Financial fitness will serve as a stimulus for developing the 'financial muscles' of the Latvian people
Nordea Money School, in cooperation with DCH studija, has launched the Financial Fitness Programme to improve the financial fitness of the Latvian people
To encourage every individual to assess their ‘financial muscles’ and in order to explain how to stay financially fit, on the morning of 29 October, instructors and trainers from the Nordea Money School and DCH studija, with a series of engaging morning exercises, launched the first Financial Fitness Programme. To achieve a life of high quality and good self-esteem, participants were asked not only to engage in regular physical activities but also to learn various ‘financial exercises’ such as budgeting and saving money.
Statistical data and surveys show that only one third of the Latvian population is financially fit, and these are people who care for their personal budget and savings on a regular basis, mainly depositing their funds in saving accounts and term deposits. Moreover, according to Nordea Bank data, the awareness level of possible ‘financial training’ or possibilities for saving money is low. At the same time, people are failing to assess solutions for strengthening their financial backbone in order to accumulate long-term savings.
“We all know that regular physical activity ensures good self-esteem and health, yet very few of us can pull our socks up and start running or go to a gym on a regular basis. The same applies to saving money and taking care of one’s personal budget – it does require a certain amount of effort. We should be aware that neither a stable savings portfolio, nor ideal muscles can be built within a couple of training sessions. The results can only be felt after a longer period of time. However, regular and persistent maintenance of physical and financial fitness is the main factor that directly affects the quality of life of each individual,” says Anna Fišere-Kaļķe, Head of the Nordea Money School. “Observations reveal that at the moment the most popular type of savings among Latvian people are term deposits; however, an increasing number of people are also choosing to save money in private pension funds, which proves that people prefer a smaller but guaranteed profit," admits the Head of the Nordea Money School.
The Financial Fitness Programme developed by Nordea Money School offers the possibility to learn various ways of saving money through the medium of sports. At the moment, there are three sets of exercises developed which are suitable for different levels of financial fitness, starting with a warm-up – revising one's personal monthly budget and saving a small amount of money, and proceeding to high-intensity training – investing funds in life insurance with a savings plan or investment funds.
Kaspars Ozoliņš, the owner of DCH studija and a fitness instructor, points out that Latvian people are becoming increasingly physically active, and this is promoted by both the growing marathon movement in Latvia and the overall public focus on a healthier lifestyle. "In general the level of physical fitness of the Latvian people is improving, and yet the modern lifestyle – daily stress and rush take their toll. People do not think much and do not understand the reasons why and how to keep themselves physically fit. In order to run a marathon race and maintain a good body tone, two weeks of running in the park is not enough. It is serious, continuous work with yourself and your lifestyle, which many people are not yet aware of. Managing personal finances is much the same – it requires regular work with yourself and your wallet in order to gain more stability in the future.
Just like when you start sports training, it is advisable to consult an instructor before engaging in more serious 'financial exercises' so that the instructor can help you to assess your current financial fitness and advise you on the most suitable training programme. In order to understand how to plan a personal budget and discover available solutions for savings and how they differ, you are welcome to book a free consultation with the financial trainers from Nordea Money School.
More information about the Nordea Financial Fitness Programme is available on the website www.nordea.lv/naudasskola