Simple Communication and Complex Financial Products

 

“Let’s uncomplicate!” is the slogan of one of the health insurance products in India and I find great sense in its application for all aspects of life. We are fortunate that God has given humans complex minds to think and that is what makes us superior to animals. But, at times, we overuse this trait and cause problems for others. If you take a step backwards and broaden your perspective, you’ll have a Voila moment! When you find simple solutions to perceived complicated things, your life will become much easier.

Read More: http://www.financialplanet.org/2012/simple-communication-complex-products/

 

 

My Book – Money Plant (In Gujarati)

Finally I could assimilate my thoughts of over 4 years that ran in the ‘Money Plant’ column on Saturdays in Gujarati Mid-Day. From over 200 articles written during that period, this book consists the top 126 articles. This book is a collection of my articles, where I have shared my perspective about some emotional and social issues and analyzed their financial impact, as I believe financial planning is beyond numbers. Some articles are on business related concepts and most others are about financial concepts. Grab your copy soon….

Ethical Responsibility for the Benefit of Society

My Article on International Blog-Financial Planet (Global Gathering Place For Financial Planning Profession). Find the link here: http://www.financialplanet.org/2012/ethical-responsibility/

 

 

Trends in the Financial Planning Industry

My Article on International Blog-Financial Planet (Global Gathering Place For Financial Planning Profession).  Find the link here: http://www.financialplanet.org/2012/trends-financial-planning/

 

Plan Your Death While I Wish You May Live Long!!!!

None of us want to think about dying, but death will happen to all of us sooner or later. For most of us, the concept of “later” often results in many of us putting off decisions or expressing last wishes that really should be discussed now. Planning for your death now saves a bereaved family from having to second guess your intent.

Thinking about death can be frightening, no matter your age or medical condition. As we get older, the reality of our own mortality tends to come into clearer focus; this doesn’t make talking about death or life-sustaining treatments any less frightening though. We live in an age of planning where we plan everything from what to eat for lunch to where to go on the weekend. So why do we find planning for our death so difficult?

How To Save Your Insurance Money From Creditors

You must be aware of the fact that the basic objective for anyone to opt for a life insurance policy is that in case of an unforeseen event of death or casualty, the family of the insured is protected from financial difficulties. How sure are you that your wife’s and children’s future is secured after your death? This question must be haunting all those who are the only source of income for their family. You work hard, save your income, make investments in various instruments. But incase you have a long list of creditors waiting at your doorstep when you die, these investments will be distributed amongst them with a court settlement. What about your wife and your child then? Don’t you wish to have an investment, which is free from court attachments, tax attachments and also creditors?

Points of Comparison While Selecting an Insurance Product

Choosing the right insurance policy for family and for oneself has become crucial in the times of complicated financial markets and various other unexpected events. It not only determines the concern that we get when our physical wellbeing takes a wrong turn, but is also very helpful for designing a well-structured fiscal plan.

All investors are very sure about all their investments especially related to fixed deposits, small saving schemes and others investments. But when it comes to insurance they are not very certain about their insurance needs and what kind of insurance they will be requiring. Broadly speaking investors/people are not certain about what kind of insurance policy will suit to their requirements. The reason for this is, insurance as a financial product is not understood very well by people, as there is a lack of proper information and proper source of education among the individuals.

When to buy an Insurance Policy

To choose an insurance policy directly depends on the applicant’s age, profile of dependants, family expenditure, current earnings and tax benefits.

 The different types of covers on offer are:

The Power of Dividends!

When a company makes profits:-

• It can either retain the profit and reinvest it back into the business, or

• Distribute it among the shareholders. This part of the profit is dividend

Some companies are more liberal in distributing these profits to the shareholders than others. These are then categorized as dividend yielding companies or value stocks. The others are better known as growth stocks. Let us analyze both these categories one by one.

The Gold Rush: Why You Are Also Responsible For An Imbalanced Economy

Gold – this precious metal never fails to ring bells, be it for investments or ornamentation – it has always been an Indian favourite since time immemorial and is increasingly becoming popular in other countries. Over the last few years the metal has surged in price both in Rupee and US Dollar terms and in the recent past, has managed to hold strong while other assets have slipped, highlighting its appeal as a safe haven and for diversification. India is the second largest consumer of gold in the world, only recently left behind by China. Both these countries have a strong cultural demand for gold in the form of jewellery and investment. India imports almost all the gold it consumes.

Demand for Gold

Prior to 1991, gold could only be held in the form of jewellery. Liberalisation however, brought with it major changes in the regulations governing the purchase and ownership of gold. As of 2011, gold demand can broadly be categorized into three categories: Jewellery (48%), Investment (41%) and Industrial (11%). India’s increase in total demand for gold this year seems to be driven entirely by investment demand – jewellery demand has been flat, while investment demand has increased by 15%.

Let Daughter-in-Law Be The Money Manager of the House!

            I believe women are smarter than men in handling finances. Being prudent she will take investing decisions wisely and hence I feel they should be the one who should be controlling the finance aspect in a marriage. Marriage introduces changes in a new couple’s financial situation that will affect all aspects of their life together. However, while exchanging wedding promises, combining debt and salaries as one may be the last thing on your mind. And why not? It is a delicate and tricky situation that most believe is best to be put off for another time. In reality, people get married to individuals with different financial lifestyles and experiences. Assets, income levels and spending habits can also differ significantly.

It is definitely a good idea to get sufficiently acquainted with the overall personality of your would be spouse and compatibility of financial personality is not a key issue in a successful marriage. As long as even one of the partners realizes the responsibility of Financial Planning and they understand each other well enough, they can go through this learning process together and balance each other out.