor of my friend. After 4 years of investing the returns were very low. I was disappointed and started looking for financial advisors when I came across Holistic investment. I had a detailed discussion about my goals and the way they would approach achieving my goal before deciding to switch my investments to them. After a thorough analysis of my then existing portfolios, they suggested new ones and we zeroed-in on 6 schemes/funds where our investment would be split. I am glad I made the decision of switching over and taking Holistic planner's advise, my returns are handsome and I only wish I could have taken their help/advise 5 years back itself. Neverthless, I would like to recommend their services for investment and financial advise if someone is serious about their investments.
Shivaram Andiappan Selvaraj
Shivaram Andiappan Selvaraj
3. July, 2021.
I got a free first time consultation. I got my doubts resolved. They also gave additional advises for investment planning which was also useful.
Nellai B
Nellai B
26. June, 2021.
I have been associated with them for the past three years. They are very professional and polite in answering all our questions. I have complete trust in their suggestions. I strongly recommend for anyone. I am looking forward to have strong and successful association with them.
Google rating score: 4.4 of 5,
based on 61 reviews

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