MFC Asset Management president Pichit Akrathit and Tisco Asset Management deputy managing director Araya Thirakomen are both saving with the same idea.

But though both executives are looking to be financially secure after retirement, they are taking different routes to their goal.

Revealing his approach to attaining financial freedom, Pichit said he goes against the traditional view of "saving after all expenses are deducted".

"We have to reset the question. We should not save after we pay for all expenses. We should set a realistic [savings] goal and set aside the money for it. After that, you spend only the amount left after your savings," he explained.

Pichit has followed his method strictly. As a student his goal was to complete his studies, but he invested so much on education that he was left in debt. However, those liabilities were the foundation of his fortune today.

His PhD in economics from Texas University earned him a number of respectable positions in the academic world and on the Securities and Exchange Commission before he became president of MFC.

Pichit said he did not have a high-flying lifestyle, so he really needed money only to buy good books to read in his spare time.

His current expenses account for about 70 per cent of his income. They include life-insurance premiums and emergency reserves. The remaining 30 per cent he puts into investments.

Thanks to his discipline, Pichit is in a comfortable position savings-wise and is in no rush to meet his targeted amount.

He has put 50-60 per cent of his savings investment in fixed-income tools, and the rest in Foreign Investment Funds.

"At this age, I cannot take as high a risk as I could when I was younger. This portfolio suits me," Pichit said.

To prove his loyalty to his company, MFC, Pichit said that every baht of his investment is invested in MFC's funds.

"No matter whether the wave is high or low, I'll take it with my investors."

For those who rest on their laurels thinking that saving is about tomorrow's issues, Tisco Asset's Araya warned them to rethink.

She paid a price to learn this lesson on her own. As the clock to the retirement line is ticking, Araya is speeding to save to become financially free when she retires.

Araya has set aside 70 per cent of her savings in equity investment while 15 per cent is in bank deposits and the remaining 15 per cent in fixed-income tools.

It's kind of against the tide when 40-something people overweight their investment in equities. Araya said that although she started to save pretty late, the portfolio mix fits her as single person.

"It's not recommended for married people. I can still  take this kind of high risk as I'm alone."

Araya encouraged investors to start saving as soon as possible.

"The earlier you start saving, the less burden you will have in your later life," she said.

Araya recalled that she was once a big shopper and didn't think much about saving for retirement. She started to think about it after she got involved in the mutual-fund business.

Now she says that even if retirement is just a few years away and one has no investments or savings, he or she needs to accept the truth, adjust their expenses and start saving.

Araya said that there's no excuse for not saving.

"Even if you enjoy drinking the most, you still can manage to save," said Araya.

She said that for the alcohol-lovers, they still can spend their money on their favourite activity. However, if they keep doing so, they have to minimise their expenses from other activities.

"If you want to go out and have a drink, go ahead. But cut down other expenses on your list."

However, if at the end of the day the drinkers can't cut any other expense, then they may have to consider lowering their spending on their drink.

This is not the yin-yang theory. Neither gender nor lifestyle counts when it comes to saving. Gurus have proved that it's the discipline that matters.

Piyarat Setthasiriphaiboon

The Nation