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By:

Kaustubh Kale

10 September 2024 at 11:37:15 pm

Nine Financial Tips for a Prosperous Navratri

As Navratri draws to a close, I wish you and your family happiness, prosperity, and continued success. Festivals are a time of celebration, but they also serve as a valuable reminder to reflect on our financial habits and strengthen our financial discipline. In the spirit of the nine days of Navratri, here are nine essential financial tips to help you stay on track with your financial goals and make your journey towards financial freedom smoother and more secure. Build an Emergency Fund Make...

Nine Financial Tips for a Prosperous Navratri

As Navratri draws to a close, I wish you and your family happiness, prosperity, and continued success. Festivals are a time of celebration, but they also serve as a valuable reminder to reflect on our financial habits and strengthen our financial discipline. In the spirit of the nine days of Navratri, here are nine essential financial tips to help you stay on track with your financial goals and make your journey towards financial freedom smoother and more secure. Build an Emergency Fund Make sure you have at least six months of living expenses saved in a bank fixed deposit or a debt mutual fund. This reserve will serve as your emergency fund for unforeseen situations and ensures you are prepared for any rainy days. Review Your Asset Allocation Revisit your investments to ensure they align with your goals. For short-term goals within three years, bank fixed deposits, recurring deposits, or debt mutual funds are appropriate. For long-term goals beyond three years, a diversified combination of hybrid/equity mutual funds, direct equities, and gold should be preferred. Do Sufficient SIPs Systematic Investment Plans (SIPs) are the backbone of disciplined investing. At least 25-30 percent of your in-hand monthly income should ideally be invested through SIPs in mutual funds, equities, and gold. This consistent approach will steadily build wealth over time. Make Lumpsum Investments Along with SIPs, voluntary lumpsum contributions into long-term assets whenever you have surplus funds can accelerate wealth creation. Even occasional lumpsum additions make a significant difference to the overall corpus. Increase Your SIPs Annually As your income increases, make sure your investments grow as well. Increasing your SIP amounts every year helps your wealth stay in line with inflation and your rising lifestyle needs. Increase your SIPs yearly and anchor them to at least 30 percent of your monthly income. Stay Invested Remain invested until your financial goals are achieved. Avoid redeeming investments unnecessarily. Frequent withdrawals disrupt compounding. If liquidity is required, consider taking an overdraft loan against your investments rather than breaking them prematurely. Health Insurance Safeguard your family with adequate health insurance. Opt for a minimum cover of 25 lakhs per family member with comprehensive features. Remember that relying only on employer-provided insurance is risky. Independent health insurance is essential. Term Life Insurance Protect your loved ones with a pure term life insurance policy. Ensure a cover of at least ten times your annual income, along with provisions for any outstanding loans. Stay away from mixing insurance with investments. A simple term plan is the most effective solution. Consult a Financial Advisor A full-time, well-qualified financial advisor can simplify your financial journey. Professional guidance ensures disciplined planning, correct product selection, and proper execution of your financial strategy. May this festive season bring abundance and lasting financial peace. (The author is a Chartered Accountant and CFA (USA). Financial Advisor. Views personal. He could be reached on 9833133605.)

High-stakes chess beneath the surface

Apr 30
3 min read
BJP Candidates coming out after filing their nomination for the upcoming Legislative Council Polls from Vidhan Bhavan in Mumbai on Thursday. Pic: Bhushan Koyande
BJP Candidates coming out after filing their nomination for the upcoming Legislative Council Polls from Vidhan Bhavan in Mumbai on Thursday. Pic: Bhushan Koyande

Mumbai: Typically, when a ruling coalition enjoys a formidable and comfortable majority, elections to the Rajya Sabha and the State Legislative Council are quiet, predictable affairs. They are often viewed as mere formalities, rarely capturing the public imagination or dominating front-page headlines. Historically, these indirect elections only become newsworthy under specific conditions: either the ruling coalition is plagued by internal fissures, or the opposition is too fragmented to put up a united front.


In Maharashtra, however, the political landscape remains highly volatile. Recently, the Rajya Sabha elections became the center of intense media scrutiny, and over the past week, the Legislative Council polls followed suit. Although all ten candidates—nine from the ruling alliance and one from the opposition Maha Vikas Aghadi (MVA)—are now set to be elected unopposed, the intricate backroom maneuvers that led to this truce kept the state’s political circles buzzing. Interestingly, the reason for this heightened news value can be traced to both a subtle tug-of-war within the ruling combine and a visibly weakened opposition.


Shifting Strategy

The maneuvering within the opposition ranks has been particularly telling. A major focal point of the election buildup was the anticipated candidacy of Shiv Sena (UBT) Chief Uddhav Thackeray. After generating considerable hype and speculation about a potential return to the legislature, Thackeray ultimately chose to withdraw from the electoral fray.


This sudden pullback forced a rapid recalibration within the MVA. Initially, the Congress party had adopted an aggressive posture, declaring its intention to field a candidate if Thackeray decided against contesting. However, following closed-door deliberations with Shiv Sena (UBT) leadership, the Congress quietly backed down. Why the state Congress leadership so readily acquiesced to this sudden change in strategy, sacrificing a potential seat, remains a mystery and a subject of intense debate among political observers.


On the other side of the aisle, the ruling Mahayuti coalition maximized this electoral opportunity to consolidate its political base, reward loyalists, and balance complex regional equations. The Nationalist Congress Party (NCP) strategically paved the way for the political rehabilitation of former Congress legislator Zishan Siddique by nominating him to the Legislative Council. This calculated move introduces a prominent new Muslim face for the party, likely intended to fill the leadership vacuum in Mumbai left by veteran leader Nawab Malik.


Meanwhile, Chief Minister Eknath Shinde used his nominations to send a definitive message about the premium he places on loyalty. By securing another term for Dr. Neelam Gorhe, Shinde demonstrated that those who stood by his faction would be adequately rewarded. Furthermore, by bringing Vidarbha strongman Bachchu Kadu into the fold, Shinde has attempted to anchor his party’s future and expand its footprint in a region predominantly controlled by his senior alliance partner, the BJP. The Bharatiya Janata Party, playing its characteristic long game, meticulously ensured that its list of six candidates struck the perfect organizational, social, and political balance.


Battle for LOP

Despite these broader alliance strategies, the most consequential nomination in this electoral cycle is arguably that of Ambadas Danve. Barely six months after completing his tenure in the Upper House and stepping down from the prestigious post of Leader of the Opposition in the Legislative Council, Danve has been nominated once again by the Shiv Sena (UBT). With his return to the house, there is a strong possibility that he will reclaim his former post.


This specific development highlights a much deeper crisis within the Congress. Following Danve’s brief retirement, the Congress had naturally emerged as the largest opposition party in the Upper House. This mathematical advantage theoretically paved the way for their Kolhapur strongman, Satej “Banti” Patil, to lay claim to the Leader of the Opposition’s chair. However, the sudden defection of Congress MLC Pradnya Satav, who switched loyalties to the BJP, severely dented the party’s numbers. Her departure brought the Congress’s strength in the house just below that of the Shiv Sena (UBT). Stripped of its numerical superiority overnight, the Congress was relegated to being a mute spectator, unable to assert its rightful claim.


Internal Dissent

This series of tactical defeats has triggered palpable frustration within the Congress’s state unit. One senior Congress leader, speaking on the condition of anonymity, expressed deep disappointment with the state leadership’s inability to protect the party’s interests. “Everyone has personal political ambitions, but leaders must learn the ways to collectively move ahead and strategize,” the leader remarked, attributing the party’s current stagnation in Maharashtra to this lack of cohesive vision.


In short, these Legislative Council elections have delivered one message loud and clear: even when everything appears calm and stable on the surface, the relentless machinery of politics continues to churn behind the scenes. No political player in Maharashtra can afford to rest assured or sit idle under the illusion that there are no major state elections until 2029.

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