Investment Plans from Your 20s to Your 60s

It was raining money in the streets of Kuwait earlier this year. Don’t we all wish that we’d been driving by at this wonderful time (so much better than the raining spiders in Australia).

Unfortunately, while you keep wishing for raining money, you need to make sure that you’re prepared, just in case. The best way is to get your best investment plan settled and here’s how you go about them.

Young adults in their 20s

Twenties is the ideal time for entering the investment world. It is the best time to get all insurance covers at the lowest rates and get that magic of compounding working on even small investments.

You are free from major responsibilities and have more time and energy to learn about the financial markets. So, it is the best time to try your hand at maximum equity exposure, for higher returns. Ideally, one can even go with 90% equity exposure at this time.

With the entry of a new breed of youngsters with high disposable incomes, the home purchasing age of Indians has also come down to the 20s now.

Products recommended: ELSS, Long term SIPs, bonds, ULIPs, Stocks, ELSS, Term Plan, Health Insurance

The mature-young of the 30s

Having entered the 30s, your finances are starting to look serious. You expenses are growing; with a home loan and car loan. Your salary too has grown. So, if you haven’t gotten your finances in order by now, it’s time to buckle down.

Consider your expenses, short terms goals, and envision your retirement. You can allocate a certain percentage your salary for all fixed liabilities, including loans and investments. Ideally, that can take up 60% of your income, so that you can breathe easy.

This is a good time to cement a solid foundation for your portfolio. Investments at this time should be regular, systematic and adequate to reach your goals.

The Quadragenarians (40s)

Your priorities are a longer list now. Besides retirement planning, your children’s education has now been added to your expenses. A dilemma faced by people at this stage is balancing their investments for varied requirements.

Close all unwanted loans by now. Bring down your home loan by part payment, so that you can concentrate on your investments alone. Review your portfolio to understand where you are standing.

Products recommended:  PPF, pension plans, ELSS, Fixed Deposits, KVP, ELSS, MFs, ELSS

Nearing Retirement (50s)

Your investment tenure is getting shorter now and you’re looking at some big ticket spending like children’s college education, marriage etc.. If your income comfortably outpaces your spending now, you are safe. But if there is a potential shortfall, you should start aggressively planning.

Some people would want to gather a corpus at this time for investing in retirement communities.

Products recommended: Debt funds, FDs, Liquid Funds, ELSS, NSC, Short term FDs

The Retirees (60s)

Many would think that an best investment plan is not necessary after retirement, but this is a critical stage of your life where you should have perfect control over your finances. You may have too many unplanned expenses at this stage.

You will have some money in hand through gratuity amounts, matured insurance policies etc. So, you need to channelize them to make them best use of them and to save tax.

Invest in short term plans and ensure that you have high liquidity with your investments for meeting possible financial emergencies and miscellaneous expenses.

[Source: https://investmentinsurancepolicy.wordpress.com/2015/10/06/investment-plans-from-your-20s-to-your-60s/]

Insurance - Business, Investment Opportunity In Asia

Insurance is one of the key pillars of the financial services sector in the world. It is also a central element of the trade and development matrix. The Micro insurance may support poverty alleviation by protecting the assets, income and productivity of low-income households noticed by Anja Smith of Oxfam, America during 2009.

Insurance sector has ample scope in terms of investment, protection and so on. Thus, Insurance sector need to rebuild to gain for economy resurgence is the most important and pressing need in Ethiopia.

United Nations Conference on Trade and Development in 2007 reported insurance has both an infrastructural and commercial service; a well-functioning insurance sector plays a crucial role in economic development not just at a macroeconomic level but also in terms of the activities of individuals and businesses.

Comprehensively understood the insurance is an equitable transfer of the risk of a loss, from one entity to another in exchange for payment. It is a form of risk management primarily used to hedge against the risk of a contingent or uncertain loss.

Today many developed and developing countries have adopted the insurance as a core service sector. The world insurance market is dominated by industrialized countries which in 2004 generated about 88 per cent of world life insurance premiums and accounted for 90 per-cent of the world non-life market.

Ethiopia has immense insurance business opportunity. The growing population needs the health insurance in Ethiopia. The overall risk of_health care and_health system expenses indicates that individual family cannot afford in Ethiopia. All types of products should be suitable for the different age groups. Many companies are working and varieties of insurance products are available in Ethiopia. But now this is an emerging and most pressing sector form the point of best investment plan, health and safety.

By the end of the seventeenth century, London's growing importance as a centre for trade was increasing demand for marine insurance. In the late 1680s, Edward Lloyd opened a coffee house, which became the meeting place for parties in the shipping industry wishing to insure cargoes and ships, and those willing to underwrite such ventures. These informal beginnings led to the establishment of the insurance market Lloyd's of London and several related shipping and insurance businesses.

[source: http://allafrica.com/stories/201506011672.html]