The business school charlatans

Hi,

Musing #24

Like the regular feature of bomb blasts the financial markets have bombed once again. I read in the news paper about some people having committed suicide because they lost all their money due to this crash. Now my question is what is the difference between those ignorant terrorists who cause loss of life due to their physical destructive activities and these supposed to be financial experts who are no better than these terrorists by squandering away the hard earned money of gullible investors with their reckless financial wisdom and causing economic destruction. Mind you, all these supposed to be financial wizards pass out from premier business schools and are recruited by many of these financial institutions offering obscene salaries to them. During my six month stint in IIM-A as part of my company sponsored Management education programme, as part of interaction programme between the industry and practicing managers, I had occasions to interact with many of these students and I could find most of them only bothered about how they can land up with plum jobs and their learning from the course was only theoretical and they were very hollow. One of my bosses also happened to be a product of this institution and I found him to be totally hollow and lacking even basic human relationship skills. Basically all of them were lacking in that common commodity called common sense which was uncommon in these elite group. You look at all those business leaders like Kirloskars, Ambanis, Mittals, Bill gates, Narayan murthys,Birlas and Tatas, they never had an appendage of a business school degree after their name but they were the most successful business leaders and have created enormous wealth. Why leave out the often ridiculed our lalluji. he turned around the railways in a big way and he drove some gyan into the skull of these wizards at the famed business schools. But these charlatans who pass out from these fancy business schools have only been wealth destroyers than wealth creators. But still industry across the board want to pamper them as if they are the messiahs of prosperity. My advice to all of you who want invest their hard earned money is that do not put your money in the following,

1) Share markets

2) any mutual fund schemes

3) any private company's fixed deposits

My investment guide to you is, spread your investment across the following,

1) 40% of your savings in bank fixed deposits(nationalised) with short term investment where you are assured of 10% return and payment of monthly interest.

2) 30% of your savings in gold ( of course to be kept in locker)

3)30% of your savings in post office monthly investment plan.

As per the time old sayings" do not put all your eggs in one basket". Do not succumb to greed and invest in these mutual funds and other investment plans which are linked to the crazy sensex. Recklessness in sex and succumbing to those luring and enticing sex workers, can give you AIDS and similarly greediness about sensex and succumbing to those luring and enticing sensex specialists( they call them as financial experts in management parlance) can also give you a different kind of AIDS(Am in dire straits).

With sensex history keeps repeating itself, whether it is the great U.S.A. or the now supposed to be emerging economy like India. In the U.S.A. if it was the junk bonds then and the ridiculous scheme of sub prime mortgage now, in India it was market manipulators like Harshad mehta then and recently Ketan parikh. During my recent visit to the U.S., I happened to witness the tamasha at the wall street when the market was closing for the day. Skimpily clad girls who were supposed to be erstwhile Miss. America were shaking their booty because the market got bigger that day and this was being telecast live by Fox news.

I may be a conservative who believes in the dictum " A rupee saved( wisely) is a rupee earned".

But I'm happy with this policy of mine because of which I am not affected by these ups and downs of the sensex. The U.S. government is squandering tax payer's money to ride overe this economic crisis brought about by these charlatans who acted intemperately for a number of years in squandering the public money which was given to them in all faith and for which they were being paid obscene salaries.This is going to become only more and more disastrous due to the vicious cycle created by all these nincompoops.

mentor mohan