You may have several dreams and goals in life, right? Buying a new house in your favourite holiday destination, a luxury car, or starting your own business and so on. But then you may think it is impossible to build enough wealth to fulfil your dream and eventually start compromising with your goals.
While it is true that you cannot accomplish your wealth creation goals in one day, it is certainly not impossible. You can create enough wealth and achieve all your goals over time, provided you choose right investment options like ULIP Investment.
In this blog, we discuss a few valuable tips to help you achieve your wealth creation goals.
Don’t save, instead invest
Long gone are the days when you could live a happy life by having savings. Today, with rising inflation and changing lifestyles, it is impossible to live off the savings. If you have surplus cash at hand, don’t just park it in a savings bank account or keep it at home. Instead, invest the money in different schemes and allow it to grow over time.
You can invest your hard-earned savings in different investment schemes, like NPS (national pension system), mutual funds, assured savings plans, etc., to suit your financial goals and risk-taking capacity.
Take advantage of equity instruments
While it is paramount to invest your savings, it is equally critical to invest in the right instrument to build a sizeable corpus and achieve your wealth creation goals. One of the best investment options you have is equity funds. It allows you to get inflation-adjusted returns and grow your corpus faster. So, ensure that you invest a decent portion of your savings in the equity market.
Stay invested for long
One of the critical aspects of achieving your wealth creation goals is being patient with your investments. You must be disciplined towards your investments and stay invested for a long time, especially if you have invested in equities. Allow your money to grow with a compounding effect over a period of 15-20 years, and you will have a better chance of building a significant corpus.
Increase your investment annually
Another golden rule for achieving your wealth creation goal is to increase your investment as your income grows. Experts suggest that your investments/savings must be larger than your expenses. Even if you can’t increase your investments annually, try to maintain the same level of investments. This will ensure that your wealth keeps growing and that you are on track to achieve your goals.
ULIP – one investment that lets you do all
Unit Linked Insurance Plan, which is primarily a life insurance policy, is also an excellent investment option you must have in your portfolio. It secures your family’s financial future and helps you build wealth over time.
Whether you are a first-time investor or a pro, ULIP investment is suitable for all. Being a life insurance policy, it is a long-term financial product and allows you to invest for your long-term goals. Besides, it allows you to invest in diverse asset classes, including equities, bonds, shares, stocks, etc., as per your risk-taking capacity and goals.
Besides, ULIPs are one of the most flexible investment options. You can anytime increase your investments and buy additional units of the funds to leverage the market movement. You can also switch your investments in one fund to another to beat market volatility.
Another significant benefit of investing in ULIP is that you need not manage your investments; the expert portfolio manager will take the investment decisions on your behalf and invest in the best instruments to generate attractive returns for your base on thorough research and analysis of the market.
Finally, you can use the ULIP calculator to know the premium payable for the plan you buy and compute the expected returns from your investments. Thus, you can make an informed investment decision and achieve wealth creation goals.