Jim's Articles

Investing in gold and India national pension system tricks

National pension system and India investing in gold guides? Unlike paper currency, coins or other assets, gold has maintained its value throughout the ages. People see gold as a way to pass on and preserve their wealth from one generation to the next. Since ancient times, people have valued the unique properties of the precious metal. Gold doesn’t corrode and can be melted over a common flame, making it easy to work with and stamp as a coin. Moreover, gold has a unique and beautiful color, unlike other elements. The atoms in gold are heavier and the electrons move faster, creating absorption of some light; a process which took Einstein’s theory of relativity to figure out.

A company’s ability to sustain healthy dividend payouts is greatly enhanced if it has consistently low debt levels and strong cash flows, and the historical trend of the company’s performance shows steadily improving debt and cash flow figures. Since any company goes through growth and expansion cycles when it takes on more debt and has a lower cash on hand balance, it’s imperative to analyze their long-term figures rather than a shorter financial picture timeframe. In order to ascertain the investment merits of gold, let’s check its performance against that of the S&P 500 for the past 10 years. Gold has underperformed compared to the S&P 500 in the 10-year period ending Jan. 26, 2018, with the S&P GSCI index generating 3.27% compared to the The S&P 500, which has returned 10.36% over the same period.

Investing in gold mining stocks is similar to investing in the stock market and the difference is just that gold mining stocks are related to the companies that are attached to gold mining. The performance of these stocks is more or less governed by the gold rates while other factors that should be considered are production cost, effective management, hedging activities etc. Investing in physical gold is the oldest method of making the gold investment. Whenever you buy gold, it is basically a gold investment. But, since we are speaking strictly on investment grounds, then there are two ways by which you can invest in gold i.e. Jewellery and Bars and coins. Read more info at Health insurance India.

Illness/Injury is highly unpredictable in current scenario basis the lifestyle we live in so in case of any medical emergency you can rely on health insurance plan. Why should I buy health insurance? As we all know life is so unpredictable and the cost of medical expenses rising every year many fold so in order to put any financial strain on our saving, its best to opt for health insurance plan so that one does not have to compromise on other goals set for our life.

Harry Schultz’ International Harry Schultz Letter (a paid subscription investment service) has gold going up eventually to $6,000 saying “We (collectively) are poised at a heart-stopping moment in economic times. On the one extreme side, the world is on the edge of massive deflation and depression. At the other extreme is – hyperinflation. My view is that both these extremes are possible. Certainly deflation is, on balance, in play today and gaining ground as money supply is actually declining! Hyperinflation seems impossible when there is not much inflation in most economies. But … hyperinflation is a monetary event, not an economic one, and will happen on an overnight basis, not via a general uptrend in inflation data… As I write, gold is holding very near its high, as most stock markets are bungee jumping. This implies the unexpected hyper is pending, because if it were exclusively deflation ahead, gold action would be less buoyant.”

Upon Superannuation – When a subscriber reaches the age of Superannuation/attaining 60 years of age, the subscriber will have to use at least 40% of accumulated pension corpus to buy an annuity that would furnish a regular monthly pension. If the total accumulated pension corpus is less than/equal to Rs. Two lakh, Subscriber can opt for 100% lumpsum withdrawal. Pre-mature Exit – In case of pre-mature exit from NPS, at least 80% of the accumulated pension corpus of the Subscriber has to be utilized for purchase of an annuity that would provide a regular monthly pension and remaining funds can be withdrawn as lump sum. Subscriber can exit from NPS only after completion of ten years. If the total corpus is less than/equal to Rs. One lakh, Subscriber can opt for 100% lumpsum withdrawal. Upon Death of Subscriber – The entire accumulated pension corpus (100%) would be paid to the nominee of the subscriber. Read additional details at https://profitsolo.com/.