Making the decision to invest some of your money in order to achieve a more comfortable future is a step in the right direction but you also need to choose your investment options carefully to reap the best rewards.
Picking a wealth investment plan that aligns with your financial aspirations and goals is essential and if you select a ULIP plan it might turn out to be a decision that gets you hyped up about the potential returns.
Here is a look at some of the types of ULIP plans that should be on your radar.
Achieving a good balance
It is important to appreciate that there are various ULIPs to choose from and the fundamental difference between them is normally how your investment percentages are structured.
If you go for a balanced fund you will be invested in Government Securities and Corporate Bonds, for instance, and a percentage of the fund invested in equities.
A balanced fund gives you exposure to equities whilst spreading your cash across money market instruments too.
If you don’t want to invest in stocks
If your investment profile is one where you are not so keen about putting your cash in a fund that invests in equities, you could opt for a secure fund.
A Secure Fund will see you are invested in Government of India bonds and instruments as well as corporate and banking bonds etc., but no investment is made in equities.
No time to lose
If you are excited by the opportunities that exist through the stock market and are hyped about the prospect of seeing some decent gains on your investments, you might enjoy the thrill of investing in a High Growth Fund.
A High Growth Fund is heavily weighted toward equities with at least 70% invested into equities.
Another ULIP designed for growth
A High Growth Fund is designed to target equity opportunities that are perceived to have the potential for exciting returns and another option to consider would be a Growth Super Fund.
This fund also focuses mainly on investing in equities but looks at other opportunities that might be more suited to your investment profile.
Still going for growth
It might be confusing for some investors to see a choice of ULIP growth funds, which is why it is a sensible approach to get some professional investment guidance, as they will be able to ask the right questions in order to find a fund that suits your profile and financial goals.
For example, the Growth Fund offered by Max Life invests in a diverse basket of asset classes, including equities and government securities.
These are five types of ULIPs to look at and talk to an investment professional about, but it is also well worth remembering that you also have the flexibility to move your cash between funds if you want to take advantage of certain opportunities that attract you or you have an opinion on market movements that you want to act upon.
Whichever way you choose to invest your money through ULIPs it could turn out to be a decision that definitely gets you hyped.