Go for the aim
Updated: Apr 8, 2020
Endowment, for simple understanding, is a financial instrument that helps you save towards your future goals. There are numerous Endowment plans offered by various financial institutions. Before you commit to any policy, you have to know your financial objectives.
#1 Tip: Know Your Financial Objectives
Many product providers are keeping up with the competition by constantly creating plans with interesting features, hybrid functions and new way of marketing an Endowment plan. One key benefit of an Endowment plan is it provides a discipline and systematic arrangement to grow your wealth, there's no speculation and you don't have to monitor.
On the flip side, Endowment plan is not flexible in terms of its premium amount and premium term; once you set it at the onset, you can't make changes anymore. Thus, having a clear financial objective when getting an endowment plan is important.
Some examples of financial objectives are saving towards a specific lifestyle, getting a house, saving for children education, for your retirement, etc. Make sure the features of the endowment plan fit your needs and expected time horizon, and do not allow the rigid features of any plan to change your desired path.
Have an end in mind and stay focused.
P.s: Read other posts for more Endowment tips.