During the first session, Ms Dalal explained that people needs to plan for their silver innings. Savings should be enough to cover their expenses for another 20-30 years; however, income from savings fluctuates with interest rates. She told the audience that people do not know about the difference between insurance and investment, therefore, they trust agents, who insist that they buy policies in the name of their children or grandchildren. She told the audience about various cases that have come to the Foundation involving forged signatures, fake ID proofs and fake witnesses.
Mr Basu made people aware of the pros and cons of different financial products such as immediate annuities, Senior Citizens Savings Scheme (SCSS) and MIP schemes, but emphasised that none of these are great choices. In the post-retirement period, it is important to choose safe assets, for which bank fixed deposits are among the best but one can also pick from other options such as corporate bonds, short-term debt schemes of mutual funds and fixed deposits. For those in 20% and especially 30% tax bracket, an excellent option is listed tax-free bonds from government companies. However, investing all the money in fixed income products for the very long term may turn out to be imprudent because they do not beat inflation. Retirees may like to invest some amount of money in equity mutual funds, especially at the earlier stage of their retirement. Towards the end of the session, he focussed on reverse mortgage and how it can be used as a source of income in retirement.
Inside story of the National Stock Exchange’s amazing success, leading to hubris, regulatory capture and algo scam
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30-day online access to the magazine articles published during the subscription period.
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i invite all those employees covered by Nationa Pension System to access Chapter 10.3 of VII Central Pay Commission Report and read it carefully. Though media and government had blacked out the negatives of NPS, Pay Commission has taken serious note of the mess in which NPS has landed.
Once this is done I am subscribing to your magazines.
Thank you once again!!!