NRI – Needed advice on Investment and Insurance

Hi, 1 - You may continue with your HDFC ULIP plan, as the policy term is going to end in near future. 2 - If you wish to discontinue ICICI ULIP, the accumulated fund will be paid after 5 years from the date of inception only. 3 - Is your Overseas home loan covered with any Mortgage insurance (I believe it should be..) ?? 4 - Any specific investment objective for Rs 25 Lakh corpus (ST FD) or is it part of your Emergency fund? 5 - As Term insurance and Health cover are provided by your employer, suggest you to buy a stand-alone Term plan and may be a Family floater plan (2 Adults + 2 kids) at the earliest. Term plan from any company should be ok. Kindly disclose your details honestly in the proposal form. That's it! Kindly read : https://www.relakhs.com/best-online-term-insurance-plans-india/ https://www.relakhs.com/employer-based-health-insurance-plans-vs-individual/ https://www.relakhs.com/nri-buy-health-insurance-india/ https://www.relakhs.com/factors-tips-best-health-insurance-plan-india/ https://www.relakhs.com/best-family-floater-health-insurance-plans-details-checklist-comparison/ 6 - Are you referring to EPF?? (PF of Rs 1cr)

1 –OK. I will continue with HDFC ULIP plan,  2 –I will continue with ICICI ULIP.
3 – My Overseas home loan covered with  Mortgage Interest Plus insurance. My home loan is my staff loan as well.
4 – I would like to invest some part of Rs 25 Lakh corpus (ST FD) in MFs.  Need your advise on which MFs I can go with.
5 – I will buy a stand-alone Term plan. 
6- It is similar to EPF, but I cant withdraw unless I surrender my overseas residency   thanks a lot for your advise. 

Hi, 1 - Kindly check the expenses ratio of ICICI ULIP (admin, premium allocation, fund switch etc charges) and then take a decision. 2 - May I know your investment objective(s) and time-frame for planned MF investments? Suggested readings : https://www.relakhs.com/calculate-kids-education-goal-amount/ https://www.relakhs.com/retirement-planning-calculator-3-easy-steps/ https://www.relakhs.com/fatca-compliance-requirements-impact-mutual-fund-investments/  

 1 – Kindly check the expenses ratio of ICICI ULIP (admin, premium allocation, fund switch etc charges) and then take a decision. --defiantly the charges are higher. This is totally equity linked as of now. I would like to ride the equity boom for next few years, So if i surrender I want to invest the amount in some other equity or debt based funds. I am confused which one I need to invest in for reasonable returns. I have separate funds for direct equity. 2 – May I know your investment objective(s) and time-frame for planned MF investments?   -- More for future or retirement purposes. Time frame will be 5 to 10 years. I don\\\'t see any near future needs to pull the money out. I read the FACTA article, For your info, I am not residing in USA, Thanks

Hi, 1 - On an average the expense ratio on most of the Equity mutual funds can be in the range of 1 to 2%. In case, the charges under ICICI ULIP are similar, you may continue with it, with Equity allocation. 2 - You may consider picking a fund each from Diversified Equity , balanced and a Mid/small cap categories. For ex :

• Franklin Primaplus / Birla Equity / ICICI Value discovery
• HDFC Balanced fund 
• Franklin Prima / Mirae Emerging Bluechip / HDFC Mid-cap etc.,

If you are investing a lump sum corpus, it is wiser to set up STPs (systematic transfer plans) from low-risk profile Debt funds (like Liquid funds) to Equity funds.
You can invest lump sum amount in liquid funds and at periodic intervals (say monthly) can transfer pre-defined amount to equity funds for pre-defined period (say next 12 months).
Kindly note that STPs are subject to tax implications as these are treated as normal redemptions.
Also, STPs can not be set up across fund houses. 
For ex : STP – > HDFC Liquid fund to HDFC Balanced fund can be set up, but HDFC liquid fund to ICICI Balanced fund can not be set up. Suggest you to kindly go through below articles : https://www.relakhs.com/best-mutual-fund-scheme-risk-ratios/ https://www.relakhs.com/mutual-fund-portfolio-overlap-comparison-tools/ https://www.relakhs.com/best-mutual-fund-schemes-2017/ https://www.relakhs.com/best-balanced-mutual-fund-schemes-review/ https://www.relakhs.com/200-day-moving-average-dma-mutual-funds/    

Thanks a lot for your advice