Give your kid the best of everything by planning today.

April is that time of the year when new academic session begins in most part of India. This is also the time, when parents have to shell out a lumpsum of money; it will be difficult time for you unless you have already planned your personal finance properly.  If analysed, these short-term plans are often neglected by the parents. Most of the parents first think about their child’s future but that doesn’t mean you ignore the present scenario.

Click on the article attached below, to read in detail how you can plan your short-term finances and make sure you don’t face difficult times during the beginning of your child’s academic year.

Talking about education and their expenses, the cost of the present education system is on rise! And if one is planning for foreign education, the cost has gone up by over 20%. This doesn’t mean you stop thinking about your child’s best future. In spite of the high rise in price, there are several things you can do to ensure that you achieve your kid’s dream. For example, opt for Pot-of-money approach, start early, decide on asset allocation, choose SIP or Insurance and so on.

Click here > http://www.indiainvestkaro.com/toi_pdf/TOIM_2012_4_17_15.pdf and start planning for your child’s best future now!

 

Choose the right Financial Adviser

 A financial adviser is the professional who helps you with your investments; hence it is important to check if he/she is equipped with the right amount of information and experience. Moreover when analysed financial advisers usually suggest you to have a mix of mutual funds - shares, bonds, insurance policies and gold to meet your long term goals, however, unfortunately not all financial advisers are capable of advising you all assets classes, for whatever reasons. So, it is essential that you make an effort in choosing the right financial adviser.

Many people have the tendency to think that they can take care of their financial investments without any guidance, which is a wrong perception. You require a professional guidance when it comes to investments because financial advisers are the bridge between the market and they aim mainly at capturing every opportunity in the market. 

To know more, how you can pick the right financial adviser and what are the certain things that a financial adviser keep in mind click > www.indiainvestkaro.com/toi_pdf/TOIM_2012_4_10_15.pdf

Tax - Saving MFs May Beat New Scheme

The Union Budget has bought a lot of changes in the financial market. Finance Minister – Pranab Mukherji surprised everyone with his speech on the new scheme aimed at bringing new investors into Equity market through tax-incentives. Although detailed working of the scheme is yet to be out, at the basic level, the scheme would allow for income tax deduction of 50% to new retail investors, who invest up to Rs 50,000 directly in equities each year. Not only is this, at the outset, the scheme is first of its kind that gives direct incentives to equity investment through tax sops.

By introducing a new scheme, the budget has also given some relief to tax payers in the form of hiked income tax exemption limit and also made some changes in the tax slabs!

It doesn’t end here, for all those who have a Savings Bank account; the budget has proposed a tax free income of upto Rs.10, 000 in your savings bank. Click on the article attached below to know what financial planners have to say about this.

2012 Union budget also brings a smile to fresh retail investors. The budget has launched various investor friendly initiatives, which can be a win-win situation for all new retail investors. 

This was just a gist, to know how Union Budget has affected the Indian financial market in detail, click > http://www.indiainvestkaro.com/toi_pdf/TOIM_2012_3_20_17.pdf

The Deflationary Power of Inflation

Rate of Inflation has been rising continuously from the past couple of years in India. ‘Inflation rate’ has affected the lives of consumers, policy makers and the government officials because it has a great impact on stakeholders in the economy in different ways. Out of these three people affected, consumers have been hit the most which in turn hits the policy makers and people in the government. 

As for investors, most of them don’t realize the impact of inflation rate but investors can be affected by inflation rate in different ways especially for long term investments. The unawareness about this fact leads to low returns, hence, it is a mandate to know how it affects you and ways how you can beat it. You can get details on investment during inflation by clicking on the link below. 

Talking about investments, there are several things you look into before investing such as safety, capital, returns and liquidity. Amongst all these factors, people tend to forget the most important one i.e. inflation rate. However, in a country like India, debt instruments are most affected due to the economic conditions (inflation rate). But there is a solution to everything; indexation is a concept that is a must to know in such situations. But, the benefit of indexation applies to only long term investors.

To safeguard short term, we need to opt in for fixed income investments. Short term investments like monthly income plans is always a good idea during inflation. This is also a tax efficient way to invest as gains from all investments for over one year are tax free. The idea is to hitch onto something that is already going up with inflation. Also, you will not find this tough as the value of services and goods is always going up during inflation. 

To read the article, click >  http://bit.ly/weUjkk

This Valentine - Tie the Love Knot without affecting your pocket

Wedding is the most expensive affair India, and it is something that everyone has to spend on, in their lives. On wedding you don’t come to know how money flies, one finds it difficult to keep a track of money during this festive moment.  Speaking of wedding, how we can miss gold, in every Indian wedding making gold ornaments is a must! But as we know the increase in inflation rate has raised the standard of living and in return the weddings have become all the more expensive. Hence, an effective financial planning like mutual funds schemes are required whether you are planning your own or your child’s marriage.

When you are doing financial planning there are few points you should keep in mind. First thing is to identify is when the marriage is taking place, in other words, how much time do you have in hand and accordingly your spending will be decided. Similarly, this way, there are several steps involved in planning an effective financial structure (click on the link below, to know them in detail). The early you plan, the more effective your plan will be.

Coming back to gold the most important thing in a wedding according to Indian customs, hear from  Rajesh and Mithali, a married couple is talking about their upcoming daughter’s marriage, the role that gold plays and tips of how to come up with a good financial plan. According to them, discipline is the key, to carry on with your financial goal irrespective of ups and downs.

In India, parents are suppose to spend on their child’s wedding, however, to avoid any on the spot financial crises and to live your dream, saving for your own wedding is the best thing you can do. Read the case study of Sanjay Shah, a bachelor who manages to save a lump sum of money for his wedding.

There is much more you can learn this Valentine about money and saving up for your love. Just read the article: http://bit.ly/xA6C3q

Everything about Mutual Fund

Investing in Financial market is easy and cost-effective through Mutual Funds. The concept of Mutual Fund was introduced in India back in 1963 with the initiative of Government of India and RBI. Initially, there was not so much of buzz, however, after few years in 1987 Mutual Fund made news all over India. But it was between March 2003 and March 2011 when the industry annual growth rate increased at 31.25%.

There are several benefits of investing in Mutual Funds apart from liquidity, tax benefit, affordability and professional management, Mutual Fund is the best way to get maximum return on your earned money. SIP is a very effective way to invest in equities in a systematic manner.

There are several types of Mutual Funds that one can opt for:

1.       By Structure:

a.       Open Ended Scheme:

In this the company raises money from shareholders and invests them in a group of assets.

b.      Close Ended Scheme:

These are the funds that can be bought or sold during NFO (New Fund Offer) period.

c.       Interval Schemes:

It is a combination of Open Ended and Close Ended Schemes.

2.       By Nature:

a.       Equity Funds:

The fund invest maximum amount of their money in equities.

b.      Debt Fund:

This is for those who look out for low risk and stable income. These funds invest money in debt instruments and hence are suitable to those who are looking out for stability.

c.       Balanced Funds:

Under this, the fund buys a combination of short-term bonds, preferred stocks, common stock and bonds.

Any new investor, looking out to invest in equities can choose from mutual funds or individual stocks. However, it is advisable to know the difference between the both before making a decision.

Later, one you have understood the basic of Mutual Fund and its various types, you ought to take advice of a financial expert and start investing for a better and secured future. 

For more information on Mutual Fund products and offering, kindly click here: http://www.utimf.com/Contact-US/Pages/default.aspx