Jamnashtami 2020 : Investment guidance from Lord Krishna’s tactics used in Kurukshetra

 

On the occasion of this Janmashtami, the festival celebrating the birth of Krishna, let us learn some lesson that will help you manage your money properly and achieve main goals.


One of the most revered characters of the epic Mahabharata is Lord Krishna.Surprisingly cunning and very famous personality, he played a decisive role in the battle of Kurukshetra, foughtt in favor of the Pandavas as to established dharma.


If viewed closely, there are many similarities between the investment and the strategy devised by Lord Krishna in the 18-day long battle. On the occasion of Janmashtami, the festival celebrating the birth of Krishna, let us learn some lesson that will help you manage your money properly and address the main goals.



1. Should have goal


Throughout the war, Krishna did not allow the Pandavas to lose sight of their goal, which was to conquer the iniquity represented by the Kauravas. And often, he reminded them not to lose sight of their purpose in establishing DHARMA by winning the war at any cost.


Likewise, you need to have a holistic picture of your financial goals and invest accordingly. A goal-oriented investment approach helps you choose the right tools and make sure you have the necessary funds when needed.


For example, if you intend to build a corpus for retirement, your portfolio needs equity exposure because they have the potential to deliver inflation-indexed returns in the long run. Since equities are volatile in the short term, you must invest for long distances. Similarly, to create an emergency corpus, Liquid Fund is your best bet, which not only offers better returns than a bank savings account, but can also be easily accessed when needed.



2. Avoid emotions from investing


Before the start of the Kurukshetra war, Arjuna was overwhelmed by the refusal to fight his loved ones, including his grandfather (Bhisma) and Guru (Dronacharya). To help remove it, Krishna recited several verses, which later became known as the Bhagavad Gita.


If Krishna had not been able to help his friend at that time, Arjuna would not have taken part in the battle, thus giving a big shock to the Pandavas. For the same reason, it is important to avoid emotions from investments, to achieve individual financial independence and to consider the main goals. For example, Recently there is short-term volatility in market due to covide-19 pandemic, So it is important to be patient and not exit the market. 



3. Change strategy if require


The infamous event of the Battle of Kurukshetra took place at a time when Yudhisthira, the great Pandava, had spoken the half-truth of the death of Ashvathama, which caused Dronacharya to lay down his arms and then fall.It was Krishna who originally conspired to do this, as he knew that the only way out when Drona was unarmed would be by hearing the news of the death of his son Ashvathma. Although Krishna always advocated the path of truth, he changed his attitude on this occasion.


Investments should have same approach. For example, when saving for long-term goals such as children's higher education, investing in the tools that offer guaranteed returns. Also, when you get close to a goal, You should shift your investments from equities to debt to prevent a sinking in the accumulated corpus due to market changes.



4. Avoid Risk


While Arjuna and Karna were warriors of similar prowess, the karna has the divine weapon of Lord Indra, to which arjuna had no answer. This is why Krishna shielded Arjuna away from Karna for a long time. When karna used this weapon on Ghatotkacha, which ensured  complete safety of arjuna.


Not different from investment strategies. It is important to avoid unwarranted risks and bring your portfolio into volatility. For example, Small caps funds have ability to deliver superior return to large and mid cap fund but keep in mind that small cap funds are more risky then large and mid cap fund.


Hence, you should  invest in small cap fund only when you are capable of take high risk and ready to bear loss if circumtances aries. Also, when you have goal based investment approach you should look for protection rather then high return. 



Conclusion 


Clearly, there is a decisive lesson in investing in the schemes devised by Krishna in the epic war. Following them will help you manage your finances and make sure you are free from every goal in life. At the same time, it enables you to create a legacy for the future.

Post a Comment

Post a Comment (0)

Previous Post Next Post