Tips to help you frame investment strategies for 2009 – 3 January 8, 2009
Posted by dhirendra1972 in Age Bracket, Fixed Deposit, Health Insurance, Healthcare Expenses, Money Market Funds.Tags: Expenses, Funds, Liquidity, Needs, Pension, Policy, Portfolio, Rent, Senior Citizen
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Senior Citizens
While health insurance is an important instrument for all age brackets, for senior citizens, it is simply indispensable.
“However, if you do not have a pre-existing policy, you may find it difficult to obtain a suitable one at this juncture. In such cases, you should create a corpus dedicated to meeting your healthcare expenses. Fixed deposits and money market funds, which offer the dual benefit of safety and liquidity, should make up this reserve,” says Mr Varma.
These instruments can also provide for your other short-term needs. This apart, 9% senior citizens’ savings scheme and post-office time deposits that promise safety as well as regular income should form part of your portfolio.
Many senior citizens are risk-averse and it’s better to stay that way in 2009. However, if you have surplus funds and additional income streams like rent or pension, you can consider equity and balanced funds to provide for capital appreciation. “What you should completely avoid is life insurance, especially Ulips. “We’ve seen 55-year-old individuals buying Ulips, which, apart from being expensive, are simply not required at this age,” says Mr Pandit.
ref: thetimesofindia
