Risk, Return and Liquidity

Most investors develop criteria to guide their choices as they make Investments. Here are three important criteria: Risk, Return and Liquidity.

It is good to plan for ones future, and the earlier one create the focus the better. Starting early helps in building corpus and with the benefit of power of compounding, the corpus grows at a steady pace.

By deciding the broad financial goals one can create various investment baskets and the investments can be planned accordingly.

The investment plan can be based on three broad parameters in order of preference— risk, returns and liquidity. This, along with risk profile, risk appetite and risk capacity will determine ones investment basket.