Managing Money Conservatively, helps

Mercedes Benz’s report on Cyrus Mistry’s accident – car was travelling at 100 kmph & hit the divider @ 89 kmph.

Well, many of us would think…. that isn’t a speed where people might die, but the reality is very different

Speed at the time of impact was probably an issue but more than that, what was definitely missing was – wearing seat belts in the rear seat

Brakes were applied 5 seconds before the impact

Many of us would think that we can also apply brakes on our portfolios just before markets crash or go down. Think again please.

The reality, we don’t know the speed at which we are travelling on, on our portfolio

100 kmph to 150 kmph speeds are a thrill but, when an …. it’s going to be a horrible result

Driving Conservatively helps

Investing Conservatively helps (based on cash flows, liquidity & % of exposure on net-worth)

Spending Conservatively helps

Borrowing Conservatively helps

Bottomline …

Managing one’s Money Conservatively helps, immensely

Share this post

One Reply to “Managing Money Conservatively, helps”

Comments are closed.