Is your investing similar to your eating? Let us see. If I were to call in a team of about 40 people into a class room and ask them a few questions…let us see what kind of answers we are likely to get. Then later on we will see why. 1. What kind of food […]

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One financial planner met a client and had the following details: A 38 year old man with a daughter from an earlier marriage (age 11) a son from the present marriage (7 years) a housewife, parents needing support and a mother in law dependent on him. (5 complete dependents, daughter partially dependent¬† – his ex […]

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The Financial Literacy program should start at the Finance Ministry. The FM says ‘Insurance Industry suffers …because of mis-selling’. Bang on. If LIC does not mis-sell and collect huge premia on endowment plans (by the way ULIPs are just a form of endowment plans), who will bail out the PSU companies coming out with IPOs, […]

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This is a zillionth time I am saying this. Let me repeat it. Again and Again. If you have a family dependent on you – parents, wife, children, in-laws, ……..please remember YOU are not invincible. You could die. Sorry I refuse to mince words like a typical life insurance agent. He says ..”in case something […]

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Suppose you have bought a policy from one of the life insurance companies (classic endowment) and wish to surrender it, what do you do? Go to the life insurance company and say “i wish to surrender this plan please”. They then follow a very complicated path and tell you how much they will pay you. […]

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Well this is not about Animal farm. It is about the state of the life insurance industry in India. Let us see the imaginary conversation between the LIC and Ministry of Finance. LIC: Good morning sir. Here is a cheque for the IPO Government Nonsense Ltd.’s public issue for Rs. 8000 crores. I hope the […]

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Many organisations have a designation called the ‘Wealth’ manager. I have often wondered about the enormity of this task. You really have to be a friend of the client and you actually need only about 30-40 clients of good size to make a decent living. How is a wealth manager different from a Financial Planner. […]

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