EDITION
  • English
  • 中文
  • Bahasa
  • eCommerce
Monday, August 15, 2022
uLearnMoney Subscription Events
No Result
View All Result
Money Compass

Media and partner organizations:

cmc bmc ulearnmoney mylife mcm
  • HOME
  • NEWS
    • Global Market News
    • Local Market News
    • Corporate News
    • PLC News
  • SPECIAL FEATURE
  • COMPASS
    • Financial
    • Investment
    • Start Up
    • Capital
    • Infographics & Quotes
  • MONEY TUBE
  • LIFESTYLE
  • PR NEWSWIRE
Subscription
Newsletter
Money Compass
  • HOME
  • NEWS
    • Global Market News
    • Local Market News
    • Corporate News
    • PLC News
  • SPECIAL FEATURE
  • COMPASS
    • Financial
    • Investment
    • Start Up
    • Capital
    • Infographics & Quotes
  • MONEY TUBE
  • LIFESTYLE
  • PR NEWSWIRE
No Result
View All Result
中文 Bahasa eCommerce
Money Compass

Women and Financial Loyalty

by Brenda Yong
June 26, 2020
in Financial Compass
women
Share on FacebookShare on WhatsApp

Loyalty as a virtue carries many interpretations today. For instance, individualism, or prioritising the self, is said to be very important in the West. If this is true, then loyalty to self-interests would be how individuals practice the value. In the East, priority to the family is said to be more important than individualism. In this case, loyalty to the needs of the family becomes the value that is practiced.

When it comes to work and money, it is interesting to see how different generations practice loyalty in their work culture.

Kodak, the famous technology company in the USA was a leader in the photographic film industry for about 100 years. Due to its 90% market share of photographic film, the company was loyal to the technology that had made them a dominant leader. But this kind of loyalty did not pay off. When the world advanced into digital photography, Kodak was left behind, and in January 2012, they filed for bankruptcy protection.

The generation growing up in the 21st century has a slightly different approach to loyalty. This is the millennial generation or Gen-Y (generation Y).1 In their work culture, loyalty to a cause or an inspiring boss is more appropriate than loyalty to a company.2 This explains why employees from the millennial generation can easily change jobs and move to a different company.3

This characteristic is similar to what is practiced by millennial employees in Malaysia. 98% of local millennial workers say that they give their loyalty to mentors whom they respect.4 They will also show loyalty to employers who have strong corporate responsibility values.5 This generation claims that they want to be financially secure, but are not sure where or how to find a trusted source who can guide them. They are looking for who they can be loyal to.6

What about women? How do they manage loyalty in finances? On a general note, women are said to be more loyal to people than men are. This would imply that women with financial strength would use their resources to meet the needs of those they are loyal to. Should women follow this generalised view about them? How should women exercise the value of loyalty in their finances? Below is a simple five-step plan that they can follow:

Money-Compass-Eng-V13-LR-39

• Firstly, in order to make value-based decisions in life, they need to be loyal to themselves. They need to put aside 3%-5% of their monthly salary so that they can secure themselves as the asset-maker. Only when this is done will they be able to be loyal and help others who are important to them.

• Secondly, they need to be loyal to their spouse. Both the spouses need to build up their joint sinking fund; from 1-month to 3-months to 6-months worth of a salary. Being diligent in accumulating reserves will help both husband and wife to be loyal to their marriage vows which say ‘for better or for worse’. Risk-management is important so that the couple can then face economically difficult times, or when the woman’s spouse fails to get a promotion or is

• Thirdly, women have to be loyal to their children’s educational future. Saving up for phase one (basic primary and secondary education) is relatively easy, but what about the children’s tertiary education? An average requirement for three years of studies in a local private University amounts to RM 65,000 and this is only phase two.7  Phase three would mean considering the children’s overseas education plan. Loyalty for their entire educational package is necessary.

• Fourthly, women should practice filial loyalty. However, being filial with wisdom is more important. While taking care of aged parents, women must remember to close their own financial gaps as well. A wise suggestion is to invest in a medical card for aged parents. In this way, a woman need not have to mortgage her home or sell her assets when her parents are hospitalised. Although many women may face the reality of being a ‘sandwich’ parent who takes care of both children and her aged parents, exercising prudence in loyalty is a financial virtue.8

• Fifthly, women should heed the cry of the poor and the needy in their community. The people living below the poverty line in Malaysia are 3.8% of the population.9 Families in this group can have a chance at improving their socio-economic status when generous people show them loyalty. There are many avenues to help the poor, and women can choose one where long-term returns can help generate income for the next generation.

This simple five-step framework can help women embrace loyalty in their practice of sound financial management.

 

Sources:

1. http://www.livescience.com/38061-millennials-generation-y.html

2. Giang, Vivian. “Here Are The Strengths And Weaknesses of Millennials, Gen X, And Boomers.” Business Insider. http://www.businessinsider.com/how-millennials-gen-x-and-boomers-shape-the-workplace-2013-9IR=T&

3. Article from Business Insider, 12 Sept 2012

4,5. http://www.nextupasia.com/3-traits-of-gen-y-talents-that-malaysian-start-ups-and-businesses-cannot-ignore-when-hiring/

6. www.time.com/64137/millenials-money/

7. This estimate is taken from a 3+0 Sunway University tertiary programme

8. http://www.sandwichgeneration.com/index.htm

9. Economic Planning Unit and Department of Statistics, Malaysia, 2010.

 

 

This article was first published on 10 January 2018.

 

Read more: High Net Worth Women and Personal Finance

Tags: FinanceWomen
Share14SendShareSendTweetShare
Previous Post

ACT Continues to Send Aid to Various Countries to Face Coronavirus Outbreak

Next Post

Investment: Why is PM so Important During Malaysia’s Recent Political Episode

Related Posts

People are worrying about a global recession and with good reason. But what if the factors driving rising prices are beyond the limits of policymakers’ control?
Financial Compass

Are We Heading For A Global Recession?

10 Aug 2022
Inflation in emerging markets (EM) appears to have climbed further in June. Concerns that we’ve not yet seen “peak inflation” may add to pressure on EM assets. This is at a time when EM are already under pressure as investors increasingly price in a global recession.
Financial Compass

Peak Inflation? Not Yet For Emerging Markets, It Seems

01 Aug 2022
The record high food prices all over the world has triggered a worldwide crisis that would drive millions of people into extreme poverty, said the World Bank Group.
Financial Compass

Three Reasons Inflation Isn’t Going Away Anytime Soon

22 Jun 2022

Discussion about this post

MOST POPULAR

  • PhillipCapital Group successfully concluded its first hybrid Phillip Investment Conference 2022, on July 30, at the Berjaya Times Square Hotel, in the presence of over 2,800 delegates both physically and virtually.

    PhillipCapital Concludes First Hybrid Conference With A Bang

    0 shares
    Share 0 Tweet 0
  • Malaysian ringgit ranked as cheapest currency in region

    0 shares
    Share 0 Tweet 0
  • Top 100 SMEs Defy Economic Headwinds to Post Triple-Digit Growth

    0 shares
    Share 0 Tweet 0
  • FWD Group unveils “press play” brand campaign

    0 shares
    Share 0 Tweet 0
  • Malaysia’s exports to contract in 2020 at 8.3% amid MCO, COVID-19 crisis

    0 shares
    Share 0 Tweet 0

MEMBERSHIP SUBSCRIPTION

Subscribe Now

Sign Up for Our Free Newsletters

Stay up-to-date with the latest personal wealth-related articles, breaking financial market news, and more.

Follow us on Social Media

News
Special Feature
Compass
Money Tube
Smart Lifestyle
Corporate Profile
Advertise
Subscriptions
Career
Contact Us
eLearning
Events
Privacy Policy
Terms of Use
Strategic Partners

Copyright © . Money Compass. All Rights Reserved.

Design and Development by Ant Internet Sdn Bhd

No Result
View All Result
  • HOME
  • NEWS
    • Global Market News
    • Local Market News
    • Corporate News
    • PLC News
  • SPECIAL FEATURE
  • COMPASS
    • Financial
    • Investment
    • Start Up
    • Capital
    • Infographics & Quotes
  • MONEY TUBE
  • LIFESTYLE
  • PR NEWSWIRE

© 2020 Money Compass

Career

SUBSCRIBE FREE NEWSLETTER