Once the year is out, we look back to know where the returns have been bountiful and whether our own parking places have been rewarding enough. The following charts gives an idea but my contention is to tell you about the success in Unit Link Insurance Plans as an ultimate alternative to traditional investing. Those who kept their funds in growth fund have been able to get returns of 43.8%, the conservative ones have been able to get returns of 23.85 % by keeping funds in balanced fund and still more conservative have been able to get return of 14.96 % in through defensive fund ( with HDFCSLIC) during the year just out. These returns are tax-free and therefore have more value and HDFC SLIC has been able to out perform the indices and the peers by a wide margin. Now those who judiciously took efforts to switch funds at right time in right proportion were able to raise returns handsomely and kept themselves in safe waters. Have a look at the tablebelow:
| Asset class | | | Returns | |
| Art | | | | 104.08% |
| Gold | | | | 48.47% |
| Direct Equity | | | | |
| Sensex | | | | 42.30% |
| Nifty | | | | 33.90% |
| Equity Mutual Funds | | | ||
| Diversified | | | | |
| Best performer - Sundaram select midcaps | 56.70% | |||
| ELSS | | | | |
| Best performer – Birla Tax Relief 96 | 40.70% | |||
| Balanced | | | | |
| Best performer – JM balanced fund | 35.50% | |||
| Real estate: Premium Residential | | |||
| Tier I & Tier II cities | | | 15-20% | |
| (Source: Narains Corp) | | | ||
| Debt | | | | |
| Bank FDs – Best rate | | 8% | ||
| Post office savings | | | 8% | |
| Debt Mutual Funds | | | | |
| Long term debt | | | | |
| Best performer – Pru ICICI Gilt Investment | 9.70% | |||
| MIP | | | | |
| Best performer – Reliance MIP | | 14.40% | ||
| Floating rate | | | | |
| Best performer – LIC MF floating rate fund | 7% | |||
I invite my readers to extensively discuss the merits of the Unit Linked Plans. I would appreciate if you let know your precise financial goals and risk profile, I would be able to show to you how efficiently these goal may actually be achieved.
Wish you a year of all-round success and fulfilling times ahead,
Hari Om
Krishna Kumar Khandelwal
2 comments:
dear sir,
WHAT ARE THE HIDDEN CHARGES IN HDFC LIFE ULIPS LIKE ALLOCATION?THANKS
There are in fact no hidden charges in case of HDFCSLIC's ULIP
products. The charges are declared beforehand.Fund allocation charge
is just 60% of first years premimum and from the second year 99% of
the premium paid goes in to investment and the top-ups also are
invested to the extent of 99%. This charge actually covers costs
involved in marketing , free medical check upprovided to policy
holders as also the commission payableto the consultant. Your annual
statement reflects all charges.
Please feel free to contact for any further detail.
Thanks,
Krishna Kumar Khandelwal
Post a Comment