10 TODO's of the New FINANCIAL YEAR

Being on the Wealth Side for the last 1.5 decades at the March end we get a lot of questions on the taxation side, on taxation no one can advise you except your CA as they know all the details about your finances and how they have taken it up, also in India a lot of regulation related to taxation are subjective to the risk-taking ability of CA and the Client, also a lot of CA scares client to avoid to pay big taxes and take the other root around which may keep a client in a fix.

In the same way, a lot of clients' investment decisions are taken by CA’s or their Banking RM’s (Relationship Managers), starting from heavy premium INSURANCE POLICIES, ulips, MF etc., here the focus is more on the revenue that they are earning from the product in place of the Larger Goals of an Individual or a Family, we have seen so many cases where a client has got so heavily LIFE insured where they don’t need that much insurance, and when we ask, Who recommended you? And always the answer is “It’s our CA or the Bank RM’s”, I am not saying all Cas & RMs do this activity, but there are many of them,

The decision-making of your investments should be solely by your Wealth Manager or your Fund Manager who knows your Goal, Vision & Objective as well as your Risk Appetite & once the final decision comes it should be consulted to your CA for the taxation point, make the process simple and fruitful.

There are 10 Points I strongly believe you should take care of while making financial decisions in the current Financial Year:

1. Avoid taking Investment products from Banks, especially Investments and Insurance, as they will sell where they earn the highest in this case, they charge very high, and if they leave jobs, you are in a fix.

2. Whatever the high return schemes are, avoid investing in anything which is not SEBI Regulated, when it is 50% returns guaranteed, you may get 50% back in return, be aware!

3. If you don’t have Personal Accidental Insurance, have it today, it is as important or more important than Health & Life.

4. Those who have substantial investments in equities, from the Booked Profit start buying 10% Gold and 10% Silver, it is one of the best hedges against the Equity Markets.

5. SAY complete NO to investments under obligations, it may look bad once, but happy forever, or vice versa.

6. If your CA gives you advice not to pay taxes or ways to evade taxes, change your CA.

7. Appoint an Investment Manager, primarily one who is SEBI Registered, he/she has grown financially in life and would say NO to you more than YES, for your GOOD.

8. Investing in Comfortable Shoes, Luxury Vacations, Beautiful Homes, Amazing Office & Brilliant Car is not a liability it’s an ASSET.

9. Don’t be shy to take loans (which you can afford), and don’t wait to get it cleared though there is a penalty on it to get cleared.

10. There is no right age for taking risks, Risk taking is a personal endeavour, Risk taking will not only make you more agile, but it also gives you a reason to live more.

Comment which of these points connected you the most!

Wish you a Wealthy Year!

RoMe