Investing must be Innovative and Adaptive

Thanks to technology, the world is changing faster every day than it ever did. I would think that there are more innovations in one month, and then there were in 100 years.

Today, I saw an article on the web which announced the introduction of Nest Hub in India for Rs. 9,999. This is a Google product. It features a 7 inch touchscreen panel, is compatible with almost all OS, and has built in YouTube, Google news and much more.

It seems that Amazon already has a similar product called Amazon Echo show.

While these products do not actually have a direct link with their investing ideas that we discussed here, there is an indirect link absolutely. Our own investing must be innovative and adaptive, Just as technology is Innovative and adaptive.

The companies that were blue chips 20 years ago may not be so now. Management practices may have changed, such that it has become difficult to identify between clean and clever promoters.

It is for investors to be alert about the deployment of their money. Our suggestion is for investors to go for passive investing, investing in nifty index funds mostly. A small part may be invested in bank funds and CNXIT fund. About 10 percent maybe used to invest in individual stocks. 10 years ago, index funds did not exist in India. But times have changed. Like Google and Amazon, we should also innovate and adapt.