Ageon Opportunity Fund

Q & A Forum › Category: Insurance › Ageon Opportunity Fund

barima asked 8 years ago

Hi Can I invest Rs. 5 Lakhs in ageon opportunity fund ULIP for my children as detailed below? How good and effective is this fund. I was advised by someone I know in Karvy that I need to invest Rs. 5 Lakhs/ year in Ageon opportunity fund for ten years. Since I am 67 years of age the person insured will be my 39 years old son and I will be the sponsor taking care of all payments. It’s basically a ULIP but with low charges. Regards Mohammed The other options is I could invest Rs. 5 lakhs in my daughters name (2.5 lakshmiah each) who are 43 & 41 years of age. They all leave in USA and are citizens of that country.

3 Answers

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Sreekanth Staff answered 8 years ago

Hi, May I know the purpose (investment objective) for planning this investment?

barima replied 8 years ago

Thanks for your quick response. It’s basically a long term investment for my two daughters and indirect investment for their kids (my grandchildren). Another thing I’d like to share with you is I am going for this investment by not renewing my existing ULIP of Rs. 5 lakhs/ annum with Canara HSBC Oriental Insurance where the Allocation & other charges are high.

I know my existing first year investment with CanaraHSBC of Rs. 5 Lakhs will be locked for the next four years.

So keeping this in mind please advise if am heading in the right direction.

Regards Mohammed

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Sreekanth Staff answered 8 years ago

Dear Mohammed ji, Based on the provided information and your objective, I believe that Mutual Funds can be a better investment option. Suggest you to kindly go through below article and you may revert to me with more queries (if any); Mutual Funds Vs ULIPs – Which is better? | Post Budget (2018) LTCG Tax proposal on Equity Mutual Funds & Shares

barima replied 8 years ago

Hi sir, thanks again for your response. I have gone through the info provided by the link and have the following.
1. How would a term insurance help me at my age (67) if I have to stop the ulip now, the first premium of Rs. 5 lakhs is already being paid and the second one is overdue?
2. I already have substancial investments in mutual Funds & Sips.

Looking forward to hearing from you soon please.

Regards
Mohammed

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Sreekanth Staff answered 8 years ago

Dear Mohammed ji, 1 - We are comparing ULIPs Vs MFs and not with Term insurance. Given your age profile, Term insurance may not be needed. Based on the mentioned investment objective, you may prefer MFs to ULIPs as your objective is Wealth accumulation. 2 - ULIPs are similar to MFs when it comes to investment style.

barima replied 8 years ago

Thank you for your advice sir,it’s much appreciated. Regards