5 Basic Ways to Grow Money in 2020 (For Beginners)

5 Basic Ways to Grow Money in 2020 (For Beginners)


If you expect that this video will make you a millionaire without working hard, without earning or saving anything then you are at the wrong place. But if you are like those people who are disciplined and can save atleast Rs.500/- per month then today by the end of this video you will know exactly what to do to make your money grow. So it doesn’t matter if you can save Rs.500, Rs.5000 or Rs.50,000 per month because in today’s video we are going to see #1: The top 5 investment options. #2: How to pick the best investment option according to you. But most importantly, towards the end, I’ll give you a Bonus Tip which is the number one rule to make your money grow. But before that, if you like the work that I do then make sure you hit that ‘like’ button because that motivates me to make more videos. Let’s begin. To really understand what will happen to your money, let’s analyse each investment option based on these 3 parameters.. 1. Liquidity: Suppose you have an emergency and need money right away. How easily can you get your money back from that investment is called liquidity. 2. Risk: It is the possibility that you’ll lose your money. #3: Returns: i.e how much can your money grow. Let me give you an example. All of us like to save money in the form of cash. Cash’s liquidity is high because when you need it, it’s right there. Risk is low. It’s not zero because somebody can still steal your cash. And returns are negative. See, if you leave your cash in your locker or under your mattress then it is not going to grow. Prices of items will increase, inflation will happen but your cash will remain the same which is why, returns of cash is negative. Understood? With that understanding, let’s now analyse the following 5 investment options.. 1. Savings Account A savings account is a basic bank account that allows you to deposit money and withdraw money all while earning interest. It is very easy to withdraw money from a bank but because of that, we often get tempted to spend which is why with a savings account, long-term investments become a challenge. Liquidity is high because you can take out your money any time you want. But every bank has a set number of financial transactions you can do per day. Risk is zero. Your money is safe with the bank if you pick a trusted bank. But returns are low. SBI gives an interest rate of 3.25% to 3.5% on Savings Account. Now, how to invest? Just chose a bank that you like or trust the most, walk-in to their branch that’s near you and they’ll help you open your Savings Account. 2. Fixed Deposit A Fixed Deposit is when you give a certain amount to a bank for a fixed period i.e I am not going to touch this money until this period ends and in return you will get higher interest rate than a regular savings account. For example, SBI FD interest rates range between 4.5% to 6.25%, depending on how long are you giving your money for. Are you giving it for 7 days, 3 years or 10 years? Higher the tenure, higher the interest you will get. Now coming to the parameters. Liquidity is medium because there are some banks that don’t allow you to liquidate your FD online. Plus, if you withdraw your money before your maturity ends then you have to pay a penalty fee. Risk is zero. The bank has to return back all of your money after your maturity ends along with the interest. Returns are low. It is between 4.5% to 7% depending on the bank and how long are you giving your money for. But the main problem with FDs is tracking. Suppose, one month you can save Rs. 1000/- and another month you can save Rs. 2000/- then you have to start 2 new FDs. So every time you save, you have to start a new FD and it becomes difficult to track all of these FDs. But to tackle this problem, we have something called Recurring Deposit. Suppose you can save Rs. 3000/- per month. So, Rs. 3000/- every month will go to that deposit. So there is just one Recurring Deposit that you need to maintain. But again, if you miss your monthly installments with Recurring Deposit then you will need to pay a penalty fee. Even though your money will be safe, the problem with FDs are the penalties you have to pay if you withdraw your amount before maturity or if you miss your monthly installments. Now, how to invest? If you are okay with these drawbacks then all you need to do to set up an FD is to use net-banking or just walk-in to your bank branch. 3. Health Insurance Okay. So this is not a typical investment option, but it kinda is. Here’s how. Life is unpredictable. Tomorrow, if God-forbid you meet with an accident or are recovering from an ailment then the hospital bills are going to be crazy. In such a scenario, you don’t want to beg for money and spend the rest of your life in debts which is why, a health insurance becomes very important. The risk is zero and the returns are enormous because it can save your life or it can save you from debt. All you have to do is pay Rs. 4000/- to Rs. 8000/- every year and in return, you will be insured a sum of Rs. 2-5 Lakh to pay your medical bills depending on the policy you take. Now, how to invest? There are multiple websites like PolicyBazaar, Coverfox etc… that will help you compare health insurances so that you pick the best health insurance according to you. All you have to do is call the executive and they’ll come to your office or your house to get the registration done. 4: Stock Market If you are like me then you’ve stayed away from Stock Market most of your life, thinking.. ‘But I am not a CA, what if I lose my money?’ And you are right. Some people have lost everything in the Stock Market but it has also made some people very rich. Stock Market as the name suggests is a market where you can buy and sell shares of publicly held companies. It will be your job to analyse which company might do well in the future and then place your bet by buying the shares of that company. So the risk associated with stock market is high because if your analysis is wrong and the company does bad then you can lose your money. Liquidity is medium because it will take around 2-3 business days to get your money back. But the returns can also be high. Warren Buffett, the 3rd richest man in the world has generated his wealth by investing in Stock Market, long-term. It is difficult for me to explain all of this in such a short video which is why I have made 3 separate videos about what is Stock Market for beginners. So if you want to make money in the Stock Market then I’ve left the links of the videos in the description. Do check them out. 5. Mutual Funds We just discussed that Stock Market is a one-person show where you have to make all the decisions. But Mutual Fund is a team-work because a Mutual Fund collects money from people like us. Rs. 500/- from me, Rs. 500/- from you and creates a money pool. A fund manager then uses this pool to invest in stocks, bonds and other assets. We don’t have to worry about where it is being invested because the fund manager takes care of all of it for a commission of 0.05% to 2%. You can invest in it one-time or start a SIP (Systematic Investment Plan) where you can transfer a fixed amount to the mutual fund every week, every month or every quarter…your wish. There are a whole lot of mutual funds. Some are good for short-term investments and some are good for long-term investments which is why the liquidity ranges from medium to high because in general it will take 1-3 business days for you to get your money back but if you invest in Liquid Mutual Funds then you will get your money back instantly. Relax! I will tell you what a Liquid Mutual Fund is, in a minute. Risk. Mutual Funds are subject to market-risk, please read the offer document carefully before investing…is correct. There is a little bit of risk associated with Mutual Funds but as long as you do your research, you should be fine. And returns are medium. On an average in the past returns have been between 7% to 14%. Now let’s get back to what is a Liquid Mutual Fund. A Liquid Fund is a low-risk, medium-return Mutual Fund that does not invest in high-risk shares but in low-risk bonds or debt securities. One such example is ICICI Prudential Liquid Fund which has been around for the past 13 years and has earned close to 7.2% pa in returns which is slightly more than the returns of an FD. Till date, since the past 13 years it has lost money only on 2 days and hence it is not very risky. So, if you don’t want to take too much risk that comes with a Mutual Fund, don’t want to pay the penalties of an FD or an RD and still want to make more returns than a regular bank account then I recommend you check-out this app called EasyPlan. This video is bought to you by them because it is a smart-way to save money that I also use. This is how it works. On the app, you can add a goal. Whether it is saving for a vacation, a phone or an emergency fund. I want to save for a vacation. So I will enter the amount I want to save. I want to save it monthly and it will suggest me how much I should invest every month. I will chose the option that works best for me. And then it will tell me how long it will take for me to achieve that goal. And that’s it. After that, it will send me reminders to transfer that amount every month. Now, where is this app sending my money? My money is being invested in ICICI Prudential Liquid Fund which is a low-risk Mutual Fund that we just discussed. What I like about this app is that I can pay Rs. 500/- one month and Rs. 2000/- after 2 months. You have the flexibility to pay whatever amount you want and whenever you want it, without having to pay any missed penalties. Liquidity with this app is also high because you can withdraw 90% of the amount any time you want and the rest 10% within 2-3 business days. Now, how to invest? You just need to download the app and complete your KYC which is all done on the app without any paperwork. So use the link in the description to download the app, play with it a little bit and figure out if it’s the right investment for you. The best investment for you depends on what your needs and requirements are. Do you want to buy a bike? Do you want to buy a house? Save for your children’s education? Save for an early retirement? We just discussed 5 investment options. How soon do you need your money back will help you decide which of these 5 investment options is best for you. But in my personal opinion, you should not keep all of your eggs in one basket which is why you can divide your investments like this. So, first in your Savings Account you can keep around 20K – 50K INR for your monthly expenses and to keep some liquid cash handy. Next, maintain an emergency fund which is 2-3 months of your salary. For your emergency fund, chose a low-risk medium-return investment option. So you can either chose an FD or invest through EasyPlan if you don’t want to pay any missed penalties and want an instant withdrawal. You can even use it for any short-term investments. After this, if you still have money to invest then chose a Mutual Fund that offers high returns at high-risk or invest in the Stock Market. In this 3rd category, you should only invest money that you don’t need immediately and are okay to be invested in for long-term. I have made videos explaining in depth about Mutual Funds and Stock Market Investments for beginners. Their links are in the description, do check them out. Ofcourse, this is just a suggestion. Ultimately, you will only decide what you want to do with your money. But remember, with time and age our requirements will keep changing. So, ensure that you review and adjust your savings say once a year to meet your goals. You’ve watched this video so far, which means you’ve invested your time in me which means you like me? So make sure that you ‘Subscribe’ to my channel and hit that ‘Bell’ icon so that you receive a notification every time I release a Career or a Finance related video. The problem these days is that everywhere we look, people are trying to sell us something. Websites, ads on Facebook, influencers on Instagram asking us to buy things that we don’t need. And that is why at the end of every month we do not have any money left for our investments. Then who will take care of you and your family? Definitely not your favorite Youtuber. So today’s Bonus Tip is this.. Don’t make instant buying decisions. If you have to spend then instead of spending your money on materialistic things that give you momentary happiness, spend on things that make you grow like that coding course, public-speaking club membership, travelling or just a good book that teaches you something. Because investing in yourself is just like investing in Mutual Funds or Stock Market.. Long-term, they’ll always give you returns. I seriously need a break. So the next thing I am saving for is a vacation at a cool place because I believe that every vacation is an investment. Comment and tell me what you are saving for… Education, camera or your own house? I’ll be waiting to read your comments. Also, share this video with people you know who have no money left at the end of every month so that even they start investing. On that note, I promise to see you again in the next video until then, Keep fighting.. The Urban Fight to be Fit!

100 Comments

  • The Urban Fight

    November 14, 2019

    Heylo Fighters….Start your 2020 right! Which of these 5 investment options did you like the most?

    To know more about EasyPlan, download it here: (Available in both Hindi and English)
    Android : http://bit.ly/2PUYIYO
    iPhone : https://apps.apple.com/us/app/easypla...

    Reply
  • chandra mouli

    November 15, 2019

    Is Easyplan is trusted…! Aren't it…?

    Reply
  • Parimal Prajapati

    November 15, 2019

    Awesome video mam.
    "Saving is earning." πŸ‘πŸΌ

    Reply
  • Aishna Jain

    November 15, 2019

    You did not talk about PPF
    Is it not a good option to invest for long term?

    Reply
  • Virgilio Monteiro

    November 15, 2019

    Thank You Ma'aM for the bonus tip

    Reply
  • Vishal Dathu

    November 15, 2019

    This is one way

    Reply
  • Chagan Arshiya

    November 15, 2019

    Mam what job should I do? I'm doing MSc Physics first yr right now. Please give directions 😍😍

    Reply
  • Parameswari Akkala

    November 15, 2019

    Plz do a video on olymp trade app

    Reply
  • chintha supriya

    November 15, 2019

    Thank you so much for the video ❀️,I am the person who don't have money at the end of the month. I already started RD after seeing your videos and now I am planning to save money to buy a house. I love the way you are speaking, thank you so much for giving this knowledge to us😍😍😍.

    Reply
  • SAMARESH MALLICK

    November 15, 2019

    Mam pls make video very frequently. I love your voice and style of talking simple English. Keep growing. Love you

    Reply
  • ganpath jagadhish

    November 15, 2019

    Thank you for suggestions.

    Reply
  • ganpath jagadhish

    November 15, 2019

    Can you talk about GDP oriented topics and people get some awareness.

    Reply
  • Sayali Kathi

    November 15, 2019

    you are very intelligent person.. very well explained all investment options.. please make a video on this topic more

    Reply
  • Bathala Manohar

    November 15, 2019

    Nice words

    Reply
  • Pavithra Pvrp

    November 15, 2019

    Please make videos about how to earn money while studying…

    Reply
  • sujith bablu

    November 15, 2019

    My savings is for laptop

    Reply
  • Sonu Gaur

    November 15, 2019

    good video

    Reply
  • ramesh gujjala

    November 15, 2019

    Love u my dream girl ❀

    Reply
  • Akhil Ramachandran

    November 15, 2019

    the last bonus tip is something we have to think of investing..!

    Reply
  • Patel Mayuri

    November 15, 2019

    Actually I need help that how can I improve my sentence formation ND how I make complex sentence can uhh please do something about that ❓

    Reply
  • I FOUND HEALTH

    November 15, 2019

    Good Explain… πŸ™‚

    Reply
  • Telugu Tech Indian

    November 15, 2019

    It will be great if you explain about PPF also.., & You always helping many people in many ways to save their money. I love the way you speak
    Have a great day lovely sisterπŸ₯°

    Reply
  • rajesh moluguri

    November 15, 2019

    Akka meru entha Baga English matladthunnaro superb πŸ‘ŒπŸ’žπŸ’ž

    Reply
  • Rupa Bhargavi

    November 15, 2019

    Thank you soooo much for breaking this big term "investment" into such layman understandable concept. Excellent teaching. Couldn't have done better!

    Reply
  • Manmeet Kaur

    November 15, 2019

    You inspire me in so many ways. Love πŸ’“

    Reply
  • Gokul Chowdary

    November 15, 2019

    Tq to all

    Reply
  • Anubhav k. Tyagi

    November 15, 2019

    The Bonus TipπŸ’•

    Reply
  • Jini Jini

    November 15, 2019

    No money left but trying hard for a good home ,life

    Reply
  • neha tarafdar

    November 15, 2019

    Hii..
    You are doing great and I like your ideas which i think all of us, the viewers learn.
    I am saving to buy my own house.
    Hope will get it one day..
    Thank you 😊

    Reply
  • Satish Pandu

    November 15, 2019

    I wish i will be marry a girl like you

    Reply
  • MY life MY choice

    November 15, 2019

    Thank you so much sis for your valuable suggestions… Very useful video ..i will try that app

    Reply
  • balamurali ravi

    November 15, 2019

    girl, u r a true influencer ✌

    Reply
  • donka Janaki rao

    November 15, 2019

    I am asking 3rd TIME PLEASE DO A VIDEO ON " HOW TO INVEST IN REAL ESTATE "

    Reply
  • aryan hossain

    November 15, 2019

    missed you so much…. after a long time

    Reply
  • praveen pkd

    November 15, 2019

    I save an money to go abroad for my carrier

    Reply
  • Robin Parmar

    November 15, 2019

    Can i say something…ur tone of English very clear and…love to listen mam… U r such a great

    Reply
  • ipsita das

    November 15, 2019

    For A Own House

    Reply
  • indra kumar.n

    November 15, 2019

    I wanna buy a own house…

    Reply
  • Sandeep sharma

    November 15, 2019

    Dosto aapko ye video kesi lgi ?
    Comment krke jroor btayen
    Agli video dekhne keliye link pr jayen
    https://youtu.be/4yW-wpz19p8

    Reply
  • Mohammed yunus panfarosh

    November 15, 2019

    Whats your say about buying plot (site)with bank loan for long term investmen???

    Reply
  • popejohn gaming

    November 15, 2019

    Very interesting video mam.like your face expressions… 😘

    Reply
  • Ramakrishna Gunde

    November 15, 2019

    Am small YouTuber please support me by subscribe

    Reply
  • Nagarjuna kumar

    November 15, 2019

    Your taking way and expression is unique and excellent

    Reply
  • Niko Niko

    November 16, 2019

    Can you do investment options available for NRIs ?

    Reply
  • n b

    November 16, 2019

    Hi mam it was amazing tips
    Please make more videos.

    Reply
  • Naga MalleswaRao Rajulapati

    November 16, 2019

    Which health insurance is best?

    Reply
  • Arunprasath Balaram

    November 16, 2019

    As always, you rocked with the content, communication and expression. Keep rocking Taskeen.
    Again, I knew all this. But still I watched your video twice.
    (10.35 – Mutual funds are subjected to market risk, please read the policy document before investing 😜)

    Reply
  • Candy Photographer

    November 16, 2019

    Hi, sister first time i am seeing your video very clear and understandable & useful thank you, god bless

    Reply
  • Alok Rout

    November 16, 2019

    So the whole point of this video is to promote easy money app.. Don't misguide people with your paid promotion

    Reply
  • Ganesh G

    November 16, 2019

    Simple nd huge information πŸ‘ŒπŸ‘πŸ‘πŸ’ͺ
    I invest for a bike..!!!?

    Reply
  • supriti biswal

    November 16, 2019

    😍😍😍

    Reply
  • Manoj R

    November 16, 2019

    Make a video about how to crack Pearson Versant English Test for amazon interview..

    Reply
  • Veera Jain

    November 16, 2019

    Hello ..pls make a video on how to pursue PhD

    Reply
  • Debeswar Sabar

    November 16, 2019

    Make a video on real estate investment

    Reply
  • Rashmi R

    November 16, 2019

    I have downloaded easyplan and understood how it works, but is it trustworthy. As i can understand, i have to add money in that app itself. Please brief a lil abt that app as well

    Reply
  • Nithu Singh

    November 16, 2019

    πŸ™

    Reply
  • Biki Sarma

    November 16, 2019

    Highly informative.

    Reply
  • Health help

    November 16, 2019

    I like the way how u speak but it's so basic thing ur talking about

    Reply
  • AravvArun

    November 16, 2019

    clever speech yarrπŸ˜„πŸ˜„πŸ˜„

    Reply
  • Damini Purswani

    November 16, 2019

    Mam tnx

    Reply
  • NI RASEL

    November 16, 2019

    Didi I'm from Bangladesh and I'm see your vdo regularly to develop my speaking skill…

    Reply
  • Kaiser world

    November 16, 2019

    Tq, I like ur way of explaining, I'm ur big fan mam, I'm a house wife please tell me home-based job to earn 6to10thousands very month, but please explain one genuine website which give me a work.

    Reply
  • S jit

    November 16, 2019

    16:09 πŸ™‚

    Reply
  • Shivkumar Hattarki

    November 16, 2019

    U r like our elder sister..
    guiding us through life.
    Thank u so much.
    keep guiding us.

    Reply
  • heena kauser

    November 16, 2019

    Please don't put overseen

    Reply
  • MANI RICH

    November 16, 2019

    Hey,Thank You Soo Much, I have Learned A Lot From You Videos, Iam Investing In MF, Stock Market, Improving Skills On Digital Market, Planning To Start YouTube Channel, Thank You Soo Much Dear😍😍😍😍.

    Reply
  • Sandeep Kumar Shaw

    November 16, 2019

    Car

    Reply
  • deep sarkar

    November 16, 2019

    Very helpful & informative β™₯️

    Reply
  • shivam arora

    November 16, 2019

    Now u don't need to say like my channel because i have already done!!Thanku so much for Ur Videos!!

    Reply
  • thatipalli saikumar

    November 16, 2019

    Hello fighters I liked your video.. I wonna invest for my future prospects in any stream.

    Reply
  • mandira boro

    November 16, 2019

    I save only 1500 in month…RD account πŸ€— so this video is for me or my type people isnot it…πŸ˜†πŸ™

    Reply
  • Jayateja Naik

    November 16, 2019

    I'm big fan of U πŸ˜ƒ akka

    Reply
  • Jyolsna N.R

    November 16, 2019

    Home 😞😟

    Reply
  • Nalam Nithin saju

    November 16, 2019

    Education

    Reply
  • Sakthi Rajan

    November 16, 2019

    Nice ma’am

    Reply
  • Vicky Varma

    November 16, 2019

    Right now trying to save some on filmmaker kit(i.e.,camera,lens and other camera accessories) and may be a new laptop and a harddisk.Will try these for sure.

    Reply
  • Arvind Prabhu

    November 16, 2019

    mam as you said i opened a demat account in kite with your link but y your not making any videos on stocks only two videos i feel sad…

    Reply
  • raj kumar

    November 16, 2019

    I'm btech cse final year now.
    Can you make a video on getting jobs in like indigo or something like in airport /aviation and what opportunities we have and how to apply?

    Reply
  • Prasanna s

    November 16, 2019

    How to save a money when my salary is 8000πŸ€”πŸ€”πŸ€”

    Reply
  • Prashant Shetty

    November 16, 2019

    If you enter the stock market as an long term investor you will almost always make money. But if you get in as a trader the risk is higher.

    Reply
  • chandu thumula

    November 16, 2019

    Tnq soo much for educating us

    Reply
  • Kevin Paul

    November 16, 2019

    Please make a video about work from home options

    Reply
  • Sandeep naik

    November 16, 2019

    Don't work Hard- you will always be slave of somebody or something
    Work smart so that you're King/Queen of your life

    Reply
  • aditya nimgade

    November 16, 2019

    The way u describe the topics is very clean and comfortable to understand..

    Reply
  • Ritesh Ranjan

    November 16, 2019

    I have to save money for investing in business. So by which methods should I save money?

    Reply
  • NATURE CALLS FACTS

    November 16, 2019

    For my family

    Reply
  • Dipak Kuchhadiya

    November 16, 2019

    i like it πŸ‘ŒπŸ»

    Reply
  • sai prasad

    November 16, 2019

    Won house🏠

    Reply
  • shaikh firdous

    November 16, 2019

    Keep up…. You are One of my favourite youtubers… Thanq… Keep growing

    Reply
  • mahi yarlagadda

    November 16, 2019

    The voice and your voice modulation makes me pumped up always.

    Reply
  • MADHAN KUMAR

    November 16, 2019

    Your name

    Reply
  • Sona Moni

    November 16, 2019

    Want to save for my own house

    Reply
  • ikram hussain

    November 16, 2019

    Hi medam after seeing your video I have got some ideas to save my thank you medam and try to make more videos to gain some knowledge.

    Reply
  • jagrati kapil

    November 16, 2019

    I started like your video

    Reply
  • preetam danwani

    November 16, 2019

    Bonus tip was awesome

    Reply
  • amit rocks

    November 16, 2019

    πŸ‘πŸ‘πŸ‘πŸ‘πŸ‘πŸ‘πŸ‘

    Reply
  • amit rocks

    November 16, 2019

    We really like the work u do

    Reply
  • amit rocks

    November 16, 2019

    How every vacation is a learning..pls explain

    Reply
  • Arjun arya

    November 16, 2019

    Mam i have only three month to learn for a english so what should i do to learn english fast

    Reply
  • MaDhU Dasi

    November 16, 2019

    Hey!! Watching ur videos ever since the channel began😘… gud wrk!!!
    more love and power to dea … please do make a video on wrk frm home jobs… along with their websites too… coz all those wfh job websites been a trash just to grab sign up money … do consider this .. it may help many students out there too

    Reply

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