A monk was passing by from a village and started a conversation with a merchant-
Merchant- What do you have that you can offer to others? You are just a beggar.
Monk- Everyone has something to offer. A soldier gives strength. A teacher gives knowledge. King gives security and justice. I do have something to give.
Merchant- And what is that?
Monk- I can think
I Can wait
I can fast
Merchant was not impressed. He said I can still grant the first two qualities but what on earth a fast could provide value?
Monk- Oh fast is very valuable. When I have no food, I don’t get desperate. I in fact laugh it off. I don’t need to compromise on my values, I don’t need to do things which are against my soul and I don’t envy people who are eating well.
Now, let’s convert these beautiful teachings in the world of Investments-
I can think- Do proper financial planning before embarking on investments. Articulate your financial goals, understand your risk tolerance, be aware about your income-expenses and optimise your savings. After that, do the proper analysis of the risk-return equation of every investment avenue. After all that due diligence only, you should start your investments.
I can wait- Investments, especially equities, are prone to market risk. Almost every investor who is investing for the long term has seen the market crashed up to 50-70%. In every likelihood this will continue. So the investors must be ready for such eventualities as these are bound to come. Remember the virtue of waiting. Every tough time passes however long it may seem. Patience is vital in every field of life but in investments, it is almost like a panacea.
I can fast- You will encounter difficulties in life, your job and business may face uncertainties, you may encounter some unexpected circumstances. Sometimes, seemingly smooth life faces huge hurdles. Income falters, health issues come up, relationship sours. A person not prepared for such “Fasting” days will start complaining, immobilized and even collapse.
If we talk in financial terms, sometimes you have to compromise on your lifestyles, cut lavish expenses and live on a bare minimum income.
People who are ready to fast, enjoy such phases as much as the normal phase of life. They laugh at what others consider a punishing period.
They happily cut down their expenses, relish the frugality and enjoy the learnings. They don’t need to compromise on their values and principles, continue doing things which are close to their heart and don’t get jealous seeing others minting money.
Are they deprived of abundance? No, they are already abundant.
With these three qualities, eventually you will acquire all that you want.
Manoj Pandey
CFP
