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Investment insurance

Investment insurance plans cater to various risk levels, offering low-risk savings protection, medium-risk balanced growth, and high-risk potential for higher market-linked gains.

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Investment

How to Make Your Investment Plan Inflation-Proof?

Inflation represents the sustained increase in the price level of goods and services. A moderate price hike or inflation is a good sign representing a healthy economy, while consistently high inflation is a matter of concern for investors. As per the Reserve Bank of India (RBI), the average retail inflation was around 5.6% in the financial year 2023-24, which was brought down to 4.6% in the FY 2024-25 with some key monetary measures. However, the inflation rate has been hovering around 4.5% to 7% in the last few years. But, how does it impact your wealth? Inflation is often interpreted as a silent killer of wealth that reduces purchasing power over time. Take the case of 40-year-old Ashok, a software engineer who had been saving diligently for his retirement and his children’s education. He believed he was financially secure with a significant corpus accumulated for the future until he realised the price hike of everyday goods ( example: fuel, groceries, etc.) is rising faster than his portfolio return. His portfolio, which is growing at an average rate of 6% is effectively shrinking against the inflation rate of 5% to 7%. Hence, inflation-proof investment strategies are needed to grow and preserve your wealth.