One of the most repeated lines in the media is that traditional life insurance endowment is low return and that if one wants life insurance it is better to buy term insurance and with the balance of money (saved by not buying traditional insurance) buy mutual funds. This is one of the most unscientific statements… Continue reading Term Insurance and Mutual Fund Combo
First the mutual fund advisors told us that mutual funds earn a lot of money, implying that ALL mutual funds earn a lot of money. I showed you they do not. Read why they do not click here. Then the mutual fund advisors told us that the equity mutual funds will bring very high returns.… Continue reading To SIP or Not to SIP the Risk
Earlier I had written that debt funds are not as safe as they are made to seem by those selling mutual funds. Read the article https://www.helpindiainsure.iistpune.in/2017/09/28/look-where-debt-fund-money-is-invested-by-mutual-funds-and-they-say-debt-funds-are-not-risky/. Many of my mutual fund friends got in touch with me to tell me I am wrong. They insisted that debt funds are safe. Why then are debt funds showing… Continue reading The Proof is Here on Debt Funds
We all know that the stock market prices sometimes go up and sometimes down. We also know this share price volatility (See https://www.helpindiainsure.iistpune.in/2018/01/18/and-the-tortoise-wins/ ) can result in a loss to customers who hold the shares for a long time. But why do the financial advisors suggest that you hold the share for a long time… Continue reading What Happens when Stock Markets Crash?
One of the ways in which a restaurant owner gives confidence to his customers is to show his customers that he and his family consume the same food that is served to the customers. When he does that the customers are certain that the hygiene is of an acceptable standard, that the ingredients that go… Continue reading Don’t Eat the Food that the Restaurateur Doesn’t Eat
We have been pointing out on this Blog (See: Where Indians Save) as well as in our training programs see our website www.iistpune.in that Indians are low risk investors (not low returns mind you). Given a chance Indians would prefer to invest and save in such a manner that their capital is protected. This is… Continue reading The Case of Negative Cash Holdings
So you thought that there is a bull run on the stock market and therefore buying equity mutual funds will fetch you high returns. Think again. But first let us quantify the equity bull-run in the past one year. One year ago, on 3 August 2017, the SENSEX closed at 32237 and on 3 August… Continue reading Bull Run or Bear: It is never safe to invest in mutual funds
Recently there was an article in the newspaper titled Mixing Life Insurance with Investment is a Common Mistake. It was published in a column titled “OOPS! Mistakes Investors Make” in Business Standard 2 August 2018. the article written by Kayezad Adajana explains the view point of Maher Dhamodiwala, who we are told is the founder… Continue reading No Fraud Here
Like in in the famous fable where the Tortoise wins the race against the fancied rabbit, in investments too the much maligned low risk investments may be better under conditions of market volatility, as compared to high risk investments. Slowly but surely the low risk investments can outperform the high risk investments, beat the inflation… Continue reading And the Tortoise Wins!
To sell life insurance we need to conduct financial planning We sell life insurance. Our natural desire is to continue to do so. Our natural desire is to not advise the customer on the totality of his financial investment needs. We are also not qualified to advice a customer on whether to buy risky investments… Continue reading Why Are Today’s Customers Looking for a One-Stop Financial Solution Adviser? And Why the Life Insurance Agent Should be the person to offer it?
