Happy Holi! It’s that time of the year when the skies break out in a riot of colors and all and sundry forget their differences and come together to celebrate the festival of Holi. And just as you do that this year, we urge you to look beyond the festivities and soak up the unique money lessons that this wonderful festival of Holi teaches you.

As you gear up for the frolic and the feasts , we present here an added ‘bonus’. Happy Holi!

1. Time to banish the evil of bad debt
Holi is a celebration of the victory of good over evil that we celebrate by burning ‘Holika’. She was the wicked sister of the evil king Hiranyakashapu who wanted to kill his son Prahlad because he was a devotee of Lord Vishnu. Holika entered the fire with little Prahlad on her lap, with the intentions of killing him only to be burnt to cinders herself. Prahlad however, escaped unscathed. To commemorate this victory of Prahlad we light a bonfire each year, the day before Holi.

So, just as you clean out your homes and streets on the eve of Holi and rejoice in the burning of teh evil ‘Holika’, pledge to burn out the burden of bad debt that is impacting your Cibil score negatively as well. Make a list of all the things you can do to clean your portfolio and think of ways to repay your high cost debt first. Cleaning your portfolio maybe a tough task, but make a pledge to embark upon this journey this Holi if bad debts are weighing you down.

2. Diversify and prosper
Holi is also a festival that celebrates the onset of spring. This is the reason we bring out various colours of gulal or coloured powders that were originally extracted from flowers. Holi with just one colour would seem staid and boring. It’s the diverse colours that we smear on each other and look like spectacles ourselves that makes Holi so interesting and enjoyable!

The many colours of Holi that you use to play Holi can teach you the benefits of diversifying your portfolio. You may have heard earlier that it is never wise to put all your eggs in one basket when constructing your portfolio. The festival of Holi reiterates this maxim and teaches you to diversify your investments among various asset classes so as to minimize your risks and maximize your returns.

3. Reap the sweetness of wise investments
No Indian festival is complete without special recipes, mostly catering to the sweet tooth. Thus on Holi we have gujiyas, shakkar paare, phirnis and thandai. These Holi delicacies carry some special and sweet lessons too!

Since we are approaching the end of another financial year, take stock of the investments you have made. Unless you have gone horribly wrong this past year with your investments, chances are that you have made a neat kitty of gains! If that is the case, just as you reward yourself by indulging in some sweets this Holi, do give yourself a small reward by booking partial profits and perhaps buying that smartphone you have been eyeing or taking your family out on a long cherished vacation!

So, even as you enjoy the sweetness of Holi and its multi-hued wonders, do give a thought to these money lessons that this fest carries and celebrate in style.

Here’s wishing that the myriad colours of Holi makes your portfolio bloom in the year ahead! Happy Holi, folks!

By CreditVidya