Tips on how goal-based investment can help fulfil your luxury dreams

Goal-based financial investment can free you from the stress of debt and desire. Whether it's for a big fat wedding

an electric car or just some time off work to enjoy life with friends and family

forward planning will ensure that these expenses are covered without worrying about how much more money needs to be saved each month indefinitely into perpetuity

1. Why should one define goals before investing?

The goal-based investing approach offers you the opportunity to make decisions that are in line with your financial objectives

For example, if saving up for a home is more important than traveling abroad today by sacrificing some of those vacations we all love so much

then this should help provide clarity on what direction will best suit us financially and allow us greater discipline

2. Risk profile and return appetite

The purpose of investing is to compound your capital over a longer period time

You may invest in SIPs, ULIPs or even life insurance policies depending on what risk appetite you have for the future

however it's important that each rupee goes towards achieving an individual financial goal so there are various options available within this portfolio which can help improve returns

3. Financially Secure

We all want what's best for our finances, and while it may seem like the only way to get out of debt

 there are other methods! With goal based investment you can rely on having enough cash stored up so that any necessary spending isn't adding stress onto your life.

4. Baby steps towards your goals

The goals you set should be SMART - specific, measurable and time bound

Once identified they can further break down into short term(SM), medium long-term (LTM) with an ultimate goal in mind for each one of them

calculate how much money would need to pursue this dream within a certain amount or duration before realizing it's possible