It pays to hire a financial planner!

We often try to dabble in fields that don’t concern us, and eventually accept that we’re terrible at it! Same is the case with financial management. We often think that it is our money, and therefore we should manage it. Rather, we think that since it is our money, no one apart from us will know how to manage it. There’s some sort of skepticism as well when you go to hire a financial planner. After all, what if he slips, and all our hard earned money goes down the drain?

Well, such concerns are pretty natural. Since there’s a lot of money involved and possibly at risk, one is bound to feel nervous. However, you will soon come to terms with the fact that only a financial consultant, also known as a financial planner, is the best person to trust your money with. They are highly qualified, well experienced, and possess educational degrees in the field of finance. In fact, while hiring them, you should look at these qualities. If they don’t possess a degree, you shouldn’t hire them. Try to ensure that you are getting hold of a CFP or a CFA! 

You can contact financial planning companies in your city and ask them to send over a financial planner or a consultant. While a financial planner noida will plan out your financial roadmap properly and look after your investments, a financial consultant might just offer you some advice. It is totally up to you which one would you like to hire. Typically, they will come and give a short presentation mentioning about the key benefits they can offer you, whilst also throwing some light on their significant achievements, major past and present clientele. 

A lot of people wonder how much does it cost to hire a financial advisor. Different financial advisors have different modes of compensation. While some work on a flat monthly fee, others charge commission. There might be a combination of both the compensation modes too. For detailed information, you could check online. They will mention some sort of estimated pricing for all those interested in hiring financial advisors.

Importance of a child insurance plan for Indian parents

Becoming a parent is always a special moment but with it comes the responsibility of bringing him up to be a successful man and ensuring that his/her future is secured. For Indian parents, the biggest commitment is perhaps being able to provide the child with the best education. However, education today is not spared from the rising costs and inflation.

It is even believed sometimes that the first impact of inflation falls upon education of a child. Therefore, parents need to start planning as early as possible such that no sacrifice needs to be made when it concerns the child’s intellectual future. As of today, a child insurance plan is probably the best weapon in this regard. There are even several other advantages that child insurance comes with in India.

·         Life insurance policies for children are more affordable than any other life insurance policy

·         Investment in children insurance plan is similar to an ULIP investment. The only difference is that the investors are the parents while the final beneficiary is the child when he/she grows up

·         In case the parent dies, a lump sum amount is given to the family but the child insurance plan doesn’t terminate itself. It acts as a corpus that remains intact till its exact maturity date

·         Te returns on insurance policies for children are tax-free and can save you a lot

Every Indian insurance company today has a child life insurance plan. However, differences in the conditions still exist between plans and it is necessary to do your part of research for seeking out the best investment.

Another thing that seems a little confusing in arriving at is the exact amount that should be contributed every month as premium towards your child’s policy. 

In this case a backward estimate is necessary but this calculation is better done by a professional as it involves several other factors like future market conditions, educational expenses, emergencies, etc. realizing later in life that the premium was less when  you could have contributed more wouldn’t solve the case. So, planning ahead in advance is the only option.

Getting to know a home loan EMI calculator

For any home loan borrower a constant question that runs through the mind is how to effectively get at a figure that he/she can prepare for. Not very long ago, someone looking to apply for a home loan had to go to several banks to get an approximate idea of installment figures. To understand the work of a home loan EMI calculator, we need to clear out any questions regarding the process of EMI first. EMI as we know is the monthly payment that one has to deposit back in loan in exchange of the substantially large loan that was approved.

EMI calculator gets you a rough idea on how manageable and affordable you EMI plan could be. It gives a quick note on how much of your monthly earning you will have to set apart for your EMI payments. It is in fact a very simple process but works out to be of considerable advantage for property planning. Generally a home loan EMI calculation would require the following inputs:

• Interest rate
• Loan amount to be applied for
• Tenure in months

 You always have the option to recalculate by varying the loan amount and months you want you be in the repayment period if things in the first instance don’t seem affordable. Another advantage of the home loan EMI calculator comes when you have the interest rates applied by various banks and come at the most good looking figures. Thus, a bit of calculations can win you the best deal.

All the variables applied in the home loan EMI calculator are dependent on each other. Vary one and the whole calculation takes a different front. One should understand how to get to the best affordable final figures while also having enough for your current requirements. In case you are planning to sell the house you bought just a couple of months ago for some profit, a shorter tenure will be applicable. You can always talk to the bank to increase the installment amount at any instance. This way your tenure gets reduced.

Thus, it is certainly beneficial to have a home loan EMI calculator at your disposal when planning to make an investment. Only you need to know to use it properly.

How to avail Affordable Health Insurance Plans

Insurance Plans are necessary for everyone. There are so many insurance plans. What does this show? There is a huge demand for health insurance plans in India. It is all about security in the country. India is one of the nations where hardships are common and people are evidently facing a lot of problems due to the rumble in the markets. At the end of day, they need an instrument to protect themselves against risks. Insurance plans are the best way to cover risks. As a policyholder myself, I have faced a lot of problems. I had to search extensively for the right policies. After the research was conducted in an orderly fashion, I had to hunt for a mediclaim agent. Then we had to perform a lot of calculative work to come to a preferred result. This way we chose the right policy for my family. Health Insurance plans provide a medical cover against the hospital expenses. If you have an urgent requirement for getting yourself treated at a hospital, then where will you get the necessary capital from? Hospital Expenses are becoming dearer by the day. There are all sorts of charges thrown in, room charges, food charges and on and on. There is simply no limit to such expenses. So a medical cover is the best.

 Where can you get affordable health Insurance plans? 

   Affordable Health Insurance plans can be availed from
• Government Agencies
• Private Risk Assurance Companies
• From the infirmary itself

 How Family Health Insurance plans are helpful? 

When a policy is purchased, there is a choice of adding any number of family members to the policy. The advantage of having multiple members in a policy is the split up of premium. It is much lesser than the premium of two different policies. It is the only way to get an additional profit because, you can float the charges. For example, if the total policy is worth 15 lakhs, then all the members and policyholders can enjoy the benefit of the medical insurance. If the policy was an individual one with every member having a policy of five lakhs each, then the benefits would be one-third of the first case.

Wealth Management in India include Family health insurance plans

There are many kinds of wealth management firms in India. They are a lot of companies which provide wealth advisory services in India. They are of all kinds. Some provide a combination of services while others provide single services. The variety is simply incredulous and India has a healthy wealth management scene due to the amount of High Net worth Individuals in India. These rich people are the richest on the planet. So you can understand the quality of  Wealth Management in India .

As a wealth manager, I have seen a lot of growth and advancement in the wealth management sector in India. The amount of assets and the quantity of liquid and solid assets make it difficult to steer the course of the holdings. Due to the high volume, there is a lot of uncertainty towards the growth and reach the pinnacle. Another problem is the prediction of the performance of the suggested investment carrier.

Why Family health insurance plans?

As an employee of a wealth management firm, I have come to realize one thing. There are many wealth management firms in India which are of the highest pedigree. The professionals heading the institutions are experienced and well versed with the wealth management techniques. They devise brilliant strategies to handle the client’s cash flow. If there is any hurdle in the wealth management plan of the client. Believe me, after spending years in the industry, I understand it.

The difference between an employed person and a rich investor is as follows:

·         The ordinary people who have been employed for long, purchase normal plans. Indians purchase life insurances by the numbers. They have a mentality of securing their household and deliver it by purchasing family health Insurance plans.

·          Family Health insurance plans can be floated, so you get the benefit of the maximum if any one of your family falls sick. Suppose you have a collective policy of 20 Lakhs. If one of you falls sick, then he could get the maximum benefit. A different policy for every member will mean additional premium.

The rich are getting richer. Higher salaried persons and people who are working and running their own businesses side by side are increasing in number. These numbers have grown in the last few years. They will increase in the future also, and the wealth management companies attract all kinds of customers, so you can now put one and one together.

Choosing the Best Mutual Fund for You

A mutual fund is an investment method that consists of a pool of funds gathered together from many investors. These funds are then used for investing in securities such as stocks, bonds and money market instruments. The portfolio of a mutual fund is designed and maintained go along with the investment objectives stated in the prospectus. So how do you know the best mutual funds for you? Here are some things to look out for when choosing the best mutual funds in India.

Identify your Goals 

Before putting your trust in any of the shares, you must identify your ultimate goal for the money being invested. Are you looking for long-term capital gains, or would you prefer a current income? Will your money be needed for use immediately, or is it to guarantee you a better retirement decades away? Identifying your goals is one of the most important aspects because allows you to shortlist the more than 8,000 mutual funds to suit your goals. 

The time issue must also be looked into. You must estimate the amount of time they are able to tie up their money, or if you are anticipating issues regarding liquidity. This is caused by the fact that mutual funds do contain sales charges and that can a big chunk of your return over short periods of time. It would be best if you have an investment plan which is five years or more. 

Type of Fund 

Your may be best suited for a long term capital appreciation fund, if you are planning and willing to use your money in the fund for a long term need, assuming there’s a fair amount of risk. A high percentage of your own assets are typically held in these types of common stocks. They are considered to be volatile. The potential reward over time would be quite big.

In contrast, if you find yourself in need of current income, you should look to acquiring shares in an income fund. Common holdings in an income fund are such as governments and corporate debts.

Charges and Fees 

Mutual funds make a profit by charging a small fee to you as an investor. Make sure you gain understand a handful of the different types of fees that you may come into when investing.

Look for no-load funds to avoid this kind of sales fees. This way, you can make sure they don't charge a front- or back-end load fee. However, keep an eye out for other fees in a no-load fund. There might be a high management expense ratio or other administration fees; this is to make up for the missing sales fees.

Here are some useful tips for you while choosing the best mutual fund for your needs.

Financial Companies in India offer different period plans

There are many companies who help people to manage their wealth better. Yes, this is about the financial advisors who understand all about money. The number of Financial Planning Companies in India is increasing by the day. There are a lot of bigger players in the game who have the infrastructure to introduce new and better plans for its customers. There is a lot of expectation from the Financial Planning sector.

Financial Planning in short term is like a 100 m race 

Financial planning for a short term is like a hundred meter race, where you have to achieve the maximum output in the shortest possible time. You cannot simply manage to lose your steam. A financial planner will call a short term loan by many names. He could call it day trading, unit investment trusts and what not. The financial jargon could be anything. There are a lot of short term investment choices in India.

Before hiring the services of a company
• You should first ask the name of the financial planning company.
 • After you get to know the name of the financial planning company, you can confirm whether the company is a registered one.
 • Then you should minutely ponder over the track record of the company. Whatever be the requirement, there are a lot of short term investment plans for everybody. You can choose from a lot of options.

Long term plans are like a marathon 

Long term plans are like a marathon race. In a marathon, you need to save your energy for the last portion. Same goes for the long term investment plan. The results will yield after a long time. So you need to strategize a lot earlier and slowly execute the plan for the maximum benefit. Long term plans require a lot of planning and the constant services of a financial planner. The biggest advantage is the number of financial companies in India so there are a lot of products on offer. The real deal begins when you actually implement the plan finalized by your financial planner. Here also you follow the same procedure while ascertaining the financial planning services you have hired.