Archive for July, 2006

Bangkok BKMs or Best Known Methods

July 19, 2006

Wanted to share BKMs (3 letter acronym from Intel days) from my last trip to Bangkok. I have already written out this 3 times for friends, so easier if i just type it out once to my blog. We stayed at the The Ascott, No 187 South Sathorn Road, Yannawa, Sathorn Bangkok 10120. www.the-ascott.com The advantage of staying at this place, service apartments instead of just rooms. Great value if you are travelling with family.

For some real authentic Thai food visit Baan Khanitha at 36/1 Sukhumvit 23 Soi Prasan Mitr Bangkok phone 0-2258-4128 / 4181. They are very sensitive to vegetarians and have many options. They have another branch at 49 Soi Ruam Rudee, 2 Ploenjit Rd. Bangkok. Tel 0-2253-4638-9.

For authentic thai massgae visit “Po Massage” at 14/6 Soi 33, Sukhumvit Road, Bangkok 10110, Thailand. Tel 02-662-0152-3 or Ruen-Nuad Massage and Yoga at 42 Convent Road, Silom, Bangkok 10500 Tel 0-2632-2662-3 email to ruen_nuad@yahoo.com , reservations recommended.

The English Divide

July 18, 2006

In technology we worry about the Digital Divide, where the “haves” will have a significant advantage over the “have nots”. We all have opinions on the recent reservations for OBCs. This raised opposition from those who believe, in a merit based society or allocation of seats based on economic needs. The story below (via Barkha Dutt) will definitely blunt your strong position.

One of the most awkward — and yet, strangely compelling — things about journalism is that sometimes, your work makes you hold a mirror to your own life. This past week, a quiet, but determined, 16-year-old became an unexpected reflection of my education.

I have always believed that my school and college years were the first architects of my personality; like every middle-class Indian, I take pride in where I studied and what I was taught. And yet, the gentle idealism of this young girl made me pause to wonder: had my public school education been shamefully elitist?

At first, the story seemed straightforward enough. Garima Godara, a CBSE topper, with an astonishing 97.6 per cent, had taken the entrance exam for Delhi Public School, Dwarka, the school closest to her village. The daughter of a police constable who earned less than Rs 6,000 per month, the school’s fees would have been a problem. But the family was undeterred; perhaps there would be a scholarship or a loan; surely the school would be keen to admit the girl who had topped the national capital’s merit list. Garima’s proud father had spent months battling the entrenched patriarchy of his peers, fending off nosy neighbours who gossiped about why she didn’t spend enough time in the kitchen. Now, he was even more determined to give his daughter the best education her marks could buy.

This could have been the story of New India and its emerging, self-made middle-class; a proud milestone for a country that dares to dream.

Instead, here’s what happened: DPS turned her down. Her results were good, it conceded. But marks aren’t everything, said the school principal to NDTV, and besides, her English was poor, and just didn’t cut the grade.

Later, listening to Garima in the studio, it was hard not to feel both angry and moved. Angry because of the obvious injustice: not only was she as bright as her results indicated, there was nothing about her spoken English that suggested that she would have been unable to keep pace with the syllabus. Yes, she spoke with a regional accent that some would consider insufficiently sophisticated. But there was no doubt that she could not only follow a complex argument, she could also make herself understood to any English speaker.

But it was her calm that was almost heart-breaking; a quiet courage that belied her teen years. It was almost as if we were more outraged and indignant than she was. During the course of the programme, a principal from a well-known school in Dehradun called in, offering her admission and a scholarship; others promised to get DPS to change its mind. But betraying only the slightest sense of hurt, she said firmly that her aim now was to show DPS that she would do better than any of its students. She had already got herself admitted to another school and DPS could, quite simply, take a walk.

As she spoke, viewers clearly shared my anger. The online poll showed that 90 per cent of viewers believed that the English language exerted a disproportionate influence over the education system.

Yet, were we all being hypocritical and dishonest? This time it was DPS under the microscope, but were any of us any different?

Let’s say, she continued to do outstandingly well in school. The next stage would be college. I pictured her trying to take the entrance interview at my old college, Delhi’s St. Stephen’s. Would she get in? And even if she made the cut, how would other students react to her presence? Would they admire her for her academic brilliance? Or would they snigger at her accent, titter each time she made a grammatical error and then, melt away, leaving her alone to find her own friends?

Garima’s story is a metaphor for India’s twisted tryst with the future.

I learnt after the programme was over — and it is significant that neither she nor her parents brought this up themselves — that she is an OBC.

For some months now, as the debate over reservation has raged, opponents of the quotas have made the same point again and again: we should be a society where merit matters. It’s a compelling argument, and one that I have personally supported.

But what do the anti-quota street fighters have to say now? Here’s a girl who competed in the mainstream, her own DAV pitched against the trendier, richer, big names. But her merit was swallowed up by prejudice.

Is it any wonder then that supporters of reservation believe that the system is stacked against them, and that merit is a con-word used by upper-caste tricksters?

Her story is also a scathing comment on the class divide in India. It is fashionable for marketeers and economists to talk about the burgeoning middle-class. Each day a new figure is conjured up to demonstrate the size of the Indian market, and the clout of the new middleclass; is it 250 million this week or has it already reached 300 million? We embrace these statistics, because we like the idea of India as this century’s favourite financial destination. We feel flattered when Time magazine puts our country on its cover, and we talk glibly, especially to foreigners, of social mobility and how the gap between the rich and poor is closing; we argue that India’s tomorrow is being built by its industrious and enterprising middle-class, and we feel like the future is unfolding, right here and right now.

But here’s what we never admit. We’re just the worst sorts of snobs.

The social mobility of the last decade has meant that the new middle-class does not consist of people like us. Instead, it is made up of people like Garima, who we still find excuses to exclude; we sneer at their lack of Westernised sophistication; make fun of their accents; and we try and ensure that our children have nothing to do with theirs.

Finally, Garima’s story exposes India’s paradoxical relationship with the English language. Nobody in the world speaks English like us. We have our own idioms, our own words and our own accents.

We pretend to love our own English and brag about how it is India’s great selling point; the reason we dominate the global outsourcing business. But, of course, deep down we know that our English is not the English that the West really wants. And so, each time we talk to Britons or Americans, we subtly alter our diction and inflection. When we set up our call centres, we drop the subtlety entirely and start accent classes to teach our young people to abandon the speech patterns of our own society and to migrate to a virtual, linguistic, middle America, where they become impersonators of people they will never meet and never know.

But within India, we still treat our own English as the great social decider. We laugh at regional accents, smirk at those who make grammatical errors and feel most at home with those who talk like us. Everyone else belongs on the other side of the English divide. And as it turns out, the other side of the class and caste divide as well.

Maybe we cling so tightly to this tiny community because secretly we are just insecure. Outside of our little bubble, India is changing. Every major institution in recent times — Parliament, the bureaucracy, the military, our colleges and schools — is being forced to rewrite the rules. A new breed of Indians, who no longer look towards the West for self-affirmation, is making its presence felt. We like to call this a decline in quality. But actually, it’s the rest of India waiting to get in.

How long are we going to keep the gates shut?

Jul 4th 2006

July 18, 2006

Its been a year since I left Intel in Jul 2005. Must admit it has been a great year without a job and living life on one’s own terms. No more of those early morning or midnight conference calls, status updates and operation reviews. I claim full responsibility for the steady decline in Intel stock from $28 to $17 today.

Lot has happened in the last one year. Explored education opportunities with Atanu and courtesy of Rajesh. Was very excited about the mobile content business and continue to be. Ranjani dreaded my return to the corporate world since she and kids were seeing more of me. Rohan did not get admission to his sister’s school, we were hoping both would study in the same school, same system. Who said life is fair, even more unfair in India where the supply demand gap is huge for good schools, jobs and living environment. Along with five friends we launched a residential golf course community in Bangalore. How I got associated with this project is a story in itself which I shall reserve for another day. This project takes me to Bangalore once a month, I must say my participation is passive.

Overall it has been a great year, with no real plans to course correct it.

Lessons from 9/11 and 7/11

July 16, 2006

(via Rajan) It wasn’t the first time that Mumbai faced and survived this. Seven blasts one after the other rocked Mumbai on Tuesday evening. While the blasts underlined the ugly face of urban terrorism, it was a grim reminder of the everyday uncertainty that the normal Indian investor lives under. So what are the key lessons for intelligent investors from the changed global reality where terrorism can strike anytime anywhere anyplace?

1. Plan for the worst, hope for the best

Some months after the 9/11 tragedy, the legendary Warren Buffet was asked his opinion on the increasing uncertainty. His characteristic response was that all he was uncertain was that over the next few years there would be a major terrorist event again in the US mainland. The markets will go into a deep fall as a result, but over time will recover back handsomely. We can extrapolate the same wisdom to the entire world. Today there is no place “safe”. So how does an individual plan for this uncertainty? By planning for the worst. And the first step is taking out insurance – for the life of the breadwinners in the family, for the house and household goods, for major capital goods, especially the vehicle.
Ensure the coverage is comprehensive and is adequate in monetary terms to either replace the capital good or house, or generate enough cash flow for the family to maintain their lifestyle if the breadwinner is no longer there.

2. Write that will

“It can’t happen to me” is a myth. Speak to a lawyer and draw up a simple will, get it witnessed and registered. It will cost you very little, but it will save your near and dear ones a lot of pain in the case of any unfortunate event. Remember the people working in the heart of the US in the World Trade Center or the passengers in the London subway, who didn’t deserve it. You owe it to those whom you love and want to take care of, to draw up that will.

3. Move to joint accounts

Move all bank accounts to a joint basis, with an either or survivor clause. Same with your mutual fund holdings, bank lockers etc. Add the names of your family members to share holdings, property, and other holdings. It will make succession much simpler. I remember a case when I used to work for an international bank. The wife of a senior vice president in a Latin American country was shot dead in a robbery at a supermarket she was shopping in. Unfortunately today that risk is much nearer home. And we need to act with resolve to mitigate that risk.

4. Update those nominations

You can nominate your dear ones in most financial instruments – bank accounts, bank lockers, fixed deposits, provident funds, post office schemes, mutual funds. Make a comprehensive list of all your holdings, and do the nominations today. It takes about one minute to fill the easy forms. Keep copies of the forms in a file and leave copies with your lawyer/accountant as well. Write a note with all your holdings details and the contact details of your banker, your accountant, and your lawyer if any. If your bank account or credit card also offers accident insurance, ensure you take the nomination form for the same and update these as well.

5. Diversify, diversify, diversify

Such shocks serve to underline the absolute essentiality of portfolio diversification and asset allocation. In these times, being rational is
essential. Yet, investor’s emotions have a way of overwhelming and
frustrating basic investment logic. Proper portfolio diversification simply involves understanding three realities: your financial goals and responsibilities (funding retirement, children’s education, children’s marriage, buying your own house etc); your risk tolerance (what level of variation in returns are you comfortable with); and finally, what is your time horizon (how many years till your child’s graduation, marriage, how many years to retirement et al).
Mapping these will help you to determine your investment landscape in terms
of an asset allocation. Once an intelligent, diversified asset allocation is
decided, you need to determine your portfolio rebalance parameters and
execute your plan.

After that all you need is an ability to shut out the market noise and such
shocks to the financial markets, and stay the course with your ideal asset
allocation. Keep gold, bank deposits, mutual funds, real estate and post
office schemes, all in your portfolio.

Conclusion

You just don’t know what’s going to happen. Post-World War II, this is perhaps the period with the maximum uncertainty that the ordinary person is living through. Hence you have to think about the kind of world in which we live today. In this case, where the enemy is unseen and ubiquitous, it’s difficult to know what to do about it. Once you realise this, life is easier. It’s natural to have a tendency to think that you know what you don’t know. When events spin out of control, this resilience is shaken. In a world that is exceedingly random, the best way is to hedge all the risks you can and stay with it. And, once that is done, enjoy life with a lighter heart and with gratitude for what we have!