Financial Products for Wealthy (HNIs)

I am a great fan of Mr.Dhirendra Kumar, CEO of Valueresearchonline.com. Recently I received his Article “The Problem of Wealth” in my mail box. The Article is amazing. It is about the Savings & Investment products that are targeted at Wealthier Individuals (Now a Days They are called HNIs – High Net Worth Individuals).

Here is a paragraph from the Article.

The basic idea behind investments designed for the wealthy is that they feed the idea that they must go beyond simple things that gives returns and safety. Investments that simply provide a certain level of returns and a correspondingly high or low level of safety are for the unwashed masses. The wealthy must have something special which others don’t have. Their must be someone who will cater to their unique personal situation and then formulate a strategy tailor-made for each individual’s unique needs and then manage that strategy.

 

Actually, in the context of investments, the only thing different about the wealthy is that they have more wealth and so other people have more of an incentive to try and take some of it for themselves (the wealth, I mean). Obviously, this is best done by creating products and services that are supposed to do something extra. Unfortunately, way too many wealthy people either never discover this, or discover this too late. Here’s how to deal with it. Pretend to be unwealthy (I guess that may be hard, but give it a try). Remove a few zeros from your net worth and then see what you would have been advised. So if you are worth Rs 10 crore and need to invest 50 lakh, pretend to whoever is advising you that you are worth Rs 10 lakh and that you need to invest Rs 50,000. And then, go ahead and do with the 50 lakh whatever you are being told to do with th e 50,000.

Go ahead and give it a shot. You’ll have a better chance of getting sane and sensible advice and of making the better choice. And who knows, maybe it’ll work for cars and clothes too.

Isn’t the above is a great advise from Dhirendra Kumar? I Love to read the articles from Mr.Dhirendra Kumar. He is really great. What Do you Think about such a nice piece of advise?