Diversify
There are more than 10 sectors in Colombo Stock Exchange.
They are,
1. Banking , Finance & Insurance
2. Hotels
3. Health Care
4. Investment Trust
5. Plantation..........etc
Just think if u have invested in Banking , Finance & Insurance sector only.Then if there any unfavorable incidence (Sakvithi case 1ka wage) ur total portfolio will be coming down.U ll hve to sell ur all shares with a huge loss.
But if u have invested another sector(like Plantation) also, u can recover ur loss(losses arising from Banking shares) by selling Plantation shares.
Stick to your strategy
U do not invest ur entire money in share market.
Example :If have Rs. 1,000,000.U can invest ur money,
* Rs.500,000 in Share Market
* Rs.300,000 in Fixed Deposit
* Rs.200,000 in Gold
~| Co - Admin Of SMICE [Share Market Investors Club @ EK] |~