Whenever I open my Mailbox, it is stuffed with advertisements asking me to invest money on financial products from banks, investment companies, and credit or credit card firms. The disclosures would need an MBA to interpret; and the majority of them are capitalized within a decade or longer. To create enticement To follow their guidance, a number of these companies provide free seminars, dinners, or brochures to gain your confidence and access to your wallet. Given all the frequently conflicting and obtuse info, how can the average businessman or woman decide on the most profitable ways to invest money in today’s business marketplace?
Take note that most of These Kuran Malhotra financial literacy seminars, etc. do not work and the patrons know it. They also know that an informed investor is often a less profitable one. Consider It. It is a rather naive thought that these financial literacy 101 seminars will make a state of empowered consumers who will always make intelligent decisions, spend money wisely, and be able to find the inherent misuse of the system. The banks know this and counts on people getting over-confident and them accepting risks that the banks would not make or be permitted to make.
Why? These programs are supposed to enhance your self-confidence and cause you to think you realize the financial industry. The truth is the majority of those conferences only tells one side of this story and completely ignores the disadvantage of the investments.
If you were really Going to make an educated choice, you would have to understand not just the terminology and the arithmetic calculations, but have excellent comprehension of probabilities, fractions and percentages. You would also have to be able to correctly predict the future. Crystal balls anyone?!
Business entrepreneurs Do need decent business savvy and financial literacy; or a coach with these abilities. If they have taken time to do the study, they will see that spending money on their own chance makes a lot more sense than investing in a market where payouts are less than 1 percent for savings accounts and CD’s and the commodities and stock market continue to be a fairly unregulated and volatile mess.
The financial literacy You actually need is how to capitalize your own business, the way to drive more visitors to your door or chance, and ways to boost your profits, and reduce your tax implications. When you Choose to spend Money on those things and to really understand your market, competition, and The growth potential of your niche market, you will have achieved real and practical financial literacy.
Categories: Business
