This armchair of strategy of the author does not work in real life. In real life you have this problem of inflation which will eat away your savings or its purchase value. You have no way but to invest. The planning can be simply like this: 1) Stay away from all types of IPO (initial public offers that is primary market) It is because an article in rediff made it clear that 70% issues failed which means the present market rate of these shares are less than the issue price !! And then it is 70%, remember that. 2) The dollar value will sure go down in the coming years; there is not much of a doubt about it. This means that Gold value will increase. It is better you buy the real gold than the gold certificates. The gold certificate (the paper gold) is very much new to Indian market. It is still to be established so that you can just walk in to the nearest office and exchange your gold certificate with real gold which should be as much easier as going to a bank and opening a locker. 3) Investment in shares shall continue in spite of these fears of unstable stock market etc. When you buy look at its price and the value the stock offers. If it is a valuable stock available at cheaper prices with good dividend history, then buy it. It is always better than putting your money in bank fixed deposits etc., It is simply useless to go for fixed deposits. When you finally take your from your fixed deposit it will be no use because rates of everything around you has gone up. Invest in good dividend yield companies and stay invested for long terms.
