People don’t become wealthy by accident. You have to be determined to do the right things to create wealth. Since it starts with mindsets, we suggest that you get rid of these three common, yet costly, habits.



“I can’t afford to invest right now. I’ll do it next year when I get my bonus.” Sounds familiar?

Procrastination is a bad habit in itself but can be disastrous when it comes to investing. Don’t delay your savings plan. The longer you wait, the more it works against you. You must have heard about the “Compounding effect”. The ace investor, Warren Buffett has a very interesting thing to say about it – “Compounding is the 8th wonder of the world”.

Let us give you a very simple example to explain why compounding effect is touted to be the 8th Wonder of this world.


Well, compounding is a mathematical computation that works with time on its side. Don’t wait for your next bonus to invest. The more you delay, the more it reduces the amount of time your money has to work for you.

Start now.



Being doubtful or skeptical about everything isn’t a particularly positive attribute, but it is a quality you need if you are investing. Be skeptical of tips when it comes to investing. In fact, it makes sense to avoid them altogether. Tips are for valets and waiters, not for investors.

When investing in equities, you need to make a rational decision for which you need to always evaluate the stock and do your own homework.

To be a successful stock market investor, you need to think and behave like an owner. If you are buying businesses, it makes sense to act like a business owner. This means reading and analyzing financial statements on a regular basis, weighing the competitive strengths of businesses, as well as having conviction and not acting impulsively on the anonymous tips you receive.



Majority of investors fall short of their financial goals due to most common reasons, one – not saving enough out of their income and second – not starting early. But then there is the third category of investors who save sufficient amount and have started early but never meet their financial goal. Why?

Because they avoided equity!

Where your long-term financial goals are concerned, don’t shy away from maintaining an equity exposure in your portfolio. No one is suggesting you go out and blindly invest in equity. If you do not have the expertise to buy into stocks, there a dozen of genuine investment advisors in the market who provide services at reasonable subscriptions cost and deliver sizable returns for you.

Investing systematically for the long term in the equity markets always pay great rewards. Not only returns in equity markets are higher than what you would get in a fixed return instrument, it also has no tax implications in the sense of long-term capital gains being nil in equity mutual funds.

Happy investing!