Diwali 2025: Six money lessons one can learn from the festival of lights

Diwali is known as the festival of lights. Investors can learn a number of money lessons on this occasion. From investing in precious metals and creating an emergency fund to buying a health insurance plan, investors can learn several money habits from this festival.

6 money lessons to learn on Diwali

I. Buy precious metals: Investors buy gold on Dhanteras ahead of Diwali. With the prices of precious metals rising significantly this time, one can build a habit of investing in precious metals during the year as well.

II. Securities trading: On the occasion of Diwali, investors typically invest in securities during Mahurat trading. Read this Livemint article to know the timings of Muhurat trading. Although stock markets remain closed on Diwali, they open for one hour to facilitate Muhurat trading.

By choosing the right stocks on this special market session, investors can inculcate a habit of buying stocks throughout the year.

3. Windfall of income: Generally, salaried employees get a festival bonus on Diwali. Self-employed persons also get some extra income through sales and commissions as spending increases during the festival period. It is, therefore, advisable to invest the additional income in some return-yielding investment.

4. Emergency fund: On Diwali, we generally spend more than we do in normal months. So, one may have to create an emergency fund to meet the sudden spike in expenses. It is, therefore, recommended to have a special fund during the year in which one can invest small sums of money so that when there is a spurt of expenses, one can easily meet them.

5. Social capital: During Diwali, it is common to meet a number of friends and business associates to exchange gifts and sweets. Having a strong bond with a few close friends is indispensable for emotional as well as financial well-being. So, this festival teaches us to spread joy among a network of friends who can help you during the period of financial distress, so that you do not have to rely on borrowing from a bank.

6. Health insurance: On Diwali night, most Indians burst crackers, leading to pollution and a spike in AQI levels. We also tend to overeat sweets and unhealthy food on Diwali. This is a stark reminder to take our health seriously and buy a good health insurance plan.

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