How to know the current market is right for investments?

I am looking forward to investing but not sure if this is the right time to enter the market. How do i go about it?

1 Like

Hey Mrunalini, to be honest, there is no definitive answer to this question, as market conditions can vary greatly depending on a variety of factors such as economic indicators, political developments, and global events. However, there are several indicators that investors can use to assess whether the current market is favorable for investment such as by comparing current prices with historical averages, analyzing the financial health and growth prospects of individual companies, diversify your investment for minimum risk etc

Hi Mrunalini,
If you are a long term investor you really shouldnā€™t be worrying about if now is the right time to invest. Overall, in the long run Indian markets always give positive returns. You can back-test this over the last 5-10 years and see for yourself. Hence if your investment period is 1 year or more you will definitely ride over any temporary downturns in the market and overall the market will be bullish on average and give you positive returns. So as the saying goes now is only time to invest and sooner you start, sooner you will benefit from staying invested for a longer time period.

1 Like