- 1. B'MAP Financial Services
2. Contents 3. Concept of Financial Planning
- Identifies all the financial needs of a person
- Translates the needs into monetarily measurable goals
- These goals can be short term, medium term and long term
- Plans the financial investments that will allow these goals to
be met.
4. Depreciating Value of Money 5. Appreciating Cost of Living 6.
Real Return On Investment
- The above said couple of pictorial representations are derived
and designed taking into consideration,5.5% as the rate of
inflation, which depict:
- Value of Money which is not invested depreciates @ 5.5%
YOY.
- At the same, time cost of living gets appreciated @ 5.5%
YOY.
- As a result, a Real Return on Investment is achieved only if it
outshines the above said effects of inflation.
- Therefore, the need of the hour is not just to invest, but
toInvest Intelligently.
- To invest intelligently requires,careful planning and
analysis.
- We @BMAPsteer you in identifying the right avenues to invest
in, where theReturn On Investment is REAL.
7. Life Cycle Stage Guide 8. Benefits of Investing Early 9.
Investment Avenues - Comparison 10. Asset Types
- Physical & Financial Assets
- Guaranteed & Non Guaranteed investments
- Physical Assets Gold & property
- Financial Assets products offered by -
- Government PPF, RBI relief bonds, NSC, government
securities
11. Asset Allocation
- Asset allocation is the process of how an investor distributes
his or her investments among various classes of investment
vehicles-such as,
12. What is a Mutual Fund?
- A Mutual Fund is a trust that pools the savings of a number of
investors who share a common financial goal.
- The money thus collected is then invested in capital market
instruments such as shares, debentures and other securities.
- The income earned through these investments and the capital
appreciation realized is shared by its unit holders in proportion
to the number of units owned by them.
- Thus a Mutual Fund is the most suitable investment for the
common man as it offers an opportunity to invest in a diversified,
professionally managed basket of securities at a relatively low
cost.
13. MF -Operations Flow Chart INVESTORS FUND MANAGER SECURITIES
RETURNS Passed back to Pool their money with Invest in Generates
14. Portfolio - Sample Grand Total 100.00 Other Derivatives, Cash
Receivables 22.66 Preference Shares, Warrants, Debt, And Equity
Less Than 1% of Corpus 3.62 Oil & Natural Gas Corporation Ltd
1.07 Bharat Forge Ltd 1.23 Triveni Engeering And Industries Ltd
1.09 Gammon India Ltd 1.28 Deccan Aviation Ltd 1.47 Larsen &
Toubro Ltd 3.58 Patni Computers System Ltd 1.57 Grasim Industries
Ltd 3.99 Television Eighteen India Ltd 1.66 Infosys Technologies
Ltd 3.99 Siemens Ltd 1.85 Maruti Suzuki India Ltd 4.09 Alstom
Projects India Ltd 2.04 Reliance Communications Ltd 4.42 Hindalco
Industries Ltd 2.33 ICICI Bank Ltd 4.78 Indian Hotels Co Ltd 2.36
State Bank of India 5.02 Reliance Infrastructure Ltd 2.60 Reliance
Industries Ltd 5.91 Tata Motors Ltd 2.99 Divis Laboratories Ltd
7.67 Tata Steel Ltd 3.23 Equities 77.34 Tata Consultancy Services
Ltd 3.51 Holdings Weightage (%) PORTFOLIO OF RELIANCE VISION FUND
15. Sector Allocation - Sample 16. Mutual Fund Classifications
17. Equity & Debt - Definition
- Equity fundsinvest in shares or equity of companies with a
potential for growth and capital appreciation. They invest in
well-established companies where the company itself and the
industry in which it operates are thought to have good long-term
growth potential.
- Debt funds or fixed income fundsinvest in government or
corporate securities / bonds that offer fixed rates of return. The
goal of fixed income funds is to provide current income consistent
with the preservation of capital.
18. Risks to be offset..
19. Advantages of Mutual Funds
- Reduction in transaction cost
- Convenience and flexibility
20. Returns - Equity and Debt
- Past performance of the diversified equity mutual funds has
delivered close to 25% annualized returns.
- Debt FMP can outperform Bank FD by atleast 2.5% in terms of
incremental revenue.
21. Stock Markets & Returns 22. Index Vs MF 23. Tax
Benefits
- Dividends declared by debt-oriented mutual funds (i.e. mutual
funds with less than 65% of assets in equities), are tax-free in
the hands of the investor.
- However, a dividend distribution tax (which varies for
individual and corporate investors) is to be paid by the mutual
fund on the dividends declared. Dividends declared by
equity-oriented funds (i.e. mutual funds with more than 65% of
assets in equities) are tax-free in the hands of investor. There is
also no dividend distribution tax applicable on these funds.
Diversified equity funds, sector funds, balanced funds (with more
than 65% of net assets in equities) are examples of equity-oriented
funds.
- The amount invested in tax-saving funds (ELSS) is eligible for
deduction under Section 80C, however the aggregate amount
deductible under the said section cannot exceed Rs 100,000 (in a
financial year).
24. Current House Hold Savings Pattern 25. At BMAP We 26.
- The core objective of BMAP Financial Services is to provide
financial planning for individuals,corporates and ensure they
maximize their wealth, thereby achieve their financial
objective.
- Financial Planning is an exclusive profession which squeezes
out the maximum Return On Investment for the investor. Everyone
will have their own ideas, plans and convictions on their personal
finance based on their knowledge, but we have taken up financial
planning as our profession, passion and we possessthe expertise,
in-depth knowledge and experience in financial planning.
BMAP Financial Services 27. BMAP Financial Services #73-F1, II
Main Road Alwarthirunagar Annexe Chennai 600087 Primary Contact :
S. Arunramalingam Phone:+91 44 23772232 HP :9382605432
e-mail:[email_address] Contact us 28.