Close
Close

Buy a Life Insurance Plan in a few clicks

Now you can buy life insurance plan online.

Kotak Guaranteed Fortune Builder

A plan that offers guaranteed income for your future goals. Know more

Kotak e-Term

Protect your family's financial future. Know more

Kotak Assured Savings Plan

A plan that offer guaranteed returns and financial protection for your family. Know more

Kotak Guaranteed Savings Plan

A plan that offers long term savings and life cover. Know more

Kotak e-Invest

Insurance and Investment in one plan. Know more

Kotak Lifetime Income Plan

Retirement years are the golden years of life. Know more

Close

Get a Call

Enter your contact details below and we will get in touch with you at the earliest.

  • Select your Query

Thank you

Our representative will get in touch with you at the earliest.

Develop an investing plan

Designing the best investment plan takes more than just opening a savings account. Here is a step -by-step investment planning guide that can aid you in making the most of your money.

  • Feb 15, 2022
  • 2,908 Views

Designing the best investment plan takes more than just opening a savings account, purchasing a few stocks, or investing commonly sought-after financial instruments like mutual funds. To create a suitable investment plan, it’s critical to understand where you are now, what your current financial condition is, what your future ambitions are, and what you want to achieve with your investments. To determine your best asset allocation, you must specify your needs and how much risk you’re ready to take. Of course, it is extremely prudent to plan ahead of time before investing your hard-earned money. Though it is best to start early, you may still establish and implement a personal investment strategy and begin building a future nest egg if you are in your late 40s or 50s.

Regardless of the phase of life you are enjoying, this well-formulated, step-by-step investment planning guide can aid you in making the most of your money.

Step 1: Examine your current financial circumstances.

At first, figure out where you are financially right now. You must understand the amount you need to invest. One way to achieve this is by making a budget to examine your disposable income after expenses and emergency reserves. It’s also crucial to examine how liquid or accessible your investments must be. For instance, if you need to cash out instantly, you should consider liquid assets, such as stocks, instead of real estate.

A complete, step-by-step guide on making a long-lasting investment plan

Step 2: Define your financial objectives

The next stage is to establish your financial goals. Why do you need this investment? What do you aim to achieve with it? The answer can range from purchasing a car in a few years to retiring comfortably in a few years. Your objectives can be categorized into safety, income, and growth. When you want to maintain your present level of wealth, income is what you want from your assets, and growth is what you want from your investments if you want to develop wealth over time. Based on which categories your goals fit into, you may decide the ideal investing strategy for you.

Step 3: Determine your risk tolerance.

The next step is determining how much risk you are ready to accept. Because your portfolio has time to recover from any losses, the younger you are, the more risk you may take. Since riskier investments offer the potential for huge gains and significant losses if you intend to create money over time, opt for a safer option.

Step 4: Decide on where you want to invest.

The list of investment plans in India is endless. Your budget, goals, and risk tolerance play a role in determining the best investment plan with high returns. Ensure to diversify your portfolio regardless of the plan you decide to invest in. This is because you don’t want to invest all of your money in stocks and risk losing it all if, for example, the stock market crashes. To maximize your growth and stability, allocate your funds to a few different investment kinds that align with your goals and risk tolerance.

It may be necessary to seek a financial counsellor’s advice once you reach this point in the procedure. Based on your existing financial status and goals, an advisor can assist you in determining the best methods to invest your money.

Step 5: Keep an eye on your investments and rebalance them if necessary.

It’s not good to leave your investments alone once you’ve made them. Instead, you should check in on your investments now and again to see how they’re doing and whether you need to adjust. Once you’ve determined that your investment strategy is sound, you should consider rebalancing your portfolio. This entails restoring your portfolio’s asset allocation to its original state. For example, consider when your stock investments outperformed the rest of your portfolio. To maintain your optimal asset allocation, it may be necessary to sell some of your stocks and shift the proceeds to other investment kinds.

If this is your first time formulating the best investment plan, don’t worry about gaining experience; instead, concentrate on learning about the various investments. You should also think about all possible investment plans with which you could put your money to the best use. Then, understand your needs and invest in a plan that best suits your plans and financial goals.

In this policy, the investment risk in the investment portfolio is borne by the policyholder.

Kotak e-Invest

Download Brochure

Features

  • Return of Mortality Charges*$
  • Enhanced Protection
  • Multiple Plan Options
  • Zero Premium Allocation Charges
  • Tax Savings^

Ref. No. KLI/22-23/E-BB/521

T&C

- A Consumer Education Initiative series by Kotak Life

Similar Articles

How to Apply for Death Claim Benefits in ULIPs - Kotak Life

Asset Allocations in ULIP - Know the Top Benefits

How to Fix the 9 Most Common Financial Problems Your Family is Facing

Why Should You Build an Emergency Fund?

यूलिप और उनके प्रकार क्या हैं?

How Can ULIPs Help You Plan for Your Child's Future?

How to Use Recurring Investment Strategies to Build Wealth?

Top 5 Principles That Need to be Followed for Wealth Creation

ULIP Investment Strategy: Top Tips to Improve Your ULIP Gains

Which are the Best ULIP Plans in India for Children?

यूनिट लिंक्ड इंश्योरेंस प्लान में लॉयल्टी एडिशन कैसे काम करते हैं

What Happens If I Stop Paying My ULIP Policy Premium After Paying the First Premium? Will I Still Get The Return?

How To Invest Money In ULIP?

Planning Financial Goals and Objectives of Financial Planning

Different Types of ULIP Investments in India

Here's Myths on Investments in ULIP Plans

Top ULIP Myths That You Must Stop Believing In

What Is a Credit Score? Definition, Factors, and Ways to Raise It

Is the surrender value of ULIP taxable?

Learn About Safe Investments with High Returns in India

Is ULIP A Good Investment Option?

Which is a Better Investment - Mutual Funds Or ULIP?

What are the Best Investment Options for Students in India?

How to Create Short-Term and Long-Term Wealth with ULIPs - Kotak Life

What is Partial Withdrawal in ULIPs?

उच्च रिटर्न प्राप्त करने के लिए सर्वश्रेष्ठ इन्वेस्टमेंट विकल्प

What are Some of the Safest Investment Options in India?

Rate of Interest on Different Investment Plans in India

ULIP NAV - Everything You Need to Know

Tax-Deferred Savings Plan: Overview, Benefits, Works

Understanding ULIP Risks: What are the Odds of Losing all my Money and Projected Returns?

Top 5 Investment Options in 2022 for Healthy Returns

How to Manage Your Portfolio Like a Professional?

8 Charges in ULIP That You Must Know

ULIPs: Suitable for all

Know How to Invest at Every Age for Larger Returns

5 Reasons to Buy ULIPS for a Financially Secured Future

What is Equity Mutual Funds: Meaning, Types & Benefits

How to Plan your Investment to Achieve Periodic Financial Goals?

Will You Need to Withdraw or Surrender Money From ULIP

How is the Compound Annual Growth Rate (CAGR) Calculated in ULIP?

How to Plan Your Child's Education - A Step-by-Step Guide

ULIP Withdrawal Conditions - Before and After 5 years

What are Financial Assets & their types?

What is Mutual Funds? | How Mutual Funds Work, Definition

What are the Best Investment Options for Beginners or Amateur Investors in India?

Why ULIP is Better Investment for Long-Term Wealth Creation?

ULIP Benefits You Can Avail from Early Investing

Here's are the uses of ULIP your must be aware of

Why ULIP Should Be a Part of Your Investment Portfolio?

Top 11 Investment Plans Available in India

Got a Salary Hike? Here’s How to Plan your investment further

Best Investment Plans for Children - Secure Your Child's Future

What is Lock-In Period in ULIPs?

What Is Social Impact Investing and How Does It Benefit Society?

Here's Why it's a Good Time to Explore ULIPs as an Investment

उच्च रिटर्न प्राप्त करने के लिए सर्वश्रेष्ठ इन्वेस्टमेंट विकल्प

Building wealth through regular investing

How to Start Saving Money in 10 Simple Ways?

How To Track ULIP Performance?

How Much Wealth Can You Create From ULIP in 10 years?

यूलिप के फायदे (Benefits of ULIP in Hindi)

How to Cancel ULIP Policy?

What is ULIP Renewal?

Unit-Linked Life Insurance (ULIPs) vs. Term Insurance

Best Investment Options to Cover Your Child's Education

Factors Affecting Share Prices In The Stock Market

All you need to know about Fund Switching in ULIPs

How to Save Money from Salary?

Are Money Back Policies Helpful? A Complete Guide

ULIP vs FD - Which is Better and Why?

What is Premium Redirection in ULIPs Plans | ULIP Insurance Plans | Kotak Life Insurance

ULIP Plans Riders You Should Know About

FAQs on Taxation of ULIPs

How Can a Legal Nominee Claim ULIP Benefits are the Policyholder’s Death?

ULIP Vs Life Insurance Plan Know the Difference

ULIP Investment Benefits You Must Know

Successful Financial Planning for Urban Women

What are Fixed Maturity Plans and Why Should I Invest in Them?

Are Gains from ULIP Sale Taxable?

Is ULIP a Complex Financial Product?

What is the Estimated Return Percentage on ULIP? Do Investors Get Compound Interest?

Difference Between Passive and Active Investing

What is a Child Money Back Plan, and How Does it Work?

5 Reasons Why ULIP Plans are One of The Best Retirement Planning Instruments

Why Do You Need A ULIP Plan - All You Need To Know

Planning For Children's Future

ULIPs Investment – A Boon or Bane?

What are the things to consider before buying ULIPs?

What is Money Management? Definition & Example

Are Investment Returns Guaranteed in a ULIP?

Investment Options for NRIs in India

Early Investing and the Power of Compounding

How to Set Financial Goals for Your Future

What are the Maturity Benefits in a ULIP Plan: Fund Value Sum Assured or Only Fund Value?

Receiving regular payouts at various stages of life

What is Direct Investment and its Types?

ULIP Tax Benefits: यहां निवेश करने पर मिलते हैं 5 बड़े फायदे

ULIP Plan or Traditional Insurance Plans - Which is better?

ULIP Capital Gain Tax: Check Tax Norms for Capital Gain on ULIPs

Planning for Your Child's Higher Education? Explore These Investment Options

What are the Best Short-Term Investment Plans with High Returns?

First Job? Here are Some Tips on How to Manage Finances

The lesser-known facts about ULIP policy that customers should be aware of?

How to Build a Strong Financial Foundation For the Future?

Is This The Right Time To Invest In ULIP? Why or Why Not?

Can You Have ULIP Plan and Health Insurance Plan Both?

How has ULIP Grown Over the Last 3 years?

Importance of Portfolio Management

Four Financial Lessons from The Vedas on Living Life to The Fullest

ULIP Plan as a Gift

How Safe is it to Invest in ULIP plans?

Difference Between ULIP and Endowment Plan?

Does Rupee Cost Averaging Work In Unit-Linked Insurance Plans?

What is Fund Switch in ULIP? And ULIP Fund Switching Techniques

ULIP Frequently Asked Questions (FAQ) - Kotak Life

How Can ELSS Funds Help You Save Tax & Create Wealth?

Endowment Plan vs Fixed Deposit?

What are the Best Investment Options for Young Adults?

What are ULIPs and their Types?

Benefits of ULIP as a Child Insurance Plan

What are the Advantages and Disadvantages of ULIP?

Know Why You Should Stay Invested in Your ULIP Plan

Why Are ULIPs Called Flexible Investments?

How Is ULIP Different from Other Life Insurance Plans? Where Can I Invest - ELSS, ULIP, or PPF?

What is NAV in ULIP, and How is it calculated?

Can NRIs Invest in ULIP Plans Offered in India?

What are Index Funds, and How Do They Work?

What are the Best Investment Options For Females?

यूलिप में 8 शुल्क जो आपको अवश्य जानना चाहिए

Why Should You Invest in NPS?

Investments Options to Buy a house in India

Balancing Investment Between Risk and Return on Investments

Why are ULIPs One of the Best Tax Saving Instruments?

8 Important Tips to Maximize Gains with ULIP Investments

Can ULIP Policy be Transferred?

Difference Between Guaranteed Savings Plan and ULIP

यूलिप प्लान में परिपक्वता लाभ क्या हैं: फंड वैल्यू सम एश्योर्ड या ओनली फंड वैल्यू?

Which is Better – FD, Mutual Fund, SIP, or ULIP?

How and when should you exit from bad-performing ULIP?

Learn About Safe Investments with High Returns in India

Top 10 Investment Strategies to Create Wealth

Why Should I Invest in ULIP?

What are the Minimum and Maximum Investments in ULIP?

Best Investment Options in India in 2022

Do You Know the Difference Between Savings and Investment?

Safe Investment Options with High Returns for FY 2018-19

Single Premium ULIP or a PPF - Which One is Better?

6 Important Tips to Maximize Your Gains with ULIP Investments

How Much Wealth Can You Create from ULIP in 10 years?

How Can ULIP Plan be as an Investment for Your Child

Difference Between Linked and Non-Linked Insurance Plans

How to Choose the Best ULIP Plans to Invest in 2022?

What is Savings and the Importance of Saving Money

Beginner's Guide to Wealth Creation: Meaning, Strategies, & Importance

Can ULIP Help in Achieving Short-Term Financial Goals?

ULIP policy: What happens when you stop paying ULIP policy premium during lock-in period

What is SIP Calculator, and How it Works?

How Do One-Time Investment Plans Work?

What are loyalty additions, and how do they work in a ULIP?

What Is Financial Planning?

Will AI be Your Future Financial Adviser? What Role Will Humans Play?

यूलिप के फायदे और नुकसान क्या हैं?

4 Rules To Keep In Mind To Secure Your Child’s Future Financially

What is ULIP Plan, and How Does it Work?

What is the Time Value of Money (TVM)?

5 Reasons to Have a Child Education Plan

वित्तीय संपत्तियां और उनके प्रकार

What's Better for Your Child's Education? Child Plans or Mutual Funds?

Can I Surrender My ULIP Policy after 2 Years?

All you need to know about claiming maturity proceeds from Ulip

How ULIPs can help you achieve your financial goals

Why is Portfolio Diversification Important? How to Diversify Your Portfolio?

Can You Invest in Both Term Insurance and ULIP?

What is Fund Value in ULIP?

How to Make Your Financial Portfolio?

How to Manage Inheritance Money?

ULIP As An Investment Option For Senior Citizens

What is a Savings Plan and What are is Benefits?

How to Calculate Your ULIP Returns?

Planning For Son or Daughter's Wedding

Customising investments to manage your wealth

Here's Whether You Should Link ULIP Plan with your Term Insurance

Savings Plan for Grandchildren

What is a Bond Fund and How It Works?

Do ULIPs Give Good Returns On Investments?

Creating a second source of income with life insurance

Corporate Bonds: Meaning, Types & Benefits

What is ULIP and Its Benefits?

5 Best Long Term Investments To Add To Your Portfolio in 2023

Best One-Time Investment Plans in India

How Increasing Your SIP Every Year Helps You Reach Your Financial Goal Sooner?

How to Increase Net Worth Along with Family Protection

Long Term Savings Plan - Best Savings Investment Plans in India

Best Investment Plans For You To Invest In 2023

Is Life Insurance Investment Worthy Enough

What is Compound Interest, And How Do I Calculate it?