For building a passive income portfolio which will deliver us income matching our active income we need to ensure the right portfolio shares,
As mentioned in the previous article either you can make lump sum Investments whenever you have lump sum amount of funds. ask me how to invest we should invest in the selected stocks , for that before you start investing the rule of diversification we need to have basket of stocks different sectors . for example if you want to invest rupees 100000 then we need to have minimum 4 to 6 sectors which having future prospects , it may happen that whatever sectors we choose now assuming there growth can get affected because of unpredictable events happening in future , in such a case we need to again reconsider list of sectors .
once you are selected the sectors then comes the part of selecting the right stocks from this sectors . the basis of selection for the will to what we consider in case of selecting the sectors. off course there can be some extra points which we can consider for this part. we can start with the industry leaders for the sector leaders. note down the list of leaders in the particular sector you can 1 Note 2 stocks from this list based on additional parameters like consistency of the business, corporate management, fundamental aspects, future potentials, dividend history and so on..
in our example of 100000 rupees if we are selecting 6 sectors then 20000 rupees use stock for investing in each sector , so we can 2 stocks from each sector so that 10000 rupees per stock can be allotted ,
in final structure will be having almost 12 stocks portfolio for this example
Now it's time to practically take action invest in the prepared list of stocks. to invest are the lump sum amount then you must need to decide the period of investment for example you can define regular investment period as quarterly ,
You have 25000₹ at the end of the first quarter then you can simply divide that amount in between this 12 stocks and invest in it...
Another better Method can be investing in define portfolio by systematic monthly investment , yes I am talking about method similar to mutual fund sips, few of the broker platform provides you the tool to predefined portfolio basket , predefined monthly investment and automate the investment process completely online .
Some are offering the option of payment deduction from your linked bank accounts , in some platforms they are offering deduction from Balance with the brokers..
I am sharing you thd link for few brokers Demat account opening, which you can use for opening paperless free of cost demat account and start your Systematic investment in stocks
Points to be remember -
it's a long journey for building portfolio which is capable of giving you passive income for you future needs
you need lot of patience to stay on planned journey, keep on investing consistently without getting disturbed by the market up and down the more you invest the more it will grow this is the simple rule to be followed increase due to some reason not able to do the investment for particular time then you can top up the shortfall amount whenever possible to you
you can set a specific period for taking review of the progress your portfolio and make changes in case there is any need to do so for this it's better take help of expert in case knowledge and time
#stock sip #passive income #lifelong income #portfolio # second income
Comments