Why mutual funds are better than LIC?
Table of Contents
Why mutual funds are better than LIC?
Life insurance is less risky in comparison to mutual funds. However, it offers guaranteed death benefits. Mutual funds are market-linked investments, and hence are highly volatile. LIC schemes offer low returns.
Which option is best for saving money?
Best Saving Plans
- National Savings Certificate.
- Senior Citizen Savings Scheme.
- Recurring Deposits.
- Post Office Monthly Income Scheme (MIS)
- Public Provident Fund (PPF)
- KVP (Kisan Vikas Patra)
- Sukanya Samriddhi Yojana (SSY)
- Atal Pension Yojana.
Which is best policy or mutual fund?
Returns, returns and more returns Undisputedly, mutual funds offer higher returns on investments as compared to life insurance policies. Mutual fund returns often come in the form of stock, cash or appreciation of capital asset value.
Is LIC Mutual Fund good?
It has 90.06\% investment in the Indian Stock market, of which 87.62\% is in large-cap stocks, and 2.43\% is in mid-cap stocks. LIC AMC recorded a CAGR of 14.56\% in the last 3 fiscal years, making it one of the most preferred large and mid-cap mutual funds amongst investors.
Which is best LIC Mutual Fund?
For long-term plan, equities suit the best, while for short-term you can prefer Investing in debt Mutual Funds….1. LIC MF Large and Midcap Fund.
| LIC MF Large and Midcap Fund Growth | |
|---|---|
| Launch Date | 25 Feb 15 |
| Category | Equity – Large & Mid Cap |
| AMC | LIC Mutual Fund Asset Mgmt Co Ltd |
Which scheme gives more interest?
Comparison table
| Scheme | Duration | Rate of Interest* |
|---|---|---|
| NSC | 5 years | 6.8\% p.a. |
| Post Office Monthly Income Scheme | 5 years | 6.6\% |
| Senior Citizens Savings Scheme | 5 years | 7.4\% p.a. |
| Kisan Vikas Patra | 124 months (10 years and 4 months) | 6.9\% p.a. |
How can I save money smartly?
Use these money-saving tips to generate ideas about the best ways to save money in your day-to-day life.
- Eliminate Your Debt.
- Set Savings Goals.
- Pay Yourself First.
- Stop Smoking.
- Take a “Staycation”
- Spend to Save.
- Utility Savings.
- Pack Your Lunch.
What is best LIC or sip?
LIC, SIP and mutual funds – the bottom line Advise them to, first, aim for financial security by investing in a life insurance plan and then they can plan their investments. If, however, they want to invest in mutual funds, SIPs are the best way to go about it.
Why should you invest in LIC mutual fund?
One of the best parts of investing in LIC Mutual Fund is that it has a strong risk management team that predicts market trends and helps to balance your portfolio accordingly. Investors planning to invest can choose a fund from the below-listed top 10 best LIC Mutual Fund Schemes.
Do you find your customers confused about investing in LIC?
Among the leading avenues, investors are often confused about investing in LIC, SIPs and mutual funds. Do you also find your customers confused about choosing the best avenue among these three? First of all, LIC is a completely different avenue from SIP and mutual fund investments. LIC is, basically, investing in life insurance policies.
What is the difference between LIC and SIP?
LIC, SIP and mutual funds – the difference First of all, LIC is a completely different avenue from SIP and mutual fund investments. LIC is, basically, investing in life insurance policies. When it comes to life insurance, there can be no parallel investment avenue which gives the benefits provided by life insurance policies.
Should you buy insurance policies with savings or investment element?
When you buy insurance policies with savings or investment element in them, you end up with a very small insurance cover that defeats the entire purpose of buying a life insurance cover. Such policies also offer only modest returns. Always stick to pure investment products like mutual funds to achieve your financial goals.