Social Stock Excange (SSE) to promote Corporate Social Responsibility (CSR)

“Increase shareholders value” is one line that I have seen in all the presentations by the top management. Wealth creation for those who have invested in the company is definitely an important task to be achieved. And stock exchanges like BSE, NSE are doing a great job in linking the companies performance to the market forces.

However I feel objective of any commercial activity should result into development society and mankind.

Urgent need to have Social Stock Exchange (SSE) on which various companies to be listed on the basis of social responsibility performance. Since all the companies are using the resources from the society they must work towards giving back a part of the wealth as this will result in the welfare of the society.

Listing of various companies on the SSE to be made mandatory and points to be given on the basis of various parameters. Identifying and allocating points to these parameters should be left to an expert committee. Example :

1) Employment is getting generated due to commercial activity and this should qualify an organization earn points on the Social Stock Exchange (SSE). Say, companies will earn One point on SSE for every 500 employees on company’s payroll.
2) Likewise nature of the business should make them eligible to earn few points like Dr Reddy Lab to be allocated a 50 points for its efforts in developing the drugs for the treatment of Diabetics. At the same time organization engaged in Tobacco or liquor business get minus 50 points on SSE. …. so on

This Social Stock exchange to be aggressively promoted. And Two prong strategy will work:

Strategy 1:Government should encourage the companies to score High of the SSE by formation of Corporate Sabha (other two being Lok sabha & Rajya sabha) . Member ship to these should be on the basis rating on this social Index . Undoubtedly Ratan Tata will chair this corporate sabha they have done massive social work keeping low decimal level .

Strategy 2: A brilliant campaign to be run by all the media companies together. This campaign should create a perception ( which is a reality ) among the common man that companies high on SSE are of different class.

Such initiatives will shift the attention of corporate from wealth creation to wealth distribution

OLD under JOLT

The saying "OLD IS GOLD" doesn't seem to be holding true for senior citizens .

At one end the buying capacity is reducing due price rise and at the other end senior citizens have no source of extra income. Govt may claim the inflation is under control by publishing statics but reality seems different . I remember couple of year back groundnut oil which was available for less than Rs 45/ litre. Today its costing Rs 90plus . Imagine what must be happening to the retired people who have fixed income .

My study reveal that on an average the saving of the retired people is approximately between 15-20 lacs (max.) plus a BIG house in prime location . They are living on interest income generated from this saving which are mostly in Postal MIS , PPF , PF and Bank deposit /fixed maturity plans . This income has dropped significantly due to drop in interest in bank deposit from 14% to less than 9 % today ( longer tenure ). Same is with other saving instruments like PF , PPF , Postal scheme MIS etc

Few additions to the problems of senior citizens are :
- Families are becoming nuclear or settled abroad. FMC(Fast Moving Couples ) have no time for parents .No emotional support available to seniors .
- Representatives from Broking/ Investment firms misguiding the seniors .
-Insurance Companies are insuring those who are healthy ... and so on

Objective is not to scare you but to reinforce the concept of "Retirement Planning " while you are young . Must start the retirement planning today and make your retired life safe . Few actioanbles are :
1) Invest in term plan for maximum tenure
2) Go for critical illness plan upto 20lakhs with maximum tenure as this will protect you against any major expenses
3) Take a mediclaim policy for yourself and wife
4) Ensure that you have auto renewal instruction for all insurance cover .
5) Invest in direct equity and Mutual funds . Hire the services of a good experienced wealth manager. Pls ! Pls !! Pls !!! donot judge them on external appearance /gadgets they carry . Beware of advisors ( not all ) of the private banks . Remember its your hard earned MONEY . JUST GO FOR CONTENT . Even a ordinary looking old fastioned LIC agent can can give EXTRA ORDINARY inputs .
6) Invest in real estate ( 2nd home ) at the locations you are able to visit at least once in month comfortably or you have someone to take care of the property. No point investing in chennai when plan to settle down in Mumbai.
7) Avoid shifting jobs after 35 age . If you plan to settle down at Pune than take-up an assignment in the same city . You may lose on monetary front as immediate impact but in long term you will definetly benefit . As will you have lots of local contacts by the time you retire which money cannot buy.
8) Be member of local clubs or association .You can even actively participate in local event like GaneshMahothsav. This again will help you develop contact .
9) Identify local NGO’s and keep participating/helping them . Once you retire you will realise that you have a place spend your free time which is also valued
10) Regularly reading paper /books etc is a good habit to develop . This is very cost effective solution to spend quality retired life independently.