Devdeep Guha is the marketing manager of the Dubai-based Al Najah Education, which runs schools and nurseries in the UAE. Despite being only five years into his career, the 28 year-old, from India, who moved to the UAE three years ago, has already learnt some valuable lessons about money.
How did your upbringing shape your attitude towards money?
I come from an upper-middle class family. My parents taught me to value money. From a very early age my mother used to tell me that a penny saved is a penny earned and to work hard towards achieving professional and personal goals. Morals, social values and education were held in high esteem.
How much did you get paid for your first job?
My first earning was a stipend for my business school summer internship. It was for the princely sum of 12,000 rupees (Dh646). I felt on top of the world. In my first job in Dubai in January 2013, I earned a monthly salary of Dh6,500. It was just sufficient for the month.
Are you a spender or saver?
At heart I am a saver, but I like to spend on fashion accessories, gadgets and gifts for my close ones. They have to move together. Spending without saving, or saving without spending, do not appeal to me. One must live well as well as create a financial buffer.
What is your most cherished purchase?
After acquiring my driving licence, I had to own a car. My first was a Honda Accord, which I still own and I love driving it around the UAE.
Have you ever had a month where you feared you could not pay the bills?
Yes. In my first two to three months in Dubai when I was trying to set myself up until I landed my first job. My move to Dubai was a leap of faith, but with some financial help from my parents and social support from a foster family in Dubai, I decided to give it a go.
How do you save your money?
Primarily in the bank via a savings deposit account, and then I like to route any extra through to other assets to invest as and when the opportunity arises.My goal is to make enough extra money to eventually invest in property, so I’m targeting investments that offer decent returns but are still fairly liquid, such as mutual funds.
What has been your best investment?
I have not saved enough so far to make any big investments. However, when it comes to smaller investments, I prefer investment plans consisting of mutual finds and systematic savings. I also invest small amounts in gold for my mother.
What do you most regret spending money on?
I invested Dh30,000 in a friend’s start-up venture. I wanted to start my own advertising firm and went into a partnership with him. We invested in primary infrastructure and promotional material, but my friend had to return to India due to a medical emergency involving his father. The lesson I learnt was that if you want to be involved in a start-up, you need enough financial muscle to see you through any potential hiccups.
What financial advice would you offer your younger self?
Whatever you earn, budget for your expenses and save a minimum amount – say, 10-15 per cent to create a buffer for uncertain times. Allocate savings in different investment channels to minimise risk. And start early – preferably with your first income. You will be stunned to realise the speed with which your savings grow.
Do you have a plan for the future?
I want to work hard and diligently in my profession. I am also keen to build financial security for other life goals. I plan to invest in bonds, property and to save a certain amount every month.
What would you raid your savings account for?
Nothing. These savings are being built for specific purposes like a house purchase and an entrepreneurship fund. But I do have a desire to complete further studies in an Ivy League institution.
mfahy@thenational.ae
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