Momentum in simple term means the strength or force that allows something to continue or to grow stronger or faster as time passes.

In the world of investing, understanding the psychology of momentum can help investors make smarter decisions. There is a thin line that segregates herd mentality and momentum-based decision making in investments. Research and analysis, is the thin line that segregates both of them.

A portfolio based on research can make a big difference. Instead of getting swept up in short-term trends, focus on the long-term potential of your investments.

Momentum investing is based on the idea that assets that have done well in the past are likely to continue performing well in the near future. Investors who recognized such trends timely and invested in these trending assets have generally achieved substantial benefits.

However, it is important to emphasize that past performance is not the only indicator of future outcomes, and a disciplined research-based approach is crucial to managing risks effectively.

The momentum often leads to a peak at a certain point of time and the securities become overvalued. This is the time when an investor actual needs to be cautious as investing in the overvalued securities is like purchasing the property at the highest bid in the auction.

The assistance of a good financial planner helps you to sail through the tides/risks in the ocean of investments. By recognizing how emotions can impact decisions and focusing on a long-term strategy, you can better navigate today’s unpredictable markets and work towards your financial goals.

(Contributed by Mausam Gupta, Relationship Manager, Team Prithvi, Hum Fauji Initiatives)

Everyone dreams of a peaceful and happy family, both during their lifetime and after they’re gone. However, the unexpected passing of a loved one can bring not only emotional pain but also financial challenges, making life difficult for the remaining family members.

Investments and life insurance are essential tools in estate planning that help your family recover from emotional loss and maintain financial stability. These measures ensure that your loved ones can live stress-free lives even in your absence. However, there’s another crucial element that should not be overlooked: nominee registration.

In today’s technologically advanced world, while our lives have become more comfortable, inter-family conflicts have also risen. Clear estate planning can prevent these conflicts from disrupting family harmony. A nominee is the person or entity you designate to receive your assets when you pass away. It’s important to understand that the nominee acts as the caretaker of your assets, ensuring they are managed properly until they are distributed according to your wishes.

Registering a nominee for all your investments and insurance policies is a simple yet effective way to streamline your estate planning. This step, combined with a well-documented will, guarantees that your assets are transferred smoothly to your loved ones without unnecessary delays or disputes. If you haven’t created a will yet, it’s highly recommended to do so. A comprehensive will clearly outlines how your assets—such as mutual funds, stocks, real estate, and fixed deposits—should be distributed, providing clarity and peace of mind for your family.

By specifying nominees and drafting a detailed will, you ensure that your family’s financial future is secure and that your legacy is preserved without causing additional stress during a difficult time. Take the proactive step today to protect your family’s tomorrow.

Please find the attached link for the steps to create a will and the will format for your reference : https://humfauji.in/writing-of-will-and-a-sample-format-by-hum-fauji-initiatives/

(Contributed by Anjali Tomar, Financial Planner, Team Prithvi, Hum Fauji Initiatives)