Who Is Suze Orman and Why Is Her Opinion Relevant?
A Brief Profile of Suze Orman
Suze Orman’s Financial Principles
Why Should Emergency Funds Not Stay Only in Savings?
Savings = Safe, But Not Growing
The Hidden Risk: Idle and Unproductive Money
Mutual Fund Investment: Suze Orman’s Alternative to Savings
What Are Money Market Mutual Funds?
Advantages of Money Market Mutual Funds for Emergency Funds
How to Start According to Suze Orman’s Principles
- Understand the Purpose of Your Money
- Use a Trusted Platform
- Evaluate Regularly
Safe and Trusted Investment with DBS Treasures
“Cash is good, but not too much of it doing nothing.” That’s what Suze Orman, a world-renowned financial expert, says. This means that if you keep your emergency funds only in a savings account, your money will sit idle and lose value over time.
Instead of just saving in a bank account, you can allocate funds into investment instruments such as Equity Mutual Funds, Fixed Income Mutual Funds, or Money Market Mutual Funds, which offer stable returns while maintaining liquidity.
Choosing Mutual Fund investment as a place to keep your money is a smart decision because it carries relatively lower risk, yet still has the potential to provide proportional profits. Curious to learn more? Read on for the details.
Who Is Suze Orman and Why Is Her Opinion Relevant?
The name Suze Orman is already familiar to many financial practitioners. But who exactly is she, and why is she considered an influential figure in the world of finance?
- A Brief Profile of Suze Orman
Suze Orman is no ordinary woman—she is a financial expert who has inspired millions. She is also a bestselling author and professional television host.
Though her career skyrocketed later in life, her early years were far from easy. Born into a modest immigrant family, she grew up with financial struggles.
She persevered, starting out as a waitress in a bakery. Eventually, she rose to become Vice President at a leading private financial company.
- Suze Orman’s Financial Principles
With her extensive financial experience, Orman shares principles she holds to this day. According to her, sound financial management must be realistic and focus on long-term financial security.
She emphasizes the importance of financial education so potential investors are well informed before diving into the investment world. Moreover, she advocates conservative investments such as Mutual Funds or retirement funds.
Why Should Emergency Funds Not Stay Only in Savings?
There are clear reasons why emergency funds should not be left only in savings accounts. Beyond the minimal interest, money sitting idle in savings is also at risk of inflation. Here’s why:
- Savings = Safe, But Not Growing
Keeping money in a savings account is relatively safe. However, it doesn’t grow, and inflation can erode its value over time. That’s why you need alternatives so your money isn’t stagnant.
By investing in Mutual Funds, particularly Money Market Mutual Funds, your funds can grow steadily while remaining relatively safe under the supervision of the Financial Services Authority (OJK).
Baca Juga: Cara Investasi Reksadana Berkonsep “Invest in What You Know” Peter Lynch
- The Hidden Risk: Idle and Unproductive Money
It would be a waste to keep all your money in savings accounts without allocating it into investment instruments. As mentioned earlier, there are several risks to this.
First, Your money won’t be productive and its value may decrease over time. Secondly, all your funds in one account makes you more exposed to fraud or theft, and last, the interest rates earned are very minimal.
Mutual Fund Investment: Suze Orman’s Alternative to Savings
There’s a reason why Orman favors Mutual Fund investment, particularly Money Market Mutual Funds, as a financial strategy. But before following this principle, you should first understand what they are and how they work.
- What Are Money Market Mutual Funds?
Money Market Mutual Funds are Mutual Funds that invest in cash, cash equivalents, and short-term debt securities. They are designed to offer portfolio diversification, liquidity, and operational efficiency.
Like other Mutual Funds, they allow investors to buy units and earn income from portfolio management. They combine high-quality short-term securities with longer maturities (up to 397 days for most Money Market Mutual Funds).
- Advantages of Money Market Mutual Funds for Emergency Funds
By choosing Money Market Mutual Funds, you gain multiple benefits such as liquidity, capital preservation, diversification, operational efficiency, and increased returns.
How to Start According to Suze Orman’s Principles
If you are interested in Money Market Mutual Funds but don’t know where to start, here are some of Orman’s tips to follow:
- Understand the Purpose of Your Money
Before investing, define the purpose clearly. Is it for emergencies, long-term investments, or flexible savings? Having clarity helps you build the right strategy, maximize your money’s potential, and minimize risks.
- Use a Trusted Platform
Not all investment platforms can be trusted. Choose carefully so you don’t put your finances at risk. A credible platform ensures your money is managed productively and yields real results.
- Evaluate Regularly
Conduct regular evaluations to review your investment performance. This helps you anticipate losses and ensure your investments stay on track.
Safe and Trusted Investment with DBS Treasures
So, do you now understand more about Money Market Mutual Fund investment? Ultimately, investing always depends on each person’s strategy. But if you’re looking for a relatively safer and lower-risk alternative, Mutual Funds can be the right choice.
As a next step, you can choose DBS Treasures priority banking as your trusted partner. Here, your portfolio will be managed by professional Investment Managers, minimizing risks through diversification and supported by market insights that guide every decision.
Beyond that, buy-sell transactions, switching, and SID (Single Investor Identification) registration are faster and easier with the DBS digibank Application. You’ll also gain access to financial experts and Artificial Intelligence/Machine Learning (AI-ML) technology, which deliver tailored opportunities based on your risk profile.
Complemented with curated solutions in both investment (Grow) and insurance (Protect), your money can grow safely, securely, and in line with your preferences.
So, don’t wait—start your Mutual Fund investment journey today with DBS Treasures priority banking.
