Category Archive

Don’t put all your eggs in one basket. We’ve heard this proverb. It’s the simple principle behind the fancy jargon called asset allocation. It’s the best thing you can do for building your wealth over time but consistently and mindfully. What is asset allocation? Simply put, it’s how your wealth or assets are split between

People think economics and finance are about numbers but remember I said finance is not a hard science like physics but a social science …so actually about people. People make up the markets that we hear about…people like you and me called retail investors but also the professional fund managers called institutional investors. And we

In the post on risk, we talked about how investment risks…what’s inherent in the investments we make. They were external risks. Now let’s talk about internal risks…what’s inherent in us. How we react to those external risks, how we view the world, how we view money. What’s a risk profile? When you go to any

We’ve all heard that mutual funds are subject to market risks at the end of every ad on mutual funds. But what does that mean? And what do we do about it? Today we will discuss risk. Firstly we will try to understand what risk is, then understand different types of risks and then we

Once you do the budgeting process to figure out how much we can save, we need to turn the savings into investments. This means we make our money work. In savings, the money sits idle in currency form or in a bank account earning very little. When we consciously put it to work, it’s called

When we leave the house, we usually want to go somewhere, whether it’s a place of work, or education, or shopping, or worship, or recreation…. Only then can you decide what route to take, what method of transport to take, even how to get dressed. So it’s important to know where you are going, right?

As we have seen in the previous post, personal finance is basically managing how we spend, protect and grow our money. The process of planning personal finance is financial planning. The principles are simple. But that doesn’t mean it’s easy. It’s like managing our health – we know we need to eat well and exercise.