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By:

Kaustubh Kale

10 September 2024 at 11:37:15 pm

Modak and the Art of Investing

As the aroma of freshly steamed Modaks fills homes during Ganesh Utsav, the festive spirit comes alive instantly. My mouth is already watering at the thought! The humble Modak, prepared with love to honour Lord Ganesha, may look simple from the outside. But anyone who has tried making one knows that a good Modak depends on several things coming together - the right ingredients, the right recipe, patience with the process, and finally, enjoying the result. Investing is surprisingly similar....

Modak and the Art of Investing

As the aroma of freshly steamed Modaks fills homes during Ganesh Utsav, the festive spirit comes alive instantly. My mouth is already watering at the thought! The humble Modak, prepared with love to honour Lord Ganesha, may look simple from the outside. But anyone who has tried making one knows that a good Modak depends on several things coming together - the right ingredients, the right recipe, patience with the process, and finally, enjoying the result. Investing is surprisingly similar. Choose the Right Ingredients A Modak is only as good as the ingredients that go into it. Fresh coconut, good-quality jaggery, properly prepared rice flour and the right flavours all contribute to the final result. Our investments and financial products are the ingredients of our financial plan. Equities, mutual funds, fixed income, gold and other investments each have a specific role to play. The objective is not to pick whatever appears most exciting at the moment, but to select suitable, good-quality investments that match our financial goals, time horizon and ability to take risks. Health and life insurance are equally important ingredients. Adequate coverage helps protect savings, the family, and their financial goals and dreams. Good ingredients provide the foundation. But ingredients alone are not enough. Get the Recipe Right You may have the finest ingredients in the kitchen, but if the proportions are wrong, the Modak may still not turn out well. The same applies to investing. Asset allocation is the recipe of a financial plan. Too much of one ingredient can spoil a Modak. Similarly, excessive concentration in one asset or too much money in low-return products can spoil a portfolio. Balance is key. A thoughtfully constructed portfolio brings different investments together in the right proportions. To keep asset allocation very simple - short-term goals can be planned through bank fixed deposits, recurring deposits and debt mutual funds. For long-term goals, one can consider hybrid mutual funds, equity mutual funds or direct stocks. Trust the Process Once the Modak is shaped and placed for steaming, constantly checking whether it is ready will not make it cook faster. Investors often make the same mistake. We keep checking markets, reacting to every correction, chasing recent performers or changing strategies because of short-term noise. Good investing requires patience and discipline. Invest regularly, review periodically and allow your financial plan enough time to work. Compounding is powerful precisely because it rewards those who remain invested for long periods. Sometimes, the best thing an investor can do is simply avoid unnecessary interference. Enjoy What You Have Created Finally comes the most important part - eating the Modak! The purpose of investing is not merely to accumulate the largest possible number on a statement. Wealth should eventually help us fulfil our goals, support our families, create financial security and enjoy life with greater peace of mind. A good Modak needs the right ingredients, the right recipe and trust in the process. A good investment journey needs exactly the same. This Ganesh Utsav, may Bappa bless us with the wisdom to make good financial choices, the patience to stay disciplined, and the prosperity to enjoy the fruits of our efforts. Ganpati Bappa Morya! (The author is a Chartered Accountant and CFA (USA). Financial Advisor. Views personal. He could be reached on 9833133605.)

A Diplomatic Shock to Beijing

Jul 1, 2025
4 min read

Rajnath Singh’s refusal to play along with China’s pro-Pakistan script at the SCO summit signals New Delhi’s rejection of Beijing’s diplomatic games while laying down a clear policy red line on terrorism.

It is not often that a defence minister becomes the defining voice at a multilateral summit ostensibly designed for diplomatic consensus. But at the recent Shanghai Cooperation Organisation (SCO) meeting in Beijing, Indian Defence Minister Rajnath Singh did just that. Refusing to endorse the pro-Pakistan communiqué crafted under China’s watchful eye, Singh delivered a powerful jolt to Beijing, thereby exposing the contradictions of China’s stand on terrorism and reasserting India’s determination to be neither manipulated nor marginalised on the global stage, especially after the April 22 Pahalgam terror attack.


Founded in 2001, the SCO was conceived as a regional forum to foster cooperation among Eurasian nations in the realms of security, trade, energy and culture. Its membership includes not just China, Russia, and India, but also Pakistan, Iran and Central Asian states. But over the years, the SCO has also become a site of geopolitical friction, particularly between India and China, whose increasingly adversarial relationship now shadows every multilateral encounter. The latest summit proved no exception.


Singh’s core grievance was with the language and emphasis of the joint communiqué, which downplayed the menace of state-sponsored terrorism emanating from Pakistan. While the statement included a reference to the hijacking of Pakistan’s Jaffer Express train by Baloch insurgents, casting it as a terrorist act allegedly instigated by India, it conspicuously avoided mentioning, let alone condemning, the massacre of Indian tourists in Pahalgam that was carried out by Pakistan-sponsored terrorists. This asymmetry, India argued, revealed the document’s bias and its failure to reflect a genuine multilateral consensus on terrorism.


Singh’s refusal to sign the final document, and his explicit criticism of its pro-China, pro-Pakistan tilt, was a rebuke to the credibility of the SCO. In effect, he told the forum that if terrorism is not condemned universally, then no resolution is worth endorsing.

New

Delhi has in recent years adopted a more self-assured tone in its multilateral engagements. It has rebuffed calls to take sides in great-power rivalries, declined to join western condemnations of Russia over Ukraine, and politely turned down a G7 invitation from Donald Trump in the aftermath of Pahalgam. After Operation Sindoor, India sent multiple parliamentary delegations to capitals across Europe, America and Asia to build consensus against Pakistan’s long-running policy of weaponizing jihadist groups while explaining the reason for conducting Operation Sindoor. What Singh did in Beijing was to align the SCO response, or lack thereof, with this broader strategic goal.


In doing so, the defence minister directly questioned China’s duplicity. For Beijing, which routinely shields Pakistani individuals and entities from UN terror blacklists, this was an uncomfortable spotlight. It laid bare the contradiction of a country that claims to fight terrorism while selectively turning a blind eye when it suits its allies.


India’s principled stand has rattled the SCO’s fragile unity. The forum risks fading into irrelevance. The very credibility of the SCO depends on whether it can uphold basic international norms, particularly on terrorism, without ideological or strategic bias. If it fails to do so, countries like India will increasingly disengage.


While China routinely lectures others on non-interference and sovereignty, it meddles liberally in South Asia, be it through the Belt and Road Initiative projects in disputed territories or through strategic military and economic support to Pakistan. The SCO, in theory, offers a platform for resolving such frictions. But in practice, it has too often reflected Beijing’s priorities.


Singh’s stand signals a clear evolution in India’s own foreign policy posture. The days of non-alignment as passive neutrality are gone. What replaces it is a policy of strategic autonomy underpinned by clear red lines, especially on issues like terrorism. India does not align blindly with either the West or the authoritarian bloc. But it will not allow itself to be diplomatically ambushed either.


This recalibration has been long in the making. From the Doklam standoff in 2017 to the Galwan Valley clash in 2020, India has learned the hard way that diplomatic niceties count for little in the face of strategic hostility. It has invested in its own deterrent capability, deepened ties with the Quad countries, and is increasingly unafraid to name and shame in forums where it once remained guarded. That shift is now visible not just in the Ministry of External Affairs but in the Ministry of Defence as well.


What Singh delivered in Beijing was a signal that India will no longer play along with multilateral farces scripted to benefit its adversaries. It will engage and cooperate, but on equal terms without capitulating.


The broader lesson for China and for organisations like the SCO is this: a rising India is not a supplicant state. It has its own interests, its own vision, and increasingly, its own platform. Attempts to subsume its voice into a China-Pakistan narrative, will be resisted vocally and fearlessly.


India’s message in Beijing was crystal clear. It may sit at the same table, but it will not be served second-rate diplomacy. The shock delivered by Rajnath Singh may well be the jolt the SCO needs if it is to survive with credibility in an increasingly contested Asia.


(The writer is a foreign affairs expert. Views are personal)

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