In an interaction with Adlin Pertishya Jebaraj, Correspondent at Finance Outlook, Kuntal Bhansali, Founder of Fydaa, points out that, in the current volatile world, aggressive chasing of returns is not the true basis of wealth creation because being financially resilient is the actual key to building wealth. He emphasizes the significance of focusing on the emergency fund, disciplined investments, and goal-based planning to survive American inflation, uncertainty in employment, and market unpredictability. 

Kuntal Bhansali is a veteran in the field of financial services and the founder of Fydaa who has more than 20 years of experience in investment management, equity research, and fund management that is added to the wealth-tech ecosystem of India. His vision is the use of technology to increase fiduciary-led advisory in India, giving investors transparency, discipline and financial strength over the long term.

How is the current climate of inflation, market volatility, and job uncertainty reshaping the way individuals approach wealth creation and financial resilience?

Currently, financial resilience is no longer just a “good idea,” it’s the basis of smart wealth building. Financial resilience refers to the ability to handle sudden financial emergencies such as job loss, medical emergencies or market crashes without ruining your long-term plans. With the rising inflation, uncertain jobs, and global instability, securing your financial base matters way more than chasing high-returns and fast growth. 

In the last few years, events like pandemics, recessions, and geopolitical tensions have further proven the impact of financial shocks on many Indian families’ well-being. Therefore, it is crucial to build an emergency fund, especially in countries like India where people prefer safe savings but take sudden equity risks fueled by the desire for high-returns. 

How should individuals balance emergency savings with long term investing goals?

Build your emergency fund first!

An emergency fund is a short-term goal, which is also one the initial keys towards unlocking financial security. Hence, it is crucial to build it first. 

An emergency fund is roughly a sum of 3-6 months of your monthly expenses around 6-7 for volatile jobs or single earners. These funds are preferably made in high-yield savings accounts, liquid FDs, or arbitrage funds with easy access. 

Allocate surplus wisely: 

Once your essentials are covered, you can move 50-70% of your new savings to long term goals through investments in diversified funds with a target of 10-12% historical returns. However, continue to invest small amounts in your emergency fund because you never know when inflation will come and eat your hard earned savings! 

Bonus: Ensure to reassess quarterly turning shocks into opportunities!

What planning gaps mostly derail wealth creation for young professionals?

Despite the wide availability of access to financial planning, many young professionals fall for traps such as: 

Not creating an emergency buffer:

As we discussed earlier, in today's uncertainty, not building an emergency cushion can result in severe impacts on your financial well-being. A small shock can shake your financial standing. An emergency fund in this day and age is non-negotiable. 

Lifestyle inflation: 

With increasing salary, increases your expenses. It is tempting to upgrade your lifestyle with new devices, travel, fancy brunches and dinners. Amidst all this, your money disappears. Instead of investing 15-20% you end up living paycheck to paycheck once again!

Delayed or risky investing:

Some fall behind in starting investments, which reduces the advantage of compounding. Others invest randomly by taking risky stocks or staying only in traditional FD’s and gold, growing slowly. Without a clear plan and diversification, wealth becomes harder to achieve.

Also Read: Financial Planning Strategies for High-Growth Startups

How can continuous financial planning adapt to changing life stages and income patterns?

Continuous financial planning means you keep updating your money plan as life changes. A plan that worked in your 20s won’t fit the same way after marriage, kids, or a job switch, so small yearly check-ins help you stay on track.

In your early career, the focus is mostly on growth. After building an emergency fund, you can put more into equities through SIPs and also take term insurance for basic protection.

As you move into your 30s and 40s, goals become bigger and more real, like a home, kids’ education, and retirement. That’s when balancing your portfolio with safer options like debt, EPF, or NPS becomes important.

Any major income change should trigger an update too. If you get a hike or bonus, increase SIPs or reduce debt. If income drops, use emergency savings first and adjust investments temporarily. The idea is simple: your plan should evolve with you.

Also Read: Financial Planning for Product Engineering Startups

What is your long-term vision for the evolution of fiduciary-driven financial advisory in India as technology expands access to disciplined and goal-based investing?

While financial literacy teaches you the right things to do, such as budgeting, investing, and managing risk, it is important to understand that knowledge alone doesn't guarantee results. Real life decisions are made under the influence of emotions, habits, and daily lifestyle choices. 

Panicking during market falls, selling at the wrong time, or taking risky decisions fueled by desires are natural. People often also struggle with impulsive spending. These problems are hardly solved by theory. Many people understand the concept of investments and compounding and yet fail to start due to reluctance or not knowing where to begin. 

In such situations, discipline matters the most. This discipline can be practiced well under the guidance of a Registered Investment Adviser. RIAs work on providing advice for better financial outcomes of the client. Their primary focus is to convert goals into structured financial planning based on the client's timelines, risk capacity, and real world constraints, always prioritizing the client's interest. 

Online platforms, RIAs are now more accessible to anyone in the country, and making professional fiduciary-led financial planning inexpensive and available to all.