Want To Catch-up With Savings And Investments?

Here’s a basic roadmap for late-starters

- Sanjeev Puri

The stock market is witness to dips and corrections but, the long term trend continues to show strength. Equity mutual fund investors who invest for long term have steadily seen their corpus grow over the years and many of them make use of a market fall to add fresh funds in their existing investments. But, if you have not been a participant in the market and getting a feeling of having ‘missed-out’, its better late than never.

A late start may not necessarily jeopardize your goals. The good news is that even if you are a late-starter, there are ways to meet your long term goals comfortably without worrying about the missed opportunities. Also, if you suddenly realize that you haven’t started to invest, there’s nothing to worry but you may start the planning process right away. The realization may come later in life that you aren’t ready for children’s education or the marriage requirements and you even haven’t secured a house. Not to forget your own retirement, the thought itself makes you perspire. Many of us start late chasing their goals. And the good news is you may still see our children settled well, own a home and retire comfortably even if you start late.

Besides, giving an impetus to one’s investments, there are three clear ways to counter this situation of starting late. Firstly, try earning more by exploring new income options well within your reach. Second, extend your work life. This means you need to work beyond the normal age of retirement. Thirdly, you might have to compromise on your goals. Instead of a four-bedroom house, you may have to settle down in smaller three-bedroom house.