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Is LIC Jeevan Labh a good investment for 10 years?

Subodh Founder of Dhanwise
Answered 2 days ago

Jeevan Labh is a typical endowment plan which combines insurance and investment.You invest a fixed amount each year for a certain period (premium paying term) After the … ( more )

Jeevan Labh is a typical endowment plan which combines insurance and investment.You inves… ( more )

Alternative to FD for the short term?

Subodh Founder of Dhanwise
Answered May 6, 2019

This is a very common question and most people are not aware of alternatives to FDs. I am going to assume that when you say FDs, you mean bank FDs. I am also assuming th… ( more )

This is a very common question and most people are not aware of alternatives to FDs. I am… ( more )

How much should I invest per month?

Subodh Founder of Dhanwise
Answered Aug 14, 2019

The process of figuring out how to regularly invest your earnings is called financial planning. We have created a case study which demonstrates the steps involved in fin… ( more )

The process of figuring out how to regularly invest your earnings is called financial pla… ( more )

Should I stop my mutual fund SIPs when the market is falling?

Viral Financial Planner & Founder of MoneyMantra
Answered Aug 8, 2019

Hi Ashok,These are natural questions when the market is seeing a correction i.e. when it is going down. I get this question a lot from my prospective clients. My existin… ( more )

Hi Ashok,These are natural questions when the market is seeing a correction i.e. when it … ( more )

What is a safe retirement corpus that one should aim for?

Subodh Founder of Dhanwise
Answered Jul 1, 2019

Hold your breath! The answer is 7.8 crores! And you can achieve this by starting with an SIP of Rs 15,500 from the age of 30.Don’t lose your sleep already over this… ( more )

Hold your breath! The answer is 7.8 crores! And you can achieve this by starting wit… ( more )

Shoud I surrender my LIC Jeevan Anand Policy?

Subodh Founder of Dhanwise
Answered Jul 29, 2019

As explained in this answer - Are endowment plans like LIC's Jeevan Anand a good investment option?, the policy combines insurance and investment. it However it&nbs… ( more )

As explained in this answer - Are endowment plans like LIC's Jeevan Anand a good inv… ( more )

How to pay taxes from both salary and freelancing income?

Subodh Founder of Dhanwise
Answered Jul 29, 2019

If your income from from the freelancing is less than Rs 50 lakhs then you can file your taxes under section 44ADA (Presumptive Taxation Scheme or PTS). Please… ( more )

If your income from from the freelancing is less than Rs 50 lakhs then you can … ( more )

What is Presumptive tax scheme and when to file income tax return?

Subodh Founder of Dhanwise
Answered Jul 21, 2019

Nawaz, I hope you have gone through this question How to compute taxes for a freelancer?What is presumptive tax scheme (PTS)?A person engaged in business is required to … ( more )

Nawaz, I hope you have gone through this question How to compute taxes for a freelancer?W… ( more )

What are some good savings options, apart from mutual funds, for securing child's future?

Abhinit Founder, Tequity Investing
Answered Jul 27, 2019

I am assuming your quest for exploring the additional options comes from a point of view of generating extra returns compared to mutual funds. Let us see what are the ot… ( more )

I am assuming your quest for exploring the additional options comes from a point of view … ( more )

Are index funds better compared to actively managed mutual funds?

Abhinit Founder, Tequity Investing
Answered Jul 27, 2019

This is one topic which has been discussed quite often off-late. The difference that a mutual fund generates over the benchmark index is termed as Alpha.In the United St… ( more )

This is one topic which has been discussed quite often off-late. The difference that a mu… ( more )

Should I sell my mid cap funds?

Aditya Financial advisor and CIO of Hercules Advisors
Answered Jul 24, 2019

Hi Mukund,The stock markets have not being doing too well over the past 18 months and it is no surprise that your funds are not doing too well.First of all you should ha… ( more )

Hi Mukund,The stock markets have not being doing too well over the past 18 months and it … ( more )

What is the difference between fee-only and commission based advisors?

Subodh Founder of Dhanwise
Answered Jul 16, 2019

There is a lot of confusion about the fees paid for financial planning services in India, mostly because there are a variety of business models, each of which charges cl… ( more )

There is a lot of confusion about the fees paid for financial planning services in India,… ( more )

Which term insurance plan is suitable for me?

Govind Founder of Leap Investment Advisors
Answered Jul 16, 2019

From hierarchy of things perspective, insurance (Pure Term life cover) forms the base layer. Ideally, once you are done with this, you should start planning for other th… ( more )

From hierarchy of things perspective, insurance (Pure Term life cover) forms the base lay… ( more )

What are some SIP suggestions for a beginner in the field of investing?

Preeti SEBI Registered Investment Advisor
Answered Jul 15, 2019

Dear Prasanna, Investment process is very easy to understand. You need to know two things to be a successful investor.Knowledge: Gather knowledge about investment, per… ( more )

Dear Prasanna, Investment process is very easy to understand. You need to know two things… ( more )

What are the major factors to consider before choosing mutual funds?

P Anantha Long Term, Goal Based Financial Planner
Answered Jul 17, 2019

Returns is one of the factors to look at, while selecting MF's. It is important, but the weightage is only small.Among other important factors are risk (Standard Deviati… ( more )

Returns is one of the factors to look at, while selecting MF's. It is important, but the … ( more )

Can you review my Mutual fund portfolio?

P Anantha Long Term, Goal Based Financial Planner
Answered Jul 17, 2019

Hi,Mirae Asset Emerging Bluechip Fund is my personal favourite.  Excellent Fund, continue with it, if possible increase your investment in it.Reliance Large Cap Fun… ( more )

Hi,Mirae Asset Emerging Bluechip Fund is my personal favourite.  Excellent Fund, con… ( more )

Are my mutual fund SIPs sufficient to attain goal of Rs 30 lakh in 10 years?

P Anantha Long Term, Goal Based Financial Planner
Answered Jul 12, 2019

Hi,First of all, you have too many funds in your account. Try to reduce them, keep 3 to 4 funds. You are investing 13500 every month. This should be enough for you … ( more )

Hi,First of all, you have too many funds in your account. Try to reduce them, keep 3 to 4… ( more )

How much does a financial advisor cost?

Subodh Founder of Dhanwise
Answered May 9, 2019

There is a lot of confusion about the fees paid for financial planning services in India, mostly because there are a variety of business models, each of which charges cl… ( more )

There is a lot of confusion about the fees paid for financial planning services in India,… ( more )

I want advice/review on my mutual fund portfolio

Srinivasan Software Pro Turned Investment Advisor
Answered Jul 15, 2019

Ankita:  It is great to know that you are investing Rs 10,000 a month. This can build a sizeable corpus for you, if invested well. Overall, your fund selection is g… ( more )

Ankita:  It is great to know that you are investing Rs 10,000 a month. This can buil… ( more )

How to handle lumpsum investment in equity mutual funds?

Srinivasan Software Pro Turned Investment Advisor
Answered Jul 15, 2019

Prabhu - you have a great question.  And I am sure that a lot of people would love to have this problem - of having 50 lacs to invest in one go!I would first give a… ( more )

Prabhu - you have a great question.  And I am sure that a lot of people would love t… ( more )

Is LIC's new tech term plan better than other term plans of private insurers?

Srinivasan Software Pro Turned Investment Advisor
Answered Jul 14, 2019

Mohammed - the simple answer is, Yes, this 'tech term plan' does look attractive and would be a serious challengers to the online term plans from private insurers. Howev… ( more )

Mohammed - the simple answer is, Yes, this 'tech term plan' does look attractive and woul… ( more )

Can you explain expense ratio in simple language with a numerical example?

Subodh Founder of Dhanwise
Answered Jul 12, 2019

To understand expense ratio one needs to understand how a mutual fund company pays for its expenses and earns its profits.How does a mutual fund earn money?A mutual fund… ( more )

To understand expense ratio one needs to understand how a mutual fund company pays for it… ( more )

What are annuity plans?

Srinivasan Software Pro Turned Investment Advisor
Answered Jul 9, 2019

"An ‘Annuity’ is a (financial) product that provides a steady, periodic income, over many years,  to the buyer." This part of annuity makes it similar to a pe… ( more )

"An ‘Annuity’ is a (financial) product that provides a steady, periodic income, over … ( more )

What are some investment options to get an assured pension later in life?

Srinivasan Software Pro Turned Investment Advisor
Answered Jul 9, 2019

Priyank, you are clear that you want a pension.  Let us look at the confusing usage of the term pension plan in India.  Below is an excerpt from my blog articl… ( more )

Priyank, you are clear that you want a pension.  Let us look at the confusing usage … ( more )

How to compute capital gains tax for redemption after doing SIP?

Srinivasan Software Pro Turned Investment Advisor
Answered Jul 9, 2019

Vishal,  first off, investing in mutual funds is not tax free after 1 year. There are many types of mutual funds and the gains are indeed taxed.  The table bel… ( more )

Vishal,  first off, investing in mutual funds is not tax free after 1 year. There ar… ( more )

How to compute income tax as a remote employee for a foreign company?

Subodh Founder of Dhanwise
Answered Jul 8, 2019

You have mentioned that your contract indicates an 'employee-employer' relationship. So it looks like this job is that of a remote employee and not a freelancer. So I do… ( more )

You have mentioned that your contract indicates an 'employee-employer' relationship. So i… ( more )

Why do I need an emergency fund if I already have investments and insurance?

Preeti SEBI Registered Investment Advisor
Answered Jul 4, 2019

Many investors have this question in mind. Because they think that provision done for any contingency is same as the investment. But mind it, it is a MYTH.Financia… ( more )

Many investors have this question in mind. Because they think that provision done for… ( more )

Is it advisable to invest in gold now?

Aditya Financial advisor and CIO of Hercules Advisors
Answered Jul 3, 2019

People invest in gold during times of uncertainty.people perceive gold as a safe asset!However during the past 4-5 years...when there was no uncertainty the gold returns… ( more )

People invest in gold during times of uncertainty.people perceive gold as a safe asset!Ho… ( more )

Will Rs 3.5 crore be enough for my retirement corpus?

Gursimran Founder ParamAsa Wealth Advisory
Answered Jun 26, 2019

Hello Praneet,The simple rule for calculating retirement corpus is 25 times your annual expenses should be your corpus and 4% withdrawal should be your expensesGursimran… ( more )

Hello Praneet,The simple rule for calculating retirement corpus is 25 times your annual e… ( more )

What is a pure term plan?

Srinivasan Software Pro Turned Investment Advisor
Answered Jun 29, 2019

This is a good question. 'Term Plan' is a life insurance plan that is valid for a specific number of years. Hence the word 'term'.  In this plan, you pay a premium … ( more )

This is a good question. 'Term Plan' is a life insurance plan that is valid for a specifi… ( more )

Will it be prudent to invest in mid and small cap funds?

Preeti SEBI Registered Investment Advisor
Answered Jun 22, 2019

Mustajib, whenever you decide to invest first important step to follow is to identify your goals. Goal based investment is very important. Once your goals are set up n… ( more )

Mustajib, whenever you decide to invest first important step to follow is to identify you… ( more )

Please review my mutual fund portfolio

Srinivasan Software Pro Turned Investment Advisor
Answered Jun 29, 2019

This response is on the corpus expectations, and not on the specific funds chosen.You are investing 18,333 per month. Even if we take a very generous assumptions of 15% … ( more )

This response is on the corpus expectations, and not on the specific funds chosen.You are… ( more )

Which LIC policy to invest in for guaranteed pension?

Srinivasan Software Pro Turned Investment Advisor
Answered Jun 29, 2019

Note: This response does not give the name of any policy, LIC or otherwise.Many people in India miss a very important factor about the structure of pension products in&n… ( more )

Note: This response does not give the name of any policy, LIC or otherwise.Many people in… ( more )

Are endowment plans like LIC's Jeevan Anand a good investment option?

Viral Financial Planner & Founder of MoneyMantra
Answered May 17, 2019

Every year, thousands of buyers invest in traditional insurance plans, lured by the triple benefits of tax deduction at the time of investment, life cover during the pol… ( more )

Every year, thousands of buyers invest in traditional insurance plans, lured by the tripl… ( more )

How to earn monthly pension with Rs 5 lakh investment?

Srinivasan Software Pro Turned Investment Advisor
Answered Jun 26, 2019

I would give a response based on the limited information given in the question.  To set the context, 'pension' can mean different things to different people. The mo… ( more )

I would give a response based on the limited information given in the question.  To … ( more )

What should I do about Reliance AMC funds in my portfolio?

Srinivasan Software Pro Turned Investment Advisor
Answered Jun 23, 2019

Please note this important feature of the structure of a mutual fund.  The AMC (in this case Reliance AMC) only makes decisions regarding the investments of the fun… ( more )

Please note this important feature of the structure of a mutual fund.  The AMC (in t… ( more )

How to start investing in a mutual fund?

Preeti SEBI Registered Investment Advisor
Answered Jun 22, 2019

Let me congratulate you ! You are thinking of finances and investment and  eager to know about it. You are also thinking of investing through right financial pr… ( more )

Let me congratulate you ! You are thinking of finances and investment and  eager t… ( more )

How to compute taxes for a freelancer?

Srinivasan Software Pro Turned Investment Advisor
Answered Jun 21, 2019

Note: This question is best answered by a tax expert or CA. If you are a resident of India, then  your income earned is taxable. There are specific exceptions to th… ( more )

Note: This question is best answered by a tax expert or CA. If you are a resident of Indi… ( more )

How to calculate retirement corpus?

Gursimran Founder ParamAsa Wealth Advisory
Answered Jun 21, 2019

Hi,The simple calculation is 25 times your annual expenses should be your retirement corpus. ( more )

Hi,The simple calculation is 25 times your annual expenses should be your retirement corp… ( more )

Advice on mutual fund SIP

Gursimran Founder ParamAsa Wealth Advisory
Answered Jun 20, 2019

Hi Isha,Both these are Large Cap Funds , and mostly all large cap funds are not able to beat their benchmark.I have stop recommending Large Cap to my clients , as our ma… ( more )

Hi Isha,Both these are Large Cap Funds , and mostly all large cap funds are not able to b… ( more )

Should an undergraduate student start financial planning?

Chandan Financial Planner
Answered Jun 20, 2019

Its very nice to see Youngsters interested in Financial Planning. As of now you don't need an advisor on continuous basis, you can have a one time general consultat… ( more )

Its very nice to see Youngsters interested in Financial Planning. As of now you don'… ( more )

How one should evaluate a financial advisor before getting their services?

Chandan Financial Planner
Answered Jun 20, 2019

You don't need to worry too much about what questions to ask an advisor.you need to keep it simple, make a note of why you feel you need an advisor ? note down what diff… ( more )

You don't need to worry too much about what questions to ask an advisor.you need to keep … ( more )

Is HDFC Life Sanchay Plus a good plan to invest in?

Srinivasan Software Pro Turned Investment Advisor
Answered Jun 18, 2019

I would provide a quick response.  All the investment-cum-insurance products are bad in both counts - they typically have very low insurance coverage and give subop… ( more )

I would provide a quick response.  All the investment-cum-insurance products are bad… ( more )

What is mutual funds in simple terms?

Rahul Independent Financial Advisor
Answered Jun 13, 2019

Lets consider these 2 scenarios:Eicher Motors share is trading at approx. INR 21,000 per share. I may want to invest in auto shares or consumption shares like this but I… ( more )

Lets consider these 2 scenarios:Eicher Motors share is trading at approx. INR 21,000 per … ( more )

How to handle excess money in NRE account?

Rahul Independent Financial Advisor
Answered Jun 14, 2019

To start with, when you are looking at holding money in any account or fund, there always has to be a reason or goal attached to it. The reason can be as simple as eme… ( more )

To start with, when you are looking at holding money in any account or fund, there alway… ( more )

What is the Tax Treatment on Mutual Funds for resident individuals and NRIs?

Rahul Independent Financial Advisor
Answered Jun 14, 2019

Tax treatment depends on three parameters:1.       Type of Asset (Equity or Debt)2.      Investor category (I… ( more )

Tax treatment depends on three parameters:1.       Type … ( more )

Investment advice for 21 year old

Srinivasan Software Pro Turned Investment Advisor
Answered Jun 14, 2019

This is an excellent question.  A very brief intro to PPF has been given by one of the contributors. PPF: Fixed interest savings scheme offered by the Governme… ( more )

This is an excellent question.  A very brief intro to PPF has been given by one of t… ( more )

Mutual fund and retirement portfolio review of 26 year old working female

Chandan Financial Planner
Answered Jun 12, 2019

It is nice to see youngsters taking interest in managing their money and learning from the very beginning. It is a very good start, maintain the discipline. Few tips f… ( more )

It is nice to see youngsters taking interest in managing their money and learning from th… ( more )

Tax on sale of self constructed house

Subodh Founder of Dhanwise
Answered May 6, 2019

It is possible to treat the land and house as separate assets. You can bifurcate the sale amount between land and building on the basis of market value of each of them. … ( more )

It is possible to treat the land and house as separate assets. You can bifurcate the sale… ( more )

Is it worth putting money in GOI's Gold Bond instead holding physical gold?

Govind Founder of Leap Investment Advisors
Answered Jun 11, 2019

Preference order to buy Gold for investment purposes: GOIs Sovereign Gold Bond (SGB) > Gold ETF > Physical Gold Why Physical gold is the worst Making charges:… ( more )

Preference order to buy Gold for investment purposes: GOIs Sovereign Gold Bond (SGB) &gt… ( more )

What are your charges as advisor or financial manager ?

Subodh Founder of Dhanwise
Answered Jun 11, 2019

DhanWise is a platform to interact with financial advisors in India. People can ask questions or they can reach out to an advisor for a paid consultation. You can view … ( more )

DhanWise is a platform to interact with financial advisors in India. People can ask quest… ( more )

Are the debt funds safer than equity funds?

Aditya Financial advisor and CIO of Hercules Advisors
Answered Jun 11, 2019

Debt and Equity are two different products. Equity is part ownership of the company. There is no return which is guaranteed in equity. The returns are contingent on the… ( more )

Debt and Equity are two different products. Equity is part ownership of the company. The… ( more )

Is profit booking advisable for MF investments?

Chandan Financial Planner
Answered Jun 8, 2019

Yes, However from Financial Planning point of view re-balancing is a right word for it. A proper balance in the allocation of your Investments to Equity and Debt (Fixed … ( more )

Yes, However from Financial Planning point of view re-balancing is a right word for it. A… ( more )

Retirement planning for 30 year old IT Employee

Preeti SEBI Registered Investment Advisor
Answered Jun 8, 2019

Retirement planning should be one of the most important goals of everyone’s life. But unfortunately, in India, we postpone provisioning for the same, for the sake … ( more )

Retirement planning should be one of the most important goals of everyone’s life. B… ( more )

Tax saving under 80C - NPS vs ELSS vs PPF

Srinivasan Software Pro Turned Investment Advisor
Answered Jun 8, 2019

Before we get into the answer lets compare the 3 schemes, very briefly. It is difficult to describe all the features of ELSS, PPF and NPS in a single answer. So here is … ( more )

Before we get into the answer lets compare the 3 schemes, very briefly. It is difficult t… ( more )

How to evaluate term insurance coverage and price?

Brijesh Fee Only Planner & Founder of BVare Financial Planners
Answered Jun 6, 2019

There are 3 aspects to this question: The Sum Assured i.e. What is the insurance cover that you need?. Is 5 Cr a sufficient amount? The Policy Term i.e. How many yea… ( more )

There are 3 aspects to this question: The Sum Assured i.e. What is the insurance cover… ( more )

What does a financial planner NOT do?

Preeti SEBI Registered Investment Advisor
Answered May 31, 2019

Let's first understand who are Financial Planners or SEBI Registered Investment Advisors (RIA)? Financial Planner or SEBI RIA is the person who does Comprehensive Fin… ( more )

Let's first understand who are Financial Planners or SEBI Registered Investment Advisors … ( more )

Which is better for short term - high interest savings account or debt funds?

Srinivasan Software Pro Turned Investment Advisor
Answered May 22, 2019

This is a great question. The short answer is this: If your corpus is small (< 3 lacs) and if the time horizon is less than 3 years, it can be simpler to park the mon… ( more )

This is a great question. The short answer is this: If your corpus is small (< 3 lacs) … ( more )

How rich should I be to hire a financial advisor?

Swapnil SEBI RIA & Fee-Only Financial Planner
Answered May 15, 2019

Yes, a financial advisor should be able to help a person with an income profile like you. If you can pay ₹2,500 monthly insurance premium of a traditional insurance p… ( more )

Yes, a financial advisor should be able to help a person with an income profile like you.… ( more )

Tax deduction on medical expenses for senior citizens

Preeti SEBI Registered Investment Advisor
Answered May 13, 2019

For FY 2019-20, Section 80D of the income tax act allows deduction of upto Rs 50,000 for medical expenses incurred by senior citizens, if and only if they are not covere… ( more )

For FY 2019-20, Section 80D of the income tax act allows deduction of upto Rs 50,000 for … ( more )

What do financial advisors do?

Subodh Founder of Dhanwise
Answered May 8, 2019

Advising you on mutual funds is just one of the responsibilities of a financial advisor. The basic idea is that they will help you invest your money to reach your financ… ( more )

Advising you on mutual funds is just one of the responsibilities of a financial advisor. … ( more )

How to save Rs.25 lakh for down payment in 5 years?

Preeti SEBI Registered Investment Advisor
Answered May 6, 2019

The easiest option would be to save money through a recurring deposit. It will give you an assured return, however the returns will be lower as compared to other options… ( more )

The easiest option would be to save money through a recurring deposit. It will give you a… ( more )