PPF or ICICI Wealth Builder II with maximizer

POSTED BY rudy ON January 7, 2014 2:10 pm COMMENTS (39)

Recently visited to ICICI Bank to open a PPF account for 50,000 /anum, one of the financial advisers in Bank suggested to invest in their ICICI Wealth Builder II which gives better returns of 10% to 16% , also Tax savings on 80C, now i am really not sure which one to opt for PPT which has 15 years locking and gives you 8.x % and ICICI Wealth builder which gives better returns with 5 years locking, need help in deciding which one to go with?

39 replies on this article “PPF or ICICI Wealth Builder II with maximizer”

  1. Mukesh says:

    ALL ICICI persons are fraud. They are continuously cheating the people via Pro wealth builder policy. I have also invested in 120000 INR per annum category.
    But after seeing so many reviews, I have to cancel the policy and much better to opt for regular FD, RD & PPF.
    PPF is the best and secure medium to invest

    1. Jagoinvestor Admin says:

      Its mainly the issue with the product. Many companies have bad products like that

  2. Abhay says:

    Hello everyone,

    I understand about risk of ULIP plans however i too purchased two ULIP plans one from BSLI and another from ICICI Pru, its been 4 years in BSLI i invested 30k annually and now i can say the return is about +9% though it has some hidden charges on the other hand its been 3 years for maximiser V plan in ICICI and the return is -2% so one has to understand that in ULIP you have to spend enough time to get good returns because for the first 5 years it has some hidden charges due to which you can’t see good returns.

    1. Correct. ULIP are the waste of money if you want to surrender it in just few years !

  3. Aman says:

    Hi Guys,

    This is Aman. I recently purchased wealth builder II RP plan. I came to the page while checking reviews. As the Icici person suggested me also to get this plan instead of PPF. I bought it for 60 K per year for 10 years.
    But once I saw reviews here I decided to cancel the plan right away. Fortunately I was in free look-up period. So got full refund. Ashish bhai kuch na hoga HDFC walo se. Mene bhi apne Hdfc account ko aise hi chod diya tha. Negative balance ke message aate the. Auto close Ho gaya baad me come in the talk of Icici professionals, these policy hidden charges are so high as well.
    Don’t plan to buy it. PPF is the best.

    1. Thanks for sharing that Aman .. I am sure it will help many others

  4. Ravi says:

    I bought ULIP wealth builder from icici prudential. Yearly premium 60,000 and I have continue to invest since 4 years. But I can see my total current value is in negative. I am very clear about never and ever invest in ULIP and in ICICI prudential. I would suggest to you buy term insurance if you need insurance and go for ELSS mutual fund to get deduction under 80c . Some of the best mutual fund under ELSS category, DSP tax saver, Franklin tax shield, L&T tax advantage fund.

    1. Thanks for your comment Ravi

    2. Sagar says:

      Same here bro. I have invested 125000 and i am at the end of 1 years but my find value is 119000 even when the market is at its peak. This is because they deduct some amount may be around 5% as some charges when you make the investment. So after gaining also customer will be a looser, instead investment made in Tax saver FD is better option. And one more thing this deduction from the premium is no where mentioned in the policy terms and conditions.

      1. ArunB says:

        strangely enough…. i have invested 600000 (2 lac each year for 3 years) in icici prudential pru elite life II and when i checked my unit statement today, the current valuation is 6.70 lacs… and this is 3 years that we are talking about.
        But then it also may be because the market is so high right now…. once there is a little correction in the market, this current valuation will probably reflect in negative.

        1. Yes, you will mostly be in negative considering all the charges and fees. Better get out of this product

  5. K Shiva Adithya says:

    If we have invested for 2 years and only see -9% to -12% (minus 9 to minus 12) return, is it better to stop and invest in other profitable equity mf’s? I already have my term insurance and really dont see the ULIP helping. Also, it takes away a huge part of my yearly investment and is sitting as the worst performing fund.

    1. Yes, I suggest invest in Mutual funds , We can help you in that ..

      We create a FREE online account for you, from where you can invest and redeem online.

      Our team will be happy to explain you more on this.

      Find more at http://www.jagoinvestor.com/pro


  6. tushar says:

    ICICI Pru Life Insurance ULIP Plans allocation and other charges are very high i.e close to 9% of your premium amount. So even in best scenario if returns is 4-8% still amount values will be in negative. …Plz don’t go for investment in ICICI Pru Life Insurance ULIP Plans

    1. Thanks for sharing that tushar

  7. Tushar says:

    Plz don’t go for investment in ICICI Pru Life Insurance ULIP Plans.
    They only show u returns of 15-18 % but does not give returns above 5 -6 % and sometimes the amount is in negative ……I invested 50,000 for five years my fund value is in negative so after 1 year I stop paying now. My fund values got lock for years but doest matter at least I can avoid the future losses by investing more amount.

    1. Thanks for sharing that Tushar

    2. Chirag Bhatt says:

      Its all for a long horizon. First 5 years they deduct the charges from your invested amount. So definitely you wont see any growth. Wait for 10 years of time. You will definitely get a very good return, better than MF.

    3. Yes i also invest in icici prue wealth ife insurence my plane was wealth builder 2 since one year i invest my money but still growth is negetive don not believe icici they are fraud

    4. Nkm says:

      Charges are 6% on so obvs your fund value will be less for 1 yr if market doesn’t perform good you could have opt ats option in that which is Debt to equity maximiser v and income opportunity and midcap 5 yrs annualized returns are more than14%…even mf can be negative in one year.. ..you need to give time to grow the fund

  8. SRINIVAS says:


    1. KV says:


  9. Balakrishna says:

    Same thing happend with me also… It seems better to go with PPF only..

  10. Abhi says:

    Thank you all , I was also told same by ICICI agent when visted branch for PPF account.

    1. pandeyjee says:

      It’s all abt your economical strength ppf has flexyable payment option. BT return seeking customer to go only maximizer 5 with 5 year paying term….

  11. Hardik says:

    Yes I Agree with you all. PPF , FD or RD is safe investment for all time. Go for it.

    1. Thanks for your comment Hardik

  12. Raj says:

    Plz don’t go for investment in ICICI Pru Life Insurance ULIP Plans they only show u returns of 15-18 % but does not give returns above 5 -6 % and sometimes the amount is in negative ……I invested 50,000 for five years my fund value is in negative .

    1. Basantlal says:

      Could I plz share how ur fund value is in negative….didn’t get?
      Coz planning for the same

  13. Maulik says:

    I have recently taken up this product ULIP in form of Elite Life II. Even I am unsecure about that thing so I was searching the reviews and got this page. Well it is surely not secured 10-16% returns, it may give or may not. As it is equity linked and not Debt linked the returns are not garenteed but it may give good returns no doubt about it. It depends on your requirement and risk absorbing capacity. ya if you think whether ULIP is better or mutual funds which is my primary doubt I dont have answer but over PPF and ULIP, if your risk absorbing capacity is good at long run u can have good returns in ULIP (definately will not be able to assure you as its risky).

    1. pandeyjee says:

      Plz see whether u investment is ATS in ATS has a combination of both equity and debt. And be positive u get 12 % min return…. How many ppt is left to pay I mean

      1. Mansi says:

        Pandeyjee please do let me know hws ur investment performance till now. I m thinking to invest 50k

  14. karthik says:

    its right.Going for secured funds like PPF and NSE bonds or even RD will always keep you safe.

  15. Ashish Garg says:

    Hi Rudy,

    Let me tell you my personal experience…

    I invested in a ULIP on suggestion from an adviser just like in your case. I have been paying Rs.25000 per annum for last 5 years, as on to day I have paid 1.25 lakh and fund value is Rs.97,000. A loss of Rs.28,000 in 5 years. If it continues the same way, I may end up loosing another 30K in next 5 years (if I do not close this and come out now, which I shall be doing in next few days). Do you think, the ULIP shall emerge in next 5 years and not only covering this loss but also give me a return of 16 to 18% on my investment… SIMPLY IMPOSSIBLE

    And if you go through past questions in this forum, you will realise not even a single person has shared that he has made great (12-15% profits) by investing in ULIPs

    Ashish Garg

    1. Siva says:

      Exactly that’s what has happened I paid 202000 premium so far but the fund value shows 1,86,000 negative 6% return. Even my worst mutual fund investment during the same time period gave 8% profit. Please do not go for this. It’s been aggressively marketed on false promises by ICICI employees just to meet their target. I feel cheated. If tax saving is the goal then go far tax saving mutual funds like Axis long term equity fund.

      1. Thanks for sharing that Siva

      2. K Shiva Adithya says:

        Exacctly the same feeling I too get. Invested in 4-5 mutual funds and all of them have given minimum 8% profit. In fact I was not interested in a ULIP too, somehow fell for the trap where the Bank advisor started showing a rosy return of 15-20%.
        2 years into investment, I am not contemplating to stop this as the best return I could get from this fund has only been -9% (negative 9%). I feel paying the 2K discontinuing charges will save my next 3 years investment at least.

  16. hemanthchandra62 says:

    If you are some how interested to invest in ICICI Wealth Builder II after hearing that it will give a guaranteed return of 10-16% from the ICICI Bank representative, better take some time and read the terms and conditions of the scheme in the bank website and I am sure there will be no where mentioned there that you will get 10-16% guaranteed returns.

  17. kuntal says:

    Hi rudy,
    how did you know that return is 10-16%? just because adviser told you? will he be able to guarantee so in his own writing? please be suspicious if anyone assures>9% riskfree returns. if today i verbally assure you 20% returns, will you believe it? if not,then why that adviser? be assured that when bank financial advisers talk about retirement planning, it is their retirement that they are thinking of. Go ahead and open that PPF account. Later read all queries in this forum. I am sure u will be wiser.

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