You are NOT comfortable with the low interest rates on your bank fixed deposits. Rightly so since you would not have seen such low FD interest rates ever in your life. Low interest rates hurt even more when you rely on interest income to fund your monthly expenses. You are desperately looking for solutions to enhance your income without taking too much risk. You come … [Read more...] about What are Covered Bonds? Should you invest?
Annuity plans are the only investment products from insurance companies that I do not dislike. Annuity products can serve a purpose in your portfolio that no other investment product (mutual funds, stocks, bank fixed deposits) can serve. And what is that purpose that no other product can serve? Ensure/Guarantee an income stream for life. LIC has launched a new … [Read more...] about LIC Saral Pension Plan (862): A New Immediate Annuity Plan from LIC: Review
The recent Covid-19 crisis tested the adequacy of health insurance covers for many of us. What seemed like robust health cover proved to be inadequate, at least in some cases. The employer cover of Rs 3 lacs and private health plan of Rs 5 lacs seems woefully inadequate now. Doesn’t it? Two questions: What is an adequate health cover then?How do you enhance your health … [Read more...] about Health Insurance: A Big Base Plan Vs. A Small Base Plan + Super Top-up plan
Which is the best way of investing in gold? Physical gold, Jewellery, gold ETFs, mutual funds, or Sovereign gold bonds? Let us leave out physical gold and jewellery in this post and focus on financial investments in gold. In this post, let us compare the various features of gold bonds and gold ETFs (and gold mutual funds) and assess which is a better choice. #1 … [Read more...] about Gold ETFs Vs Sovereign Gold Bonds
Exchanged Traded Funds (ETFs) and index funds are low-cost ways to build a diversified equity portfolio. Both are passive investments. Both try to replicate (and not beat) the performance of a benchmark index. For instance, both Nifty 50 ETF and Nifty 50 index fund will try to replicate the performance of an index fund. This is achieved by holding the constituents in the … [Read more...] about ETFs vs. Index Funds: Which is better?
The Reserve Bank of India has released the calendar for the Sovereign Gold Bond Scheme, 2021-2022 for the first 6 months of FY2022. The Bonds will be available for subscription in 6 monthly tranches from May 2021 to September 2021. For the tranche that is now open for subscription (May 17- May 21, 2021), the subscription price is Rs 4,777 per gram. For an online … [Read more...] about Sovereign Gold Bonds 2021-2022: Should you invest?
Covid-19 infections are on the rebound. Despite the precautions, the cases are on the rise across the country. While it is paramount that you take precautions and avoid getting infected, given the pace of spread, you must also prepare for the financial burden if you or one of your family members gets infected and requires medical treatment. One of the ways to avoid a … [Read more...] about Corona Kavach and Corona Rakshak Health Insurance Plans: Should you buy?
There is Low Volatility ETF and a FoF (that invests in the ETF) And there is a UTI momentum index fund now. I have a favourable view on both the indices. An investor asked: Which is better? Low Volatility ETF or Momentum Index fund? Should we invest in both? Easy question. Difficult answer. This post is likely to leave you disappointed if you are looking for an … [Read more...] about Low Volatility ETF or Momentum Index Fund: Which one to choose?
LIC has launched a new life insurance plan, LIC Bima Jyoti (Plan 860). LIC Bima Jyoti is a non-linked, non-participating, limited premium payment life insurance plan. Let us review this plan and see if you should invest. LIC Bima Jyoti (Plan 860): Salient Features Non-linked: It is not a ULIP. It is a traditional life insurance plan.Non-Participating: This means that you … [Read more...] about LIC Bima Jyoti (Plan 860): Review
The Budget 2021 changed the way Unit Linked Insurance Plans (ULIPs) will be taxed. This reduces the difference between the taxation of mutual funds and ULIPs. Let's find about how ULIP taxation has changed. What is the new rule about ULIP taxation? If you buy a ULIP on or after February 1, 2021 and the aggregate annual premium of such ULIP (ULIPs) exceeds Rs 2.5 lacs … [Read more...] about How ULIPs will be taxed? (After Budget 2021)