4 Simple Ways to Create Passive Income

1. 4 Simple Ways to Create Passive Income You’re busy, I get it. Your 9 to 5 pays your bills, but what about a retirement fund, or those emergency funds? And what about that dream holiday you’ve been mentally planning? Inflation trend in India is always increasing, but wages and salaries have barely kept up. To put some numbers in perspective, something that cost ₹100 in 1960 will cost more than ₹8000 in 2023. Now imagine what the cost would be 30 years from now! Passive income has emerged as a popular way to generate a stable source of additional income, with little or no effort. It may not substitute your regular income at least in the short term, but it acts as a support system to be more financially stable and gives you financial freedom. Here are 5 proven ways you can generate passive income. Real Estate Investment: Real estate investment is a popular way of generating passive income in India. You can invest in rental properties, either residential or commercial, and earn a steady stream of rental income. Real estate investment also offers the opportunity for long-term wealth creation. One caveat is that it requires a significant capital investment to generate returns, and can be highly illiquid. Effort Required: 4/5 Return: High Risk: High

2. Stock Market Investment: Investing in stocks is another way to earn passive income in India. It requires a learning curve to understand the basics of how the market works, technical analysis, etc. But once you get the hang of it, spending a very little time can generate an exponential return. When investing or trading in the stock market, you should try not to get carried away and follow a clear trading plan with a fixed exit in mind. You should also be mindful of the risk you take, given the capital you’re planning to invest. Within options market, you can use strategies that hedge your risk while trading, so that you are covered against adverse price action. Start options trading → For those whose jobs keep them busy, option scalping is a very good option. Option scalping basically means you enter and exit the market very quickly, making profits from small price changes, that add up over time. Effort Required: 3/5 Return: High Risk: Medium Create an Online Business: The internet has opened up new opportunities for individuals to start their own online businesses and earn passive income. Online

3. businesses such as e-commerce sites, affiliate marketing, drop shipping and digital products can be run with minimal effort, making it a great option for generating passive income. The caveat here is that it requires a significant amount of effort and investment to get started, and can be highly risky. On the flip side, it is highly scalable depending on the business you pick. Effort Required: 5/5 Return: High Risk: High Freelancing: If you have any skills that can be performed remotely, such as photography, content writing, graphic design, etc, then you can become a freelancer for some extra income. Just ensure that it does not violate your current employment contract, and as long as you have an internet connection and the right tools for your trade, you’re good to go! There are multiple digital nomading communities and freelancing marketplaces which have made it easier than ever to become a freelancer. One caveat is that it is not scalable. Your return completely depends on the time you devote and you need to constantly up-skill and engage with your client to be successful. The benefit is that you can do it it your free time without having to devote any mind space to it during your work hours. Effort Required: 2/5 Return: Medium Risk: Low

4. Here’s a recap of the different passive income streams: Effort Return Risk Real Estate Investment 4/5 High High Stock Market Investment 3/5 High Medium Online Business 5/5 High High Freelancing 2/5 Medium Low In conclusion, passive income streams provide a way for individuals to increase their financial stability and achieve financial freedom. The amount of passive income you can make depends on several factors, including the type of passive income stream, the amount of capital invested, the length of time you have been invested, and the overall market conditions. It's important to keep in mind that passive income streams often require a significant upfront investment and may take time to generate substantial returns. Additionally, the amount of passive income generated can be impacted by market conditions and other economic factors. As a result, it's important to have a diversified investment portfolio and to carefully consider the risks and potential returns of any passive income stream before investing. “Something that cost₹100 in 1960 will cost more than ₹8000 in 2023.” It just take couple of hours everyday to make an average earning in Options trading. But, it still depends on the level of complexity of your strategy. For beginner traders, it is recommended to start with readymade strategies that you can pick from the strategy builder in optionlogy. These are tried and tested strategies truested by traders with more than 10 years of experience.

5. Newbie traders often find options trading daunting as they are afraid of losing money while learning how to trade. Furthermore, the cost of courses related to options trading can be quite high, making it even more challenging for beginners to get started. So the solution for that is virtual trading. Our platform offers a free 30-day trial that enables you to trade virtually or into your broker’s account directly and develop your skills until you feel confident.