Right advise or free advise

"Honesty is very Expensive gift. Do not expect it from cheap people" - Warren Buffet

Selection of a wrong architect, doctor or mechanic will show signs may be in a week or a month or at the most in a year or two.

But realisation of wrong advise happens only after 10 ,15 or may be 20 years and beyond, by that time you can't do more then regretting or blaiming your luck.

So, instead of saving few bucks, look for a qualified professional advisor. Who should only be concerned with your goals, your needs, your expenses , your asset allocation and your risk profile, and not swayed away with fancy of some products or asset classes.

Secrecy and Data sharing

We share data from whom it should not be and never share it with the one we should

This week we witnessed data leak issue on Facebook and also how serious it's impact could be on privacy of an individual and a country.

We keep sharing most of our secret data on social networking site without even knowing that it has been compromised.

Contrast to that we hardly share our financial data or details with the person who is going to need it after us i.e. our family.

One of my investor who was on his 40's passed away 2 years back. He used to share all Investments and other data with his wife which was stored in a laptop.

But tragic irony is just few days before his cardiac arrest, he changed password of laptop.

Think of the situation of the family, which is already struggling emotionally due to his sudden demise and doesn't know how they are placed financially.

So this weekend sit with your family *even if they don't want to* and share all your plans and Investments.

Don't forget to share contact details of your financial planner who can act as an financial guardian to your family in such adverse situation

Smart people are bad Investors

Sr.Issac Newton once invested and after making big losses said "could calculate the motions of the heavenly bodies, but not the madness of people."

Doctors, lawyers, scientist, engineers, sportsman are some of the brightest most educated and hard-working people around. Yet their portfolio reveals that they tend to be horrible investors.

In investment world EQ(Emotional quotient) matters more then IQ.

Apart from knowledge we need to have financial wisdom and little bit of common sense in avoiding big mistakes.

Brake or Accelerator

India might be the only country where people accelerate instead of applying brake when signal starts turning to red from green.

We all know importance of brake as well as accelerator for smooth commuting.

*Accelerator keeps us moving whereas brake ensures we reach our destination safely....*

A good driver knows very well when to push accelerator and when to apply brakes.

Many a times investors while investing forget this simple concept and enjoys acceleration so much that forget applying brakes, inspite of reaching destination (Goals)  which eventually results in accident (losses).

Financial planning helps you in deciding when is the time to accelerate and when to slow down or even stand still.

If you are still just investing it's high time *switch to financial planning.*

Saluting most amazing Creation of God

Happy Women's day!!!

4 financial lessons world learnt from you

1) Creator - You taught us how from just a seed a whole new life can be created... *Power of compunding*

2) Securing what's achieved - You taught us how to create balance in family so that each one of us is happy and secured - *Power of asset allocation*

3) Keep growing - Being a mother you took care of us to help us grow and  to be a better human being - *Power of Investing*

4) Sharing is caring - You always taught us since our childhood to share whatever little we have with others - *Charity - to take care of less privileged*

*Saluting most amazing Creation of God.*

Seat belt pehni Kya!!

Seat belt pehni Kya!!

As soon as we settle down in a flight Airhostess starts safety demonstration. Does that mean flight is going to crash.

Does wearing a seat belt or helmet assures that we won't have injuries in case  of accident.

No but certainly it will help to avoid severe injuries.

Financial planners are actually seat belt or life jacket for the clients, who ensures that during a accident(sudden change in behavior of asset classes) your goals Don't have severe injuries.

They would ensure that your goal funding is safe in Black box which gets unaffected even if flight crashes.

The most important part of financial planning process is selection of a competent financial planner.