15 Apr FINANCIAL EDUCATION
How Financial Education has helped?
Education in personal finance is one of the most amazing tools for business growth.
It acts in the following way –
- The idea of education spreads from people to people provided you have expressed the content in an engaging manner
- It is never about burdening the mind with loads of content. Here more is always less. Even a few beautifully packaged examples is enough to bring a huge behavioral change people
- Finally as with investors one needs to have the patience for the movement to grow and spread. Once it reaches a threshold level the message becomes self perpetuating.
We see less redemption and more purchases in mutual funds when markets correct these days as compared to past because of continuous education efforts by fund houses at the behest of the regulator since the introduction of the education budget.
The effort has worked wonders because –
- Because of continuous education across the length and breadth of India. Spreading the message to large threshold number of investors
- Because of simple messaging like “mutual funds Sahi hai”. A small thing can make a huge difference.
- Because the message has reached a large number of people a little bit of people to people spreading of the message has started as well.