Large numbers tend to scare us, we can’t process them mentally. We are more comfortable with smaller ones. This in essence is the denomination effect. Of the several cognitive biases that affect us as individuals, Denomination Effect is an important one. It comes in our way everywhere – buying a phone, property or even mutual […]
HDFC Life Click2Protect 3D Plus Online Term Plan – It’s complicated!
As I plan to increase my insurance cover, I evaluate one of the most popular term plans out there – HDFC Life Click2Protect 3D. Well, turns out that the good old simple term insurance now comes with a lot of bells and whistles. If you don’t know what you want, you can end up paying […]
16 Rules of Investment Success by John Templeton
Sir John Templeton is known as one of the leading investment managers of the 20th century. A closer association you may recognise is Franklin Templeton, the money manager. Templeton listed 16 Rules of Investment Success. Most of them will resonate with you even though you have heard or read them before. Here they are:
Principal Small Cap Fund – NFO – Should you invest?
Principal Small cap Fund offering comes from the underlying belief of fund houses that there is money to be made in small caps. Whether this money is for the fund or for you the investor, remains a question. Having worked with 100s of clients and interacted with many others, my view is that most investors […]
The FMP mess – Should you invest in a Fixed Maturity Plan?
If you have come across an FMP sales pitch, it almost always is that “it is as safe as a Bank FD”, yet, “it will give higher returns than an FD.” An easy lure for most investors since ‘safe returns’ is a primary criteria. You don’t like that FMP word any more. Do you? In […]
Do fear and greed rule your mind and your money too?
Ajay Gupta (name changed) fell prey to greed. A distant relative approached him a few months ago with an existing investment opportunity. A guaranteed return of 3% per month or 36% per year. This offer was a difficult one to ignore, plus he trusted the person making it. He took it. Ajay worked with an […]
