Ashwin Gedam is vice president and head of global marketing at Xpress Money Services, a money transfer company founded in the United Kingdom in 1999 and now headquartered in Dubai. Born in Mumbai and raised in Pune, Mr Gedam, 44, has been with Xpress Money for three years, before which he spent more than seven years with ICICI in Mumbai.
How did your upbringing shape your attitude towards money?
I had a very modest upbringing in India. My dad became an entrepreneur around 50, quite late in life. Because he started late with three teenagers he wanted to ensure we had certain privileges, but we were never very extravagant. He provided school, college, everything we needed, but we were taught by our parents to appreciate what we had and the importance of hard work to achieve financial security.
How much did you get paid for your first job?
I finished my engineering degree in 1995 and picked up a job on campus for a mobile company, making about 4,000 rupees (Dh228) per month. I didn’t think of how low or high the salary was, I was just really excited to have an income and a sense of independence.
Are you a spender or saver?
I would call myself a wisespender/saver. First, I prioritise my savings and keep aside a certain amount of money. I’ve been doing that for 12 or 13 years and try to save 12 per cent to 15 per cent.
What is your most cherished purchase?
My first motorbike that I bought way after I started working. On my first wedding anniversary, I put down a down payment. It was a road bike racer – a Pulsar 180. A bike in Mumbai is one of the most important things because travelling is a nightmare. It allowed my wife and I to travel to and from work together.
Have you ever had a month where you feared you could not pay the bills?
Not really. The way I am as a person ever since I’ve had disposable income I’ve always planned ahead and put savings aside. Any high-ticket items like a house, a car are always pretty well planned.
Where do you save?
Two or three different “buckets”. The largest [share] goes to mutual funds, a long-term portfolio of balanced equity and debt and a set of insurance products covering liabilities. I look at it every three to four years and churn in terms of performance. I’ve been doing that for about 14 years or so.
Do you prefer paying by credit card or in cash?
I prefer paying by card, at least in Dubai. But I pay off 100 per cent on the due date. I worked with a bank in India for nearly eight years. I ran up credit and it is a hard lesson to learn.
What has been your best investment?
My first home would have been one of my best investments. I bought it in Pune, 200 kilometres from Mumbai. I always knew I was not going to live there, it was for the family. The real estate market was on the point of explosion in 2002 when I bought the house. I could now sell at 10 times what I paid, but more important is that it’s a place where the family can get together. Pune is a thriving hub for the auto industry.
What do you most regret spending money on?
I’m painfully effective as a planner, at the risk of sounding immodest. So I’m very careful about big and small purchases.
What financial advice would you offer your younger self?
Invest early, as soon as you get your first job and build up a savings base. It allows you a longer time to let the compounding aspect work. Another thing, when I was first in mutual funds I was a little skewed towards equity, so the balance wasn’t there. It was the aggression of youth.
Do you have a plan for the future?
In terms of investments, I would continue to diversify. I have focused on India mainly so I could look at more international funds to spread my investment exposure.
If you won Dh1 million, what would you do with it?
Pay off my loans and have a clean record. I don’t want to owe anyone any money. The balance would be for my daughters, ages 11 and five.
amcauley@thenational.ae
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