Engineer's Finance

Have you ever wondered what the root cause of your financial problems is? I guess the answer is “You” and “Your Laziness”. Most of the time it is the lack of discipline and the laziness to learn puts us in financial trouble. I have had a word with my friend and asked him why have you invested in LIC policy and the answer I was expecting was, “It made sense to me cause it had the benefits that I was looking for” and I got the answer as, “My mom asked me to invest in it and I did and also I get tax benefit out of it”. Continue reading →

As I had mentioned in my blog about the contest. Now is the time to announce the results.

I have decided to give only one price. The category is for Top Commentator. I thought the contest will bring in many visitors and I realized that I am so wrong. :-(.

The intention of the contest is to make the blog popular, but to be honest with you I have failed miserably. Though I have learnt good things from the contest. I have not met my objective. Continue reading →

I usually oppose the investments in mutual funds due to these reasons. Primarily, it being heavy fees and charges in the name of fund management, yet no guarantee of any sure shot returns. However, markets are large and millions and billions of market participants are still favoring mutual fund investments, without caring for high amount of mutual fund fee and administration charges. Continue reading →

Please Read Part I before reading this.

Another similar experience I had in Big Bazar. It was Saturday, and there was a lot of crowd in Big Bazar. Suddenly, a salesman rings a bell, and announces,” For exactly 1 hour from now, the shirts in this segment will be offered with Buy 2 get 2 Free offer. The offer will end in just 1 hour”. Immediately, people jumped into the shirts section. They were trying to locate the 4 shirts that they can buy – with a tension that they have only 1 hour to select and may be that the best shirts will not be available for long. All that happened was people ended up buying shirts that they didn’t really need, that too 4 of them. The price may have been discounted, but the sale of 4 shirts ensured that big bazaar managed to sell its products. Nothing but IMPULSE MARKETING. Continue reading →

Please read the Part 1, before reading the Part 2.

Rule no. 6: Don’t spend more than you make

I think this rule is very simple. I don’t think I need to explain this rule. Isn’t it self explanatory? If you spend more than your income you will be in trouble. Honestly most of us don’t really know how much we are spending and how much we are earning. The relationship between spending and earning is not very complex but the understanding that we have is not very clear. Continue reading →