Virtual Management Development Program at GL Bajaj Institute of Management & Research. PGDM Institute, Greater Noida
GL Bajaj Institute of Management & Research. PGDM Institute, Greater Noida organized Virtual Management Development Program on “Personal Financial Planning and Wealth Management” on Saturday, October 31, 2020 under the patronage of Mr. Pankaj Agarwal, Vice Chairman, GL Bajaj Educational Institutions.
The Key Resource Persons for the session were Mr. Rajiv Gupta, Business Head - Religare Broking Limited, Dr. Shuchita Singh, Associate Professor, GLBIMR and Mr. Harminder Garg, Founder & Chief Mentor-IIFC, CFP Coach, Authorized Education Provider of FPSB, U.S.
The session started with an invocation to Goddess Saraswati. Dr. Ajay Kumar, Director, GLBIMR addressed the participants and emphasized on the importance of personal financial planning and wealth management during uncertain times.
Mr. Rajiv Gupta started his deliberations on “Preferred Investment Instruments in Changing Scenario (Debt vs. Equity), Innovative Investment Instruments”. He shared that asset allocation into gold, equity & debt would be an effective strategy to achieve Personal Financial Planning. He shared that it’s very difficult to predict the market. He advised the participants to invest in precious metals like gold and silver and also discussed about ETF and Sovereign Gold Bonds. He also deliberated on the problem of liquidity in real estate investment and shared that Real Estate Investment Trust (REIT) would be helpful in the long run.
Dr. Shuchita Singh started deliberations on “Know Your Behavioral Biases-Making Better Investment Decisions”. She discussed Behavioral Finance and its various models such as Loss Aversion Tendency and Gambler's Fallacy. She further elaborated that emotions over rule the investment decisions. She also shared a questionnaire with the participants to understand their mindset and discussed their responses and its implications on investment.
Mr. Harminder Garg explained that the first step in financial planning was cash flows and its management. He also discussed the six dimensions of Personal Finance - Investment Goals, Tax Planning, Adequate Protection, Financial Position, Estate Planning and Retirement Planning. He suggested everyone to plan for future such as children's education, marriage, retirement, etc and advised them to save first and invest later as per their financial goals. He also discussed concepts such as R-Squared, Jensen Alpha, and Capital Asset Pricing Model during the session. He concluded that to judge the systematic and non-systematic risks, standard deviation was the best parameter. An elaborated case study was also discussed by Mr. Harminder Garg.
The MDP witnessed a total of 27 participants from Industry and Academia. All the faculty members of GLBIMR also attended the MDP. This MDP helped the participants to understand the process of financial planning, its components and their weightage in unique asset allocation. It also apprised them about the behavioral aspects of investing.