Money is like Dettol that kills 99.99% of the problems,

In today’s complex and dynamic economic climate, being financially literate is paramount. Financial literacy empowers individuals to make informed and responsible decisions about their money, investments and financial planning.

Pratham Changoiwara Shahid Bhagat Singh University professor says mint genie In interviews, he says one of his top priorities when spending money is investing in experiences that broaden his horizons and provide opportunities for self-development.

An active participant in college circles such as the Entrepreneurship Cell and TEDx, Pratham’s true passion for finance extends beyond just his field of study. Mr. Pratham has already achieved notable milestones such as becoming the youngest speaker shareholder at HDFC Bank’s 29th Annual General Meeting of Shareholders and he was selected as a delegate at Harvard University’s esteemed conference HPAIR’23. I’m here.

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what is money to you Is it the most important factor in your life decisions, such as what to study or what career to choose?

For me, money acts as a tool that fulfills most of my wants and desires. My goal with money is to be financially free from it at a young age.

I once heard a quote that had a big impact on my life. “Money is like a deal that solves 99.99% of his problems.” I’m here. But that’s not all. There are other factors as well.

Schools and colleges don’t teach much about money and financial literacy, so I started learning about personal finance and the stock market in class 11 and have been studying ever since. I would like to continue studying in the future.

In conclusion, money is just a means of escaping the matrix.

What do you spend your money on each month now? Can you give me a percentage split?

As an outstation student, a significant portion of my money (60%) goes to cover daily necessities such as rent, food, bills, and laundry. These costs are essential to maintaining a comfortable and functional living situation.

About 10% of my money is allotted for unplanned outings and trying out new experiences with friends. Exploring new things and spending quality time with friends are important to me and I believe these experiences contribute to personal growth and well-being.

I allocate 10% of my money towards activities and purchases that bring me happiness and improve my lifestyle. This includes buying gadgets, clothes, books, and trying new dishes. These expenses contribute to my overall well-being and allow me to enjoy life to the fullest.

I make it a priority to save 20% of my money and invest it. Building financial security and planning for the future are essential, and investing is a way for me to increase my savings and work towards achieving my long-term goals.

What do you want to spend your money on?

When spending money, one of my top priorities is to invest in experiences that broaden my horizons and provide opportunities for self-development. Another thing I like to spend time on is traveling to new destinations.

Exploring new destinations allows you to immerse yourself in different cultures, meet diverse people and broaden your horizons. At the end of the day, I want to spend my money on things that directly contribute to my happiness and happiness. This could include pursuing hobbies that bring me joy, maintaining a healthy lifestyle, etc.

Are you saving money? If yes, how often and what do you do with that money?

Yes, I definitely prioritize saving money. As I mentioned earlier, I set aside 20% of my monthly budget for savings. This discipline will help you build a strong financial foundation and work towards your future goals.

When it comes to what I do with the money I save, I take a systematic approach. I have invested in two SIPs (systematic investment plans). One is invested in a small-cap fund and the other in a flexi-cap fund.

In addition, I have received a scholarship through an internship, so I try to use part of it for investment. I invested it in Indian stocks and a small amount in US stocks as well.

What does having a job mean to you? What are the top two factors to consider when deciding which company to work for?

For me, work is a source of financial security, it provides a means to sustain my lifestyle, invest in my future, and fulfill my various aspirations. It is also a place for personal growth and exploration, where you can continually learn, develop new skills, and align your work with broader life goals.

There are two factors that are most important to me when evaluating a company to work for. My first thought is whether I really enjoy and find meaning in the work I am about to do. A job that aligns with my interests and passions not only makes the job itself more fulfilling, but also contributes to my overall job satisfaction and well-being.

Another important factor is continuous learning and personal growth opportunities. I believe that stagnation is counterproductive and that work should provide opportunities to expand one’s skill set, acquire new knowledge and evolve professionally.

How do you feel about investing money? If you have some money set aside, would you invest it in the stock market, mutual funds, or just keep it in your bank savings account?

We believe that when it comes to investing money, you should adopt a structured and informed approach that aligns with both your financial goals and risk tolerance.

I follow a financial rule called the “100 minus age” rule. This rule suggests that an investor’s portfolio should consist of 100 minus age surplus funds in equities and the rest in liabilities. However, I use a modified version of this rule. I’m 20, so I invest his 80% (100-20) of my savings in stocks and keep the remaining 20% ​​of his in a bank account for future needs.

The equities portion adheres to a structured distribution using the “50-30-20 rule”. The traditional version of this rule assigns 50% to needs, 30% to wants, and 20% to savings, but I’ve adjusted it to fit my investment preferences.

Specifically, we invest 50% in Indian stocks, 30% in mutual funds, and the remaining 20% ​​in FAANG US stocks. This diversification strategy allows you to diversify your investments across different markets and asset classes, potentially maximizing returns while reducing overall risk.

Do you think you understand how to save and invest? If yes, how did you learn? If not, are you trying to learn?

Indeed, I have developed a deep understanding of both saving and investing. We are often encouraged to save money from a young age, but unfortunately we do not have the same level of education in how to invest wisely.

Fueled by my passion for personal finance, I started learning about these concepts at an early age. By self-studying, I have acquired knowledge about different aspects of saving and investing. We have drawn on a wide range of resources to expand our understanding. These include YouTube channels, newsletters, Instagram reels and pages, LinkedIn posts, and financial books.

I believe that learning is a lifelong process, especially in the field of finance, where markets and strategies can evolve rapidly. As such, I continually strive to expand my knowledge and stay abreast of the latest trends and insights in the financial industry.

Do you follow social media influencers and follow their investment advice?

Yes, I follow several social media influencers who share investment advice and insights. But I approach their advice with a balanced perspective. Influencers provide valuable information and ideas, but I don’t blindly follow their recommendations. Instead, I take a cautious approach and conduct my own due diligence and research before implementing any investment strategy they suggest.

It is important to recognize that investment decisions should be made based on various factors such as personal financial goals, risk tolerance and market conditions. What works for one person may not be optimal for another, given individual circumstances and aspirations.

As I said earlier, I follow certain financial rules. However, I customize these rules to my specific goals and risk appetite. This customized approach helps me create a balanced investment portfolio that reflects my unique circumstances.

Do you talk to your mom or dad about money and learn from them or follow their advice?

Yes, I discuss money and financial issues with my parents. However, our perspectives on investing are somewhat different. My parents tend to lean toward traditional investment options such as Term Deposits (FD) and Term Deposits (RD) which are considered safer options. While these options certainly have their merits, I’ve expanded my understanding to include a wider range of investment possibilities.

I take the lead in introducing parents to new investment options and sharing my knowledge of different approaches to managing a home. Discusses the concept of diversification, risk management, and the potential benefits of investing in stocks, mutual funds, and other investment vehicles.

Through open discussion and insight sharing, I aim to bridge the gap between traditional and modern investment strategies. While I respect their perspective, I want to make sure we are exploring a holistic approach to financial management that considers both security and growth potential.