written by Jiyaa Bagla
Time and time again, we have heard that Diwali is the festival of light. Moreover, it signals the victory of light over darkness, but how does this correlate to the habitual extravagant spending carried out by every desi family?
According to folklore, The Hindu Goddess Lakshmi visits our homes during Diwali night and blesses us with prosperity and good fortune. Similarly, the Ramayana, one of the oldest Indian scriptures, contains various financial advice. These lessons supposedly help each family with steadfast financial prosperity, and wouldn’t be complete without the Goddess Lakshmi adding a bit of religious luck to our lives.
Stemming from a cherished atmosphere of learning, heritage and familial warmth- let’s begin with the famous story of Lord Ram. On the main day of Diwali, Lord Ram and Sita returned to Ayodhya after 14 entire years of exile in a forest. The people of Ayodhya lit diyas and celebrated the day with all the drama and flair, just like we do today.
Lord Ram was known to be one of the most beloved mythological figures, but what was it about him that his people loved so much? Let’s look at some Indian Philosophy: ‘Dharma’. It was our Lord’s rule of morality. It states that a person capable of leading a prosperous life must always be upright, responsible and disciplined. Applying this to personal finance, it is inevitable that the only way to ensure financial success is by saving wisely, investing smartly and spending with the utmost caution.
In lieu of Buddhism, wealth can make any man a slave- resulting in existential suffering.
Next, Ram Setu, or Rama’s Bridge, is a chain of natural limestone shoals between Sri Lanka and India. It is believed to be constructed by our Lord’s army of monkeys. Even though this geographical masterpiece is submerged, no ship can sail on it. Scientists have pondered and come to the shocking conclusion that it is a man-made structure. This structure symbolises what we need to do financially to provide our households with a solid framework for wealth creation and stability. Experts suggest that just like the Ram Setu, financial goals are not achieved overnight. It is a methodologically long process involving small steps to diversify investments across asset classes and to practise the art of saving and investing regularly. With the same logic, creating our own ‘Lakshman Rekha’ budget is vital. This line saved Sita from getting abducted, and this metaphorical line will save us from financial despair. An ideal asset allocation follows a ratio of 50:30:20 towards Equity:Debt:Gold. I think we just found the key to consistency.
Finally, I want to leave you with one last piece of advice: perceived financial notions around investment may appear “shiny”, but this shine can be everything BUT gold. Think of Maricha (the uncle of Ravan, the villain in mythological stories). Maricha disguised himself as a golden deer to abduct Sita, hoping the deceptive surface-level quality of wealth would enamour her. Eventually, she was, and Lord Ram was sent to fetch the deer. The moral of the story: not every investment opportunity is a golden deer. Being wise involves a plethora of research. Although, it wouldn’t hurt to find your own Vashisht- Lord Rama’s financial advisor.