Term insurance is an excellent & affordable way to secure your family’s financial future in your absence. Term insurance plans not only protect one’s family financially in case of their sudden demise but also provide comprehensive coverage from a range of uncertainties, including accidents and critical illnesses like heart diseases, cancer etc. If you are considering to buy a term insurance plan, you might have to hurry up a bit as, after the recent price hike in the month of April 2020, the insurance premiums are set to experience another significant increase in the months ahead.
Pure protection term plans, including the ones from prominent insurers like HDFC Life, ICICI Prudential Life, Max Life and Tata-AIA, witnessed a price hike between 20% and 35% in the month of April 2020. Now the premiums of term insurance plans are expected to increase by up to 40%. Insurers who have already revised their premiums by a certain percentage would further increase the prices by remaining values. For the insurers who haven’t yet, would be increasing the prices in the months to come.
Rise in Term Life Insurance Prices
To put things in perspective, for a 35-year-old male, non-smoker residing in a metro city looking for a Rs 1-crore term plan with coverage till 75 years, the monthly premium for TATA AIA term plan surged from Rs 1104 to Rs 1490, witnessing a 35% increase. Similarly, ICICI Prudential incremented the premium by 22% while HDFC and Max Life premiums have been hiked by 18% and 9%, respectively.
Reason Behind Term Life Insurance Price Hike
In order to determine term insurance premiums by the reinsurers, it has been assumed that for every 10,000 lives covered under term insurance plans, only 3 deaths would occur in each policy year. While the expected number is 3, the actual deaths per 10,000 policies issued in a policy year are between 4 & 4.5. To add to the reinsurer woes, the claim amount is massive in case of term insurance with an average policy sum assured of around Rs 1 crore. In the ideal case scenario, actual vs expected ratio should be around 1. This is clearly not the case in India, with the ratio being more than expected, leading to a negative experience in mortality. This situation has lead to revisions in the term insurance premiums by 40%, as demanded by the re-insurers.
Term Plans Remain a Must-Buy
Planning your future well in advance is one of the most important things that you should do to ensure you and your family are financially stable throughout lifetime. A term life insurance plan does exactly this – provides the insured person’s family with a sum assured on the death of the individual to make sure that the family does not have to face hardships after their loved one is no more. A term insurance plan offers life cover for a specific amount & tenure. If the policyholder passes away during the policy term, the insurer pays a death benefit to the beneficiary or the nominee.
A good term insurance plan helps you protect your even better by covering you against most important 3Ds of your life that are Death, Disease and Disability. Term insurance plans can be bought at a very nominal cost. The payouts can be customised as per your needs, whether it be a lump sum payout or staggered payout in monthly instalments. It is further beneficial as the premium you pay towards it can help you avail a deduction under Income Tax Laws. With term insurance prices set to rise anytime soon, it is best to buy a term plan at the earliest as the earlier you buy, the lesser you pay.
View all IPOs SBI Cards and Payment Services was promoted by State Bank of India on May 15, 1998, to issue credit cards and deal in payment products. Apart from an issue of fresh shares in the IPO, SBI will be selling a part of its promoter holdings. The Carlyle Group, which had taken up a stake in SBI Cards in December 2017, will also be offering a part of its stake in the issue.
How do I apply to the SBI Cards IPO?
You can apply to the SBI Cards IPO on Console using any supported UPI app. Once you have entered your bid on Console, you will receive a mandate collect request on your UPI app. On acceptance of the mandate, the bid amount will get blocked in your bank account. Read more.
Will I get a discount if I hold shares of SBI?
The Draft Red Herring Prospectus (DRHP) indicates that shareholders of State Bank of India may be eligible for a discount. You will need to hold at least one share of SBI as on Feb 18, 2020, in your demat account. When you apply in the shareholder’s category, you might also have a higher chance of getting an allotment. Click here to check how to apply in the shareholder category in Zerodha.
Note – You will be eligible to apply in the shareholders’ category only if you hold shares of State Bank of India (SBIN) as on the record date. A shareholder of different SBI group company, like SBI Life, will not be eligible.
Indicative IPO timetable
Basis of allotment
11-3-2020
Refunds/Unblocking of ASBA
12-3-2020
Credit of share
13-3-2020
Listing
16-3-2020
Mandate end date
19-3-2020
Further any help please feel free to call @ 9892423442 or whatsapp on same number.
Large Cap in portfolio is very important. I have given some of fund house Large Cap with Beta, Standard Deviation and Sharpe Ratio.
If you can the below table you will find that Axis Blue chip is very good. as Sharpe ratio of Axis is very good.
Usually, any Sharpe ratio greater than 1.0 is considered acceptable to good by investors. A ratio higher than 2.0 is rated as very good. A ratio of 3.0 or higher is considered excellent.
Large Cap Mutual Funds
When you are investing for create wealth then you have to first create your portfolio and that portfolio should be according to your requirements.
My personal recommendation is maximum investment in Large Cap. I have given one idea about how to create and how much should be in where ?
One best Idea to Create Aggressive Portfolio of SiP not less than 7-10 Yrs.
Large Cap – 60% Mid Cap- 25% Small Cap- 15%
Because money safety and your happiness is more important for your future.
Conservative Portfolio
Debt – 80%
Equity- 20%
Debt- Bond 30%
Debt- Short Duration 30%
Debt- UST 20%
Equity- Large Cap 20%
Moderate Portfolio
Debt – 70%
Equity- 30%
Debt- Bond 25%
Debt- Short Duration 30%
Debt- UST 15%
Equity- Large Cap 25%
Equity- Mid Cap 5%
Balanced Portfolio
Debt – 50%
Equity- 50%
Debt- Bond 20%
Debt- Short Duration 25%
Debt- UST 5%
Equity- Large Cap 30%
Equity- Mid Cap 15%
Equity- Small Cap 5%
Dynamic Portfolio
Debt – 25%
Equity- 75%
Debt- Bond 10% Debt- Short Duration 12.5% Debt- UST 2.5% Equity- Large Cap 50% Equity- Mid Cap 15% Equity- Small Cap 10%
for more about creating portfolio, you may right to [email protected], visit to my youtube channel AGInvestment, Join telegram https://t.me/mfpathshala, whatsapp @ 9891423442
Ultra Short Duration debt funds invest in bonds maturing in 3 to 6 months’ time. They aim to earn slightly better returns than what you can get from a bank account or a short duration fixed deposit. The risk of incurring a loss in these funds is negligible.
Franklin or Any AMC who is investing in Bond fund, they are very much aware about Paper of Company. After all calculations of Risk etc they added particular company bond in his portfolio for get better returns.
What happened with this fund –
In all these AMC Franklin, UTI, Nippon, Aditya Birla etc has taken bond Paper of Vodafone Idea Limited (VIL) according to his decision and calculation of Risk.
Frankln exposures was 4.4% in Ultra Short Term Bond fund. Now Supreme Court has reject the case of VIL. so Franklin has immediate marked down to Zero the Debt Security of VIL. Due to this NAV on 16th Jan 2020 has down.
According to me its very good decision from Franklin for Retail Investors. Scenario, if Franklin not take this action, then all Institutional investor book profit in his portfolio on higher NAV and Retails investors get penalized. Now this is win-win situation for all.
What to do now ?
HOLD 3 months
Franklin has now marked Zero that Does not means they have sold Paper. Bond Paper of Franklin maturity is in July 2020 and Sep 2021. Also VIL has not given any statement that they are not going to pay back of money of Bond Paper, means still value of paper is continue till maturity. Now 23rd January is last date given by Supreme Court to pay amount of Licence fee, Spectrum charges, if by any chance VIL declare Bankrupt then the current NAV is continue, Else there is no any tension. In all Cases, I can say that Gov will not going to loose VIL etc but pressure to be on head of VIL to pay such amounts. This is not happening with Franklin or other AMC is first time, you must heard ABSL Dynamic Bond Fund, ABSL Credit Risk fund. Nippon India Equity Saving Fund etc recently has created Segregated folio. Franklin has marked Zero but ABSL, Nippon has created segregated folio both are same case. Suppose any one hold investment in above fund and due to any reason, holder quite before maturity of paper and after maturity of paper company get his amount back with maturity value. In that case company refund the complete value to investor Bank Account. Therefor I will recommend to not exit from this Fund and continue till 3 months more, Franklin has taken this step and cease daily investment upto Rs.200000 only to win-win situation for our retails investor.
To gain maximum Franklin taken pain maximum, As in his folio there are lot of paper is AA- rating. Pls visit www.agindiaonline.com to get all details of paper or you may reach us at my telegram – https://t.me/mfpathshala, reached on whatsapp at 9891423442
Ultra Short Duration Funds are debt funds that lend to companies for a period of 3 to 6 months. >Ideal for anyone looking to keep aside money for a couple of weeks to a few months
>Near Zero risk of loss if someone invests for at least 3 months.
> These Schemes tend to give similar or slightly higher returns than Bank Fixed Deposits of equal or comparable investment tenure
> Due to high liquidity, ease of use and higher returns,
I’ve listed few mutual funds here, to help you get started. The list has been prepared based on the parent company and the past performance of the fund. The debt funds have no exit load fees (that means you can withdraw money from these funds any time, without any “minimum duration” requirement).
Debt -Ultra Short Term Fund
Recommended for emergency funds or parking money for any duration etc. Returns are better than FD and offers higher liquidity.
Fund Name
Annual Returns (5y)
Fund Class
Exit Load
Franklin India Ultra Short Bond Fund (G)
9.9%
Ultra Short Term Debt
0.00%
Reliance Money Manager Fund (G)
8.9%
Ultra Short Term Debt
0.00%
You can visit my you tube https://youtu.be/DmpFcKuHRDM for more about this fund. Also request to subscribe for more such videos.
You can invest direct from my website – www.agindiaonline.com after free Sign-up and i assure you that you will get my 100% support all the time to create wealth safe and more than Bank. Any suggestion you may whatsapp @ 9891423442 or telegram to https://t.me/mfpathshala
Value of Unclaimed / Physical Investment in the country is more than Rs 6,08,923 Crore
1- Stocks / Mutual Fund : Rs. 5,35,000 Crores lying in physical form 2- Unclaimed Provident Fund : Rs 43,000 Crores 3- Unclaimed Insurance : Rs 15,166 Crores 4- Unclaimed Bank Account: Rs 11,302 Crores 5- Unclaimed Corporate Dividends: Rs 3,454 Crores 6- Unclaimed Post Office accounts : Rs 1,001 Crores
If your money also under Unclaimed please don’t wait more and fill this below forms https://forms.gle/Piz7cPxi4qjPyMXp6 Our expert will contact you and help to get it retrieved.
Bringing your money back is what we do
Still holding loads of physical shares and mutual funds instead of Demat ?
Clueless on rejected applications of old investment retrieval by the company ?
Running from pillar to post for transmission due to succession, bankruptcy, insolvency, lunacy or
marriage ?
Issues relating to investment retrieval due to non-existent companies, change in names or
amalgamation, change in unit scheme, merger of mutual fund schemes ?
A case of ‘invest and forget’ and losing track of investments ?
Issues relating to retrieval of Provident Fund, Matured Insurance, inoperative bank accounts etc ?
Mutual Fund investment or Any investment without Goal Based Planning, never being success. As per survey almost 90% investment break before his maturity. So very important to create goal based planning.
In all investment, every one known that MF is good investment for Long term. as no investment will give return at par MF. But a little correction in Mkt everyone get penic and quiet from market. so whenever you are going to start investment, then think like LIC investment. Invest and continue till maturity. I assure you that you will get 100% better returns than other investment.
This is the reason why many mutual fund houses and advisors recommend goal-based investments to investors. This approach help investors choose ideal investments to achieve their financial goals. For example, if you are investing for short-term financial goals, you may opt for debt mutual funds. You should keep in mind that it is important to choose debt mutual funds based on your investment horizon and risk profile.
Similarly, if you are investing to create a retirement corpus, say, after 20 years, you should choose equity mutual funds according to your risk appetite. If you are a conservative equity investor, you should invest mostly in large cap mutual funds. Similarly, a moderate risk-taker can opt for multi cap schemes and an aggressive investor can invest in mid cap and small cap schemes.
It seems, you are new to mutual funds. If so, you should consult a mutual fund advisor before investing. New investors often need a lot of hand-holding and reassurances during the initial years of their investment lives. Only your advisor would be able to offer you personalized help.
If you are a new investor or you do not have a very high risk appetite and a longer investment horizon (minimum of seven to 10 years), it is better to stay away from small cap mutual fund schemes. Small cap mutual fund schemes are meant for aggressive equity investors who can stomach a lot of volatility and risk.
