How your Banker is taking you for a ride!
In the past few weeks, at least 3 clients have sought my opinion on a 'Lucrative' investment scheme from Birla Sun Life Insurance being aggressively pitched to them by their bankers.
Here is the extract of the brochure
You can notice how Birla Sun Life Insurance is promising 100% to 600% Fully Guaranteed payouts after completion of policy term.
Such seemingly high Guaranteed Payout figures are used by the agents & bankers to mis-sell the policies.
A simple 2-minute calculation using IRR Function in Excel shows that the annualised return of such a 'Guaranteed' plan is less than 5.2% p.a.
Beware!!
Learn to use IRR & XIRR function in MS Excel for your own benefit.
In the past few weeks, at least 3 clients have sought my opinion on a 'Lucrative' investment scheme from Birla Sun Life Insurance being aggressively pitched to them by their bankers.
Here is the extract of the brochure
You can notice how Birla Sun Life Insurance is promising 100% to 600% Fully Guaranteed payouts after completion of policy term.
Such seemingly high Guaranteed Payout figures are used by the agents & bankers to mis-sell the policies.
A simple 2-minute calculation using IRR Function in Excel shows that the annualised return of such a 'Guaranteed' plan is less than 5.2% p.a.
Beware!!
Learn to use IRR & XIRR function in MS Excel for your own benefit.
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