Why ULIP Coverfox is better than Mutual Fund?
If you are someone who needs a quick money or income on all your investment as soon as possible, then the ULIP is not for you. This is because the Unit linked investment plan is a long term investment scheme that have a very high profit though not usually as high as those from the mutual funds.
ULIP Coverfox vs Mutual Funds
Whenever you are planning on investing to have a very good gain on investment, there are so many investment opportunities available online so that you can have the maximum gain and income required from any scheme you involve in. Here, the two major investment scheme we will be talking about are the Unit Linked Insurance Plan (ULIP) and the Mutual Fund and why the ULIP is considered a better investment scheme as compared to the Mutual fund.
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If you need a reason to invest in the Unit Linked Insurance Plan over the mutual funds then you need to understand all the pros and construction associated with this type of investment scheme.
If you are someone who needs a quick money or income on all your investment as soon as possible, then the ULIP is not for you. This is because the Unit linked investment plan is a long term investment scheme that have a very high profit though not usually as high as those from the mutual funds but it gives a better and more efficient security to all its customers and investors. You must be ready to wait for at least five years minimum so as to be able to get a very good and great income.
Why ULIP Coverfox is better than Mutual Fund
The following are some of the benefits why one should go for the ULIP investment over mutual funds:
- It offers Life coverage services: the ULIP investment is better than the mutual funds because of this in a way. It offers a life coverage which is an addition in terms of investment to the investors. When you are looking for a better way to make your investment plan a better one for yourself and your family, you should go for the ULIP investment scheme.
- It helps in the saving if tax: all of the premiums available on this type of investment are tax-free. That is,there are no extra charges removed from your investment based on the income tax act of 1961 understand section 80C. Also, there are no tax charged applied to all payments that are received from the investment scheme, this is also supported by the section 10D.
- Add a top-up to your base plan: this investment scheme gives individuals the ability to be able to add some additional amount of money to your initial investment amount. The top-up is one time lump sum investment that you can pay over and above your initial (premium) amount. This is an additional facility that you can add to your scheme based on the investment policy at anytime. This therefore increasing your gain thereafter.
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You should note that whenever you invest in ULIP, you will have a lock-in period of about five years to be able to withdraw your money. You can have the chance to be buy the stock from the stock when you want to provide financial security and you are ready to accept any form of risk related to investment. Before you invest in ULIP, be sure that the money you are using is not required for any thing.