Friday, November 10, 2006

Who is a stock? How is a bond? Wrong questions

Every time I think of wealth creation --- defined in my book as turning our sweat into financial comfort, security, independence and finally freedom without sweating further --- I realise just how far we are from it collectively. Talking about the mass affluent, a fast growing category of young, urban professionals carrying money and attitude in their wallets, and houses and cars in their EMIs, this quest to be wealthy has just one hurdle: financial literacy.
There are two aversions that most middle class citizens carry. One, a fear of finance --- when the numbers begin to flow, things as basic as compound interest turn into monsters that blank out understanding. Two, a pride in not knowing --- I wonder where that comes from; probably a corrupted DNA of a pretentious intellectual elite of India (both the rich and the poor are very careful with their money).

Opinion in The Indian Express, November 10, 2006

No comments: