Financial Planning in India
India is among the world’s fastest-growing economies and holds a favourable credit rating in terms of investment funds. Traditionally, however, investments have been concentrated in perceived safe avenues such as gold, real estate, bank deposits, and similar options. But what value do these investments hold without proper planning? Only when investments are strategically made and managed through financial planning can they truly align with life goals, providing direction and focus to one’s portfolio. In India, though, the concept of financial planning is still at a relatively nascent stage.
According to a Standard & Poor's worldwide financial literacy survey, only 24% of Indians are economically savvy. It implies that 76% of our population in India is uninformed on financial literacy principles. There is also our unwavering belief in real estate and gold.
Individual investors struggle to believe in financial planning as a notion since it necessitates a long-term commitment on their part. The state has indeed established the National Centre for Financial Education (NCFE) to raise financial literacy across diverse segments of the public.
To summarise, financial planning guarantees that you have complete control over your finances, revenues, and responsibilities, as well as knowing exactly what you need to do in the event of an emergency. Thus, financial planning allows you to take command of your life and destiny.
