1. Tax saving – Most favourite pass time theme for Indian investors? If one has to pay more tax, that must be a good thing which normally means one is earning more from salary or investment returns. How much is the question? And does it worth the effort ie tax dodging?? No is the answer for most investors.
2. Guaranteed/Safe returns – Is there such thing as guaranteed in this world?? USA is now printing papers to pay their debt and trillions of dollars of it… There you go – guaranteed means paper returns!!
3. ULIPs – do i say any more about this mass wealth destruction!!
4. Endowment policies – ditto as above
5. PPF – must be good for all. Probably not good for all, but for some.
6. Thematic funds (Gold for eg) – do you want to play with fire!!
7. LIC – the only safe investment in insurance. Well guys, the ex CEO of the company has been giving away all your cheap money to big guys!!
Please add to the above list and enlighten investors/savers for a better/informed world.
Thanks