Between Nov 1st 2014 to Nov. 2015 we* conducted several investor workshops at Chennai (thrice), Bangalore(fives times!), Mumbai (once), Delhi (twice), Pune(once) and Hyderabad(once). *Each event had multiple speakers. Ashal Jauhari joined me for the last four events.
Video segments from Ashal’s talk were posted last week: Can you really save tax with a home loan?!
Due to multiple reasons (health, travel fatigue, incompatible time schedules etc.) Ashal and I have decided to put these workshops on hold at least for a while.
Before the Chennai floods, I was planning to hold these workshops in webinar mode. The webinar idea was delayed because my son did not go to school for a month due to rains! Soon after I decided to make short videos, many of which had slides used in the workshops. Here are a couple of links:
- Understanding Annualized Return: CAGR and XIRR
- What is CAGR – Compound Annual Growth Rate: Video
- Full video archive
The webinar lost stream and I realized it is better to simply post the presentation on youtube in parts – should have listened to Ramesh Mangal earlier!
Without further ado, here is part 1. Relevant notes and links are provided below. I am conditioned to speak before an audience. I hate talking to a computer. I hope I have not lost concentration and make reasonable sense.
References and Notes
A person’s financial castle with multiple moats.
Term Life Insurance:
- Do not decide insurance sum randomly!
- It has to provide inflation-protected income to you family!
- Claim Settlement ratio does not matter!
- Insurance calculator for the young earner
- Insurance calculator cum child planner also see: How to plan for your child’s education and marriage
- How to choose a term life insurance provider in 30 minutes!
- Things to do AFTER you take a term insurance policy!
- How to Buy a Health Insurance Policy
- Things to do AFTER you buy a health insurance policy
- Go for individual cover if possible
- For floater plan try not to include senior citizens or those who are of fragile health.
- Do not buy a top-up policy for your company mediclaim!
- Try to increase sum insured each year.
- Open a recurring deposit or deposit some amount each month for the annual premium. Remember that premium can increase due to a number of reasons.
- Reg. hosp costs: Please check with local hospitals in your neighbourhood reg the cost of a ‘decent’ private room. Suppose this is Rs. 5000 a day, your cover should at least be 5000/1% = 5 Lakhs. Here 1% is the room rent sub-limit (mentioned incorrectly as 2% in the video). If the room rent is much higher, it is better to go for a policy with no sub-limits.
Action Plan Insurance
- The child planner has a section which allows you to discuss with your spouse as to how the term life insurance sum should be managed (in the unfortunate event of your death).
- A MF Utility account (suggested by Balaji Swaminathan) can be opened for the spouse/partner to get access to all your direct mutual fund holdings
If you have any observations or questions please leave a comment.
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