Providing two way security blanket for your family

Every person wants to secure his or her family financially so that they could compete well in the complex world. Therefore, they opt for some sort of investment plans, insurance schemes, gold or mutual funds, property investments etc. Today, markets are flooded with loads of investment plans which offer high return on your money. But just selecting any random plan won’t work for you and your family. You need to choose the suitable plan that will ensure higher return with minimum risks. Thus, your future depends on your savings and asset management skills. Your portfolio should ensure you high yield from your hard earned money at time of your expectation.

Ideally speaking no one wants to lose money by investing in wrong place. For this you need to have a thorough research and then decide where to invest. The rate of returns from your money is directly related to the risk appetite. You should optimize your risk and find out which is the best investment plan for you. Your money management plan should ensure high yield with minimum risk involved.

When you look at investment vehicle you see insurance is one of the best options which is stable as long as the premiums are paid. However, there being uncertainty every single day of what the future holds, having insurance or a sound investment is something that many wish to pick from the basket of their financial security. Secondly, one of the major obstacles is that if you have a limited income source then you would have to choose only one option at a time which would be either taking a suitable insurance cover or put your money in investment vehicle to earn the desired returns.

Indian insurance companies very well understand their consumer needs and therefore have come up with investment insurance plan which holds a combination of both to beat the uncertainties of tomorrow. Investment insurance plans are designed with concept in which certain percentage is deducted towards your insurance coverage and the rest of the amount is set aside for investment purposes. The investment generally goes into equities, mutual and debt funds.

Some advantage of Investment Insurance plans are as follows:

Guaranteed Income:

In investment insurance plan the funds that are earned and hoarded during the lifetime are utilized to supply a firm source of returns at the maturity of policy.

Compounding:

Opting a plan early will be helpful for compounding your money. During your younger days you can tend to play more with markets and then move towards debt funds during aging days. Thus, your money gets compounded sufficiently when considered for a long term aspect.

Risk Cover:

Life is filled with uncertainties, so life insurance guarantees that your dear ones continue to have monetary back up in case of any unexpected incident that may lead to your demise.

Tax Benefits:

Insurance plan always offer tax-benefits and the corpus build comes at a tax free costs. Thus, it is appealing for both at the entry and exit period under the majority of the plan.

Mortgage backup:

Just in case the policyholder meets with an unfortunate event his or her unpaid loans, debt and mortgages can be cleared off through insurance component of the investment insurance plan thereby removing the burden of repayment of the family.

A sound proficiency in financial planning not only depends upon making high returns from your investments but also depends equally in accomplishing proper balance between the safety, profitability, liquidity and capital appreciation. A good investment insurance plan chosen for long term basis helps you focus on extracting high returns from markets instead of worried about family cover.