Amarnath is a Happy Kuverian. He works for a Dubai based brokerage and has extensive experience in commodities and currency trading. We spoke to Amarnath about his approach to financial planning and why he invests in Mutual Funds.
Emphasis and links are ours.
Please tell us about yourself, where did you grow up and your story?
I grew up in Ranchi, a small town in Eastern India. After completion of schooling in India, I did my Engineering and Management and have gone on to work in various organizations for over 15 years now. I am currently based in Dubai with a financial brokerage firm.
What is your approach to financial planning?
To be honest, I started financial planning a little late. I follow a quarterly approach, where I fix certain targets to save and invest. I use the quarterly review to also re-balance my portfolio and make changes as per my views of market outlook. Lastly, I make a conscious effort to not let the daily market chatter, that I am privy to as part of a brokerage, affect my long term investments.
How did you learn about Kuvera?
I am bullish on the long term prospects of the Indian equity markets and wanted a Direct Plan platform for my Mutual Fund investments. Kuvera fit the bill perfectly. As a consumer, commission free investing is a concept I can get behind easily.
How were you investing in Mutual Funds before? Did you know about Direct Plans before Kuvera?
I have been investing in Mutual funds off and on for quite some time primarily through the banking channel and fund houses. I was aware of Direct Plans but never really realized the quantum of difference that it could make. Also as an NRI the process to moving from regular to Direct was harder before Kuvera came along.
Why do you invest and why Mutual Funds?
Being from the financial services field, I am aware of the various asset classes for investment. However, professionally, I work more on commodities and currencies and do not really follow equities that well. Mutual Funds make a lot of sense, since I do not really have the time nor the knowledge to assess the equity market on a regular basis. Hence it is best to leave it to the experts for it. I try and focus more on index based funds that give me broad based risk exposure at the lowest cost.
What were the biggest problems that you have faced with investing and financial planning in India?
Being based outside India, it is hard to follow the Indian market very regularly. The information flow is not as efficient as I would want it to be. Further statutory regulations pose some issues if there isn’t proper understanding of the same. Finally having dealt with a few external financial planners , I have realized that they are more inclined to suggest products wherein their commission structure is high. The clients interests are not their primary concern since they are looking at maximizing their profits.
Can you describe your experience with Kuvera?
The team at Kuvera has been very helpful right from the start in terms of setting up the account, getting the required documents , planning and execution. I get regular updates from them and they are just a call / mail away from answering any queries however simple they may be.
What goals have you planned for?
Primary Goals include higher education for my son, retirement plans,
How did you choose which schemes to invest in?
I am a strong believer in the whole economy and hence like to invest in index products which take all stock and industries in consideration. Depending on my risk appetite and the market conditions, I would decide on large cap, mid cap or small cap companies. Then wherever possible I invest in index Mutual Funds capturing these characteristic, else I look at well diversified funds with longer histories.
Will you recommend Kuvera to your friends and colleagues?
Absolutely. They have been very helpful and transparent in the dealings with me.