It is possible to become coreparti by investing money in stock market. All you need to do is invest in good multi bagger stock for the long term. We have seen many people generating extraordinary returns from the stock market. However for a small investor like you and me becoming crorepati from the stock market is still a dream. The reasons which stop us from becoming crorepati from the stock market are given below.
- We don’t know how to find good multibagger stock.
We don’t have a skill set to find good multi bagger stock for the investment. We generally make a stock market investment based on the advice of so called stock market expert and at the end we suffer badly by making losses.
- We don’t know when to enter and when to exit from stock market.
Every time when the stock market goes up we run behind investing money in stock market. A few months later when the market crashed, we get panic and pull out our investments and book the losses.
The above scenario is applicable to almost everyone. People enters in the stock market with the dream of becoming crorepati but one or two downturns in stock market make them realized that they will not able to succeed in the stock market. They sell off everything and never come back to stock market again.
So what is the solution? What small investor should do to become crorepati by investing in the stock market? What are the rules and strategies they should follow while investing in the stock market?
Basic rules you should follow while investing in stock market.
- Do a lot of research and invest in fundamentally strong companies.
- Don’t invest in shares based on a tip, no matter who gives it to you.
- Don’t pull out your investment when the stock market is down but add more stocks into your portfolio at cheaper price.
- Hold your stocks for the long term at least 5 years or above.
Follow the basic rules given above and see the difference.
Let’s take a look at few examples of multi bagger stocks that have made investors crorepati from lakhpati in last 5 years.
Multi bagger stocks that made you crorepati from lakhpati in last 5 years
Indo Count Industries – Indo Count Industries is textile spinning company. The stock of Indo Count Industries has generated magnificent returns for the investor. It was a penny stock in 2011 trading at Rs. 8. If you would have invested 1 Lakh in this stock you would have become crorepati by now. This stock has grown by 10287 times in last 5 years.
Avanti Feeds Ltd. – Avanti Feeds is second multi bagger stock in the list. Avanti Feeds has grown 5600 times in last five years. If you would have invested 2 Lakh in this stock in 2011 you would have become crorepati by now.
8K Miles Software Services Ltd – 8K Miles software is another multi bagger stock that has made investor crorepati from lakhpati in last 5 years. This stock has grown by 7000 times in last five years.
Other multi bagger stocks that made investor crorepati are Caplin Point Laboratories, Ajanta Pharma, Cupid, La Opala, Cigniti Technologies etc.
Over to you –
Unfortunately I missed the train as I have not invested money in any of the stocks mentioned above. Have you invested your money in stock mentioned above?
What is your way of investing in the stock market? What strategy do you follow?
Do you think that small investor can become crorepati from the stock market investment?
Do share your valuable comments and suggestion in the comment section.