ICAI holds investors awareness programme

ICAI holds investors awareness programme

Mangalore Today News Network

Mangalore, March 1: Speaking on the topic “Building a Good Portfolio” during the Investors Awareness Programme, organized by the Institute of Chartered Accountants of India (ICAI), D Shrikanth Bhagawath advised investors to avoid “putting all eggs into one basket.” The programme was held under the auspices of the Ministry of Corporate Affairs at Hotel Gateway on March 1, Monday. 







Speaking about effective investing, Mr. Bhagawath stressed the need for control over one’s investments, adding that investors should be aware about exactly what steps to take. He spoke of the wisdom of investing in many things such as equities, bonds, and properties so that if the value of one decreases, the value of the other will compensate for it. He said that investors can also invest in commodities or art although that is more expensive. He said that investing in a mixture of non-correlated stocks such as IT stocks and infrastructure stocks is more advisable. 

Stressing the importance of long-term investment, he said that investors will not yield good results if they invest in something for a short term. He also spoke about the importance of asking oneself the reasons for saving the money, when to spend it, and how to spend it. 

Explaining volatility, he said that rental rates adjust to inflation, a market phenomenon known as invisible volatility. Stock markets however exhibit visible volatility, he said, warning investors to avoid investing with borrowed money. 

Assuring investors who had lost money in the recent recession, he said that the profits will soar by 8 percent, especially if the prime minister promises that the GDP has experienced 8 percent growth. 

Mr. Bhagawath concluded his talk by saying that an ideal way of building a portfolio is to adopt a systematic approach such as making a deposit every month, adding that investors should be aware of their needs and on what is within their control. 

Mr. K. Raghu, in his introductory speech, said that there are 1,55,000 chartered accountants in the country and about 6 lakh students of chartered accountancy. Chartered accountants have plenty of opportunities in India. About 500 chartered accountants are working for Infosys, he informed. He said that a number of companies across the world are outsourcing work to India. Therefore professionals must be acquainted with global standards, he said. 

Announcing that the state government has sanctioned 10 acres of land on the Bangalore – Mysore Highway to set up a Centre of Excellence for Chartered Accountants, he added that we are now going through a new era of legislation and that we have to re-learn what we have already learned. 

He disclosed that 10,000 members had registered for an e-learning course. Last year, the Ministry of Corporate Affairs had conducted 100 programmes. This year, the ministry would conduct an equal number of programmes, he said, hoping that the investors’ programmes will help the public to invest wisely.