Finance in Politics or Politics in Finance?

Of course, finance can be taught as a subject in schools, colleges, universities, b-schools, and via courses. It can be learned as a part of a curriculum. But that’s not the only way to do it right. You can understand it better by observing day-to-day actions and activities, and by analyzing what’s happening around you.  

Finance lessons are everywhere from Geeta to Bollywood to Cricket to Politics.

Let’s have a look at Maharashtra news for an instance. Just two days back, Bharatiya Janata Party trumped the MVA government in Legislative Council polls. Bravo Maharashtra State Government! Not for losing the election but for making great news and nuisance despite not winning the poll. And the entire credit for this popular event goes to Sena minister Eknath Shinde and his group of MLAs who managed to elope faster than a bride in her own wedding only to be stationed at Surat in Gujarat to display their rebellion against their own party. This is a big question mark on the statement government and an alarming situation as far as the stability is concerned.

Enough! We aren’t getting on the highway to hell anymore discussing politics. Let’s place all the pieces of this game to understand our investment better. NDA or BJP is Sukhanidhi’s elite equity portfolio. Winning, unconquered, strong, consistent, and superior. On the other hand, we have a declining equity portfolio similar to the MVA government. Weak stocks like DLF, Yes bank, Reliance Power, Paytm, Zomato, and LIC can change the roles with Eknath Shinde and his group of MLA that do nothing productive but belittle the performance of the MVA portfolio. 

Woohoo! Quite an analogy. Our finance advice for the day says to stop relying your future on inconsistent governments and portfolios and make the right and decisive choice to choose the best from the available options. 

The best way to invest is to display big-fatih in long-term quality stocks that have been long in the market, offering consistently superior results, and are fundamentally very strong. Be it their business model, their economic moat or their proficient management.  Quality never goes out of style. It is always in fashion. 200 years past now or 20 years from now. As the veteran investor Warren Buffet quotes, “Buy a stock, not for selling it but for keeping it. As the veteran investor Warren Buffet quotes, “Buy a stock, not for selling it but for keeping it.”