If you wanted to make a career in a sport would you just watch that sport on television and hope to be a world beater? No, I guess. Similarly if you want to be a good investor watching television or the pink papers or the personal finance magazines and websites may be not the best […]
A friend gave me lots of paper saying “My cousins husband has died, she is a nominee will you please transfer all the mutual funds to her name”. I said this is a breeze, will do it. Then started my ‘breeze’. DSP Mutual fund, Idfc, SBi mutual fund, Icici Prudential, J P MOrgan, Franklin Templeton,…his […]
Do you get picked up by friends, colleagues, etc. as a party pooper? Typically if they know you make some healthy choices in life – like eating salads instead of deep fried foods, do they stop inviting you to a party? I got this funny feedback from a friend that his wife’s friend told them […]
While doing a risk review of a portfolio, I stumbled on a portfolio with 55 mutual fund schemes and 52 direct equity investments. When the investor asked me what was the risk, I said there was ‘concentration’ risk. I also told him he was running the risk of ‘over-diversification’ . He asked me to speak […]
In one of those financial planning classes somebody asked me this question. It is quite an easy question to answer, but a difficult answer to understand. For different people it means different things. If you wish to own a Mercedes having a spare Rs. 80 lakhs to buy and Rs. 50,000 per month to spend […]
Why we do things and why we do not do things is largely a function of our habits. We do not do things we like – we may have liked it the first time around, but now we do it because it is a habit. Most Americans do not contribute to a 401(k) plan because […]
In every class on wealth management – whether it is 17 year olds in Shimla or 70 year olds in a old age home. Whether it is personal bankers or Hdfc bank or Citigold Wealth Advisors of Citibank – I keep saying ‘how well your money got managed is far more important than how much […]