Only 70% of the total working women in India have life insurance cover as compared to 83% of their male peers, according to a survey done by Max Life Insurance. Working women in metro cities spend 42% of their income on basic expenses as against working males who spend 38% of their earnings on basic expenses. The report noted the working women in metros are more focused on saving for kids’ education and less for their old age security. 68% women feel that insurance term plans are meant only for the primary household earning member.
Manappuram Finance on Friday said it would offer door-step delivery of gold loan to customers in Delhi and Mumbai. The company will offer the doorstep facility across 50 branches each in Mumbai and in Delhi. The company had successfully tested a pilot service last year in Chennai and Bengaluru where it is available across 107 and 183 branches, respectively. The company has also introduced a helpline for customers who wish to avail this service in Delhi and Mumbai.
The government expects over 1 crore people to enroll under the newly-launched Pradhan Mantri-Shram Yogi Maandhan Yojana by March 31. Up to now, more than 15 lakh people from the unorganised sector have already enrolled. The scheme, launched by Prime Minister Narendra Modi on March 5 in Ahmedabad, aims to provide pension cover to 42 crore workers in the unorganised sectors.
Equity and bonds were the most preferred asset class by the wealthy Indian investors seeking higher returns in 2018. While equities garnered 30% of the wealth allocation, bonds accounted for 28%. Real estate assets with 23% allocation was the third-most invested asset class by Indian ultra-high net worth individuals (UHNWIs). Private Equity saw only about 4% of wealth allocation in 2018. India is Asia’s third-largest economy.
Private sector lender Yes Bank Tuesday said the Reserve Bank of India has slapped a fine of Rs 1 crore on the bank for non-compliance of directions on Swift messaging software."The Reserve Bank of India (RBI)... has levied an aggregate penalty of Rs 10 million (Rs 1 crore) on the bank for non-compliance of regulatory directions observed during assessment of implementation of SWIFT-related operational controls," Yes Bank said in a regulatory filing. Swift is the global messaging software used for transactions by the financial entities.
Wealth managers are now advising their investors to allocate some portion of their investible corpus to passively-managed index funds instead of the actively-managed large-cap equity mutual fund schemes. An actively-managed equity scheme is one in which the fund manager takes decisions about how to invest the fund’s money whereas a passively-managed fund simply follows a market index, like the Sensex or Nifty. Its fund manager does not take any active investment decision. Over the last one year, actively-managed large-cap funds have lost 0.37%, while the index funds have gained 3.87% in line with the Nifty returns.
Portfolio management services (PMS) offers diversified and versatile investment options to investors. The investors’ portfolio is customised based on the investment goals, risk appetite and strategy. PMS offers both equity and debt options. The minimum investment amount in PMS is Rs 25 lakh. PMS offers fund management options based on discretionary as well as non-discretionary basis. In discretionary basis, the manager is authorised by the investor to make investment decisions and manage the investor's portfolio. In non-discretionary, the manager only suggests investment ideas while the investment decision rests with the investor. Equity Mutual funds are the closest competitors to PMS.
Portfolio Management Services (PMS) has fast become the first investment choice for investors. The PMS industry has registered an 18% compounded annual growth rate (CAGR) in the last 5 years between January 2014 and January 2019. The asset under management (AUM) of PMS sector has grown from Rs 6.04 lah crore to Rs 13.70 lakh crore during the same period. Over the last 5 years, returns from PMSes in all categories (large-cap, mid-cap and small-cap) have outperformed the benchmark indices returns by 3.5-9%. PMS offers diversified and customised investment options in debt and equity segments.
Gold prices fell by Rs 310 to Rs 33,770 per 10 grams at the bullion market Saturday due to tepid demand from local jewelers and weak global cues. Silver rates also drifted lower by Rs 730 to Rs 39,950 per kg due to reduced off take by industrial units and coin makers. Traders said sentiment remained bearish on the back of a weak trend overseas as the dollar strengthened to a 10-week high against the yen, boosted by better-than-expected US gross domestic data for the fourth quarter, making bullion less attractive as a safe-haven investment. Globally, spot gold fell 1.52 per cent to USD 1,293.90 an ounce and silver by 2.47 per cent to USD 15.29 an ounce in New York.
The government has offered employees of public sector insurance companies (PSIC) to opt for the pension scheme of their respective organisations. The retirement benefit scheme is applicable to 42,720 eligible employees who had joined service on or before June 28. 1995. These employees had opted for contributory provident fund instead of pension option. Pension was introduced as a retirement benefit in PSICs with effect from June 1995.
EPFO will take stringent actions against firms which will not include special allowances as part of the employees' basic wage for the purpose of PF calculation. The Supreme Court on Friday ruled that special allowances will form part of the basic wages for computing provident fund deductions and payment of matching contributions by the employers. Employers, as well as employees, are required to contribute 12% of basic wages towards social security scheme administered by the EPFO.
The Supreme Court on Thursday ruled that employers cannot segregate ‘special allowance’ from basic wages and must include it for calculation of provident fund (PF) deductions from employees and their matching contribution. The Supreme Court held that special allowances formed part of the basic wages unless it could be shown that such allowances were either variable or were linked to any production incentive resulting in greater output by an employee and that the special allowances were not paid across the board to all employees in a particular category or were being paid especially to those who availed of the opportunity.
IFFCO Tokio General Insurance Company has announced the launch of Bank Locker Protector Policy to protect the contents of a bank locker such as jewellery and other valuables. The policy offers coverage against various risks including fire, earthquake, burglary, holdup, infidelity by a bank staff or any act of terrorism. Apart from jewellery and valuables, one can also insure important documents kept in a locker as an add-on cover. The policy can be sold both as a retail and group policy for banks.
The Employees' provident fund organisation (EPFO) recommended hiking interest rate for FY19 to 8.65 percent from 8.55 percent in FY18. The hike is subject to approval from finance ministry. This will be the first interest hike by EPFO since FY16.
American asset Management Company The Blackstone Group has got best returns from India in the past few years and will remain among the top five markets globally for the world’s largest private equity (PE) and alternative assets manager said COO Jonathan Gray.
Blackstone manages assets worth over $470 billion globally, including $120 billion in real estate.