top of page

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 Ego Trap

ree

Have you ever met someone who seems to find offense in everything? You share an opinion, express a thought, or make a harmless observation — and suddenly, you’re walking on eggshells. On the other side are those who appear perfectly pleasant to your face, only to turn the conversation sour the moment you leave. These everyday dynamics, though subtle, shape reputations faster than we realize — and in the world of business, reputations are currency.


The ability to handle differences of opinion with grace and maturity is no longer just a sign of good upbringing — it’s a cornerstone of personal branding. In boardrooms and client meetings alike, people remember not only what we say, but how we make them feel. And while emotional sensitivity is a strength, taking everything personally can quietly chip away at one’s professional image.


When emotions overpower intent, even constructive feedback begins to sound like criticism. When ego outweighs empathy, relationships that could have been collaborations turn into silent competitions. In such moments, one’s personal brand — built carefully over years — can crack under the weight of misunderstanding.


True personal branding isn’t about being liked by everyone. It’s about earning quiet respect — through consistency, self-awareness, and authenticity. It’s about knowing that disagreement doesn’t equal disrespect. It’s the grace to stand firm in your values while still creating space for another’s perspective. Because in the long run, those who can manage their emotions manage their image.


I’ve seen this repeatedly while working with business owners and leaders across industries. The ones who thrive are not always the loudest or the most confident in the room. They’re often the ones who can turn discomfort into dialogue, who can listen without feeling threatened, and who can let their work — not their reactions — speak for them. They know that personal branding isn’t built on public perfection but on private refinement.


Think of it like this — a powerful brand is not one that avoids conflict, but one that rises above it with elegance. When people talk about you, the words they use — composed, professional, trustworthy, grounded — come from how you handle the unseen moments. The casual conversations, the unexpected criticism, the tough calls. That’s where your brand breathes.


In today’s hyper-connected world, where every meeting, message, or post becomes part of your digital footprint, self-mastery is your biggest asset. Because in business, you aren’t just selling a product or service — you’re selling trust. And trust is built in the micro-moments: how you react when things don’t go your way, how you carry yourself when no one’s watching, how you recover after a misunderstanding.


For founders, business owners, and C-suites, this is where the next phase of growth begins — not in strategy, but in self-awareness. A powerful personal brand attracts opportunities even when you’re not looking for them. It opens doors not through force, but through presence. And it transforms not just how the world sees you, but how you see yourself.


If you’re ready to build that version of yourself — one that commands respect without demanding it — I invite you to be part of my Signature Personal Branding Program commencing on 24th October 2025. Designed exclusively for business owners, founders, and senior leaders,


it’s a limited-seat experience that goes beyond image to impact — helping you master the art of being seen, heard, and remembered for all the right reasons.


Because the strongest personal brands aren’t built in perfection — they’re built in grace. Are you also someone looking to build a graceful personal brand one that creates a legacy for you? I’m just a click away. Book a free consultation call with me on the link provided below and get yourself enrolled for my upcoming batch where you shall meet like-minded leaders and share experiences while making connections.


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

Comments

bottom of page