Money Konnect

Art and life are forever entwined. Many of you enjoy art, admire the work of various artists, and perhaps even invest in art. Then there are some of you who are probably artists as well. While art brings both your imagination and reality to life, it can serve another very interesting purpose. It can guide you in your financial planning journey. Listen on to understand this further.

Key takeaways:
· When you start your investing journey as a young individual, you need to understand that your needs, goals, and ability to take risk is different from those of your friends, colleagues, and family.

· Similarly, every investment also has a unique risk and potential to generate returns

· You need to ensure that you take advantage of the different types of investments available while staying aligned with your risk profile and return requirements.

You can listen to the podcast on the Edelweiss Mutual Fund website, Spotify, Google Podcasts, and Apple Podcast. We hope you enjoyed this podcast and will tune in to listen to more such podcasts on investing nuggets.

Blessed are those who have great and reliable friends in their lives. But, just like Moneybhai, do you sometimes wonder whether it is better to have just one best friend rather than many friends? In this third and final episode of our podcast series titled ‘Money bhai ke rishtey’, we see how Moneybhai is struggling to choose a best friend and the advise that Subhichintak gives him to deal with this! 

Key takeaways:

·  Natkhat equity is a great friend to Moneybhai and has always been with him over the long-term. But spending time with her can sometimes feel like a roller coaster ride with lots of ups and downs. 

·  Bharosemand debt is a solid friend on whom Moneybahi can always depend. But he can also be very boring and slow sometimes. 

·  Chapal hybrid is a new but reliable friend to Moneybhai. He provides both support and excitement. Lekin Moneybhai has not known him for very long. 

·  It might be better to have a group of different friends who bring something unique to your life rather than have only one best friend.

You can listen to the podcast on the Edelweiss Mutual Fund website, Spotify, Google Podcasts, and Apple Podcast. We hope you enjoyed this podcast and will tune in to listen to more such podcasts on investing nuggets. 

Relatives! What can you say about them. Sometimes you love them and often you can’t stand them. Just like you, Moneybhai also has some relatives who really bother him. Leading this list of annoying relatives is Mahangai masi. She is always troubling Moneybhai and reducing his value. In this second episode of our new podcast series titled ‘Money bhai ke rishtey’,  we see how Moneybhai can deal with Mahangai masi and maintain his value. 

Key takeaways:

·  Inflation has a great impact on the price of things. As inflation rises, the price of the things that you buy ranging from fruits and vegetables to cars, starts rising. 

·   A great way to deal with inflation is to invest in equity mutual funds. They generally tend to grow over a longer period of time and have the potential to deal with the price increases that come with inflation. 

·   One important thing to remember about equity mutual funds is that in the short term they can go both up and down and can thus bring a bit of stress. The goal should be to stay invested for the long term since over a period of time, these ups and downs smoothen out. 

You can listen to the podcast on the Edelweiss Mutual Fund website, Spotify, Google Podcasts, and Apple Podcast. We hope you enjoyed this podcast and will tune in to listen to more such podcasts on investing nuggets. 

Moneybhai or Money as you would know it, is a constant in all lives. You need Moneybhai in your good times and bad times. The thing is that while Moneybhai is always there to come to your rescue, there are some things or some people that trouble Moneybhai. One of them is volatility aka ‘Volatility chachi’ whose very sight makes Moneybhai sweat. In this first episode of our new podcast series titled ‘Moneybhai ke rishtey’, the good Samaritan ‘Subhchintak’ helps Moneybhai deal with Volatility. 

Key takeaways:

·   Volatility troubles everyone and is almost unavoidable. Thus, instead of running away, the best thing that you can do is take some steps to deal with it. 

·   One way to deal with volatility is to manage your own behaviour. There is no need to get reactive every time volatility comes knocking at your door. Instead, you should control your emotions and actions.

·   Two, you should consider investing in a Balanced Advantage Fund. Volatility has very little impact on Balanced Mutual funds as they are designed to take advantage of the ups and downs of the market through both equity and debt investments.

You can listen to the podcast on the Edelweiss Mutual Fund website, Spotify, Google Podcasts, and Apple Podcast. We hope you enjoyed this podcast and will tune in to listen to more such podcasts on investing nuggets. 

We are all biased people, easily influenced by other people or even our own experiences. These biases can influence your ability to make the right decisions and even come in the way of you achieving success. The best thing is that these biases can easily be addressed through small nudges and disciplined practices that push you in a certain direction. However, you must be mindful that nudges can push you in the right or wrong direction.

Summary

In the book, “Nudge: Improving Decisions About Health, Wealth, and Happiness’, authors Richard H. Thaler and Cass R. Sunstein explore how we make different choices and suggest how we can make better decisions. Listen to this Podcast by Edelweiss MF to learn how you can make an optimal investment checklist. 

Key takeaways:

·  Decisions that you as an individual make are impacted by biases and different sets of information

·  Anchoring, overconfidence, status quo bias, and familiarity are all examples of biases.

·  On the other hand, nudges can also influence and push you towards both right and wrong decisions.

·  Anything from the way a certain argument is framed to marketing and social media influencers can act as a nudge

·  In investing, the Record, Evaluate, and Compare Alternative Prices (RECAP) framework can act as a good nudge.

The book really is revelatory and can make you stop and think the next time you are about to make a decision. You can listen to the podcast on the Edelweiss Mutual Fund website, Spotify, Google Podcasts, and Apple Podcast. We hope you enjoyed this podcast and will tune in to listen to more such podcasts on investing nuggets. 

If you recall, from childhood you are told that your behaviour can impact the course of your life and determine whether you are successful or not. Interestingly, your behaviour can have a similar impact on your investment journey as well and determine whether or not you achieve your financial goals. Further, while you can always get a job and earn money, it is the way you save and invest that will determine how that money will grow and for how long you can keep that money. 

Morgan Housel, in his book, ‘The Psychology of Money’ beautifully explains how your behaviour and experiences can have a large impact on the investment choices you make and on how your investment journey finally shapes up. 

Key takeaways:

·   In the world of investing, how you behave is more important than how smart you are. 

·   It is not enough just to know how to do something. Execution is the key. 

·   Greed can become a big problem since in your attempt to earn more returns you might end up taking more risk than you can afford.

·   Creating wealth is easy, but keeping it is very difficult. 

·   The only way you can save and grow your wealth is by investing in a steady and consistent manner and taking investment decisions that are free of bias.

Housel’s book tells you how you can easily maintain your wealth just by managing your behaviour. You can listen to the podcast on the Edelweiss Mutual Fund website, Spotify, Google Podcasts, and Apple Podcast. We hope you enjoyed this podcast and will tune in to listen to more such podcasts on investing nuggets. 

The general thought process is that if you want more returns then you must take more risk and alternatively, if you want to avoid risk then you should stay away from the stock market. Unfortunately, this is not always true and worse, this belief can come in the way of you getting rich. The most important thing that you need to know is that you can invest in stocks and embark on your wealth creation journey. The only thing is that you need to do this in a disciplined and focused manner. 

Summary

In this Edelweiss Money Konnect book summary podcast, we discuss the gems hidden in Jim Cramer’s book, “Get Rich Carefully’. In the book, the author draws on his unparalleled knowledge of the stock market and shares the lessons that he has learnt over the years to explain in a  simple and engaging way how every investor can get rich with a prudent and methodical approach. 

Key takeaways:

·  The high-risk and high-return belief does not always hold true. You can generate good returns while taking prudent levels of risk. 

·   Stock market investing can also be high-return and low-risk as long as you follow a disciplined and prudent approach to investing

·   The most important aspect of a company is the people who run it. Which means that you must invest in companies that are led by ‘bankable’ people. 

·   In addition to company specific metrics, you must also focus on macro-economic trends that can play an important role in shaping the future of a company. 

·   Before you make the decision to invest in a company, you must do adequate research.

·   The best kind of investor is the long-term investor. 

Cramer’s book tells you how it is easy for you to ‘get rich’ as long as you are disciplined and prudent about the way you invest and manage your money. You can listen to the podcast on the Edelweiss Mutual Fund website, Spotify, Google Podcasts, and Apple Podcast. We hope you enjoyed this podcast and will tune in to listen to more such podcasts on investing nuggets. 

Life is really a series of lists. You make shopping lists, school holiday lists, things to do lists, and so many more. The thing is that lists keep your life on track. They ensure that you do not miss out on the important stuff and give you peace of mind. If you have a list ready, then you don’t need to constantly keep track of things in your mind. For all these reasons, an investment checklist is something that you should actively consider making to improve your ability to make optimal investment decisions.

Summary:

In his book, “The Checklist Manifesto: How to Get Things Right’, author Atul Gawande talks about the importance of having a checklist in almost any discipline and how it can help you in your financial decision making journey. Listen to this Money Konnect Podcast by Edelweiss Mutual Fund to learn how you can make an optimal investment checklist.

Key takeaways:

• Human beings often make flawed decisions since they let their decisions get influenced by emotion.
• You can avoid many of these flawed decisions simply by becoming disciplined about the decision making process.
• The solution lies in adopting a checklist approach.
• You make a checklist of the important variables that can have a key impact on your decisions and then ensure that before making any decision you consistently and regularly follow the checklist.
• A good checklist can be particularly helpful in making optimal investment decisions.
• Many investment experts like Warren Buffet and Mohnish Pabrai follow the checklist approach to investing.

Atul Gawande’s book really highlights the importance of making an investment checklist and sticking to it. You can listen to the podcast on the Edelweiss Mutual Fund website, Spotify, Google Podcasts, and Apple Podcast. We hope you enjoyed this podcast and will tune in to listen to more such podcasts on investing nuggets.

If someone were to ask you what is the opposite of fragile you would automatically say antifragile. Thus, if fragile means that something breaks easily then antifragile should ideally mean something that does not break easily. Interestingly, that is not quite accurate. Antifragile is not something that does not break. It's more than that. It's something that benefits from pressure. If you build an antifragile business then you will not only be protected during adversity but will also be able to benefit from it. 

Summary:

Nassim Taleb, in his book, ‘Antifragile’ talks about the different systems that are currently there in our society. Some are fragile, some are robust, and some are antifragile. Listen to this Podcast by Edelweiss MF to learn about antifragile systems and how you can create such systems.

Key takeaways:

·   Antifragile systems are well-positioned to benefit from external shocks and volatility

·   If you create an antifragile system then you will be able to face adversity and bounce back from it, maybe even finding opportunities to turn the adversity into a benefit.

·   Nature and human bodies are examples of antifragile systems as they have persisted for millennia.

·   Work and industry sectors can also be divided into fragile, robust, and antifragile. People who are mid-level executives at large firms are extremely fragile as their work depends on their reputation.

·   To both survive and thrive, you must build an antifragile ecosystem

Taleb’s book opens your eyes to a whole new approach to dealing with adversity and identifying areas of opportunity. You can listen to the podcast on the Edelweiss Mutual Fund website, Spotify, Google Podcasts, and Apple Podcast. We hope you enjoyed this podcast and will tune in to listen to more such podcasts on investing nuggets. 

The two things that drive all markets are greed and fear. Unfortunately, both of these can impact your ability to make good investment decisions. The key is to be fearless under all circumstances just like Bahubali (the character) and not greedy like his brother, Bhallal dev. Bahubali showed great courage and valour and similarly, investors should have the courage and patience to stay invested for the long-term and not fear short-term market movements. 

In this podcast series, Edelweiss Mutual Fund, in collaboration with Saurabh Jain, brings to you simple yet important life and financial lessons with a dash of Bollywood tadka.  

Key takeaways:

·  Just like you don’t jump off every time the rollercoaster goes down, you should hold on to your investment when the market goes down.

·  Follow the famous saying by Warren Buffet, ‘Be greedy when others are fearful, and be fearful when others are greedy’. 

·  Courage and the ability to be fearless can help you create a strong long-term portfolio. 

You can listen to the podcast on the Edelweiss Mutual Fund website, Spotify, Google Podcasts, and Apple Podcast. We hope you enjoyed this podcast and will tune in to listen to more such podcasts on investing nuggets.