Thinking Investments ! Think before Investing !!!

Having been a Financial Advisor once , I have seen lot of my counterparts pushing investment vehicles, that give a better yield to them than to their clients. Is this right is a debate which is not my favourite topic.
From an Investor’s view, I would suggest the following……
Before sitting with an Advisor, some amount of thinking on the part of the client is a must.
Out of the following three things, if someone is not sure of atleast one, then postpone the decision to invest till clarity is on the cards.
1) What is the need for which you are planning to invest ?
2) What is the return expectation out of this investment ?
3) What is the time period for holding on to the investment ?
If the need is clear, then taking a decision on what instrument to buy becomes easy. Then depending on every individual’s risk taking ability, choice of investment vehicles could be made. Getting into market related investments, if the return expectation is clear, then instead of worrying about market cycles, taking a decision on when to get out of such investment becomes simpler.
If someone is willing to hold on to an investment for long term, then market ups and downs do not really matter.  If prospective investors are not clear, it definitely is the responsibility of the Advisors to ask these questions to give proper and sound advice.
So Investors…… Get these things clarified !!!!!!!!
Advisors………. Ask these things to have long term relationships with clients !!!!!!

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