Paper assets refer to those assets whose representation define ownership of an asset.
Some examples of paper assets can be stocks, currencies, bonds, money market funds, Mutual funds, Insurance plans etc.
It is one of the best way of growing wealth without much stress and which carries a minimal risk of capital loss. Investing in it has become very passive, your funds keeps earning interest while you do regular things, like a high time demanding job be it corporates or own business or a full time home maker. They give returns depending on the amount of capital you invest in it.
Paper assets are generally risk free, with guarantees such as with insurance (against losses if any). This states that there is no probability of losing principle capital. Banks have started keeping these assets as collateral to secure loans.
One can’t deny the fact that stocks are volatile and are subject to crashes and market trends, they are not risk free but expert’s guidance at VSRK stands straight against this volatility and restructure the investments carefully. To give a hand on which paper treasure is better as per one’s financial needs and goals.
VSRK considers following before investing funds in Paper Assets
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- Everyone has some financial goals and depending upon present saving capacity to the time frame of the goal decides which investment vehicle should be opted.
- Check how much one has in hand to make investments, flexible investment plans as Lump sum, Bi-yearly, quarterly and Monthly.
- Each investment avenue has its time frame, the longer the investment, the more interest and returns we can promise as plans are usually subject to compounding.