Plans allow systematic enhancement of wealth with insurance
A common man has limited earnings and if you ask him how he plans to save for his retirement or children’s education he would probably have no answer. He may realize that Inflation is hitting his savings hard and the amount he would need for securing his child’s future is monstrous. In fact, the corpus one needs to accumulate appears so big that most people shy away from making a beginning to achieve this target.
But I would say no amount or target is too big if systematic efforts are made to achieve the same. You won’t even need to stretch yourself tremendously in either earning or saving. It just requires you to follow these two simple steps and you would find your small savings has transformed into a corpus which you never dreamt of accumulating in your life time.
The most important virtue of a successful investor is that he starts investing from the very first day he starts earning. You need to be a visionary to understand how little savings transform into large corpus over time. There are two important benefits of starting early when it comes to investing.
The first obvious benefit being that the money you save earns compounded return over a longer duration and hence the savings continue to multiply with time.
The other benefit being that you have the opportunity to opt for investment vehicles which promise significantly higher returns when held for a longer duration. Take the case of equities, if you hold them over a long enough time horizon, you can look forward to earn the most lucrative returns.
So, your money earns a higher return for a much longer duration and this works wonder for you.
The benefit of investing early can only be reaped if it is done consistently over time. The best way to ensure that you start investment early, smartly and consistently is to opt for an investment plan or life insurance policy. Life insurance Policy combines the benefit of insurance and investment. So, you not only stand to gain from the investment but the future of your Dependants is secured on account of the insurance cover. Buying such an Investment Insurance Plan will not only enforce you to invest systematically but also ensure that your money is invested in the most rewarding investment vehicles and the investment Risk is minimized.
Apart from earning attractive returns on your investment, you also stand to gain from the tax savings that most life insurance plan confers.