How to pay the piper….
If you have a financial advisor or a portfolio manager or if you have assets in a mutual fund you are entrusting your funds to a professional for management. You are expecting the advisor to make “good” returns and the advisor is expecting a fee for the services provided. At the outset, let’s get one […]
The average shall generate the wealth…..
Let’s say you have good friend Ashish, who is an “excellent and ethical” businessman. Ashish wants you to invest some money in his business. He will have to offer you a better rate of return than the bank rate to get you interested in investing in his business. If the bank paid you more, you may […]
Making a financial plan is like working out….
Although all of us know that working out is good for us and most of us need to work out, very few of us get around to doing it. One of the reasons is, the benefits of work out are realized in the “long term” while the “benefits” of not working out are realized immediately […]
It glitters but also fritters….
Indians have a tradition of buying gold, it is almost a borderline obsession. We import about 1 ton of gold every year!!!, and this is mostly for jewellery or to be stored. It has become a national problem as the wealth is stored away and is not being utilized to create more wealth. For instance […]
What’s real and what’s not…..
Many of us find it comforting to buy and hold assets that are tangible, like house, land, gold etc. These are called “real assets”. The other type of assets are stock certificates, bonds, money in a deposit product, Gold ETF’s, etc. These are called “financial assets”. Real assets Financial assets Tangible Not tangible Available only […]