In this blog, we shall go through why ‘inflation-beating returns’ as an investment proposition should be used as a means and not an end in investing. Later on, we shall see why P2P investment should be one’s go-to investment avenue. Finally, we shall see why FMPP® should be used for wealth-building and overall healthy financial planning in general.
Inflation-beating returns, an end and not a means of investing
Healthy financial management is part of each of our life goals. It can be a stepping stone for wealth-building or good practice in general. Availing oneself of loans only in dire needs, avoiding the use of credits as far as possible, having a good credit score and history, and so on are some practices that define healthy management of finances.
Wealth-building means having as many sources of income as possible; a considerable reservoir of finance at hand, either as liquid cash or total NAV, i.e. liquid cash + Asset Under Management (AUM). Apart from that, having savings and investments can be helpful in the short as well as long runs of financial management.
Long-term investments are aimed at rather ambitious goals, namely wealth-building. Inflation-beating or double-digit returns can be great as means-driven investing. Wealth-building and be great from the end-drive point of view.
Overcoming the fierce competition amongst financial institutions, new-age investment solutions like P2P investment posing as a strong contender, particularly because of their high returns-yielding potential. P2P investment has a higher potential of yielding returns due to it being aggregator-based instead of mediator-based. Hence, where bank-pooled investment avenues, like fixed deposits and recurring deposits, do not surpass the inflation rate, investments in P2P help someone earn inflation-outdoing returns with high net profits.
What does P2P investment have to offer?
As stated above, P2P investment offers inflation-beating returns, a proposition not commonly found in the investment market. LenDenClub is India’s leader in the P2P sector. It has consistently given returns of 10 to 12% p.a. for the past five years, along with low NPA. The range of double-digit returns is unparalleled and best-in-class.
LenDenClub has introduced FMPP®,
the Fractional Matchmaking Peer-to-Peer Plan. It has been devised to give Returns while keeping up the returns proposition. Thereby, one can earn 10 to 12% p.a. returns with unprecedented ty. LenDenClub’s unique algorithm enables hyper-diversification of funds, i.e. the funds are allocated as low as ₹1/borrower. This way, any NPA is evened out on a platform level, giving Marginalised NPA to individual investors through Systematic Risk Mitigation.
To conclude, FMPP® offers platform-level uniformity in portfolio performance. The only trade-off with the plan is that one would have to go for a term of 1, 2, 3, 4, or 5 years, and the starting investment amount is ₹10,000. However, the maximum investment amount is ₹10 lakh, but one can invest up to ₹50 lakh after submitting a net-worth certificate.
FMPP®, a purely investment-directed plan
Investments with values lost to inflation, market un ties, low yields, etc do not stand true to their purpose. Investing is also oft-marketed with other additives like insurances, albeit with diminished returns values.
FMPP® is a purely investment-orientated asset class and gives a higher yield and stability. Hence, it is undoubtedly the best choice in terms of investment. People who prefer term assurance plans purely for insurance purposes can combine FMPP® for investment purposes.
How can FMPP® help in wealth-building?
FMPP® is the most well-balanced investment avenue. It offers Returns in an inflation-outpacing range, i.e. 10 to 12% p.a. Since FMPP® offers the best of market-linked and non-market-linked asset classes, one can strategically use it for portfolio diversification. (On a side note, FMPP® is also RBI-regulated, and LenDenClub is an RBI-registered NBFC-P2P)
The well-balanced nature of FMPP® also makes it the choicest of all investment avenues. Hence, even though it is an alternative investment avenue, it can be opted for as a standalone investment option.
In both cases, i.e., as a means of portfolio diversification or a one-size-fits-all investment avenue, FMPP® can be helpful in portfolio management, to say the least, and wealth building, to say the most.
Wealth-building and other financial planning
Since FMPP® can be used for wealth-building, one can definitely use it for healthy financial management; after all, built-up wealth can be helpful for planned big purchases, early retirement, and whatnot.
Since FMPP® offers the best interest rate for all fixed-maturity, fixed-term investment avenues, one can use it to plan children’s education, marriage, post-retirement plans, and so forth.
FMPP® is great for healthy financial management, portfolio diversification as a well-balanced investment avenue, portfolio management as a standalone investment avenue, wealth-building, and so on due to its high and return-yielding nature. FMPP® is also a purely investment-orientated plan for serious investments. Start Today!