How Kennedy mastered money and built a secure future
At just 23, Indian expatriate Zara Kennedy is the main breadwinner in her family after losing her father in 2020. Her mother has been in remission from cancer since 2017 and is now being financially supported by Zara ever since she began her career in October 2022 as a PR executive.
She has been in Dubai since August 2022. The challenge has led to her cultivating the habit of investing her savings to have both active and passive incomes allowing her mother to retire.
What’s the one word you’d use to describe money?
Liberating.
If you had to write a letter to money, what would you say?
Dear money, I love how you support me in all my endeavours. You always make sure I’m warm, fed, and well-provided for. You have shown me the value in saving and not spending, you have helped me define the difference between a want and a need. And although, you’re a tease, you’ve taught me to be prudent.
How would you describe your relationship to money?
Money relationships at either end of the spectrum are generally detrimental, so I have found a healthy balance. I would describe my relationship with money as “secure”, wherein my acquisition, spending, and management habits do not cause financial difficulties, and I’m reasonably content with the relationship.
How do you think this relationship was formed?
Much of my relationship with money has been imbibed from my parents’ relationship with money. For instance, my parent’s research proved that it was more economically viable to rent houses rather than buying them, if not for an investment. I’ve also learnt the value of diversifying my accounts from my mother who frequently invested in commodities, mutual funds and high yield saving accounts.
Who do you speak to about money matters? Is it something you consider ‘taboo’?
I love to talk about money and ask people about their money habits and money psychology. It’s a conversational essential that I have discussed with most of my friends and family, and I have learned a great deal from.
Who has taught you the most about financial management?
While I have learnt a great deal from my parents, I have learnt a plethora of useful tips and money philosophies from the books of Morgan Housel, Benjamin Graham, Josh Kaufman, Napoleon Hill, Burton Malkiel, Dave Ramsey, Robert Kiyosaki and Michael LeBoeuf (probably one of the most insightful is Bogleheads’ Guide to Investing) to name a few. I also enjoy personal finance podcasts, The Ramsey Show being one of my favourites. Living in the UAE, I also tune in to the ARN Business Breakfast show every morning during my drive to work.
What do you think has been the most profound experience you’ve had so far in relation to money?
Having health insurances and emergency savings are probably the biggest money habits I have learnt over time. When my mother was diagnosed with cancer, our emergency reserves supported her treatment without us having to take any loans. This nurtured the habit of always being future ready and hence I began my investment journey as soon as I received my very first pay cheque at the age of 21. Having passive income and learning to negotiate salaries and promotions can also make a difference in increasing savings every month.
How do you think living in the UAE has changed your relationship with and perception of money/wealth?
Having begun my career in the UAE with my first job here, I started researching the best investment options for me. I prioritised maxing out my emergency fund and distributing my funds into various local and international investment options such as equities, commodities and treasuries. I opened my brokerage account in the UAE and taught myself trading and money markets within the first year to ensure that I learned how to make my money work for me.
If you could give your child or your younger self one piece of advice about money, what would that be and why?
I would advise my younger self to start saving and investing as soon as possible, to keep debt to a minimum and to pay it off as a priority if ever in that situation. Planning for the future in advance and starting a retirement fund, marriage fund, home fund and most importantly an emergency fund is crucial. Lastly, investing in money markets, health, wellness and oneself is the best insurance one can possess.
ALSO READ: