Turn Your Tax Saving Into High Return Investment


Every year the tax declaration becomes a pain in the neck of those who don't plan their taxes throughout the year. As result, to meet the stipulated deduction limit such people invest in any of the prescribed investment instrument in a haste. This approach will do you more harm than good. To be on the top of your game, you have to plan your tax just like your investment. It has to be timely and systematic. The point that many people miss in their tax planning is that the Income Tax Act gives them various windows of opportunity to not just save tax but get handsome returns. To make most of it, let's shed some light on all the ITA tax saving provisions and how to get the best out of them.

Section 80C is one of the best and the most used tax saving windows. Here you get various investment options to choose from. However, not all them give good returns. Hence, while selecting investment mediums one has to exercise utmost caution and diligence. Let's do a critical analysis of all the available options and which one you should go for.


ELSS - The Best Tax Saver

Equity Linked Saving Schemes (ELSS) is a mutual fund with lock-in period. In ELSS, just like in a mutual fund, your fund managing company pools your's and other investor's money and invests it across sectors in the stock market. A bigger pool of money attracts big returns, on the other hand, the losses get spread out. The salient feature of ELSS is that it has the lock-in period of 3 years which is less than any other tax-saving medium. For the tax saving reasons, ELSS becomes very attractive. By investing in it you become eligible for tax relief under Section 80C and you also stand to gain good returns. Other Mutual Funds do not offer tax benefits.

Investing in ELSS is as easy as investing in mutual fund. The best part of ELSS is that it gives better returns than all the tax-saving mediums that are prescribed by the Income Tax Act i.e. PPF, NPS, ULIP, etc. Under section 80C you the amount allowed for deduction is up to Rs.1,50,000. Thus it is a wise thing to invest that much amount in ELSS and if you have any surplus amount you should invest it in an open-ended mutual fund which offers more growth and high liquidity.


Public Provident Fund (PPF)

PPF is the is the most stable and dependable investment scheme as it is run by the government. However, PPF investment comes laced with some strict conditions i.e. 7 years lock-in period plus certain limitations on the amount of investment like you can only invest up to Rs.1,50,000 in a year. The reason it is one of the most popular tax-saving tools is that it gives compound returns. Under section 80C you can claim up to Rs.1,50,000 deduction by investing in PPF. It is advisable that to get the tax benefits some portion of your income should be invested to PPF. However, points to remember are - PPF provides fixed returns and the interest rates get reviewed, often slashed, from time to time. PPF should only be looked at as a tax savings scheme and not a wealth creator.

Opening a PPF account is an extremely simple process. You can open it at a Post Office or at a nationalised or private banks i.e. State Bank of India, ICICI Bank, Axis Bank, etc. As PPF is supported by the Government and gives risk­-free and fixed returns it keeps your capital safe and growing.


Tax-saving Fixed Deposits

 If you are looking for a shorter lock­-in period and at the same time looking for a guaranteed return along with a tax­-saving option then fixed deposit is just the option you are looking for.

Opening an FD account is extremely simple. You can do it online as well as at a bank branch. The interest rates are different for different banks. However, a point to note here is that the rates are not going to be much different (higher) as FDs are know to give fixed but moderate returns.

The biggest feature of the tax­-saving fixed deposits is that the interest rate remains the same throughout the period of 5­ year. The rates of interest for Indian citizens, Hindu Undivided Family (HUF) and NRIs varies from bank to bank. Usually, it starts from around 8 percent in most of the banks. Senior citizens and bank staff members get higher interest rates. The interest earned on the tax-saving FDs is taxable and it is deducted from the source. Like in all other tax savers, in FDs, there is a minimum investment amount condition. You can deposit from minimum Rs.100 to the maximum is Rs 1,50,000 in a year.

Worried About Tax-Saving? Make It Profitable This Year!


Every year, as the March starts approaching the thought of tax declaration start giving sleepless nights to most of the salaried and business people. As much as people hate paying taxes, they hate the complex terminology and the sections and subsections which follow. It's true, the tax is a difficult beast to understand. That is one of the reasons many people don't try to understand the provisions for tax deductions and pay the tax and be done with it. That's a wrong way to approach tax. To ease the burden on taxpayers, the government and the income tax act has provided several windows to save the tax. Let's explore all the avenues of tax saving.

Section 80C  of the Income Tax Act is the most popular tax-saving route. In this section, there are certain prescribed investment instruments which help to save tax. If you invest money in these specified instruments the government offers you certain tax concessions. You may ask why the government allows these tax sops. In the larger scheme of things, it is in the interest of the government to encourage the culture of saving and investment amongst the citizens. Section 80C, 80CCC and 80CCD are some of the sections which have a lot to offer. However, the maximum consolidated deduction under section 80C is Rs.1,50,000. The condition is that you have to do it a disciplined manner all through the year in the prescribed instruments.

Following are the investment instruments which are specified under section 80C, 80CCC and 80CCD

  1. Public Provident Fund (PPF)
  2. Life Insurance Premium (LIC)
  3. National Savings Certificate (NSC)
  4. Equity Linked Savings Scheme (ELSS)
  5. 5 years fixed deposits with banks and post office
  6. Tuition fees paid for children's education, up to a maximum of 2 children

The government, thought the prescribed investment mediums, is trying to build the culture of saving and investment. However, the thing is that not all the government prescribed mediums are good for investment. Let's take the example of investing in LIC. It will give you tax relief but it wouldn't be a good investment as the returns don't have the ability to create good wealth. Hence, it's incumbent upon investors to find the best and the most tax efficient investment means which not only save tax but also give better returns.

Let's find out investment instruments which save tax and also give good returns.

Public Provident Fund (PPF) - Is the most stable and dependable investment scheme. PPF is operated by the government of India. The problem, however, is that PPF investment comes with some strict conditions like 7 years lock-in period plus limitations on the amount you can invest like currently, you can invest minimum Rs.500 or maximum Rs.1,50,000 in a financial year. On the other hand, the point which makes it one of the popular tax-saving instruments is that it gives compound returns. Under section 80C you can claim up to Rs.1,50,000 deduction by investing in PPF.  In order to get the tax benefits, it's always better to have some portion of your income allocated to PPF. The point to remember is that it provides fixed returns and the interest rates get reviewed from time to time. Hence, it should be looked at a tax savings scheme and not a wealth creating scheme.

ELSS - The Best Tax Saver - There are many people how get confused about how is ELSS different from a mutual fund? Let's clear the confusion once and for all. ELSS is a mutual fund which has a lock-in period of 3 years. Equity Linked Saving Schemes (ELSS) is one of the types of Mutual Fund. It functions the same way as a mutual fund. Like in a mutual fund, in ELSS, your mutual fund company will pool your's and the other investors' money and invest it in the equity market (stock market). A bigger chunk of money will attract higher returns while the losses can be spread out. The point where ELSS becomes a little different than mutual fund comes with a lock-in period of 3 years. The condition is that you cannot exit the funds before 3 years. Even with that condition investment in ELSS an extremely attractive scheme. It has less lock-in period than any other tax-saving scheme and gives higher returns.

Exchange Traded Funds - A New Avenue Of Investment


ETF Exchange Traded Fund

From fixed deposits to post savings to a mutual fund, Indian investors have come a long way in their quest for high returns. There are very few Indian investors who try their hand at direct equity investment as most of them are averse to taking high-risk investment. The mutual fund has hit the right cord with Indian investors because it perfectly channels all their needs - it is not as risky as the direct stock market investment and, most importantly, it gives handsome returns. The kind of returns FD and post can never match. But as we evolve, there are more and better investment mediums which keep coming. Exchange Traded Fund (ETF) is one such investment medium which has started gaining popularity. What is ETF? Is it as good and as safe as the mutual fund? Questions like these and much more have started to inundate investors mind. Let's explore all the facets of ETF and try to find out whether you should invest in it.


What Is ETF?

An exchange-traded fund (ETF) is a bundle of securities that you can buy or sell on a stock exchange through a brokerage firm. ETF is in almost all asset classes, from traditional investments like gold to new assets like equity, commodities or currencies. Such is the fluidity of ETFs that these days there is a buzz about an ETF on bitcoin. An ETF is a marketable security which is traded on an index like a stock a commodity, bonds, or a basket of assets like an index fund. One quality sets it apart from mutual funds is that an ETF trades just like a company stock on stock exchanges. The experience price ETFs keeps changes all through the day as per the shares (in equity ETF) are bought and sold. The biggest advantage of ETFs is that it has much higher daily liquidity and considerably lower fees than mutual funds which makes it an attractive alternative for retail investors.


Types Of ETFs

As we are comparing all the aspects of ETFs with that of mutual funds, the reasonable question to ask would be - like Mutual funds are there different types of ETFs? In mutual funds, we have equity funds, debt funds and balanced funds. As we mentioned above that ETF is like a basket of securities i.e. bonds, shares, bitcoins, etc. From this, it becomes absolutely clear that ETF is a flexible and a dynamic investment platform which means there must be more than just one type of ETFs. Let's find out the different types of ETFs. As ETF is still a medium which is relatively less popular, most of the ETFs mentioned below are not available in India but these are ETFs which are being traded in the US as well as in some foreign exchanges.


Market ETFs: Designed to track a particular index like the S&P 500 or NASDAQ

Bond ETFs: This ETF is formulated to give exposure to practically every type of bonds available i.e. the U.S. Treasury, corporate bonds, municipal bonds, international bonds, high-yield and many more.

Actively managed ETFs: This ETF takes an aggressive approach and tries to beat an index it is following. This is unlike most ETFs, which are meant to track the index.

Sector and industry ETFs: Like thematic mutual funds which focus on a certain sector and industry, this ETFs is designed to give exposure to a certain industry e.g. pharmaceuticals or information technology.

Commodity ETFs: Just as the name implies this ETF is created to track the price of a commodity, such as gold, crude oil, copper, etc.

Style ETFs: A style ETF tries to follow an investment style or focuses on the market capitalisation i.e. large-cap value or small-cap growth.

Inverse ETFs: This ETF is different than the conventional ETFs. Here the intention of the ETF is to gain from a drop in the value of the underlying asset or index or whatever security there may be in the ETF basket. This is comparable to taking a short position in the future's market.


Expense Ratio Of ETF Is lesser Than Mutual Fund

For both mutual funds and exchange-traded funds (ETFs) investors are charged an expense ratio. This charge is to cover the operating expenses of the funds. The expense ratio is a critical part. The expense ratio includes many operational costs i.e. administrative cost, distribution cost, compliance cost, management cost, marketing cost, shareholder services, record-keeping fees, etc. The sum total of all these costs accounts for a certain percentage of a fund’s average net assets. The expense ratio, which is calculated annually and published in the fund’s fact sheet and shareholder reports, has a straight impact on the fund’s returns to its shareholders. Hence, also on the value of your investment. In simple terms, the higher expense ratio of fund simply means you will take a hit on your returns. A heavy expense ratio can eat into your returns considerably. Normally, investors are not vigilant about this element but that's a big mistake.

The expense ratio of ETF is much lesser than that of mutual funds. As its operational cost is less it has the potential to give a higher profit margin.


Then Why Your Financial Advisor Doesn't Recommend ETF?

Now you must be thinking if ETFs are so good why your financial advisor doesn't recommend it to you? That's a good question. The answer lies in how much your financial advisory gets by recommending a certain fund. Financial advisers get compensated for their expertise either by the commission or by a yearly percentage of your entire portfolio. The cost normally ranges between 0.5-2%. It's the same way as you pay a yearly percentage of your fund to the fund manager. In order to skip the annual charges, if you exit the fund before finishing one year you have to pay a hefty exit load that ranges between, 1-3%, to the Asset Management Company (AMC). Therefore when you try to skip the annual charges, financial advisor receives his/her share through exit load. And if your advisor gets paid by the load then there is no surprise if he/she doesn't recommend ETFs for the commission they get from the load is far greater than ETFs. Even the money the AMCs make from mutual funds is way bigger than the revenue of ETFs. This is one of the reasons AMCs spend so much money on creating awareness about mutual funds and are, to some extent, apathetic towards ETF.

F&O Trading: High Returns At The Cost Of High Risk


If you are a stock investor, the temptation of trying your hand at F&O trading must have brushed you sometime or other. Future & Options trading also known as derivatives is the big attraction for all the new investors/traders. Unlike equity, to make money in derivatives you don't have to wait for years, you make big bucks in a short time, sometimes as little as hours. But if it is so good then why celebrity investors call it the financial instruments of mass destruction? To understand this you will have to take a closer look at F&O market and in no time you will realise that all is not glossy and shiny underneath. F&O trading is a game designed for professional traders. It's a high-risk proposition where you can bag big profits and also lose it all. Sounds exciting, doesn't it? Let's explore the subject and try to understand why and how to use futures and options.

What Is Futures & Options Trading?

Future Contract

A future contract is where two parties agree to enter a contract to buy or sell something at a decided price at a future date. The futures contract is on the underlying asset (stock or index). As the contract derives its value from the underlying assets a future and options contract is also called derivatives. Let's try to understand the concept of F&O with an example.

If you have developed an opinion that Nifty will rally in the next few week as most of the companies in Nifty 50 are doing well. This means you are bullish about Nifty, you buy a future contract of Nifty (long position). Now that you have taken a long position and if your directional view turns out to be true, you will gain from Nifty's upward movement. In case it goes against you, you will lose money. Also, the contract has a certain time frame, so it is important that your directional view realises during the contract period.

In Indian stock market, the duration of a future contract is one month, it expires on the last Thursday of the month.

Short Selling Of The Future Contract

When you buy a futures contract, you are basically anticipating the market to go up. The contract where you are expecting the market (the price of the underlying asset) and you are seeking to gain from the upward movement, this type of future trading is called going long. However, if you the think the index or the particular stock is going to fall in future, you can still make money out of that movement. It's called short selling. Opposite of going long, in short selling, you can sell the future contract and take a short position and buy it when your target is reached. Naturally, you must be wondering - how can you sell something that you don’t own? In futures, it is possible. Just like in the long position you have to sell the contract to square off your position, in short selling, you have to buy the same contact to square off the position.

Option Contract

Just like futures, there is long and short, in options, you have two types - Call and Put. In the call option, the trader is anticipating the price of the underlying asset to go up while in the put option the trader expects it to drop. An option contract is essentially price probabilities of any future event. For example, you buy call option of ABC company at the strike price of Rs.500 with the expiry of 3 months. Now if the price of the stock moves towards the strike price (In this case Rs.500) and you start to gain profit and when it moves against you, you lose money. The time plays a crucial factor in options. If you buy a 1-month contract it will be cheaper as the probabilities of ABC reaching 500 are greater in 3 months than in 1 month.

Should Retail Investor Try Their Hand At Derivative Trading?

If you ask this above question to any experienced investor they would advise you against it. There is a reason why experienced investors spell a cautionary note for traders because they know the quantum of harm derivatives can cause. However, there are some smart ways you can use the F&O. Using it for hedging is one of the best ways. Hedging simply means safeguarding your equity holding. In a way, it works as an insurance. For example, if you are holding 500 shares of Tata Motors and there is a possibility that the share value is going to drop in the coming days, then you can short the future contract of Tata Motors. By doing this, if the stock goes down, as you had expected, you will gain from the futures contract. This process of securing equity holdings is called hedging.

Final Word

As we learned that hedging is the best use of derivatives, and if used wisely, one can gain a lot from it. But we have also learned that derivative trading can turn out to be a beast which has the potential to wipe off all your capital. Over the year, traders have reduced F&O trading to gambling. Hence, the retail investors are better off not using derivative. It's better to focus on your long-term investment goals and stay invested in equity.


Can Pension Plans Play Big Role In Retirement Planning?


Retirement Planning

Have you ever wondered how much money do you need for retirement? If you are a well-aware investor you would have already worked to find an answer to this haunting question. But there are many who are blissfully ignorant about retirement planning and are marching ahead in life without any financial, investment or a retirement plan. Planning for retirement is important, it's not something that you can afford to put on a hold. It has to be dealt with on a priority basis.

If you are in your 30s and you haven't yet started planning and investing for your retirement, it's high time you should start. The key to being successful in your financial planning is to start early. The sooner you start more time you get to invest and time translates into high returns thanks to compounding.

What Are The Ideal Investment Instruments For Retirement Planning?

To accomplish all your financial goals you need a lot of time and a plenty of help from investment instruments like Mutual Fund, PPF, Pensions Schemes, etc. All the investment mediums play a crucial role in different aspects. Mutual funds give good returns in the long run while also help in saving tax. Direct equity investment is rewarding and tax-free if held for a long time. But then what role do Pension Plans play in your planning? That's an interesting question.

Let's Understand The Relevance Of Pension Plans

There are different pension plans. Some plans are designed to be maintained by employers in which the part of the employee's salary goes to a pension account. On the other hand, there are individual plans in which individuals save in the government-sponsored schemes or private banks to secure their financial future and protect them from any uncertainties that may arise post-retirement.

National Pension Scheme

National Pension Scheme was launched by Pension Fund Regulatory and Development Authority (PFRDA) in 2004. It is the most cost-effective Government supported pension scheme for Indian citizens in the age group of 18-60.  For this scheme, the minimum annual contribution is Rs.6,000, which can be paid in one go or in small parts of at least Rs.500.

There are 2 types of NPS accounts: Tier-I and Tier-II account. Tier-I it is an obligatory account while Tier-II is voluntary. The difference between the two is mainly related to the withdrawal of money invested in the scheme. In Tier-I account, you not allowed to withdraw the entire amount until retirement. Even after you reach the retirement age, there are certain conditions on withdrawal. In case of Tier-II account, the subscriber is free to withdraw the entire money.

Are The Returns Good In NPS?

In terms of returns, NPS has several issues that pull it down. Now that it has been proven that equity gives the best inflation-adjusted return as compared to any other assets class i.e debt, gold, and real estate, NPSs looks a little less impressive. In NPS 100% equity investment option is not available, it's only up to 50%. Moreover, unlike other investment schemes, at the end of your investment term, you don't get to withdraw your entire corpus in NPS. Here it is mandatory to invest minimum 40% of the corpus in an Immediate Annuity scheme which in return gives you a lifelong pension. On top of that, though the income in NPS is not taxable the amount you receive in an annuity is taxable.

Is Mutual Fund Better Than National Pension Scheme?

As mutual fund offers more flexibility and tax benefits it is easy to say that mutual fund fares far better than NPS. But let's take a look at all the aspects which make the mutual fund a better investment option.

In mutual funds, you are free to withdraw your corpus anytime you wish. There is no condition of purchasing the annuity however, you can always get an annuity if you wish to. You get to withdraw your investment whenever you wish to in lumpsum or via Systematic Withdrawals Plans (SWP) which can also work like an annuity.  On the tax front, in the mutual fund, you get long-term capital gains on equity and balanced funds which give you tax exemption.

Final Word

All the above-mentioned points suggest that in a mutual fund you get better control over your investments. From the selection of your asset allocation to the variety of funds to choose from i.e. equity funds, debt funds and liquid funds you enjoy a lot of freedom and flexibility. This kind of freedom is completely missing from pension plans. Thus in terms of control over investments and returns, mutual funds fare way better than pension schemes.

Wealth Management: The Essential Nurturing Your Assets Need

Have you ever noticed how we perceive rich people? Our natural assumption about them is they get everything in life so easy as they have a lot of money. It is true, money can make your life easier. It has the power to bring all the luxuries and comfort in your life. But while this big money dazzles your eyes, those who have it have a host of issues to worry about. Having a lot of wealth is not a care-free status at all. One has to work to ensure that one's wealth stays safe and at the same time keeps appreciating, all this while walking the tightrope of the tax planning.

Your Wealth Needs Managing

Wealth management is the solution for the aforementioned issues. It is a service which comes as a bundle for all your financial needs like investment advice, tax planning, asset allocation, etc. There is a good reason people usually confuse wealth management with investment planning, but these two are distinctly different from each other. Your investment planner will just help you with picking up right stocks market tips or finding good mutual funds while a wealth manager does this and a lot more.

Let's try to understand the concept of wealth management through an examp

Imagine you are a 40-year-old man with the assets worth 25 crores. Now the question staring at your is how to keep this wealth intact and at the same time how to get a decent appreciation on it. Here a wealth manager comes into the picture. A wealth manager will take stock of all your financial requirements of present and future, current cash flow, assets' assessment and will also review the investment portfolio of clients. Here the challenge before the wealth manager is not just directing the client to the right investment instruments, but he/she has to ensure that all the asset allocation is in the perfect sync with the market. Unlike investment planner, a wealth manager can't just think of high returns, preservation of assets is of equal importance in this domain. Another facet of wealth management is tax planning and setting up an orderly estate.

Role Of Your Wealth Manager

There is a trend in the financial world these days - everyone calls himself or herself a wealth manager. Some also resort to the terms like 'financial advisor' or 'money manager', even if their roles are totally different. People often confuse wealth management with investment management. However, there is a sea difference between these both streams. A role of investment planner is to advise his/her clients about stocks, bonds, exchange-traded funds (ETF), mutual funds, etc. On the other hand, the role of a wealth managers is far more evolved and layered. To understand a wealth manager's scope of works, here is a list of responsibilities he/she has to focus on.

They have to Interview clients to understand their income and expenditures, insurance cover (life, health, etc.), tax return status, present and future financial goals and also their risk appetite. They also have to answer their clients' questions about the plans and minor details of financial plans and investment strategies, etc. A wealth manager has to recommend effective strategies for cash management, has to strike a perfect balance in asset allocation and investment planning and assist his/her clients to achieve their financial goals.

Who Provides Wealth Management Services

In India, there are three main types of wealth management service providers i.e. banks, brokerage firms and advisory firms. All the major banks in India i.e. HDFC, ICICI provide wealth management services to their clients. Apart from them, full-service brokerage firms and independent advisory firms also provide these services. As banks and brokerage firms have a huge client base, it is not always possible for them to provide a personalized service. However, advisory firms can give extremely personalized and customized service to their clients.


Stock Investment Is Not Rocket Science


Investment is one of the most important aspects of your life. Unfortunately, many people realise this quite late in their lives. By the time they realise it, the best friend of the investor - time, is no longer with them. On the other hand, those who make the right investment choices, lead a happy and a satisfying life. So what are the right investment choices? By investing in which instruments will you get the best results? Going by the historical data there is only one investment instrument which has created enormous wealth for the investors - stock investment (equity). Ironically, people have the maximum misconceptions about stock investment i.e stock investment is a gamble and it's a game of rich people and so on and so forth.

However, contrary to all these misconceptions, stock investment is a potent tool for wealth creation and as a smart investor, by all means, it should feature in your investment plan.

To be fair, we have to admit one thing, stock investment is an extremely complex matter. You need to have a thorough understanding of the market and its operations. It's complex nature is one of the biggest reasons why general investors shy away from stock investment.

But there are ways to overcome these complexities. Let's list out things which investors need to remember before entering Stock Market. Things which will ease the way for new investors into the stock market.

Get Your Basics Right

First things first, before you start anything new, it's imperative to understand everything about it. But when it comes to stock market, there is nobody who can claim that he knows everything about the stock market. So, at least you should know the basics of the stock market. If you start with a solid foundation you can build on it gradually as you go ahead with your investment plan. Taking the buying and selling calls as per your broker is counter-productive for your long-term investment plans.

Focus On Long-term Stocks

In the initial stage, you will understand that the stock market is an ocean of stocks. The experts categorise them in small-cap, mid-cap and large-cap stocks. But general investors should only see them as good stocks and bad stocks. You have to avoid bad stocks and invest in good stocks. Having said that, good stocks can be sub-categorised in terms of their growth potential. Some have long-term growth potential while other have long-term growth prospects.

Though there is nothing wrong in banking on the short-term growth potential but the principal focus should always be on building a long-term corpus.

Brokers Aren't Your Best Friends

The biggest roadblock of your long-term goal is your stock broker. Brokers don't like long-term investment perspective. It doesn't agree with their business. It's simple, the more you trade the more brokerage brokers get. Naturally, brokers will try to persuade you to do maximum trading and less investing as to ensure maximum brokerage for their firms. But as a smart investor, it's your responsibility to not fall prey to the brokers' glib talk and pursue your long-term objective.

Don't Trust Your Friends & Neighbours' Stock Tips

In the stock market, "stocks tips", "multibagger stock tips", "guaranteed return tips" keep floating around. Mostly you will hear it from your friends, relatives or neighbours. All they assure is a failure, if not in the first go, it will come sooner than later. Just imagine, you work so hard to earn money and some guy comes around and asks you hand over your money for some stock which you haven't even heard of. Is it a wise thing to believe such baseless share market tips? A lot of time and efforts have to be put in to find good stocks which are worth holding on a long-term basis.

Spend For Good Investment Advice

Have you ever asked this question to yourself that why there is such a less participation of investors in direct stock investment? The answer is simple, many people find stock investment too complicated to comprehend while some get a bad experience and drift away from it. Stock advisory firms can be a perfect solution for such disgruntled investors.

Stock advisory firms provide all the support for the investors who don't understand the market and are not willing to devote time for research and analysis. An advisory firm helps you to identify undervalued stock, tells you when to enter and when to exit and much more. Some advisory firms also offer portfolio management services. So, if you don't mind spending a little on a quality advice, the sky is a limit for you in the stock market.