Here’s one of those stories that inspires us to do things differently. Not because of its grandeur – but because of its simplicity.
A common friend and client introduced me to Vishesh.
This friend knew that Vishesh had a well-paying corporate job. But there was a concern, a friendly worry, that Vishesh might splurge his hard-earned money on things he didn’t really need. So, our common friend played matchmaker and connected Vishesh and me.
And what a great match – I’ve been his financial advisor for over two decades now.
When we met, Vishesh had just scored his first hefty bonus, and his eyes were set on one thing – a stunning Golf GTI.
Balancing Dreams and Financial Security
Now, for the non-car-enthusiasts, the GTI is like a bridge between regular cars and high-end sports cars. It’s not your Ferrari, it’s the sweet spot for someone who isn’t Ferrari-ready yet, but still craves a taste of the sports car experience.
For the car enthusiast – it’s got that understated ‘Wow’ factor.
So, Vishesh was determined to make this dream a reality. He was on the verge of purchasing the GTI. I didn’t stop him.
Instead, we embarked on a financial journey, one that would allow him to own his dream car AND secure his financial future simultaneously.
Passion and Prudence
Here’s the plan we crafted together: Vishesh would use his hefty bonus as a down payment for the car and commit to paying a monthly car loan installment.
In addition, he would match that same amount of the monthly loan installment by investing it in a savings plan. It was a disciplined approach to fulfill his passion for cars while building a financial safety net.
Over the next five years, something incredible happened. Vishesh not only paid off the car but also put the same amount of money into a regular savings plan. While the car’s value depreciated by a significant 50% to 70%, his savings plan was on a completely different trajectory – it was steadily appreciating.
Vishesh saw, with passing time, that the car didn’t have to be the ultimate reward; it was the growing investment portfolio that became the real prize.
The experiences he wanted to and could create for his family with this growing pot of financial resources became the new reward.
Beyond the GTI: Vishesh’s growing portfolio
As he continued on this financial journey, Vishesh set up additional savings plans, harnessing the power of consistency and discipline. After clearing his car loan, he had an extra AED 2500 a month at his disposal, which he wisely invested in a second savings contract. His investment portfolio continued to flourish.
Another smart move? Using every single one of his bonuses to top up single premium or lump sum investment portfolios. This approach allowed him to stay within his budget, live comfortably, and grow his investment portfolio over the years.
As Vishesh’s financial goals evolved, so did his definition of rewards. He realized that the dream car he once desired represented a younger version of himself.
Today, his rewards are centered around experiences and a growing investment portfolio that offers financial security. In his mid-40s today, he’s amassed a net worth exceeding one million dollars, all while maintaining his executive career.
Vishesh’s journey reflects a shift in priorities – a ‘growing up’ almost.
He’s no longer chasing the thrill of a sports car; he’s racing toward self-sufficiency and financial freedom. The dream car was a milestone, an ‘itch’ that he needed to scratch back then, but the true achievement lies in his ability to replace his income with his investment portfolio.
I’ve never wanted to propagate this message of having to ‘save on your latte’ or ‘live frugally’, and Vishesh’s case is one that makes that point so well.
You can absolutely enjoy your dream car and simultaneously build a secure financial future.
It’s about balance, discipline, and rewarding yourself along the way. Vishesh’s journey is proof that with the right financial strategy, you can drive toward a future where your dreams become reality.
