Skip to main content

ULIP Review: Future Generali Wealth Protect



Future Generali has launched a unit-linked plan (Ulip) called Wealth Protect. The Ulip offers protection of 7 to 30 times your annual premium, depending on the investor's age, term of the policy and the choice of the investor. On the investment side, it offers six investment options which target investors of different risk appetites.

LOYALTY ADDITION:

The guaranteed loyalty addition is 5% of the first year annualised premium if the premium amount is below . 25,000 and 7.5% for the premium amount above . 25,000. On maturity, the insurer pays the fund value plus guaranteed loyalty addition. For example, you will get a guaranteed addition of . 1,250 over and above the fund value at maturity for a premium payment of . 25,000 for 10 years.

FUND OPTIONS:

An investor should ideally opt for Future Apex Fund or Future Opportunity Fund. The apex fund allows the investor to invest up to 50% in debt. The equity exposure of the portfolio falls in the range of 50% to a maximum of 100%. The Opportunities fund offers 20:80 debt to equity ratio for an investor. The logic is the cost structure of the product is steep. Hence, an aggressive fund, which has a higher exposure in equity, has the ability to deliver returns after accounting for the charges. Under the future secure option, the Ulip invests in low-risk instruments such as bank deposits, certificate of deposits etc. "This fund is advisable for short-term investors since interest rates are expected to rise further. The investor could shift to another fund option once the interest rates taper out," says GN Agarwal, the chief actuary and chief risk officer of Future Generali. Historically, such products have offered a return of 5-6%. A premium of . 25,000 for future secure fund attracts charges such as premium allocation at 5% (for the first year), fund management at 1.10% and policy administration at 3.75% among other charges. These charges alone add up to 9.85%. Even after the sixth year, the costs add up to 5.95% of the premium.

WHY YOU CAN GO FOR IT:

Future Apex Fund and Future Opportunity fund are aggressive equity oriented investments which can deliver promising returns.

WHY YOU CAN AVOID IT:

The cost structure is steep just like other Ulips. You have cheaper investment options in other equity investments, which can be supplemented with a simple term cover.

 

Popular posts from this blog

BHIM App

What is BHIM? BHIM stands for Bharat Interface for Money , which is an easy way of transferring money from one bank account to an other via a smartphone using the Unified Payments Interface (UPI) platform . It is an instant payments application meant for sending money as well as requesting for payments. How is it different from UPI? BHIM is no different than UPI. But in the case of BHIM, customers don't have to download mobile applications of multiple banks, instead a single BHIM app downloaded from Android Play Store is sufficient. Other than that, payments can be made through a virtual payments ID or through account number and IFS code, same as UPI. What you need to use BHIM? BHIM can be used across an droid smartphones with version 4.0 and above, also it will be made available on iPhones and Windows smartphones very soon. Further, for feature phone users they need to use the USSD feature by dial ing *99#. Why was the need for BHIM felt when UPI is already in place? With various...

NPS for Tax Saving

The NPS is a great way to save tax if you don't mind locking in your money till you retire. Till last year, the taxability of the NPS was a big issue. But last year's Budget changed the rules and made 40% of the corpus tax free. The PFRDA wants that the balance 60% to be exempt from tax as well. The emphasis is on increasing pension coverage. So, allowing EEE status (to NPS ) is our major demand (in the Budget NPS is especially useful for investors who may have exhausted the `1.5 lakh investment limit under Section 80C but want to save more.   Another way the NPS can cut tax is by rejigging the salary.If a company deposits up to 10% of the basic salary of an employee in the NPS under Section 80CCD(2d), the amount will be tax free. Turn to page 28 to see how much tax this can save. However, the take-home pay of the employee will come down. Invest Rs 1,50,000 and Save Tax upto Rs 46,350 under Section 80C. Get Great Returns by Investing in Best Performing ELSS Funds Top 10 Tax...

Retirement planning from a long-term perspective

Invest In Tax Saving Mutual Funds Online Download Tax Saving Mutual Fund Application Forms Buy Gold Mutual Funds     `HOW green was my valley'. This title comes from a movie I had watched many years ago. A little boy's journey into adulthood and the story of a Welsh valley's turn of-the-century descent from pristine paradise to despoiled coal mining.   I thought of the title because it is comparatively reflective of a person's life ­ the glorious years when he is earning and the sun down years when he is not having his regular job and, hence, his living standards comes down. The reason is a combination of things. Inflation of food items, transport, increase in health related costs in the later years of life and increase in expenses in almost all basic amenities of life. In India, the social security system is almost non-existent. In some states, wherever it is available, the scales of benefits are extremely modest...

BANK FDs for Tax Saving

This is probably the easiest way to save tax if you have a Netbanking account . After the demonetisation and the digital push, almost everyone has one. A few clicks of the mouse and your tax planning is done. However, as mentioned earlier, this convenience comes at a very high cost. Interest rates have come down significantly and are close to 7-7.5% right now. The bigger problem is that the interest is fully taxable. It is added to the income of the investor and taxed at the marginal rate applicable to him. In the highest 30% tax bracket , the post-tax yield is close to 5%. Even so, tax-saving fixed deposits are suitable for risk averse investors, especially senior citizens who might already have hit the ` 15 lakh ceiling in the Senior Citizens' Saving Scheme and don't want to lock in money for the long term in a PPF account . Though NSCs offer higher rates than most banks, many senior citizens prefer to invest in deposits of their own banks, because they get better service ...

SBI Long Term Advantage Fund Series

Invest Rs 1,50,000 and Save Tax upto Rs 46,350 under Section 80C. Get Great Returns by Investing in Best Performing ELSS Funds Top 10 Tax Saver Mutual Funds for 2017 - 2018 Best 10 ELSS Mutual Funds to invest in India for 2017 1. DSP BlackRock Tax Saver Fund 2. Invesco India Tax Plan 3. Tata India Tax Savings Fund 4. ICICI Prudential Long Term Equity Fund 5. Birla Sun Life Tax Relief 96 6. Franklin India TaxShield  7. Reliance Tax Saver (ELSS) Fund 8. BNP Paribas Long Term Equity Fund 9. Axis Tax Saver Fund 10. Birla Sun Life Tax Plan Invest in Best Performing 2017 Tax Saver Mutual Funds Online Invest Best Tax Saver Mutual Funds Online Download Top Tax Saver Mutual Funds  Application Forms For further information contact  SaveTaxGetRich on 94 8300 8300 ------------------------------ ------ Leave your comment with mail ID and we will answer them OR You can write to us at Invest [at] SaveTaxGetRich [dot] Com OR Call us on 94 8300 8300  
Related Posts Plugin for WordPress, Blogger...
Invest in Tax Saving Mutual Funds Download Any Applications
Transact Mutual Funds Online Invest Online
Buy Gold Mutual Funds Invest Now