Saving and investing are two key components of financial planning, but they serve different purposes. Saving is the process of setting aside money for short-term goals or emergencies, often kept in easily accessible accounts like savings accounts. Investing, on the other hand, involves putting money into assets such as stocks, bonds, or real estate with the aim of generating long-term growth or income, though it comes with higher risks. While saving prioritizes safety and liquidity, investing focuses on building wealth over time by taking calculated risks to achieve potentially higher returns.

Timing the stock market, or predicting the best moments to buy and sell stocks, is extremely difficult and often considered impractical for most investors. Market movements are influenced by a complex interplay of economic data, geopolitical events, and investor sentiment, making them highly unpredictable. Even professional investors with advanced tools and research struggle to consistently time the market accurately. Instead of trying to time the market, a more effective strategy is to focus on long-term investing, maintaining a diversified portfolio, and sticking to a disciplined approach. Consistent contributions and patience often outperform attempts to time the ups and downs of the stock market.

To calculate gains on the sale of equity funds, you need to determine the difference between the selling price and the purchase price of the units. This involves subtracting the original investment amount (adjusted for any additional investments or redemptions) from the final sale proceeds. If applicable, include any transaction charges, such as brokerage fees or exit loads, to adjust the net gain calculation. Additionally, consider tax implications—short-term capital gains (STCG) are taxed differently from long-term capital gains (LTCG), depending on the holding period and the tax regulations in your jurisdiction. Keeping detailed records of your transactions and consulting a financial advisor can help ensure accurate calculations and compliance with tax laws.

Deciding between fixed deposits (FDs) and recurring deposits (RDs) depends on your financial goals and saving habits. Fixed deposits are ideal if you have a lump sum amount to invest and want to earn higher interest rates with guaranteed returns over a fixed tenure. They are a good choice for long-term savings or when you want to park surplus funds safely. Recurring deposits, on the other hand, are better suited for those who prefer disciplined, regular savings by investing a fixed amount every month. They are particularly useful for achieving short-term financial goals or building a habit of consistent saving. Both options offer low risk and predictable returns, but the choice depends on whether you prefer one-time investment or periodic contributions to grow your savings.

Boosting a portfolio involves diversifying investments and incorporating strategies that align with your financial goals and risk tolerance. One option is to include a mix of asset classes, such as equities, bonds, and real estate, to balance risk and potential returns. Exploring international investments can provide exposure to global markets and reduce reliance on domestic economic conditions. Adding growth-oriented assets like small-cap or emerging market stocks may enhance returns, though they carry higher risk. Incorporating alternative investments, such as commodities, private equity, or hedge funds, can further diversify the portfolio. Rebalancing periodically ensures that your portfolio stays aligned with your goals despite market fluctuations. Lastly, consider including dividend-paying stocks or fixed-income instruments to generate steady income while maintaining long-term growth potential.