Insurance and Investment: How Are They Different?

Sunday, November 29th, 2015 Amritesh one response

Personal Finance may sound very simple but in reality it is not the case. As many of you will admit that taking an Investment or an Insurance related decision is always very difficult. One should take decision based on his/her future capital requirements and security coverage needs. Individuals should not succumb to the schemes promoted or marketed by the Insurance/Investment Advisors who in their bid to sell their respective financial product may manipulate facts.Individuals should be very careful while taking a financial decision and have a close look at the features, benefits, riders before putting in their hard earned money.Investment and Insurance are two terms which is often interchangeably used, but in reality they are not similar and denote two…

Atal Pension Yojana (APY) Indepth Analysis: Why it is not the best?

Saturday, September 12th, 2015 Amritesh no responses

The Hon’able Finance Minister of India had announced the Atal Pension Yojana (APY) in his Budget speech earlier this year. The scheme is aimed at people working in unorganized sector in order to provide them with Social Security cover. The Scheme has been running for past couple of months and has evoked decent response from the people. But it remains to be seen that whether the Scheme gains popularity among the people working in Unorganized Sector as they are usually susceptible to plans which require investment over a long period of time. However the assurance of Guaranteed Pension from the Government should encourage people to take up this Scheme.In my previous post, I have discussed the Features and Benefits of…

Atal Pension Yojana (Retirement Plan)

Sunday, May 31st, 2015 Amritesh 2 responses

The Government of India has introduced various schemes in this Fiscal Year which would address the Financial Social Security concerns among Lower Income group in the country. The schemes are aimed at providing financial security and allow individuals to sustain themselves. The three schemes introduced by the Government provide Term Insurance, Accident Insurance and Pension Cover for the Individuals.The schemes were announced by our Hon’able Finance Minister, Shri Arun Jaitley in his Budget Speech for the fiscal year 2015-16. The few schemes which will benefit individuals are the Pradhan Mantri Jeevan Jyoti Yojana (PMJJY), Pradhan Mantri Suraksha Bima Yojana (PMSBY) and Atal Pension Yojana (APY).The Pradhan Mantri Jeevan Jyoti Yojana (PMJJY) is a Term Insurance scheme which would provide monetary…

Benefits, Drawbacks And Returns: Sukanya Samridhi Scheme (SSS)

Sunday, March 15th, 2015 Amritesh 3 responses

Last week I had posted about the features and other details of Sukanya Samridhi Scheme (SSS) initiative started by the Government recently. The Scheme offers one of the highest returns on Investment among all Savings Schemes offered by Government of India. You can follow the link given below to read the details and features of the Scheme. I suggest you read it before going through this post to have a better understanding.   SUKANYA SAMRIDHI ACCOUNT SCHEME (YOJANA)   In this post I will discuss the benefits and drawbacks of the scheme and also show illustration of the return on Investment in the Scheme.   BENEFITS UNDER SUKANYA SAMRIDHI SCHEME Higher Rate of Return On Investment: The return on Investment…

Sukanya Samriddhi Yojana (Scheme)

Friday, March 13th, 2015 Amritesh no responses

Sukanya Samridhi Scheme (Yojana) is a deposit/investment scheme for Girl Child. It is a Government initiative started vide notification dated 02.12.2014 under the Beti Padhao Beti Bachao (Save and Educate Girl Child) campaign keeping in mind the welfare and educational needs of a girl child. The Scheme encourages the Parents/Guardian to make investment for their daughters so that they could support their Higher Education or even Marriage in the future. Government has amended the maturity and withdrawal norms via a notification dated 18.03.2016. Those changes have been incorporated in this article.   In this post we will look at the Salient Features and Benefits under the Scheme:-   ELIGIBILITY Either Parent (Father or Mother) can open an account in the…

Senior Citizen Savings Scheme (SCSS)

Wednesday, March 11th, 2015 Amritesh one response

Senior Citizen Savings Scheme (SCSS) was introduced in the year 2004 for the benefit of the elderly individuals. The interest rate on the investment is higher as compared to the interest paid by the banks on Fixed Deposits. But unlike Fixed Deposits, SCSS is eligible for Tax Deduction U/S 80C on Investment up to Rs 1,50,000/-.   SCSS Account can be opened in Post Offices or any designated branch of 24 Nationalised Bank and One Private Bank (ICICI Bank).   In my opinion it is good investment option for risk adverse Investors as Return on Investment is more or less fixed, as Government announces the rate of interest yearly which does not change much.   In this post we will look…

Retirement Planning

Sunday, January 25th, 2015 Amritesh no responses

Retirement Planning is a financial allocation of your investments and savings to meet your future needs and obligations when an Individual is no longer in Job or Business as the case may be. It provides financial independence and you don’t need to depend on anybody for your living. Retirement Planning merely does not mean availing any of the retirement plans available in the market rather it requires more strategic thinking and planning. Many factors are required to be considered before deciding on Retirement Plan depending on your Financial requirement and type of lifestyle. It is very necessary to plan early as it lends better balance to your funds and one does not need to make steep investments for the future.The…

Emerging Market Funds

Sunday, May 11th, 2014 Amritesh no responses

Emerging Market Funds or also known as Global Funds are Mutual Funds that have features similar to Exchange Traded Funds (ETF’s). But Emerging Market Funds means a lot more than that in real terms. These are special type of Mutual Fund scheme which allocate their investments in the Developing Countries. The term “Emerging Market” is given to the countries whose economy is still in the developing stage and there is ample scope to usher the funds for development in these areas which offer better return as compared to developed economy. The objective of this Fund is to allocate assets in the developing countries which offer better and faster prospect of growth. The fund is used for the infrastructure, education, health,…

Life Insurance: Assurance And Investment

Sunday, April 13th, 2014 Amritesh no responses

Life Insurance is assurance by the Insurer that upon the demise of the insured person the claim amount as per the contract or agreement will be paid to the nominee of the Insurance holder in exchange of the premium paid by the insurer for the same. The payment of premium can be on the monthly, quarterly, yearly basis depending on the terms agreed upon. There are various types of Insurance policies in the market which not only provide Life cover but also provide additional benefits such as Accidental and Disability benefits. Life Insurance is very essential for every individual as you are not aware about the future shortcomings. Moreover you have responsibilities and obligations to fulfill which make insurance even…

Balanced Funds: An Overview

Sunday, April 6th, 2014 Amritesh no responses

Balanced Funds are a kind of mutual fund scheme which offer Investors security, returns and moderate capital appreciation. These funds are also known as Hybrid Funds. Here the funds are invested in certain proportion in Equities as well as Bonds. The idea of the fund is protect the investment of the investor and provide decent return at the same time. These are considered as safer investment option as the fund is diversified in fixed return investments as well as equity which depending on the market scenario can yield positive or at times negative returns as well. But as per the data provided by the Stock Exchange the equities do provide positive and good returns over a longer period of time.…