Buying presents is always a tricky business even when it comes to your closest friends and relatives. Flowers are too temporary for some tastes. And they must be supplemented with something… ‘solid’. Clothes can be ill chosen for taste or size. People are especially picky about accessories. Books work for some but again most people in cities cannot afford the space to accumulate too many. For a lot of women, make-up was previously a safe present, but masks kicked that option out of the window. Children are an easy demographic – toys and gadgets form a major part of their favourite list and they are very vocal about what present they want. But for everyone else whom we may want to buy a present for, we’re often left wondering and guessing and hoping we’re right.
Even when we are right however, the lovingly presented item eventually has to be given up – for wear and tear, growing out of it by way of taste or size and many other reasons. That smartphone will eventually die or get outdated. As will any other gadgets, clothes and accessories. Even a full-of-life furry friend will eventually be outlived by the person whom you are presenting them to.
So what can we present loved ones with? Something that will stand the test of time and offer some sort of meaning, something to cherish and strengthen the bond that you share with the loved one whom you want to buy a present for?
An excellent option – and one that checks all the boxes above (and more) – is a stock. Here are 9 reasons why:
1. Stocks can appreciate in value – That Rs 50,000 smartphone will eventually only be worth about Rs 10,000 or less; probably even nothing after several years. The same goes for clothes and accessories. Moreover, in the long term, many stocks appreciate tremendously in value. Chosen right, and under the right market conditions, your loved one could end up with a much larger present than you actually paid for!
2. Stocks are a long-term present – The recipient of the stocks can hold on to them while they appreciate in value and then sell them for a much higher rate after many years. Stretch those good vibes into the long term with this very thoughtful present.
3. You could welcome a loved one to the stock market– A lot of people are wary of the stock market simply because they have heard stories about people losing money. They do not want to do proper research on how to play it safe and how to mitigate risk. They do not want to hear any arguments about risk-reward ratio. And they most certainly will not try to reap any earnings by investing any money in the stock market. A good way to allow a loved one to observe the workings of the stock market is to present them with stocks. Of course, be careful to choose right.
4. Choose your price – When speaking of presents that stand the test of time, there are others. Real estate. Gold. On a serious note, these really are timeless options that have the potential to increase in value in the long term – just like stocks. However, real estate is mostly an inherited ‘present’ if you want to call it a present or perhaps a once-in-a-lifetime present because of its cost. Similarly gold might prove to be too expensive. Stocks of various prices are available and therefore it is up to the presenter to choose his or her price.
5. Bonding rights – You have effectively built some very strong common ground between you and the person you have presented the stock to. From observing the growth of the presented stock, to pondering about the workings of the stock market, sharing ideas or strategies or discoveries and exploring new investment options, you have opened the doors to a million exciting conversations. In contrast, how much would you have talked about a little gold coin?
6. Impersonal, if need be – Clearly, no employer is going to give any team or any employee any real estate or gold as a reward. They might have been the start-up team that got the company off the ground. They might be super dedicated. They might have put their lives on the line for the job. Holidays – in this case known as incentive trips – are a newly popular option. But let’s face it, the joy is forgotten after a week back at the office and back to the grind. Instead, an employer could safeguard the future of employees by rewarding them with stocks.
7. Transferable – Well technically, you can also pass on a smartphone, t-shirt, laptop, vase and so on but there’s a little shame in that. Passing on a stock as a present, however, has no similar social embarrassment attached to it.
8. It’s never been easier! – With online trading apps like the Angel Broking App, buying stocks as a present and giving them to the recipient has never been easier. That’s because buying stocks in general has become easier on account of the fact that you can trade online and more so on-the-go. The convenience of mobile trading is also something that you will be introducing the recipient of the stock to.
9. Stocks are liquid – Your present could wind up bailing the recipient out on a rainy day. All of us have safety nets in place for sudden misfortune and you will certainly be strengthening that of your loved one (or deserving employee) by giving them stocks as a present. In the unfortunate event of sudden financial distress, the recipient of the stocks can always sell them and use the encashed sum to tide over.
Most importantly, stocks are a present not just for the present but also for the future. In most cases, they will always have value; their value might even outlive the recipient and the presenter. Presenting someone with a stock will also prove to them that EveryoneCanInvest, no matter what their age, occupation or gender is. Help someone kick start their investment journey – present a stock with Angel Broking.