Investing in India is an exciting time, as the opportunities are limitless. You can invest in a variety of different options such as fixed deposits and stock market or go for flexi cap funds which offer lots of freedom over your investment returns. This article breaks down what a flexi-cap fund is and reviews some of the best ones out there.
What are Flexi Cap Funds? Flexi Cap Funds are a type of equity fund that invest in a range of companies. This type of fund is designed to track the performance of the Indian market as a whole. Flexi Cap Funds typically invest in stocks, bonds and other securities. Flexi Cap Funds are also known as Liquidity Funds as they invest mainly in liquid securities such as government securities, corporate bonds and foreign exchange. A Flexi Cap Fund is an excellent choice for an investment if you want to take advantage of short-term trends in the stock market. These funds usually trade frequently and can be withdrawn at any time - perfect for those who need to make quick decisions about whether to invest. They're also a good choice for investors who have a short time horizon (fewer than one year) because they tend to do better during fast-moving markets. There are three main types of Flexi Cap Funds: Short-Term fund, Mid-Term fund and Long-Term fund. The Short-Term fund is designed to provide gain within 12 months, the Mid-Term fund provides gain over 2 years and the Long-Term fund takes advantage of long-term growth opportunities. If you are looking for a flexible investment that will allow you to diversify across a range of growth stocks, then these funds are perfect for you. Each Flexi Cap Fund has its own unique investment philosophy, so it’s important to do your research before investing. Best Flexi Cap Funds In India To Invest In There are currently a number of Flexi Cap Funds available in India, so it can be hard to decide which one is right for you. If you want to get started quickly, we’ve compiled a list of the top five funds based on their average performance over the last three years: 1. SBI Magnum Flexi Cap Fund - The SBI Magnum Flexi Cap Fund is one of the oldest and most well known flexi cap funds in India. It was launched back in 2001 and has consistently delivered high returns for investors. The fund invests primarily in equities but it does also have some exposure to debt markets. The fund has an investment limit of Rs 1 crore which makes it more accessible for smaller investors than some of the other flexi cap funds. 2. HDFC Special Opportunities & Convertible Debt Flexi Cap Fund - The HDFC Special Opportunities & Convertible Debt Flexi Cap Fund was launched in 2009 and is currently one of the largest flexi cap funds in India. It has increased its assets every year since its inception and as of March 2018 had assets worth Rs 21,019. 3. Parag Parikh Flexi Cap Fund - The Parag Parikh Flexi Cap Fund is a great option for investors who want to invest in a Flexi Cap Fund. The fund offers a good mix of Dividend Yield and Liquidity, which makes it a good choice for anyone looking for a balanced investment. The fund also has low expenses, making it an ideal option for investors looking for a low-cost solution. 4. PGIM India Flexi Cap Fund - PGIM India Flexi Cap Fund is one of the best flexi cap funds in India. The fund offers an excellent opportunity to invest in a wide range of securities including debt, equity and fixed income instruments. The fund also Provides liquidity to its investors through regular redemption of units. 5. UTI Flexi Cap Fund - If you are looking for a flexible fund that offers good returns and does not have any hiccups, the UTI Flexi Cap Fund is a good option to consider. This mutual fund has been around since 1995 and manages around Rs 2,000 crore of assets. All of these are some of the best flexi cap funds that offer diversified portfolios across multiple sectors, making them good options for investors looking for exposure to a range of companies and industries. Additionally, all three funds have low minimum investment requirements- making them suitable for a wide range of investors.
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Buying a health insurance plan in Dubai can be a confusing experience, especially if you’re new to the concept. There are so many different companies and providers that it can feel like there is no way to truly understand the costs and benefits of each option. Luckily, though, there are some pretty straightforward questions you can ask insurance brokers before diving into the world of health insurance in the country. Here are ten things you should ask before you buy health insurance in Dubai.
What is the annual premium for the policy? This is the first question you should ask before buying health insurance in Dubai. Find out what the policy costs you on an annual basis, and then make sure that you can afford it. This will give you a great idea of whether or not the plan is worth purchasing, and if there are other lower-cost options available to you. Does the plan cover maternity care and newborn care? Maternity care and newborn care are some of the most important types of healthcare. If you’re not covered for these services, you would be hard-pressed to find a provider that can provide the care you need at a reasonable cost. What’s a deductible and what’s included in it? One thing you should ask before buying health insurance in Dubai is what a deductible is. A deductible is the amount of money you need to spend out of pocket for healthcare before your health insurance kicks in. If you’re not sure what a deductible is, it’s the amount of money you need to pay for healthcare that your insurance company deems “pre-existing conditions.” Are pre and post-hospitalization covered in the policy? This is a straightforward question to ask. If your policy includes pre-and-post hospitalization, this means that the insurance will cover the cost of medical care while you are in the hospital. This can be very beneficial because you won’t have to worry about how you will pay for your medical care while you’re hospitalized and can focus on recovering. Are cashless hospitalization benefits included? This is something that a lot of people don’t think about. The cost of hospital care in Dubai can be quite high, and if you have health insurance, the cashless option will allow you to receive treatment without having to burden yourself with the costs associated with paying in full at the time of service. The important thing to remember is that cashless hospital care isn’t free. You’ll still have to pay upfront for the service you need before being able to benefit from it. This means that you should do your research and find out how much cashless hospital care costs before signing up for a plan. Is there a maximum payout per claim? One of the most important things to ask before buying health insurance is if there is a maximum payout per claim. One of the most common questions people have about health insurance in Dubai is how much they’re able to get back when they file a claim. What are the costs and benefits of buying and not buying insurance? One benefit of having an insurance plan with a high maximum payout per claim is that you can be more confident that you’ll be able to recoup your losses from an expensive medical treatment or surgery. This gives you peace of mind, knowing that if something terrible happens, you won’t have trouble rebuilding your life financially. Is there an option to add a spouse or child to your plan? Many health plans in the UAE include children or spouses as an additional benefit. If this is something that you would like to do, it’s a good idea to inquire about the option before moving forward with your purchase. Is there an option to add a family member later on? It’s probably safe to assume that most people will be purchasing a family health insurance plan. However, if you don’t know how many people are going to be living in your household yet, it’s essential to ask about this option before you buy. Whether you want to add more family members later on or not, it doesn’t hurt to ask. Final words: Don’t be afraid to ask! The best thing to do before buying health insurance in Dubai is to find out as much information about the different companies and providers as possible. The more you know, the better prepared you will be for your decision! It’s important that you ask your insurance broker about all your doubts and queries before purchasing a health insurance plan because sometimes patients aren’t able to see a specialist without paying first and then getting reimbursed later on down the line by their provider. It’s definitely useful to know what your options are before signing up for health insurance in Dubai. To learn more, you can visit the Gargash Insurance website today. Volatility is an inevitable feature of the financial markets and investing process. If you wait for it, you may never find the appropriate moment to invest in the stock market.
There are times when investors may believe they are losing money due to market volatility. As a result, they withdraw from mutual funds when they notice that the funds are underperforming. Having such an approach to market volatility can be harmful to your investing goals because the funds' performance may recover and, over time, provide you with very high returns. Many reasons lead to market volatility like internal corporate events, global events, macroeconomic variables, currency rate fluctuations, political considerations, and natural and man-made calamities. Investors During Market Volatility When the market is turbulent, staying invested and letting your money grow rather than redeeming your assets is more sensible than it seems. Investors should be aware that they may acquire more units when the market is down since the unit costs are lower. Similarly, when the unit prices increase, they will get more significant returns on their investments. This allows them to profit from market volatility while growing their capital over time. Mutual Fund Investment through SIPs Mutual fund investments through Systematic Investment Plans (SIPs) are where you develop financial discipline by investing in mutual funds regularly, and it would be best if you do it monthly. Mutual fund investment through SIPs assists equity investors in handling market volatility by providing more than just discipline. The market is characterized by volatility which cannot be eliminated. As a result, a method to counteract it is required. SIPs are the mechanism in question. When you invest regularly, you have the opportunity to invest at both market highs and lows. Mutual Fund Investment Approach Mutual fund investments through SIPs are a smart way to avoid volatility while also reaping the benefits of rupee cost averaging. You can adopt the following approaches to make the most of it:
Using Mutual Funds to Counter Market Volatility
Conclusion While everyone's financial condition is different, strategic mutual fund calculations can help you overcome unpredictable and unstable markets. Furthermore, unlike lump-sum investments, mutual funds are not expensive. PGIM offers a wide range of mutual funds for you to choose from to diversify your portfolio and tide over market volatility. Visit them today! When the unexpected strikes, families are always thrown into a financial loop. It’s difficult enough to adjust to a sudden job loss, let alone a significant life change like losing a job or a spouse. That’s why so many people opt for term life insurance. It’s a form of personal insurance that provides a financial safety net for your family if you can no longer support them. Since it only lasts for a set period, term life insurance is cheaper than its permanent counterpart or whole life insurance. Depending on your financial needs and the risk profile of your family, term insurance offers a variety of benefits. In hard times, term insurance can be a game-changer for your family.
Two Forms of Term Insurance There are different types of term life insurance and ULIP plans. However, when you break down the two primary forms—term insurance with an option to cash out on your policy and term insurance with a guaranteed payout at retirement—you’ll see differences in how the benefits work. Term insurance with an option to cash out on your policy offers a standard payout and comes with an additional option for a cash-out value if you choose to exercise it. On the other hand, term life insurance with a guaranteed payout at retirement offers guaranteed payments at retirement or after 10, 20, or 30 years (depending on your age). A Financial Safety Net That Provides Protection As a personal insurance product, term life insurance provides a financial safety net and is meant to protect your loved ones financially in the event of the untimely demise of the policyholder. It typically pays out to the beneficiary of the policyholder within a few weeks of the policyholder’s demise, which is different from whole life insurance, which usually takes months to years to payout. It’s Flexible You can choose to opt for a policy with a duration or decide to purchase a policy and then later renew it when necessary. People often buy term life insurance because they don’t know how long their family will need financial protection. For example, if your spouse is unemployed, you might purchase a 5-year term life insurance policy. This way, your family would be protected if you could not work. It’s A Great Way to Pay For Your Child’s Education Term insurance can be a game-changer for your family if you want to pay for your child’s education. If you want to ensure that your child has the funds necessary to complete their degree, you may want to opt for a guaranteed payout at retirement. With this option, you’ll have peace of mind knowing that they will have the necessary funds regardless of when they graduate from college or graduate school. This is one of the best ways that term insurance can help your family in challenging times because it ensures that your child doesn’t have debt hanging over their head. It Can Cover Your Loved One's Healthcare Needs One of the attractive qualities of term insurance is that it can cover your loved one’s healthcare needs in an emergency. If an unforeseen medical condition suddenly arises, you can help ease some of your family’s financial burden by covering these costs with term insurance. Term life insurance is also an excellent option for those still employed and would not take out permanent life insurance since their income is pretty steady. However, they may need to access their money soon after purchasing. When you choose a policy with a standard payout, you can easily access the funds in case you need them without penalty. Bottom Line Term insurance is one of the most important things you can do for your family. It may seem like a small thing to have in the face of all the other challenges your family faces when trying to recover from an unexpected event, but it can be a game-changer when it comes to their financial security. The peace of mind that comes with knowing your family will be taken care of financially for a set period or until retirement is invaluable. That’s why so many people opt for term life insurance when they’re unemployed or struggling financially. Hybrid funds are mutual funds that diversify your portfolio by investing in both equity and debt instruments. A mix of the two types of assets can give higher returns as compared to debt funds and is less volatile than pure equity funds.
Through a balanced investment portfolio, these funds aim to achieve wealth appreciation over time with a minimum possible risk. Here are the advantages and disadvantages of investing in hybrid mutual funds to help you decide if you should consider them. The Pros of Hybrid Funds
The Cons of Hybrid Funds
In a Nutshell While hybrid funds are known to offer diversification and risk management through asset allocation, it is important to consider their pros and cons before including them in your investment portfolio. PGIM offers the best hybrid mutual funds for you to invest in. To know more, click here. Term insurance, which is essentially life insurance, usually has many varieties. This is basically used as a life cover and comes in many different forms and tenures. There are plans with a tenure of 5 years, and there are plans for tenures up to 20 years. These are the normal tenures offered.
The term insurance, which is the one you need, depends on several actors. The first is what is the premium you can afford to pay each year? This is the first step. Once the premium has been decided, after careful checking, then the sum assured can be calculated Calculating the sum assured has several factors which must be considered. The first is the age of the applicant. The younger the applicant is, the lower the premium. Therefore if the applicant is young, then the premium can get a higher sum assured. Older people will have to pay a higher premium, and this means a smaller sum assured will have to be accepted. While the premium can be paid quarterly, half-yearly or annual, it is necessary to see whether this amount of money is available each year. A young person who has started working has a long working life ahead of him, and he can therefore be more or less sure of paying the premium for the entire term. Older people need to be careful. The other factor is what sort of term should the insurance be for. If a young person in his twenties or early thirties is the applicant, he can take a long tenure and a policy with a shorter tenure. The thing is to figure out the exact goals which the applicant has in mind. The normal term insurance plans are basically a life cover, with a fixed premium to be paid every year. Tenures are usually from 5years to 20 years. The only feature of this policy is the life cover. Depending on the age of the person, this sort of cover can be used as an instrument to save money and get a lump sum at a specific time in the future. This can be for higher education expenses of siblings or marriages. Both these need large sums, and a policy which matures at about the time when these events are due makes sense. For older people, however, the term must be decided on the basis of short term needs. A lump sum after 5 years may be of use for various things. This depends on the age of the applicant. Nowadays, term insurance is available for people up to the age of 65 years. At that late age, a short term policy makes sense or a policy which offers a pension plan. Term insurance is a savings, and at maturity, the amount receivable includes interest and bonus. Therefore the amount at maturity is larger than the total premium paid. The younger the applicant, the more the benefit. However, there is the ULIP or unit-linked insurance plan for younger people. This is a plan whereby the applicant gets a life cover and has an opportunity to invest in market instruments. Therefore there is a dual benefit. The applicant decides the investment portion, and the insurance company uses that portion to invest in the market on behalf of the applicant. This means that the premium can ct as an investment vehicle as well as a protective life cover. However, this sort of insurance is more beneficial to younger applicants. Tax relief is also a part of this term insurance plan. You will get two types of investors in the capital market - aggressive and conservative. While aggressive investors prefer investing in high-risk equity stocks, conservative investors prefer debt and gilt funds more.
Gilt mutual funds in India invest in government securities with zero credit risks, meaning you will never lose your investment amount. However, they are often subject to interest rates or duration risks. This article elaborates on the top advantages and disadvantages of gilt funds so that you can make an informed choice. What are Gilt Funds? Gilt funds were introduced by the Britishers in India. During the colonial era, gilt funds were considered the safest investment option in the country. Gilt funds invest your money in various high-quality central and state government-issued debt securities. Like a bank deposit account, a gilt fund generates interest income, and investors receive a part of it. The performance of gilt mutual funds is closely linked to the movement of the interest rates in the economy. In fact, gilt fund returns, and interest rates are inversely proportional - when the interest rates rise, gilt fund returns tumble and vice versa. Therefore, investors often prefer investing in gilt funds during a falling rate regime. The Top Three Advantages of Investing in Gilt Mutual Funds in India 1. Security - Since gilt funds invest primarily in government securities, including treasury bills, bonds, and dated securities, they carry no credit risks. The RBI decides the interest rate of these bonds, making them immune from credit risks. Hence, all informed risk-averse investors willing to get higher returns than fixed deposits prefer investing in gilt funds. 2. Open-Ended - If liquidity is any consideration, gilt mutual funds are the best investment instruments. While most other mutual funds come with an exit load for withdrawals made before one year from the investment date, gilt funds have no exit load. Hence, you can withdraw the amount any time you want. 3. Easy to Invest - Earlier, gilt fund investments were restricted to large financial institutions and banks. However, because of the easing of norms by the RBI, retail investors can also invest in gilt funds. Reputed mutual fund houses, such as PGIM Mutual Fund, offer easy access to government securities through gilt funds. You can submit documents like PAN and Aadhaar cards to create a mutual fund account and invest seamlessly. Now that you know the top advantages of gilt mutual funds in India, let's look at its disadvantages. The Top Three Disadvantages of Investing in Gilt Mutual Funds in India 1. Interest Rate Risk - Gilt funds are totally dependent on the RBI-set interest rates. If the RBI decides to increase the REPO (Repurchase Option) rates, the returns from gilt funds may drop sharply. Hence, your returns from a gilt fund scheme might not be as expected if the interest rates are already at their lowest points and RBI plans to increase the rates. However, since these mutual funds invest in only government securities, the credit risk is nil. 2. Expense Ratio - Not only gilt funds but mutual fund houses levy an expense fee, a.k.a. expense ratio, on all mutual funds across categories like equity, debt, commodity, fund of funds, etc. The expense ratio brings down the overall return from a mutual fund scheme. Fortunately, the Securities and Exchange Board of India or SEBI has capped the maximum expense ratio at 2.25% for debt funds, including gilt funds. For instance, the expense ratio of the PGIM India gilt fund is 1.45% (as of 31-Dec-2021). 3. Not Much Power in the Hands of the Fund Manager - Since gilt funds invest primarily in government securities, the fund manager does not have many options to switch. So, even when the manager understands that the fund returns will decrease due to rising REPO rates, they cannot come out of the investment since government securities have fixed maturity dates. PGIM Makes Gilt Fund Investments Easy! While the capital loss risk of gilt fund investments is minimal, PGIM invests in A-III government securities providing maximum returns. Gilt funds are safer than traditional debt funds, and PGIM Mutual Fund makes it safer and more rewarding. A term life insurance policy in itself is a boon to the financial security of a family, and if a person gives it a boost by adding some additional riders to the policy, then they can be extra sure about the wellbeing of their loved ones. The term life insurance policy only provides benefits to the nominees in the case of an untimely death of the policyholder, whereas the additional riders can provide an extra cover to the nominees even when the policyholder is alive. The additional policy riders can be of many types- additional death benefit Top Up, Spouse cover, multiple options for the payouts, child support benefits and many more. As all the names suggest, all these additional riders effectively safeguard a person's loved ones.
Types of additional riders-:
Benefits of additional rider to the term life insurance policy:
Unit linked insurance plans, or ULIP plans, are long term insurance cum investment plans that are best suited in the long run. ULIP plans offer protection as well as wealth creation prospects for individuals who buy these policies and their family in the long haul.
What are ULIP Plans? ULIP plans offer the dual benefits of insurance and investment to the policyholder. The policyholder has to pay monthly or annual premiums, segregated into two sums that offer protection while the other is invested into debts and equities. ULIP plans are subject to the capital market risks, and hence the policyholder has to bear this risk on his/her investment portfolio. Therefore, it is advisable to research, compare, and then select the best ULIP plan that can offer adequate protection and create lucrative investment opportunities for you. Features and benefits of ULIP Plans The best ULIP plans offer numerous benefits. Following are some of the key features and benefits of ULIP plans:
Why are ULIP funds the perfect plan to protect your family? ULIP plans are insurance-cum-investment policies, which can cover all the future financial needs of the policyholder and his/her family. While being completely protected throughout the tenure of the plan, the policyholder's premiums are invested in stock markets to earn returns. Following are the reasons why ULIP plans are co sidered the perfect investment choice to cover one's family:
Buy ULIP plans online One can purchase ULIP plans online, simply by:
Plagiarism Report: https://smallseotools.com/view-report/50afa823d3934c9c4ea29a007973a1d6/ Mutual funds, especially SIP investments in mutual funds are often considered by salaried investors since they offer high convenience and the opportunity to build an investment corpus basis regular, small investments.
Moreover, they allow salaried investors the convenience of online investment, tracking, and withdrawal. Since there is no minimum time commitment, it also offers them peace of mind about getting to liquidate their investments in case of any emergency. However, often, salaried investors end up overlooking the different types of mutual funds available to them. They end up focusing on tax-saving mutual funds as opposed to other mutual funds such as equity mutual funds, hybrid mutual funds, debt mutual funds as well as international mutual funds. This is because salaried professionals are always on the look out for great tax-saving products that offer add on benefits with regards to investments and returns. While tax-saving mutual funds do offer their own set of benefits, it is important to understand that their primary goal is to save tax rather than maximize potential of returns. Further, it is important to build a diversified and balanced portfolio by investing in different types of mutual funds. Here are 4 types of mutual funds that most salaried investors overlook, but should be considered for a well-balanced portfolio: Equity funds As the name suggests, these mutual funds are linked to the equities market. However, instead of opting for a single equity mutual fund, it is important to diversify across large-cap, mid-cap, and small-cap equity funds after considering one’s investment tenure and risk appetite. Unlike tax-saving mutual funds, equity funds do not require to make a minimum holding period. More importantly, you can expect these to meet your long-term investment goals such as your child’s education or your retirement since these are subject to short term market fluctuations. Debt funds Debt funds can help protect your portfolio from equity-related volatilities. They see your SIP and mutual fund investments going into PSU bonds and the likes to give you safe returns. Unlike traditional debt instruments, debt mutual funds can be considered for mid-term investment needs such as 5 years. Hybrid funds This is ideal for busy salaried investors who do not have the time to periodically look out for new funds that help build a balanced portfolio. Hybrid funds balance asset allocation into debt and equity. This is because they are designed to give you the benefit of equity-linked returns while give you the safety one associates with debt-based fund allocation. Further, investors typically opt for such hybrid funds when they are unsure if their portfolio needs more equity or more debt-based allocation to meet their mid-term investment goals. International funds This is easily the most overlooked mutual fund when it comes to salaried investors. This is because they typically associate international investment opportunities as one that require significant research as well as high SIP amounts. However, this isn’t true. International mutual funds or international funds allow salaried investors to let their portfolio benefit from global equities market by investing small amounts on a regular basis. Further, since it doesn’t require any additional documentation as compared to mutual funds that allocate in the Indian market, the process is fairly simple and straightforward. Investing in international funds lets you diversify and protect your portfolio from local market volatilities. Conclusion There are various types of mutual funds that can help build a diversified and robust portfolio. Further, most of them are fairly simple to understand in terms of their asset allocation approach. Hence, salaried investors must consider and broaden their horizon. |
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