Arm yourself with everything you need to know to keep your finances safe and healthy
My friend, Ranjan Bhattacharya, 52, retired from the Navy about a year ago, after serving in submarines, arguably one of the world’s most isolated jobs. Post retirement, he’s made up for lost time by turning into a news junkie. In this time, he’s acquired a large portfolio of small, obscure stocks. Watching the TV market shows, he follows recommendations and buys.
Another friend, Abhijit Banerjee, 61, is worried if the government is really going to seize his fixed deposits and convert them forcibly into bank shares. Like other 60-plus people, he keeps a lot of money in the bank in case of medical emergencies.
These instances reflect typical middle-class attitudes and concerns about personal finances. Lakhs of people who had not heard of the stock market a year ago, now believe “mutual funds sahi hai” and blindly buy TVrecommended shares. And, the infamous bail-in clause in the new Financial Resolution and Deposit Insurance (FRDI) Bill, which allows the use of the money of depositors to bail out loss-making, ailing banks, has struck fear into the hearts of many who are still recovering from the shock of demonetization.
So, what should you do with your savings in 2018? By the time you read this, there may be significant changes to the tax system, but the advice will remain the same in broad terms.
Spread your money across asset classes. Put some savings into debt, invest some in equity, and make sure you have enough insurance to cover emergencies and take care of your family. Also consider putting some savings into gold and real estate. Avoid cryptocurrencies (see box on p 62)— unless you’re tech-savvy, be prepared to lose vast amounts. Here’s a quick tour of the various options.
This story is from the February 2018 edition of Reader's Digest India.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the February 2018 edition of Reader's Digest India.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber? Sign In
THE UNBELIEVABLE MR RIPLEY
The creator of Believe It or Not had an insatiable curiosity about strange and astonishing facts
HE OPENED UP THE ARC TIC
\"You don't just sit and wait for adventure to come,\" famed polar explorer Knud Rasmussen liked to explain.\"You go out and make it happen!\"
Discovering Babasaheb
This Dalit history month—which also marks the 134\" birth anniversary of Dr B. R. Ambedkar, we recount four momentous incidents from his life
Lion in the Living Room
Five decades after two young men brought a playful cub into their London home, the tale has touched a whole new generation
The Many Roles of SUNIL DUTT
Through many personal tragedies, this favourite matinee idol finds strength and solace in helping others
AGATHA CHRISTIE MURDER BY THE BOOK
More widely read than any other English writer, she baffled the world with masterly tales of murder and remained something of a mystery herself
THE DAY WE MADE Flying History
Ona sunny September day in 1913, the author set three world records ina homemade flying machine
THE COMMANDO WITH THE TATTOO
Ganesh Dhangde was just six years old when he got lost. Twenty years later, his mother had a visitor
MARILYN: HER MAGIC LINGERS ON
The real Marilyn Monroe was nobody you'd look at twice—unless she wanted you to
I Think, Therefore, I Spam...
...has become the way forward for too many e-mail pests. Here's how I deal with them every single day