A workshop on Mutual Fund Investment in my college days made me review my own upbringing and that of most of the boys and girls who were raised to be useless in most money management department except in dressing up and trying to get a job and ultimately being a part Rat Race. Generally a few of boys being from a commerce background either at schools or from having a family business ground do a bit better. But, most of the girls, mostly in service class and from orthodox family brought up without money management basic, and they has to learn as they went along.
All that Indian boys and girls have to always do homework, sports, sit with tutor and pass exams, watch TV and finally get a job. Ironically, no one find out the correct Income need at that age, cost of their future dreams without chasing them blindly, how inflation is eating their liquid money, how spending money is far better then to save it in bank accounts at mere 4% rate of interest. Don’t you think it should be a part of curriculum activities of metric school book.
I wish, back in the day, that in addition of Kenyan’s and Einstein’s tradition theory my school would have introduced me with the real example like how Warren Buffet made his first investment of $ 25 at the mere age of 14, when children in India usually were struggling with Algebra and Trigonometry, and he multiplied it to $ 62 billion at the age of 78 in 2008, becoming the richest person in the world. Instead of wasting our summer holidays at Nani-Dadi’s house or at some hill stations or engaging in some embroidery or other hobby classes, isn’t it time to teach the teenagers about the real money management and value of hard earned money in today’s rapid race of life. Only 4% of India invest in Mutual Fund industry whereas the country of where the most of the reaches of world has raised this percentage till 60’s.
It is my question to education system, that why not our NCERT books teach about power of compound interest in a different way. Instead of calculating compound interest on payment of loans, why don’t it includes even a single illustration that how compound interest can even multiply your money. Why don’t compound interest in mathematics books be clubbed with Mutual Funds SIP, that even a mere sum of Rs. 500 per month out of your pocket can give a wealth of more than Rs. 1 crore at the age of 55 the only condition that you have to start it first day of your college. Surprised, How is it possible for a college student to save even Rs. 500 per month. Oh come on! it is a nothing just an excuse to escape from future responsibilities. Skip 1 Domino’s Pizza per month and put that money in to a SIP in equity linked mutual fund for you retirement.
I am not criticizing my education system but I urge not to make 6 figure Multi National Company Salaried Job it’s sole objective, we need to take it easy, backbone of our Indian Education System need some relaxation and practical training to student to train them fighting against inflation, so that they can make a balance between whatever are they earning and future dreams they want to fulfill. Indian Schools, especially Government school need to include some practical financially skilled syllabus to build a skilled India