Bank and securities boss suggests financial management for young people

On May 23, at the financial education communication event series “Future Banker 2023”, Mr. Dmitry Kashtanov - Director of ABBank Digital Banking Division shared that to manage finances, young people need to plan for the future, need to see what their priorities are. Every day, you need to make decisions and consider how this decision will affect today or in the longer future.

"Currently, to manage finances, there are many applications, websites or other management support methods, but young people should start with the simplest things. For example, create an Excel file, in which, record your income or expenses, from there see what you should prioritize or what needs to be adjusted," Mr. Dmitry suggested.

Or Gen Z - today's youth can use popular online applications to manage their money. Mr. Dmitry noted that money management should not be too dependent on technology, young people should think about saving and managing the money they earn.

According to Mr. Le Xuan Tung - General Director of Agribank Securities Company (Agriseco), the most important thing for financiers or young students is to accumulate investment. In the field of investment, compound interest creates great value in the long term. Accordingly, if students choose to deposit savings in the bank with an interest rate of 6%/year, after 10-12 years, the amount received will double that value.

However, if you choose to invest in stocks or real estate, the rate of return can be up to 20-30%. Thus, after only 2-3 years, the total assets of young investors will double. And after 10-20 years, the accumulated value can be even greater.

According to Mr. Tung, the best way to manage finances is to set aside a monthly investment amount as well as improve your investment skills. This amount will be completely separate from daily expenses, only when a large expense is needed will you start using this amount.

Finance - Banking - Bank and stock market boss suggests financial management for young people — Speakers discuss at the event.

Speaking at the event, Ms. Le Thi Thuy Sen - Director of the Department of Communications, State Bank of Vietnam said that the series of events were organized to contribute to realizing the Government's goals in the National Financial Inclusion Strategy, Government projects and contributing to promoting non-cash payments.

"In the coming time, the State Bank will continue to promote financial education and communication for people in remote, rural areas, young people, and vulnerable groups in society about banking products and services, and guide and protect consumers using banking products and services...", Ms. Sen said.

The series of financial education communication events “Future Bankers 2023” provides students with knowledge and skills in finance and banking such as how to access and use banking products and services, cashless payments, loans, savings, etc.

Through this series of events, young people are provided with knowledge about types of bond products, insurance, savings, investment financial products and the differences between these types .

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