6 Investing lessons

• To be a successful investor, you need to use due diligence. Spending wisely is not about being miserly, but about being smart. Invest in assets that give you good returns over the long term- one that helps you secure your financial future.
• Instead of trying to time the market and extract every rupee profit you can possibly get out of your investment, invest in assets that will generate inflation-beating long term returns and hold on it for a long time (In buffet terms, forever).
• Invest whenever you have the money and hold it for as long as possible.
• While Buffet talks about safety of capital, he’s referring to stock investing where you don’t become greedy and go after too-good-to-be-true stocks. Instead, you focus on stocks that are undervalued and are of companies that you understand and have long-term potential.
• Understand the tax implications of your investment fully before making a choice.
• Borrow only when it’s absolutely necessary. When borrowing, make sure you understand all the fees associated with it. Sometimes, the real cost of bowing money will be hidden as miscellaneous charges like processing fee.