Private & Confidential

Personal Financial Plan

Prepared for:

Anil Pandit
Prepared by:

Harsh Roongta
Investment Adviser

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10th December 2013 Dear Mr. Anil, We would like to thank you for choosing our financial planning services. The enclosed plan formalizes our recent discussions on the investment of your available capital, allocation of surplus cash flows and reallocation of some of your existing portfolio. Our objective is to accurately assess your financial needs and to provide quality recommendations and ongoing services in accordance with those needs. The plan is based on the information provided by you on your current circumstances and objectives. Please read the plan carefully to check for accuracy of the information provided. This plan is an important document, in accordance with the best standards of the profession. However, it needs to be regularly reviewed and updated in response to changes in your own circumstances and other factors, such as pension regulation, taxation and market movements. You have given explicit consent to us to share your financial plan prepared by us to any media (Including but not limited to) Online, Electronic and Print for the benefit of wider audience. The plan is prepared for free of cost and thus does not come under SEBI Investment Advisor Regulation2013. Please feel free to contact us if you have any queries. We look forward to reviewing and implementing these recommendations with you.

Yours sincerely,

Harsh Roongta, CFPCM Investment Adviser

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Executive Summary
The main body of this report has your personal details and your life objectives and strategies to meet your objectives.
Name Relationship Age Health Status

Mr. Anil Mrs. Seema Mst. Ekansh Mr. Pandit Ms. Pandit

Self Spouse Son Father Mother

35 38 5 68 63

Healthy Health issues (AED) Healthy Healthy Diabetic

Residential Status: You and your family members are Resident Indian Risk Profile: Your risk profile is classified as Very Aggressive as per the questionnaire answered by you. Goals and Objectives:
Retirement Planning: You would like to provide a corpus for your retirement at the age of 60 years. You would like to maintain the same standard of living, which you are living at present.

Ekansh's Education Planning: You would like to provide for the higher education expenses for your son when he reaches the age of 18 years.

Ekansh's Marriage Planning: You would like to provide for marriage of your son when he reaches the age of 25 years.

Car Purchase: You would like to buy a car after 2 years, which will cost you Rs.7 lakhs today.

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Primary Observations
Good Moves; Good Savings Ratio. Buying online term Seeking Professional help. No disability insurance. Not investing available surplus for future goals. Bad Ones: Ignoring Parents and Wifes health insurance.

Primary Recommendations: Buy additional online term plan. Buy health insurance plan for your parents and wife. Start monthly investment as early as possible.

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Income-Expense Statement
As per the information provided by you, the following are the cash inflow and outflow for the current year:

Current Cashflow

Household Expenses Children's Education Loan EMI's

Recommended Cashflow
0% 39% 26% 20% 8% 7%
Household Expenses Children's Education Loan EMI's Insurance Premium Actual Investments Surplus

26% 14%

26%
Insurance Premium

6% 20%
Actual Investments Surplus

8%

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Net Worth Statement

Assets

Liabilities

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Asset Allocation

Equity and debt, both, have an important role to play in your asset allocation. Equity can provide superior inflation adjusted returns over the long term and debt to protect your capital while growing. Self-occupied residential property, vehicle and Personal Jewelry are not treated as your investment assets. Recommended asset allocation is for future investment. Gold Investment works as a hedge against inflation and provides safety in bad economic and political conditions. Real estate investment provides you a fixed income, potential for capital appreciation and also helps in diversification of your portfolio. However, it is highly capital intensive and most illiquid asset class. Please review and rebalance your investment portfolio periodically.

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Contingency Fund

Contingency Funding
5,03,055 5,32,000

28,945 Contingency Funding Required Availabe Resources Excess

Recommended Investment Risk Profile: This is a Low Risk Investment You should keep aside at least 3 months expenses to be used only in emergencies such as job loss or disability. You also need to maintain a medical contingency of Rs.2.50 Lakhs as your parents and spouse are not covered under health insurance. Invest in liquid this money in ICICI Pru Money Market Regular. Maintain discipline. Do not use except incase of emergencies

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Life Insurance
Adequate Life insurance is a must to make sure your familys life style is not affected if you die early.

Insurance Need Analysis:

Looking at your present age, income, life style and life goals and also taking into consideration your assets and liabilities, your life insurance need is calculated as under:
Insurance Need Alalysis 1,66,39,000 1,06,50,000 46,21,000 13,68,000 Total Life Insurance Required Present Life Insurance (After Recommendation) Total Assets Insurance Cover Required

Analysis of current Policies and Recommendations: Taking into account various factors like present surrender value, maturity value and premiums to be paid till maturity we advise you to surrender LIC Jeevan Anand (Seema Devi) policy as IRR of these plans will not beat inflation. You can continue LIC Jeevan Anand, Jeevan Surabhi and Jeevan Astha, as the IRR is likely to beat inflation. You should continue with Aegon Religare I-Term Plan. You should surrender HDFC Life and ICICI Pru Life ULIP polices since the returns are poor as compared to the benchmark and ongoing charges will further reduce your return. Your wife is a homemaker and does not require life insurance. Additionally buy Aviva i-Life an online term plan for Rs.50 Lakhs for a term of 25 years which will cost you around Rs.5,400 p.a. Disclose all facts while buying insurance. Surrender your ULIP plans after buying additional term plan.

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Health Insurance
This section covers analysis of your current General Insurance policies, Need Analysis of the Client and our recommendations.

Health Insurance (Mediclaim):

A serious illness could be catastrophic to your financial well being therefore, it is imperative you have adequate medical insurance coverage. Current Apollo Easy Health Standard Sum Assured Premium Type Members Recommendation Rs.5 Lakhs Rs.7000/Family Floater Self + Son Continue Recommended Bank Of Baroda Apollo Optima Plus Health Insurance Rs.5 Lakhs (deductible Rs.5 Lakhs of Rs.3 lakhs) Rs.2,300/Rs.7,100/Individual Individual Self + Son Spouse Buy Buy

Buy L&T Medisure Classic Plan of Rs.3 Lakhs each for your father and mother. This will cost you around Rs.36,200 p.a. Disability Insurance pays a lump sum in the event of suffering from a debilitating disease such as cancer, stroke, organ failure or disability arising from an accident. You should take an accident insurance policy covering disability (Bajaj Allianz Premium Personal Guard) for Rs.25 lakhs and a critical illness policy (Aviva Health Secure) for Rs.50 lakhs for yourself. Both these policies put together will cost you around Rs.18,100 per year. It will be difficult for your mother and spouse to get health insurance since they have health issues but you should seriously try for this. Disclose all facts while buying insurance.

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Investment Planning
Analysis of Current Investment:
Direct Equity Investment: Direct investment in equity is not advised, as it requires depth research and analysis. Invest money in good mutual fund schemes. Sell your equity investments and reinvest in ICICI Pru Focused BlueChip Fund.

Mutual Fund Investment: Sr. No. 1 2 3 4 5 6 7 Name of Scheme HDFC Index Fund - Sensex Plan HDFC Top 200 Fund L&T Equity Fund RELIANCE EQUITY FUND DSP BlackRock Balanced Fund ICICI Prudential Discovery Fund IDFC Premier Equity Fund Current Value Rs.21,084 Rs.53,203 Rs.33,637 Rs.20,776 Rs.28,154 Rs.42,527 Rs.94,063 Recommendation Stop SIP, Redeem & Invest in ICICI Pru Focused BlueChip Fund Stop SIP & Switch to ICICI Pru Focused BlueChip Fund Increase SIP to Rs.7,500/Allocate d Goal

Retirem ent

Instead of investing in sectoral or thematic funds, invest in well-diversified funds, which invest in stocks of many sectors, which give good diversification across sectors. Hence, we recommend switching as above. We suggest you to keep all your Mutual Fund units under Growth option and in recommended Mutual Fund Portfolio. All your existing investments have been allocated towards your all major goals. Equity schemes of mutual fund invest around 90-100% in shares of listed companies and the balance 0-10% in highly rated debt instruments. Balanced mutual fund schemes invest around 70-80% in shares of listed companies and the balance 20-30% in highly rated debt instruments. They provide an ideal mix of safety (debt instruments) and growth (equity). We suggest you to have a periodical review process to monitor your portfolio and rebalance your portfolio as per your asset allocation. Page 10 of 22

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Retirement Planning
You would like to provide a corpus for your retirement at the age of 60 years. You would like to maintain the same standard of living, which you are living at present.
Retirement Alalysis 7,16,00,000

4,80,000 Current Annual Expenses

32,87,000 Annual Expenses at Retirement Age Corpus Required for Retirement

PPF Investment Risk Profile: This is a Low Risk Investment Recommended Investment Risk Profile: This is a High Risk Investment LIC maturity proceeds have been allocated towards this goal. Sell your Direct Equity investment and invest in ICICI Pru Focused BlueChip Fund. Invest ULIP surrender value proceeds in IDFC Premier Equity Fund. You existing MF investment has also been allocated towards this goal, make changes as recommended above. Additionally, start fresh monthly investment of Rs.25,000 in ratio 90% in Equity MF via SIP and 10% in PPF. Start fresh monthly SIP of Rs.15,000 in ICICI Pru Focused BlueChip Fund, increase SIP in IDFC Premier Equity Fund to Rs.7,500 and deposit Rs.2,500 per month in PPF. You are advised to shift your equity investment systematically to debt about 60 months before retirement age. Fresh investment during this period should also be in done in debt. Page 11 of 22

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Ekanshs Education Planning

You would like to plan for your sons education and would like to provide Rs.15 Lakhs in present value of this goal.
Education Planning 51,78,000

15,00,000

Current Value

Future Value

PPF Investment Risk Profile: This is a Low Risk Investment Recommended Investment Risk Profile: This is a High Risk Investment

Start fresh monthly investment of Rs.13,500 in ratio 90% in Equity and 10% in PPF. Start fresh monthly SIP of Rs.12,000 in UTI Opportunities Fund and deposit Rs.1,500 per month in PPF. You are advised to shift your equity investment systematically to debt about 31 months before education goal. Fresh investment during this period should also be in done in debt.

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Ekanshs Marriage Planning

You would like to plan for your son's marriage at the age of 25 years and provide a sum of Rs.5 lakhs in present value for this goal.
Marriage Planning 33,64,000

5,00,000

Current Value

Future Value

Gold Investment Risk Profile: This is a Moderate Risk Investment Recommended Investment Risk Profile: This is a High Risk Investment Your existing Gold ETF investment has been allocated towards this goal. Additionally start fresh monthly investment of Rs.3,000 in ratio 85% in Equity MF and 15% in Gold. Start fresh monthly SIP of Rs.2,500 in Franklin India BlueChip Fund and Rs.500 in SBI Gold Fund. You are advised to shift your equity investment systematically to debt about 48 months before marriage goal. Fresh investment during this period should also be in done in debt. Page 13 of 22

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Car Purchase

Recommended Investment Risk Profile: This is a High Risk Investment

You would like to buy a car after 2 years, which will cost you Rs.7 lakhs today. You are advised to postpone your car purchase to 5 years as there is no surplus available. Start fresh monthly investment of Rs.13,600 in Conservative MIP Fund of Mutual Fund to accumulate the desired corpus. Start fresh monthly SIP of Rs.13,600 in Reliance MIP Fund.

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Estate Planning

We strongly recommend making a Will.

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Asset Re-allocation
Investment Assets Savings Bank Insurance - Surrender Value Fixed Deposits PPF POMIS* Bonds* Gold ETF Direct Equity Equity/Balanced Mutual Funds Insurance - Fund Value Total Assets Amount 4,00,000 82,000 50,000 1,80,000 15,000 60,000 54,850 3,15,000 2,93,000 3,09,000 17,58,850 Retirement Ekansh's Contingency Marriage 4,00,000 82,000 50,000 1,80,000

54,850 3,15,000 2,93,000 3,09,000 10,97,000 54,850 5,32,000

* Not allocated towards any goal.

Plan Assumptions: Plan Assumptions Retirement Age Life Expectancy Inflation Rate Portfolio Returns Portfolio Returns Portfolio Returns Portfolio Returns Portfolio Returns Self 60 80 08.00% 06.00% 08.00% 12.60% 11.60% 08.00% Spouse N.A. 80

Liquid Funds Debt Equity Funds Balanced Funds Gold & Jewelry

All investments recommended should be shifted to debt systematically as given in respective goal section, and the fresh investments should also be invested systematically to debt during this period. This has been taken into account in the expected rate of return on investment. All returns are assumed as net of Indian Income tax. None of the returns are guaranteed.

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Summary of Recommendations
Contingency Planning:
ICICI Pru Money Market Regular Fund Rs.5.32 Lakhs Start ASAP

Life Insurance:
Aviva i-Life Plan LIC Jeevan Anand (Seema) HDFC Life ULIP* ICICI Pru Life ULIP* Rs.50 Lakhs Surrender Surrender Surrender Buy ASAP Invest in ICICI Pru Money Market Regular Fund Invest in IDFC Premier Equity Fund

* Surrender after buying additional term plan. Health and Disability Insurance:
Self + Son Spouse Apollo Optima Plus Bank Of Baroda Health Insurance Rs.5 Lakhs (deductible of Rs.3 Lakhs) Rs.5 Lakhs Rs.3 Lakhs (each) Rs.25 Lakhs Rs.50 Lakhs

Father + Mother L&T Medisure Classic Plan Self Self Buy Bajaj Allianz Premium Personal Guard Buy Aviva Health Secure Plan

Other Goals: Sr. Goal No.

1. Retirement

Investment Amt.
SIP Rs.15,000/SIP Rs.7,500/Rs.2,500/- p.m. SIP Rs.12,000/Rs.1,500/- p.m.

Remark/Suggestion
ICICI Pru Focused BlueChip Fund IDFC Premier Equity Fund PPF UTI Opportunities Fund PPF

2. 3.

Ekanshs Education Ekanshs Marriage

SIP Rs.2,500/- Franklin India BlueChip Fund SIP Rs.500/SBI Gold Fund 4. Car Purchase SIP Rs.13,600/- Reliance MIP Fund Sell your Direct Equity investment and invest in ICICI Pru Focused BlueChip Fund. Invest ULIP surrender value proceeds in IDFC Premier Equity Fund. You existing MF investment has also been allocated towards this goal, make changes as recommended above. Email: fp@apnapaisa.com Ph.: 022-6613 1999 Page 17 of 22

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Some good practices of financial planning

1. First approve this financial plan that has been jointly developed in consultation with you. Then make sure you execute all the recommendations as quickly as possible. 2. When buying the recommended insurance products it is always advisable to buy them online. Take the time out to fill in the proposal form fully and disclose everything fully and completely. Remember it is better to get an Insurance policy with higher premium or even not to get one than to get a policy that has been obtained by omitting relevant details or misstatements. 3. We will review this plan with you at least once every quarter. Reviews can be in person in our office, on Skype or on phone. Make sure that you give time for this review. 4. Keep us informed of any developments like change in income, expenses and any major health issues within family or any other factor that may affect your financial planning. We will work out the adjustments required to the financial plan, which can then be executed after you approve it. 5. Sit down once every year to review and revisit all your goals. Also reprioritize them in case needed. 6. Put automatic payments (ECS) on all insurance premium and SIP investments in mutual funds. Provide your mobile number to the insurance companies and mutual fund houses. Most of them send reminders to maintain the required balance in your account a few days before the ECS is due. Some of them also let you know the receipt of money or dishonor of the instructions. 7. If inadvertently an ECS is dishonored please take the time out to make that payment and re-start the ECS as some ECS stop if a payment is missed. 8. Start moving your assets from risky assets like equities or alternative investments to debt instruments systematically in accordance with the agreed schedule given below each goal. This will improve the protection of your corpus as you near the goal. 9. Keep all your insurance and investment documents at one place and inform your spouse, parents and kids about the same in case of any emergency, they can trace them easily. We can also store photocopies of the same and it will be available to you digitally. 10. Important numbers such as the claims department of the medical insurance company or car insurance company should be stored in your mobile phone along with the reference numbers for easy access. Email: fp@apnapaisa.com Ph.: 022-6613 1999 Page 18 of 22

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11. Don't delay investments or payment of your credit card bills/loan EMIs both of them can affect your financial future badly? If you delay in starting your investments on time, then you will lose the opportunity to create enough corpuses for your future goals. In case you delay in making payments for your credit card bills and loan EMIs then you will land up lowering your CIBIL score and risk your chances of getting a loan in future. 12. Get your CIBIL report once a year (it costs Rs.154/-) and go through it to check if there is any of the information mentioned there are not true. In case any of the information mentioned there are not correct, you should report the same to CIBIL and get the same rectified at the earliest to avoid any complications in future. 13. Provide your mobile number to all the bank accounts and credit cards any transactions that is done on your debit card or your credit card is reported to your mobile number. 14. You should make sure that you have put nominations for all your investments and insurance policies even if held jointly. You should also prepare a will to plan for your estate since nominations are not sufficient to make sure that there is no dispute about the assets in the event of the death of the owner.

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Disclaimer
The legal disclaimer follows at the end of this page. But to make it more understandable here is a gist of what it means. Off course please read the detailed disclaimer as well since that is what will apply in the unlikely event of dispute: 1) The financial plans are made based on information provided by you. If the information is not correct or the entire information has not been provided the plan will be inadequate or downright wrong. 2) All the investments recommended assume a certain return. It is not possible for us to guarantee any such returns. In fact in the more risky asset classes there is also a chance that instead of getting a return you will actually make a loss. We have indicated the risk profile applicable to most of the recommended investments. Please feel free to ask us any questions on doubts that you might have. 3) A company in which we have significant interest runs a clutch of popular websites including www.apnapaisa.com and some or all of the recommended financial services providers may have advertiser, sponsor or other revenue earning relationships with them. If this makes you uncomfortable about our recommendations please let us know. We would be happy to provide recommendations describing the nature of product that you should use rather than the specific product. This will enable you to independently choose the products on your own. 4) We or other people or organizations connected to us may ourselves be users of the financial services products recommended in the plan.

Hopefully there will not be any reason for using this part of the document but you should definitely go through this legal disclaimer that govern the provision of our service to you: Any financial plan made by us is based on information detailed by the information provided by the client in the data gathering sheet and the personal discussions with the client. A copy of the data-gathering sheet is available on request. The information contained in the financial plan must be read carefully. In case any relevant information is overlooked or misinterpreted, then we request the client to contact us before proceeding with the implementation of the plan. The financial plan is completely based on the information supplied to us by the client, which we assume to be correct. No responsibility can be accepted if the information provided to us is incorrect or inaccurate. This plan is prepared solely for the use of the client to whom it is addressed.

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This financial plan is a forward-looking document where we have assumed certain return on investments on various investment classes and inflation. These forwardlooking statements involve, and are subject to known and unknown risks, uncertainties and other factors, which could cause actual results, performance or achievements to differ from the future results, performance or achievements expressed or implied by such forward-looking statements. All these forward-looking statements attributable to us herein are expressly qualified in their entirety by the above-mentioned cautionary statement. We do not accept any direct or indirect liability for any results, performance or achievements that differ from results, performance or achievements implied by such forward-looking statements. We do not promise that the investments you make based on this plan will be profitable. Investments are always subject to various market, currency, and economic, political and business risks. We will not be liable for any losses that may be caused directly or indirectly by such investment decisions. This financial plan is based on the current situation and goals, which will change with the passage of time. Any material change in the financial situation of the client will necessarily render the contents of the plan out of date. Material changes refer to change in income/salary levels, assets acquired, liabilities incurred, change in number of dependents, health condition, or the passage of time of more than 12 months or the effect of inflation or deflation. We strongly recommend that: a) You review this plan periodically to ensure that your plans actual performance is consistent in meeting your goals, and b) You update your plan annually to ensure that your plan is updated for your changing situation and goals.

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Thank You

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