INFLATION versus PURCHASING POWER.

HELLO EVERY ONE


Why we have to invest? The importance of Investment?
Any Investment is to protect the Purchasing Power of Money. The  purchasing power of money is directly linked with Inflation.  Inflation is the `measure' as to how much the cost of goods & services has increased at various intervals of time.

example 1:-     suppose you are buying 1 litre petrol at Rs.50/- today.  After 1 year the cost of 1 litre petrol will be more, say Rs.55/- per litre.  or in other words, for the same Rs.50/- you will get less quantity of petrol (3/4th litre). Thereby the money has lost its purchasing power over a period of time
another example:2:-    Mr. A........  is giving a Rent of Rs.5000/- pm  to his house owner in 2011. After 2 years, his house owner increased the rent from Rs.5000/-pm to Rs.6000/-pm.  If Mr. A........... the tenant, is not able to pay Rs.6000/-pm, now, he has to shift to a smaller house with lesser area thereby compromising on his lifestyle.  Alternatively, to enjoy the same life-style, he will have to pay Rs.1000/- extra to the same houseowner.  This, in Financial terms, is referred to as  INFLATION.

Thanks for visiting my BLOG.  Keep visiting my  BLOG.  I intend to give more useful information.

P NARASIMHAN
LIFE INSURANCE and INVESTMENT CONSULTANT.
FELLOW CHARTERED FINANCIAL PRACTITIONER.
9841049906 mobile
naras.lic@gmail.com;  my email ID

FINANCIAL PLANNING

FINANCIAL DECISIONS ARE CRITICAL DECISIONS WHICH DECIDE HOW COMFORTABLY WE END UP MONETARILY IN LIFE.
THE COMPLEXITIES OF OUR FINANCIAL CIRCUMSTANCES ARE MANY AND WE NEED TO TAKE A CAREFUL SOLUTION TO SUCH PROBLEMS; SOME OF THEM ARE

• How can you grow and protected your financial wealth?
• How can you pay and manage your debt, if any?
• How much should I save to be able to pay for your child/childrens' education/marriage?
• How can you save enough to be able to retire comfortably and maintain the current life-style?

Cash flow Management is funding for your goals in other planning areas. Your cash inflow has to be channelled in one of three areas - like for Expenses, Reserve for Emergencies, and for Capital Accumulation.

You have to plan to maximise your income and minimize spending.  The finacial planning/investment vehicle is for you is correct and sufficient Insurance, other investment, retirement planning and estate creation.

Financial planning/Investment planning is mainly for beating the INFLATION.

Joke:  We have to plan for beating the price of Onions!!!!!

P NARASIMHAN

LIC AGENT

09841049906

email ids:  naras.lic@gmail.com  and  narasimhan1957lic@yahoo.co.in

LIFE INSURANCE - QUOTES

LIFE INSURANCE - QUOTES

TAKING A LIFE INSURANCE POLICY IS NOT FOR MAKING PROFIT.
THE PURPOSE IS TO FACE AND STOP THE LOSS.

P NARASIMHAN