17 Nov A Modi Like Financial Advisor
With Demonetisation, Narendra Modi took a bold step for the betterment of Indian economy, for the interest of the people of this great nation. He stopped the tap that was leaking black money into the economy.
The people loved the move. They could understand it’s long term impact on their future. The politicians too understood its long term impact on their future. Hence while the people quietly and with patience bore the brunt of the logistic challenge brought about by this move, the politicians cried foul and began instigating the people against the government.
They just wanted to spark an unrest, create a riot, make a mountain out of a molehill. But the people were now reasonably mature and could see through the dirty tricks of the politicians. People were now reasonably educated.
The instigations and provocations went on unabated. The filth of politics littered the streets.
But our PM, Narendra Modi stood amidst this steady and calm like the rock of Gibraltar. He was not willing to flinch and put his resolve down before these corrupt people who were demanding a roll back.
This situation that we are facing today reminds me of investors when faced with market volatility or a market correction. During such times, these people are influenced by undeducted peers advising them to stop their investment. They are influenced morning, noon and night. They are made to believe that investing is some kind of a gamble and that they will have to pay a huge price with their hard earned money. All sorts of dooms day pictures are produced before them. They are literally pushed by both people around them and also by their own lack of proper understanding to either redeem or to stop further investing when the times are indeed the best for investments. Lack of education leads to lack of conviction and probability of making a blunder.
These are the times when a good Financial Advisor has to act like Narendra Modi and prevent his investors from committing investment harakiri. These are the times when a good Financial Advisor has to show spunk and not get affected by his or her investor’s demand and other influences. It is easier said than done. But in this lies the magic secret that transforms an ordinary Financial Advisor into a Star Financial Advisor. Managing investor behaviour is at the core of a Financial Advisor’s profession.
And of course the more they educate their investors the better it will be for all Financial Advisors. Just like the people who are supporting the government, educated investors too would support the Financial Advisor’s decision and remain invested. Moreover educated investors would educate other investors and prevent redemptions to take place in periods of volatility.
Dharmendra Satapathy at NextLevel-Education