How should an investor choose his/her investment portfolio from among so many types of products equity oriented, debt oriented, balanced fund, ULIPs, pension plan and child plans?
Gaurang Shah: First the person should decide on the risk cover depending on his/her income, regular expenditures, future requirements and loan liabilities. Also one has to keep in consideration his/her requirement regarding financial savings and the ratio of equity and debt based on risk preference. Take advise from the expert. One must check out the charges while buying ULIPs. As per the new guidelines, all insurance companies are required to show the charges under the same head so that charges can be compared easily. What are the things to focus in 2007? For example you are bringing capital protection schemes. Last year, people were interested in equity funds. U K Sinha: In 2006, many new products were launched. One such product, capital protection fund, is expected to fetch better returns as compared to bank deposits and provident funds. In capital protection fund, about 70-80% is invested in fixed instruments so that you get full capital protection and the benefit of equity on the
