POSTED BY February 10, 2011 10:31 pm COMMENTS (3)ON
I was presented the Kotak Capital Multiplier plan which is an endowment plan investing in government bonds & money market instruments. They are claiming 9 – 10% returns plus bonus by the company. But I’m unable to calculate the returns from the illustration given by them. Kindly help in calculating returns. I checked the IRR and XIRR on your site but it did not seem to fit in those 2. Here is the illustration :
Invest 1 lac rs for 5 years only.
From 6th to 20th year you will get 72000 Rs per year
In the 21st year you will get 11 lac Rs.
So total return is 21 lac Rs for investing 5lac Rs.
But it seems too good to be true.