Few myths and misconceptions of Investment Planning

• Savings and investments both are same.
• Savings and investments both are same.
• Real estate, gold, bank fixed deposits are the only safest instruments in the world.
• A detailed plan takes too much time. I'll look into it when I retire.
• Too much money in one place.
• Trying to Make Quick Bucks When Investing, Expecting unrealistic returns on investments. Buying on Impulse, selling in panic.
• Making a financial decision without understanding its affect on other financial issues.
• Timing investments only will give more returns.
• Investments in equity are risky.
• You need to have a lot of money before you can even think of investment.
• Once you invest, you have to keep track of investment movements on a daily basis.
• Investment is about making a lot of money in a short period of time.

Few mistakes of Investment Planning

• Too Much Attention Given to Financial Media
• Investing Too Conservatively.
• Don't have the target goal for saving or investing.
• Making emotional decisions.
• Hold a loser until it breaks even, failing to hold the winners.
• Making Investments That You Can't Really Afford.
• Investment objectives are not same as desired financial goals.
• Impatience with investments.
• Not having or over looking on asset allocation
• Placing all investments in one segment (either in debt or real estate or equities).
• Placing short term money in high risk investments.
• Placing long term money in debt instruments.
• Too much leveraging.
• Not knowing at least about the product'or not even doing minimum required research on the product, not knowing the risks and rewards involved in the investment product.
• Not knowing the suitability of the investment product.
• Not tracking at all or not rebalancing.
• Moving with herd on investments.
• Trying to time the market and postponing the investments.