Things to keep in mind
Its easy to be misled in the big bad world of personal finance.
Everyday I am bombarded with calls and messages to invest in “not so great” asset classes such as ULIPs and Endowment policies.
The reason is obvious, those are the kinds of products that make the most commissions for the seller. They help the people marketing them more than the people actually using them.
Often the most useful financial instruments are the most under-marketed. Think of passive index funds and why you see no ads for them.
Incentives are at play here, and that tells me that we should be very careful of such incentives before buying any financial products.
Seth Godin is a marketing genius and one of the best modern minds. He has been writing a daily blog for over a decade now. This 5 min post from his blog is more than 7 years old and is timeless advice on how to think about money.
He offers this advice in the context of twisted incentives in the financial world. Its a short list of points that help us understand money better.
Check it out —
Thinking about money | Seth Godin
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