Goals and their horizons

Your goals can be divided into

Short-term,
Medium-term and
Long-term on the basis of when you want to achieve them.

Short-term goals	Medium-term goals	Long-term goals
These goals range from one year to around three years in terms of period.	These goals range from more than three years to five years in terms of period.	These are goals that can be achieved after more than five years of investing.
Example – buying a scooter, house renovation, vacation planning.	Example – children’s higher education, starting your own business.	Example – Retirement planning, buying a house, marriage of your children.

Let’s see if you can divide them well into horizons.

1)Higher Education of your Children

Short-term
Medium-term
Long-term

2)Renovating your house

Short-term
Medium-term
Long-term

3)Buying a Fridge

Short-term
Medium-term
Long-term

4)Starting your own business

Short-term
Medium-term
Long-term

Quiz

Start

Are these the only categories into which your goals can be divided?

No. Apart from these, there can be a goal that cannot be categorised into the short, medium or long term.

There is one goal called emergency planning goal that cannot be considered as short, medium or long term.

An emergency can occur at any time, and you might need money to pay for them.

Emergencies like medical emergencies, job loss etc are unpredictable. That is why we cannot invest for them with a set timeline in mind. We can only prepare for them by investing in products that can be quickly converted into cash and have no maturity periods.

Points to Remember

That’s a lot of new information! Let us help you recap it quickly.

The short-term goals range from one year to around three years in terms of period.
The medium-term goals range from more than three years to five years in terms of period.
The long-term goals can be achieved after more than five years of investing.
The emergency planning goal cannot be considered short, medium or long term.

To track your progress