1. Financial Planning
The NEED of the TOUGH TIME
Presented by,
Kaushal Mandalia

2. Stock Market Down by 70% The TOUGH TIME
Investors lost their Confidence.
Higher Interest Cost for Corporate
Higher Interest Cost for Corporate
Job CUT : Further Leads to Negative Impact on DEMAND
Uncertain TIME, Uncertain FUTURE.

3. What are the EFFECTS?
1. Portfolio Value at Rock Bottom if
Invested most of the money in
Equity Market
Market.
2. No Fresh Demand is Creating
through IPO or E it NFO
th h Equity NFO.
3. Supply is Higher than DEMAND
hence, Increased possibilities of
Stock Market Going Down further.

4. Do you NEED to WORRY?
If your Portfolio is UNSTABLE
You h ld be
Y should b worried i d
If Your Portfolio is STABLE
Sit and Relax.

5. Unstable Equity / MF / Debt
Portfolio
P tf li and Others
d Oth
Emergency
Equity
Fund
Market
Mutual
Fund Insurance
Debt
Instrument
Stable
Portfolio
Emergency Fund
Insurance / Protection
Insurance / Protection You can be WORRY‐FREE if
your Portfolio is STABLE

6. THREE Parameters to CHECK…
GOAL or OBJECTIVE
Must be linked with Emotions and Not LOGIC only..
Must be linked with Emotions and Not LOGIC only
RISK APPETITE
RISK APPETITE
Lets define this Clearly, Don’t Expect 100% Return at 10% RISK
TIME HORIZON
•The Shortest TERM possible to get RETURN is only
CALL Money Market
y
•Define Time Horizon CLEARLY

7. GOAL or Objective of INVESTMENT
Financial
Planning
Protection
Insurance
Child’s education and
marriage
Creation of wealth, so the best can
Investment
be provided to the family
Money for emergencies
An independent
retired life
Legacy for future
generations

8. Head + Heart = Buying DECISION
STRONG Emotional Connect
Rational Thinking
Emotions Q
Question
Guaranteed Return of 10% or
Non Guaranteed Return of 10% Denial Nothing is going to happen to me
FEAR God Forbid
Financial LOGIC
Returns, Economic Conditions, Concern
C How much is enough to E
H hi h t Ensure
Product Comparison Financial Security for my Family?
Love and I love my wife and children very much.
Recommendation by Advisor, Affection
Friends and Relatives Determination I want my dreams for my family to be
Ensured, regardless of what happens

9. Risk Appetite
“Only Dead Man Does not have any Worry or
Challenges”……. Anonymous
Similarly, If you don t have money, you
Similarly If you don’t have money you
have ZERO risk of losing it…
Risk Appetite is determined by “How
much you are willing to give up with
your investment if possibility arises”
Hence it largely depends on
on..
Returns
Fixed Returns or Market Linked
Liquidity
With Lock in Period or Without

10. Investment Options
Insurance

11. Time Horizon
Short Term Investments (1 Month to 2 Yrs)
Avoid Market Linked and Prefer Fixed Return Schemes
id k i k d d f i d S h
Long Term Investments (More than 2 Yrs)
Must be Goal Oriented (Use of Head and Heart both)
Must be Goal Oriented (Use of Head and Heart both)
Can be Market Linked but having Diversified Asset Allocation

13. Protecting your
Risk GOALS and DREAMS
Management against Any
g y Estate Planning
state Planning
Uncertainty
Uncertainties Covered Whole Life Policies
•Pre‐matured Death
Pre matured Death MWP Act
•Accident Nomination
•Disability Absolute Assignment
•Sickness
INSURANCE
Retirement Planning
and Employee Benefits Choice of Asset Tax Planning
Allocation (Debt,
Pension Schemes
Immediate q y,
Equity, Market Section 80C
Deferred Linked Returns with Section 80D
Super Annuation Capital Protection) Tax Free Maturity

14. DYNAMIC FLOOR FUND
Bullish (Jan 07 to
( Bearish (Dec 07
(
Dec 07) to Dec 08) Fund in FOCUS
di
Sensex 13827 to 20288 20286 to 9832
NAV of Dynamic
NAV of Dynamic 10.17 to 13.11
10.17 to 13.11 to 13.05
to
Floor Fund
Last 2 Years Performance
Bullish – Jan’07 to Dec’07
ll h ’ ’ Bearish – Dec’07 to Dec’08
h ’ ’
% CAGR

15. Dynamic Floor Fund – Unique Advantage
Available with
Kotak Life
Insurance – Head
Start Plans
Capital Protection Returns
1. Goal Oriented : Child Education, Marriage and Start in Life Expense
2. i k
2 Risk Appetite : Low Risk – Moderate Return. Protection + Growth
i i k d i G h
3. Time Horizon : Advisable for Minimum Tenure of 10 Years

16. Financial Independence..
Stable Portfolio
Thoughtful Planning
Thoughtful Planning
Retirement Emergency
Planning Funds
Other Critical
Investments Illness
Ill
Financial
Independence
Disability Savings
g
Education Income
Funds
F d Protection
Protection
upon Death
Accident & Hospitalization

17. Sleep Better at Night
With
Right Financial Advise

18. Prepared By,
P dB
Kaushal R. Mandalia
Associate Financial Planner
Risk Management & Insurance Planning
kaushal@thefinancialplanners.in