4 Fact:Well the functioning of a stock market is not as as weird as it appearsWith the arrival of Institutional Investors in the form of Mutual Funds and ULIPs the rules of the game are being rewritten, lending more sense into the share price movements
5 Investing in ULIPS , like stocks, is just gambling Myth No.2Investing in ULIPS , like stocks, is just gambling
6 Fact:While gambling is a zero-sum game i.e you take money from the loser and pay to the winner. Whereas in ULIPs it is a win-win situation where in both the investors and the company stand to benefit, provided you choose a reputed company with a proven track record.Of 169 companies listed in BSE since 2007 only 49 are trading in green and the rest 120 in red whereas all the ULIPs launched by LIC during the period have shown considerable appreciation.
7 Myth No. 3Having just a little knowledge, because it is better than none, is enough to invest in the stock market
8 Fact:Half knowledge is a dangerous thing. A partially informed investor is about as effective as a partially informed surgeon; he or she will only hurt themselves and those around them. You need technical expertise to invest in stock market which is available to you in the form of ULIPsLIC being the largest investor in Indian Markets and with an investment spectrum spanning all the BSE-30 companies provides the best expertise to its investors
9 Myth No.4ULIP returns are marginal and if we negate the spiraling inflation the returns are in negative.
10 Fact:Though many of the ULIPS confirm the above fact but there are ULIPs from reputed companies which defy the above logic. It’s a fact from a layman’s perspective that Gold as an investment has given the best returns in the last one year among all the investment options. But how many of us know that LIC’s Market Plus has given better returns than GOLD. Strange!?! But a fact…
11 An Investment of Rs /- each in Gold and Market Plus on would have yielded a return of Rs.37800/- from Gold (Return of 26%) and Rs.41799/- from Market Plus (Return of 39%) as onDATEGOLD RATE PER GMMARKET PLUS NAV1-1-0912509.561-1-10157513.32
12 Myth No.5We cannot catch both the head and the tail in a stock market
13 Fact:Unfortunately no one is able to predict the peak and the nadir of stock markets.LIC is the major investor and stabilizer in case of a major fall in stock markets but we have not mastered the art of predicting the peak levels of Markets yet.That’s the reason why we are introducing…
15 Wealth Plus (Plan No.801) Salient Features: A close-ended Guaranteed Returns Unit Linked PlanAvailable for eligible persons of 10 to 65 years age.Fixed Policy Term of 8 yearsLimited Premium Paying Term of 3 yearsSingle Premium Option is also Available
16 Wealth Plus (Plan No.801) Salient Features: Minimum Premium Rs /- under Regular Mode & Rs /- under Single Premium ModeYearly, Half-yearly, Quarterly and Monthly (ECS) Modes availableMaximum Premium- No Limit
17 Wealth Plus (Plan No.801) Salient Features: Minimum S.A (Regular Mode):5 times the annualized PremiumMaximum S.A (Regular Mode):10 times the Annualized Premium upto Age 50, 5 times for age above 50Minimum Sum Assured (S.P.)1.25 times the premiumMaximum Sum Assured (S.P.)5 times the Premium upto 40 years age2.5 times the Premium for 41 to 50 years age1.25 times the Premium for 51 and above age
18 Example Age 40 years, Yly Premium Rs.20000/- Min. SA is 1 lacs and Max SA IS 2 lacsAge 40 yrs. S.P Rs /-Min SA is 50000/- and Max SA is 2 lacsSA will be in multiples of Rs. 5000/-
19 Additional Features & Riders Accident Benefit Rider for 18 to 62 years aged Rs.0.50 per 1000 SASurrender Facility and Partial Withdrawal option after completion of 3 years policy termNo exit LoadsAll premiums received during the period of sale of the product shall be invested in Money Market Instruments
20 Benefits Maturity Benefit with Guaranteed NAV At the end of the policy term, fund value based on the highest NAV over the first seven years or the NAV applicable at the end of the policy term, whichever is higher is payable
21 Illustration with Bima Plus Experience If a 40 year old person has invested Rs under Risk Fund in Bima Plus at an NAV of Rs.10 at the time of launch of Bima Plus i.e onHis Fund Value after 8 years i.e on at an NAV of Rs is Rs.1,42,737/-His Fund Value at the highest NAV (Rs.50.35) recorded during the first Seven Years of the Policy i.e on is Rs.2,24,261/-
22 Illustration with Bima Plus Experience Under the provisions of Guaranteed NAV as under Wealth Plus the policyholder stands to gain Rs.81,524/- (i.e 57% more than that of Bima Plus Plan Provisions)WEALTH PLUS INDEED!!!
23 Death BenefitDeath of the policy holder during the Policy Term when the cover is in full force:Both Sum Assured and the fund value shall be paid to the nominee
24 Extended Risk CoverEven after the completion of Policy Term and the payment of Maturity value to the policyholders, Insurance coverage for the Basic Sum Assured is continued for another 2 years on the life of Policyholder i.e Basic SA is paid again on the happening of risk during the 2 years
25 Charges Allocation Charges: Upto 4 lacs (S.P) - 5% Above 4 Lacs (S.P.) %Rs.20,000 to Rs. 2lac( NSP) -1ST Year- 12% and 2.5% thereafterand as the premium increasesthe charges reduce
26 Other Charges Mortality Charges as per the age Fund Management Charges - 1% p.a of Fund ValueGuarantee Charges – 0.35% of Fund ValueMisc. Charges, Admn. Charges, Service Tax Charges, etc.
27 For Investments Pls Contact: ROBERT RONALD FERNANDES(RONY)Chief Advisor(CLIA)LIC OF INDIAReon Consultancy ServicesHotel Pancharathna InternationalMoodbidriMobile: