I have two policies with HDFC Finished 3 years period Is it right time to shft to SBI?

I am having two policies with HDFC. HDFC Unit Linked Endowment Plus& Unit Linked Yongstar Plus.I also finished 3 years of time. Totally I inversted 150000 in both the policis. As of now, there is no profir. Can somebody suggest me whether I need to shift to SBI Smart ULIP (some of my friend suggested that)

4 Replies to “I have two policies with HDFC Finished 3 years period Is it right time to shft to SBI?”

  1. Usually ULIP’s are not suggested for investments.

    They are not very transparent as compared to Mutual Funds.

    They have very high charges in initial periods.

    If you decide to not shift ur money then u can do this:
    But one of the best options in ULIPs is the free 4 switch available.
    What you can do is when the market rises too fast convert your units to the plan which invests only in government securities.

    And when the market losses too much then you can convert all units to the plan which invests in stock market.

    But decide this on your own.

    And don’t do this in short period of time.

    Since your time horizon I expect to be long, the best option is to go for SIP in mutual funds.

    Power of Compounding will come in effect over long period of times.

    If you need more safer option then you can go for PPF or Post Office.

    It’s not that I am a friend of MFs but the RISK-REWARD tends to focus on MFs.

    If in case to opt for MF then do monitor their performance every 3 years.

    Start Early. Save Early. Retire Safely. This is my InvestingMantra.

  2. Don’t know anything about these, but I do know that generally it is not a good idea to switch policies.
    Usually all it does is generate new commissions.

  3. Since you have finished the term lockin of 3 yrs, you can consider shifting the schemes. But in any fund house, for ULIPs, only a portion of the money could be invested in the equity markets.
    If you expect more gains, then you can consider investing in a pure equity based mutual fund.

  4. Don’t Switch policy. You would have paid a quite a size able allocation charges across three years. Initially the charges are high and subsequently reduces as term decrease. Please hold on for another couple of years. Please read through the policy document, may be after certain years you can surrender the policy without any charges. Any invest is a Long Term Vehicle.


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