Finance is a hard subject. There are a few blessed with money-making acumen, but there are some others who think, “higher the risk, higher the profits.” So, who is right? Here are some money making tricks for Indians. To understand these, you don’t need a degree in finance, but common-sense.
1Indians follow masses
Being an Indian myself, I know, most of us love playing safe. We live with theories like backups and not putting all eggs in the same basket. At the same, Indians are copy-cats in most cases. And, the point is if you are going in the same direction, following the same rules that your grandparents used to, then how on earth you expect a change in your financial scenario in comparison to your oldies or others?
When it comes to savings, we are in love with banks, fixed deposits, mutual funds, LIC schemes and other government approved scheme with a fixed amount of interest rate that rarely shows any change even after decades. Without worrying much about the inflation rate, we are happy with a fixed amount of interest.
At the same time, there are many others, who prefer investing in gold, real-estates, virtual money, stocks, foreign exchange, and start-up businesses. No doubt, they are at a higher risk. But, at the same time, they make more money than usual Indians.
I am not condemning any of these. However, I would suggest investing on pro-rata basis. In simpler terms, how about taking a risk of making small investments in these kinds of risky investments until you get a hold over these?
Trust me, the rich people are always in the search of new investment areas with maximum returns. They do not concentrate only on single savings fund. Rather, they invest in properties and other portfolios with uncertain risks, but juicy profits.
2Be around smart people
The money-making people not only hire professionals but prefer to stay in the company of most “intelligent” people.
The reason being, those people are the hub of knowledge and they have a wonderful understanding of complicated structures. I am talking about financial planners, certified accountants, brokers, and financial experts.
Undoubtedly, investing without having a proper understanding or without seeking any expert advice is a foolish idea.
This is going to pinch most of you out there. But, as I said, Indian love, to play safe. Unlike rich people, who inherit their fortune from their parents and grandparents, most of the Indians are not blessed with this gift of money-making wisdom.
If you want your kids to grow your wealth, prepare them to be millionaires. At the same time, make them aware of the consequences of having a lot of money.
This is why the rich people send their kids abroad for studying finance and other things because they know the importance of right education.
ALSO READ – Financial Mistakes That Rich People Do Not Do
4Mindset about debt
Most of us have a negative mindset for debts. In India, having a debt is more likely pain-in-neck. I am not saying that you should take debts to make things, but I seriously see no trouble in borrowing, when you are in condition to paying back without hurting your back.
Let me be honest with you. I hope you all have heard the most recent defaulter case of an Indian, who is playing hide-n-seek with the Indian government. My point behind this statement is – even the richest people are not free of debts. It is common in them.
However, before pledging things, always look for the best conditions to accept a loan.
5Not having a financial plan
This one is very common for most of us. Like other things, we don’t have any plan for finances as well. We are so busy with the question of survival that we are not even concerned about where our hard-earned money is going.
All I am saying is – how about having am the affirmative financial plan? Unlike poor or middle-class people, the people from elite class always have a clearly established financial plan. For this, you need financial experts.
There is an old saying, “a stitch in time saves nine.” So, what are you waiting for? Hire a financial expert at the earliest possible and save yourself from being insolvent at an age devoid of energy required for making money.