Prajna Capital - An Investment Guide

For Indians in their 20s and 30s, the accumulation phase—when they earn and save—is of great import for retirement. And insurance products can help THIRTY years ago, a kilo of potatoes sold for less than a rupee in Bombay. Since then, not only has the city changed its name to Mumbai, it but nowhere will you find potatoes selling for less than Rs 10 a kilo. The price of onions has risen more than five times; beans sell for ten times what they cost in 1985. Local transport costs have increased more than 1,000%. Electricity costs almost four times what it did just ten years ago. Even water charges have doubled. Rising salaries help people cope with the increasing cost of living. But what happens when income from regular sources stops, and costs keep rising? A national survey of more than 63,000 households, equally divided between rural and urban areas, conducted by the National Council for Applied Economic Research ( NCAER ), found that only 4% of the people could survive on their...