Now that lot of people are making good amount of money from trading. the next big question before them is – what to do with the excess profits? They keep asking me should they increase their position sizing by adding more money to their trading capital?
Since I have always recommended that one should not use more than Rs.40000-50000 for trading. The additional amount of Rs. 30000-60000 that is generated in profits every month should be used to invest in good stocks with medium to long term perspective.
We will look into some of the stocks with good prospects to buy and invest in 2017. One should have a ready list of such stocks, so that whenever one gets excess money, they can use it to buy these stocks.
This is the best way to create portfolio of stocks for long term holding. Use excess profits from your trading activity to create assets that will generate passive income for years to come.
Why should you use money from your salary/income to buy stocks for long term when you can very well generate steady cash by trading every month?
Hundreds of people who have adopted our stress free techniques and strategies to trade are making good amount of money every month.
I have prepared a list of few good stocks to invest in 2017 (right now) for medium to long term time horizon. Medium Term means 6-12 months holding period. Long term means at least 2 years time horizon.
For investing in stocks for medium & long term, one has to take a fundamental view on company.
The stocks have been selected on the basis of its current valuations, business model, growth visibility and management.
There are different factors on which a SWOT ( Strengths, Weaknesses, Opportunities and Threats) Analysis of any particular stock can be done.
Not going into the details of fundamental analysis, I will suggest some stocks that fit into the criteria according to my personal analysis.
Here’s the list of stocks to invest for medium to long term in 2017:
|1. Reliance Industries||It’s Badshah(King) of Indian Stocks, must have in long term portfolio. Lot of value unlocking to happen in coming years.|
|2. IndusInd Bank||Amongst the fastest growing private banks.|
|3. Godrej Consumer Products||Good FMCG product portfolio, almost zero debt company.|
|4. HCL Tech||Excellent track record of keeping NPAs at low, good management, poised for rapid growth.|
|5. Asian Paints||Poised for good business growth.|
|6. Britannia Industries||Good stock to have in long term portfolio for wealth creation.|
|7. Bata||Consumer stock which is witnessing a good Growth.|
|8. Pidilite Industries||This is good proxy play for Housing sector boom with strong portfolio of products.|
|9. Tata global Beverages/Tata Consumers||Steady business with volumes growth on increasing spending capacity of people.|
|10. Titan||Good Growth oriented consumer stock.|
If you have any stocks that you think is good to invest right now in 2017, please share it in comment section below.
As I always recommend creating long term stock portfolio out of the Profits that we make on daily basis from our intraday trades. No need to invest in these stocks from your Salary or Other Business Income, when one is able to make consistent daily income out of trading in Stocks/Nifty/BankNifty/Commodities.
For any discussion/query related to trading or building long term portfolio write to care[at]tradvantage[dot]in.