Prajna Capital

HDFC Infrastructure Fund - Invest Online
Reduce Your Health Cover Premium
Reduce Auto Insurance Premium

HDFC Infrastructure Fund - Invest Online

Posted: 24 Feb 2015 03:51 AM PST

HDFC Infrastructure Fund

Last couple of years were extremely challenging for our economy. There were many things to worry like high and sticky consumer inflation, twin deficit (Current account deficit & fiscal deficit), low GDP growth, policy paralysis, volatile currency, rising oil prices, high MSP growth (Minimum support prices) etc to name a few. Today, this all seems like a distant memory. Now, we have a strong and decisive government with development/infrastructure focus. Macroeconomics also seems to support with inflations under control & oil prices at unbelievably low levels. We feel the worst is behind us!

In the last 7-8 months, the Government has given a huge infrastructure thrust by taking several positive initiatives in Power, Railways & Roads. As per Economic Times Article dated 10th January, 2015 the power minister quotes "Rs 1 lakh-crore orders soon for power, mining equipment." The policy framework for infrastructure is slowly improving.

Secondly, Government's clear focus on "Make in India" initiative is evident from the efforts to amend land, labour & mining laws. India is likely to award projects worth USD 50bn over next five years, of which $19 bn is already cleared in last 6 months, with the clear emphasis on local sourcing. (Source: BAML, Edelweiss)

Globally also, India is in a unique position. Among large economies, it is among the handful if not the only country with downward outlook on interest rates, significant benefits of lower commodity prices and stable political situation. We believe India will continue to be a favourite destination for external investors over medium to long term.

Against this backdrop, we believe HDFC Infrastructure Fund is best positioned for "Economic Recovery" & "Make in India" initiative and is likely to benefit from India growth story. The Fund invests to seek long term capital appreciation by investing predominantly in equity and equity related securities of companies engaged in or expected to benefit from the growth and development of infrastructure.

Given the outlook for the Indian economy, we feel the fund provides a good risk reward proposition in the medium to long term, although short term volatility is quite high. Thus, we feel SIP can be considered to invest in HDFC Infrastructure Fund

Best Tax Saver Mutual Funds or ELSS Mutual Funds for 2015

1.ICICI Prudential Tax Plan

2.Reliance Tax Saver (ELSS) Fund

3.HDFC TaxSaver

4.DSP BlackRock Tax Saver Fund

5.Religare Tax Plan

6.Franklin India TaxShield

7.Canara Robeco Equity Tax Saver

8.IDFC Tax Advantage (ELSS) Fund

9.Axis Tax Saver Fund

10.BNP Paribas Long Term Equity Fund

You can invest Rs 1,50,000 and Save Tax under Section 80C by investing in Mutual Funds

Invest in Tax Saver Mutual Funds Online -

Invest Online

Download Application Forms

For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call

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Leave your comment with mail ID and we will answer them

You can write to us at

PrajnaCapital [at] Gmail [dot] Com

Leave a missed Call on 94 8300 8300

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Invest Any Mutual Fund Online

Download Mutual Fund Application Forms from all AMCs

Download Mutual Any Fund Application Forms

Reduce Your Health Cover Premium

Posted: 24 Feb 2015 03:03 AM PST

Buying the highest health cover available or making claims for every medical need are not always the best financial decisions

The only way to protect yourself from a financial disaster after a medical emergency is adequate medical insurance. Here are a few tips to cut back on the premium.

1. Buy a health plan from your bank

Public sector banks have co-branded health insurance products with usually public sector general insurers. These are exclusive and cheaper plans for their customers. For instance, while a `5 lakh Parivar mediclaim policy for a family of four from National Insurance, costs `17,972 annually, a similar family-floater Baroda Health Policy, a tie-up with National Insurance, will cost only `7,079 yearly. These plans are ideal for senior citizens, though one major shortcoming is that the maximum age of renewal is usually 80 years. Also, the maximum coverage you can get is `5 lakh. Since these are tie-up products, there is a risk of discontinuation of the plan, in which case you have the option to port the policy .

2. Buy a smaller cover and top it up

Don't buy the highest cover size available. The cheaper solution is to opt for a basic indemnity plan of say around `5 lakh and then add a super top-up health plan to it. So, while a `10 lakh indemnity cover for a 30-year old costs around `9,000 to `12,000 annually, a combination of a `5 lakh indemnity cover plus a `5 lakh super top-up costs just `6,500-7,000. Note that the deductible amount should never be higher than sum insured and you buy a `super' top-up not a regular one.

3. Separate cover for older members

Adding your parents to your family floater is a bad idea. Consider this: A `5 lakh family floater from Max Bupa which covers a nuclear family costs around `13,000. If you add your senior-citizen parents to this, the cost shoots up to `46,000. A difference of `33,000.A separate cover for parents costs `30,000. Not only there is a difference of `3,000 in the premium, a separate one for parents means the total cover size also increases to `10 lakh.

4. Cash for smaller needs

Comprehensive health plans will cover you head-to-toe but the costs are also exponentially high. For instance, a `5 lakh premium health plan with OPD benefits and other exclusive benefits will cost around `20,000, while a standard plan is available for `5,000.Plus you can always buy a health card to avail discounts. Since these plans offer preventive health check-ups as part of the product, the members are eligible for tax benefit of up to `5,000 under Section 80D.

5. Buy for a longer tenure, buy online

Enquire and ask for a discount before you pay the premium. Some offer discounts for buying online, others for sharing your purchase on your social networking site and then there are loyalty reward points that can be redeemed as discount on premium. The public sector general insurers offer discount to customers who buy online.

6. Mind the price escalation clause

Health insurance plans are annual contracts and, if their health insurance product portfolio is performing badly, the insurer has the right to appeal to the regulator, IRDA, for a revision of premium. Also, check how steep the price changes are as you cross an age slab.

Best Tax Saver Mutual Funds or ELSS Mutual Funds for 2015

1.ICICI Prudential Tax Plan

2.Reliance Tax Saver (ELSS) Fund

3.HDFC TaxSaver

4.DSP BlackRock Tax Saver Fund

5.Religare Tax Plan

6.Franklin India TaxShield

7.Canara Robeco Equity Tax Saver

8.IDFC Tax Advantage (ELSS) Fund

9.Axis Tax Saver Fund

10.BNP Paribas Long Term Equity Fund

You can invest Rs 1,50,000 and Save Tax under Section 80C by investing in Mutual Funds

Invest in Tax Saver Mutual Funds Online -

Invest Online

Download Application Forms

For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call

---------------------------------------------

Leave your comment with mail ID and we will answer them

You can write to us at

PrajnaCapital [at] Gmail [dot] Com

Leave a missed Call on 94 8300 8300

---------------------------------------------

Invest Mutual Funds Online

Invest Any Mutual Fund Online

Download Mutual Fund Application Forms from all AMCs

Download Mutual Any Fund Application Forms

Reduce Auto Insurance Premium

Posted: 24 Feb 2015 01:53 AM PST

Installing safety features in your car and forgoing small claims are among the several ways in which you can cut down on your annual premium

Raise Your Deductible

You can reduce your auto insurance premium by increasing the deductible component, which is what you pay when you make a claim.But, pay only as much as you can afford. If you pay too much, the purpose of insurance is defeated.

Don't Claim Small Sums

If you buy auto insurance and don't make a claim, you will be entitled to a no-claim bonus (NCB) for every claim free year. Skip the trip to the insurer for small issues like a broken tail light. In fact, the local mechanic may lower the repair costs.

Transfer Your Bonus

Auto insurance is linked to the person who buys it, not to the car.The agent may not tell you this. An advantage is that the accumulated bonus can be transferred to the new car you buy. So when you sell the car, retain the insurance in your name.

Compare Premiums

All general insurance companies offer online covers. Auto firms also provide `free' insurance, but don't be fooled. It is typically free only for the first year and you cannot customise it. Also, if you modify the car, the insurance will not cover it.

Anti-theft Aids a Must

It is critical to install safety features in your car. By buying gear lock, steering lock or an anti-theft alarm, you can also reduce your annual insurance premium by 5%. If you are linked with bodies such as WIAA, you can avail of special discounts.

Best Tax Saver Mutual Funds or ELSS Mutual Funds for 2015

1.ICICI Prudential Tax Plan

2.Reliance Tax Saver (ELSS) Fund

3.HDFC TaxSaver

4.DSP BlackRock Tax Saver Fund

5.Religare Tax Plan

6.Franklin India TaxShield

7.Canara Robeco Equity Tax Saver

8.IDFC Tax Advantage (ELSS) Fund

9.Axis Tax Saver Fund

10.BNP Paribas Long Term Equity Fund

You can invest Rs 1,50,000 and Save Tax under Section 80C by investing in Mutual Funds