Lose control…na koi padhne wala…na koi seekhne wala…is a song from Bollywood movie Rang De Basanti. But this Paathshaala is all about taking control.
Control is a feeling of being empowered and/or be able to influence behavior. Control gets you charged up – quite literally. Who doesn’t like being in control of things? As women, there is an innate tendency to be in charge of things around you. Wonder why then when it comes to taking control of one's investments, some of them tend to take a backseat. The key here is to realise that understanding nuances of your investments and making a plan is actually gender agnostic!
For instance, if you google top chefs, you will find many males in the list – and to think cooking was considered only women’s domain! Hence in my mind, it is very imperative that every woman takes control of her finances. It all starts with being aware of the financial goal that one needs to reach. Once that is ascertained, you back work to see how best to achieve it. Here comes the role of asset allocation as you need the right dose of financial and physical assets in your portfolio to achieve your stated objectives. Lopsided allocation towards any one asset class may not be desirable for your financial health.
When you are in control of your investments, you do tend to review your financial profile and investments periodically. Also, linking your investments to a goal helps bring a sense of discipline and also helps sustain investments during volatile times. Finally, like a mastery in a sport is well achieved via a coach, one can have advisors /distributors aid you in this process.
To conclude, I am reminded of a dialogue from the Bollywood movie Rang de Basanti- Zindagi jeene ke do tarike hote hai..ek jo ho raha hai hone do..ya phir zimmedari uthao usse baseline ki..” (there are 2 ways to life – one – continue the way things are happening, or two- take responsibility to change it..)
So go for the winds of change and take control of your finances. It will be a fulfilling experience - one to be cherished forever. Take control
(Lakshmi Iyer is CIO - Debt & Head - Products, Kotak Mahindra Asset Management Company. Views are personal.)
