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By:

Kaustubh Kale

10 September 2024 at 6:07:15 pm

Silent Money Killer: Loss of Buying Power

In personal finance, we often worry about losing money in the stock market, dislike the volatility associated with equities or mutual funds, or feel anxious about missing out on a hot investment tip. Yet the biggest threat to our wealth is far quieter and far more dangerous: loss of buying power. It is the invisible erosion of your money caused by inflation - a force that operates every single day, without pause, without headlines, and often without being noticed until it is too late....

Silent Money Killer: Loss of Buying Power

In personal finance, we often worry about losing money in the stock market, dislike the volatility associated with equities or mutual funds, or feel anxious about missing out on a hot investment tip. Yet the biggest threat to our wealth is far quieter and far more dangerous: loss of buying power. It is the invisible erosion of your money caused by inflation - a force that operates every single day, without pause, without headlines, and often without being noticed until it is too late.
Inflation does not take away your capital visibly. It does not reduce the number in your bank account. Instead, it reduces what that number can buy. A Rs 100 note today buys far less than what it did ten years ago. This gradual and relentless decline is what truly destroys long-term financial security. The real damage happens when people invest in financial products that earn less than 10 per cent returns, especially over long periods. India’s long-term inflation averages around 6 to 7 per cent. When you add lifestyle inflation - the rising cost of healthcare, education, housing, travel, and personal aspirations - your effective inflation rate is often much higher. So, if you are earning 5 to 8 per cent on your money, you are not growing your wealth. You are moving backward. This is why low-yield products, despite feeling safe, often end up becoming wealth destroyers. Your money appears protected, but its strength - its ability to buy goods, services, experiences, and opportunities - is weakening year after year. Fixed-income products like bank fixed deposits and recurring deposits are essential, but only for short-term goals within the next three years. Beyond that period, the returns simply do not keep pace with inflation. A few products are a financial mess - they are locked in for the long term with poor liquidity and still give less than 8 per cent returns, which creates major problems in your financial goals journey. To genuinely grow wealth, your investments must consistently outperform inflation and achieve more than 10 per cent returns. For long-term financial goals - whether 5, 10, or 20 years away - only a few asset classes have historically achieved this: Direct stocks Equities represent ownership in businesses. As companies grow their revenues and profits, shareholders participate in that growth. Over long horizons, equities remain one of the most reliable inflation-beating asset classes. Equity and hybrid mutual funds These funds offer equity-debt-gold diversification, professional management, and disciplined investment structures that are essential for long-term compounding. Gold Gold has been a time-tested hedge against inflation and periods of economic uncertainty. Ultimately, financial planning is not about protecting your principal. It is about protecting and enhancing your purchasing power. That is what funds your child’s education, your child’s marriage, your retirement lifestyle, and your long-term dreams. Inflation does not announce its arrival. It works silently. The only defense is intelligent asset allocation and a long-term investment mindset. Your money is supposed to work for you. Make sure it continues to do so - not just in numbers, but in real value. (The author is a Chartered Accountant and CFA (USA). Financial Advisor.Views personal. He could be reached on 9833133605.)

The Business Growth Secret Hiding in Your Story

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In today’s competitive world, business owners and professionals are constantly chasing growth, revenue, and new clients. Many believe that if their work is good enough, it will speak for itself. Others dismiss storytelling as unnecessary or even indulgent. After all, what does telling your story have to do with closing a deal or running a business? The answer, though often overlooked, is everything.


The greatest brands and leaders in history have understood that people remember stories more than products, logos, or job titles. Logos fade. Professions change. Industries evolve. What remains etched in memory is the story that someone told and the way it made us feel. Yet many business owners fail to recognize the power of this tool. Some feel they don’t have a story at all, that their business simply “started one day.”


Others underestimate its impact, believing that transactions are all that matter. What they fail to realize is that in a marketplace overflowing with choices, it is the human connection created through stories that makes someone choose you over another. I have seen this not only in global icons but also in my own journey.


My personal experiences, both struggles and successes, have become the foundation of my work. Sharing them openly has not only built trust but also made people connect with me at a deeper level. It is not about narrating a perfect tale; it is about revealing the human side behind the brand. And there is an art to it. The way a story is delivered can make it either fall flat or resonate so strongly that the listener feels as if it is also their own.


A good story is never just about you; it is about how your audience sees themselves in your journey. The irony is that the very business owners who dismiss storytelling as a distraction often complain about struggling to stand out or to attract loyal clients. They continue to focus on features, benefits, and pitches, unaware that these things are easily forgotten. What people truly carry with them is the emotional memory of an encounter — and stories are what create that. Without them, even the best brands risk being invisible.


The good news is that storytelling does not demand a dramatic rags-to-riches journey. It does not require exaggeration or a stage-worthy performance. Some of the most powerful stories are the simplest ones: the reason you chose your profession, the turning point that shaped your vision, the challenge you overcame that taught you resilience, or even the values that guide your everyday work. These are the narratives that breathe life into a personal brand, giving it both authenticity and relatability.


When people tell me they don’t have a story, I remind them that life itself is a series of stories. The problem is not the absence of one but the inability to see it. That is where the real work begins — uncovering those moments, shaping them, and then sharing them in a way that touches the people who matter to your growth. Done right, storytelling is not just a communication skill; it is a business strategy. It is the bridge that turns a transactional relationship into a long-term connection.


The truth is simple: people may forget your pitch, your designation, or even your company name. But they will not forget a story that made them pause, reflect, or feel understood. That story becomes the anchor of your personal brand, the reason someone remembers you long after the conversation ends, and the reason they come back or recommend you when opportunities arise.


For leaders, entrepreneurs, and professionals who have been putting storytelling aside, it is no longer optional. It is the missing link between where you are today and where you aspire to be. And if you believe you don’t know how to begin or what to share, that is exactly where I can help. Because your story is already within you — it only needs to be uncovered, shaped, and told with authenticity. If you’re ready to uncover and shape the story that will set you apart, I’d be delighted to help you craft it. Reach out, let’s connect, and together we can make sure your story is not just heard, but remembered.


LinkedIn: DivyaaAdvaani Instagram: @suaveu6 YouTube: @suaveu


(The author is a personal branding expert. She has clients from 14+ countries. Views personal.)

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