Personal Investment planning

Financial Planning Basics

• Track income/expenses.
• Define short, medium, and long-term goals.
• Know your risk profile.

2. Emergency Fund

• Keep 6–12 months of expenses.
• Park in liquid funds, sweep-in FDs, or savings with auto-FD.

3. Key Investment Options

• Mutual Funds: Long-term wealth (equity/debt).
• FD/Liquid Funds: Stability & short-term needs.
• PPF/NPS: Retirement, tax-efficient.
• Insurance: Only for protection (term + health).
• Senior citizen/bank schemes: Steady income.

4. Diversification

• Spread across equity, debt, gold, real estate.
• Mix domestic + international.
• Match asset to time horizon.

5. Step-by-Step Flow

1. Emergency fund.
2. Insurance cover.
3. Tax-saving tools.
4. SIPs for wealth building.
5. Goal-based allocations.